Median house prices declined in Auckland, Hamilton and Tauranga in February, according to the Real Estate Institute of New Zealand.
Although the price declines were small, combined with a big drop in the number of homes being sold and a rise in the volume of unsold stock on the market, the outlook for the housing market over the rest of the summer selling season looks weak.
In Auckland the median selling price was $800,000 in February, which means it has declined for four consecutive months since it peaked at $868,000 in October (see chart below). Over that period, the Auckland median is down $68,000, or 7.8%.
Until we’ve had a full year, I would not rush to conclusions. But the data to date does suggest finally house prices may be stabilising, which would be good.