Positive sentiment rising
Colliers’ quarterly market outlook survey asks residential property market participants if the median house price will stay the same, decrease, increase by less than 5%, or increase by more than 5% over the next 12 months across New Zealand.
Highlights of our September 2019 quarter Residential Property Market Outlook Survey:
- Expectations for the median price over the next 12 months look to have risen further to a net positive* 20% recorded in the September 2019 quarter, up from 16% recorded in the June 2019 quarter.
- Twelve of the 13 regions monitored recorded a net positive score, with Christchurch the exception, but optimism is rising, especially for new terraced and detached housing.
- Eight of the 13 regions monitored recorded a higher net percentage result than the previous quarterly survey.
- Since the September 2016 quarter, Queenstown has consecutively taken out first place for the location respondents expect median sale prices to rise over the next 12 months.
- Tauranga/Mt Maunganui remained in second place this quarter, while Napier/Hastings have replaced Wellington in third place.
- Median price expectations in Whangarei have almost doubled with a net positive 18% compared to the June quarter at 10%.
- The median price outlook for the Auckland region has achieved a net positive score (9%) for the first time since December 2018. Auckland also saw the greatest improvement from last quarter which recorded a net positive score of -6.4%.
- The survey was undertaken after the Government’s decision to reset KiwiBuild. When asked if the reset will assist/help more New Zealanders into home ownership, 52% of respondents indicated “No”, 32% indicated “Yes”, 10% indicated “Same” and the remaining 6% indicated “Not sure”.
- A total of 5,399 responses were utilised to construct this survey.