Latest figures revealed region by region
The lifestyle property market in New Zealand has become busier post-COVID-19 pandemic, with 205 more sales (+8.9%) for the three months ended April 2021 than for the three months ended March 2021, according to the Real Estate Institute of New Zealand (REINZ).
REINZ’s latest data shows 2,513 lifestyle property sales in New Zealand in the three months ended April 2021 – a dramatic increase from 1,471 sales in the three months ended April 2020, and up from 2,308 for the three months ended March 2021.
In the year ended April 2021, REINZ found 9,942 lifestyle properties sold in New Zealand – 3,137 (46.1%) more than were sold in the year to April 2020.
The value of lifestyle properties sold was $9.72 billion in the year ended April 2021. Meanwhile, the median price for all lifestyle properties sold in the three months was $890,000 – $181,000 higher than the figure in the three months ended April 2020.
REINZ rural spokesman Brian Peacocke said the sales figures for the three months confirmed lifestyle properties’ popularity among the ranks of purchasers, as total sales for that period recovered easily after an easing over the previous two months.
“However, as to be expected as autumn heads towards winter, sales numbers for the month of April have eased 12.5% from the strong performance recorded for the month of March,” Peacocke continued.
“As a further endorsement of the popularity of lifestyle properties, the national median price has continued to improve, albeit on an incremental basis.
“The general comment across the country is that the lifestyle market is strong with a number of regions reporting a shortage of stock.”
According to REINZ, Northland and Auckland saw a surprising drop in numbers in April compared to March, with 36% and 29.6%, respectively. However, their median prices improved by 6% and 11.7%, respectively.
The Auckland market’s activity showed signs of slowing down from the recent peak, with fewer attendees at open homes, harder negotiations, and buyers becoming more cautious. The Bay of Plenty and Rotorua market also reported similar activities, but firmed slightly in price. Meanwhile, the Waikato, King country, and Taupo regions remained solid regarding well-spread sales volumes, but saw a slight easing in the median price.
In Central North Island, Gisborne’s market remained steady, and Hawke’s Bay recorded firming in both numbers of sales and median price. Meanwhile, Taranaki’s market eased slightly, but held ranks on value.
In Lower North Island, Wanganui and Manawatu had a stable market, with multiple offers reflecting a significant shortage of listings. In Tararua and Wairarapa, farmers capitalised on the active lifestyle market by subdividing and selling surplus dwellings and small titles from their larger holdings. Meanwhile, Wellington and Horowhenua dropped off the pace, albeit a steady flow of purchases from the former continued to bolster the Wairarapa market. Overall, the region achieved a reasonable median price increase, REINZ said.
In Upper South Island, Nelson, Tasman, and Marlborough reported an increase in buyers seeking to live in the “area renowned for sun and fun.” The pressure on the markets kept the medium price neutral across the region. Canterbury eased slightly in volume, with market activity reasonably well spread but compensated by improving 7.5% on the median price. Meanwhile, West Coast followed the pattern of its eastern neighbours, recording a similar easing in volumes but improved median price.
Lastly, in the Lower South Island, Otago reported a hefty 17.5% drop in values. Meanwhile, Southland volumes eased slightly but resisted the trend emerging on its northern boundary by holding par on price.
Overall, 13 regions recorded an increase in sales compared to April 2020, with Auckland and Waikato recording the most significant increases. By contrast, Otago recorded the smallest increase in sales in the three months to April 2021. All regions except Auckland also recorded an increase in sales compared to the three months ended March 2021.
