In a recent look at the New Zealand property market, Eleven Media have alerted clients and property investors to the continuing buoyant Queenstown property market.
On 10th May 2018, as widely expect, The Reserve Bank of New Zealand kept its official cash rate unchanged at a record low of 1.75 percent. The central bank last moved the key rate in November of 2016. Economic growth and employment in New Zealand remain robust and at sustainable levels.
Eleven Media found property values increased in 14 out of 16 regions across New Zealand showing the continued demand for good properties particularly as listings continue to remain low in many parts of the country. The only exceptions to the price increases were Auckland and Canterbury – down 0.6% and 0.9% respectively – but these are only very small decreases and actually suggest that these markets have stabilised now.
It has been established that overall sentiment in the residential property market has continued to track upwards this year, gaining 8 percentage points in the last quarter. This follows an increase of 13 percentage points in the previous quarter.
A net positive 36 per cent of respondents now expect median house prices to increase over the next 12 months, up from a net positive 28 per cent three months ago and 15 per cent six months ago. The highest expectations for house price rises is Queenstown, Mt Maunganui, Tauranga, and Hamilton. The median price for property in the Queenstown Lakes region is now $950,000.
For expert comment, Eleven Media asked leading Queenstown real estate agent David Penrose on his observations and said, “Queenstown property for sale figures during May 2018 were extremely buoyant. There were in the vicinity of 89 transactions combining for a turnover in excess of $89,000,000 NZD. Of note 36 homes found new owners, along with 21 apartments and 11 residential sections.”
On investigation, Eleven Media found that in June there continued to be a steady number of purchasers looking to secure property in one of the most sought-after locations in New Zealand. They also found that currently, the combined population for Queenstown and Wanaka is approximately 38,000 and this is predicted to double in the next 40 years. The present visitor numbers on a peak day are 80,000 and this is predicted to increase to 138,000 in the next 40 years.
Further information on the property market in Queenstown can be gained by contacting David Penrose via his website here: Real Estate Agent Queenstown
In The Media: David Penrose Queenstown