Feature article
January Property Price Index 2024
Aotearoa property prices show slower decline in January.
The decline in New Zealand’s property prices has started to slow according to Trade Me's
Property Price Index for January.
The national average asking price for a property in January was recorded at $858,200, down
2.3 per cent compared to the same time last year.
"While house prices have been consistently falling, the rate of decline is gradually easing,
with smaller drops in recent months. Last year was tough for homeowners with prices falling
and interest rates going up, but the slower drop now might mean things are getting more
stable in 2024,” said Trade Me spokesperson Casey Wylde.
Similar to December, both Auckland and Wellington saw the biggest drops again of 5.7 per
cent and 5.3 per cent followed by Manwatu/Wanganui down 3.9 per cent.
West.
West Coast most affordable region
Despite a significant jump of over $45,000 compared to January 2023, the West Coast
stands out as the most cost-friendly region for home-buyers, with the current average asking
price sitting at $470,300.
"The West Coast continues to defy the norm, experiencing a 10.8 per cent increase in
property prices compared to the same time last year. While most regions have seen prices
drop, the West Coast has consistently seen prices rise over the past eight months," said
Wylde.
"On the flip side, Auckland retains its title as the priciest region, with an average asking price
of $1,053,400, reflecting a 5.7 per cent decrease from last year. Leading the charge as the
most expensive spot is Waiheke Island, where sellers are seeking $1,750,000, nearly
$500,000 more than the second priciest location, the North Shore, with an average asking
price of $1,271,000. This is most likely due to the number of luxury and beach-front
properties on Waiheke,'' added Wylde.
Following Auckland, the Bay of Plenty emerges as the second most expensive region,
boasting an average asking price of $893,150. This is mainly driven by the Western Bay of
Plenty, where prices have risen by 4.1 per cent, resulting in an average asking price of
$1,058,450.
Urban properties drop in price
In major city centres nationwide, the asking prices for units, apartments, and townhouses
have all seen a decline.
Units have decreased by 0.7 percent, now standing at $552,800. Townhouses show a 2
percent drop, reaching $793,100, while apartments are down to $706,400.
Auckland City also witnessed an overall decrease in prices for all urban properties, whilst
Wellington experienced a significant 11.7 percent drop in unit prices.
"As prices for units, apartments, and townhouses take a slight dip, it's a golden opportunity
for people looking to downsize or those looking to enter the property market for the first time.
The prices for units in particular is a great option for first home buyers as they do sit just
under the cap for the First Home Owners grant in each city. With more affordable options in
the market, securing a place to call home becomes not just a dream but a tangible reality for
Kiwi across the country."
Demand returns to property market in the new year
The demand for properties on the market surged significantly, experiencing a substantial 37
percent increase in January, rebounding from a notable dip in December.
“Wellington led the pack with the most pronounced surge in interest, up by an impressive 54
percent compared to December. Following closely were Hawkes Bay and Nelson, which saw
43 percent increase in views,” said Wylde
While nationwide supply saw an uptick of one percent compared to December, it still lags
behind, down by two percent compared to the same period last year. Wellington listings have
taken a dip of 15 percent, signalling an ongoing supply and demand challenge in the capital.
