Currently there are 200 homes and sections for sale in the Dunedin area. If you analysed these more and found out what was already under offer and some property that are very difficult to sell we think there would be less than 100 houses really on the market, compared to around 600 in relatively normal conditions. There were 181 sales last month, which is about normal for this time of year. The median price is $427,000 (June 2019) compared to $395,000 a year ago.
Elsewhere in New Zealand:
The Auckland area median was $850,000.
Hamilton’s median was $525,000 and Wellington was $610,000, much the same as a year ago.
The Christchurch median of $427,000 is up on $395,000 in June 2018.
In the Queenstown Lakes District the median was $945,000 with 65 sales.
With historically low numbers of homes on the market in the Dunedin area it is obviously the best time it has ever been to sell. Unfortunately it is a tough time for buyers especially those trying to get their first home.
Applications for student flats have been pouring in since the start of second semester and flats with 7+ bedrooms have been extremely popular. There’s a large supply of 5 & 6 bedroom flats so they haven’t been signed as quickly because prospective tenants have more options to choose from. The same can’t be said for 4 bedroom flats however as there is a real lack of supply to meet the demand.
The housing shortage through the rest of the city continues however demand for rentals over $500 a week has dropped off in the last few weeks and that will likely continue for the next couple of months. The moral of the story is that it’s best to have your leases expiring in the summer months as that is when demand is at its highest, allowing you to get the best return on your investment.