The latest (July 2010) statistics from the Real Estate Institute of NZ show the median price dropped to $310,000 (was $325,000 in June); average days on the market dropped slightly to 41 (were 42); and volume dropped to 683 sales per month (was 710) for Canterbury/Westland.

Residential property sales turnover is the lowest for a July in a decade but prices in Christchurch are still up on last year, according to figures released today by the Real Estate Institute of NZ (REINZ). 

Nationwide prices also fell in July 2010 as measured by REINZ Monthly Housing Price Index - an index based on methodology derived by the Reserve Bank of NZ - a decreased of 1.2% from June.  In the 3 months to July, the index shows housing prices decreased by 1.1%.  Compared to 12 months earlier, the REINZ Housing Price Index increased by 1.8%.  The trend was strongest in Auckland, Wellington and Christchurch where prices remained higher than they were in July 2009 with Christchurch prices up 7.4%.

REINZ spokesperson Peter Thompson says "We are seeing a similar pattern to last month with sales volumes down but prices remaining stable in contradiction of predictions of a falling market. Good sales are still being made and properties priced right are attracting a lot of attention and are selling."

For another analysis of the rental investment market have a look at http://unconditional.co.nz/blog/property-investment-looses-its-appeal-results-of-a-new-survey/

Dave Adam notes that we remain firmly in a buyers market for 2010.  We seem to be in a W shaped property recession in the real estate industry with historically low sales volumes similar to those in 2008 (and 2001) and well below 2009.   

For buyers seeking loans interest rate rises are underway, coming off the bottom of the cycle.  There is a good selection of stock from which to choose at present and some sellers are negotiable.  Having your finance pre-approved will give you a negotiating advantage over, for example, subject-to-sale buyers.

For sellers, now may well be a better time to find the buyer for your property as winter stock levels are often less than those in Spring & Summer - many prospective sellers are telling me they are holding (or withdrawing from the current market) to list in Spring when they hope it will be a better market!?  Getting a buyer can be more important than getting that [high] "price" - price reductions are the name of the game for sellers right now as sellers compete with others for scarce buyers.  There is not much likelihood of price increases in the near future given good stock levels and low demand.

 
The level of buyer enquiry & inspections has dropped dramatically this year, compared to late 2009.  January sales units for Christchurch were 339; February 519; March 595; April 511; May 492; June 473 & July 482(REINZ) - in the order of 10 to 20 year lows & half what they were 2+ years ago. Christchurch median prices fell in July to $328,250 (was $340,000 in June).

Further, stock in Christchurch jumped 20% to over 3,200 listings on realestate.co.nz at the end of March, but with sales and many withdrawls that has now eased back to around 2,650 listings - heading towards a more balanced market!    Until then . . .
 
ONLY 18% OF SELLERS ARE GETTING TO SOLD per month = 82% remain unsold!

To achieve a sale, now is the time for sellers to do extra including profile marketing of the property, and getting on top of those major maintenance & presentation jobs - so the property looks it's best and doesn't deter buyers or crash contracts.

Pricing and marketing strategy are critical in this market!

Please talk to me about what you need to do to achieve a successful sale in this market and you'll benefit from our experience and expertise! 

It pays to talk to me if you want to be SOLD and with the very best price.