NZ property report OCTOBER 2016

Transcription

1 NZ property report OCTOBER 2016

2 Report Definitions Sales by registration type; rolling three month, year-on-year growth This data set provides an insight into who is active in the market compared to the same three-month period last year. This helps determine the market mindset and the impact of regulatory changes on certain buyer groups. Sales by property type; rolling three month, year-on-year growth This data set provides an overview of the types of properties that have been sold compared to the same three-month period last year. This data illlustrates current demand characteristics for certain property types and how they are changing year-on-year. Annual building consent movement Building consent data provides a high-level insight into the building industry and what s being constructed across the country. This helps determine whether what s being built aligns itself with demand levels and the implications this may have on current and future prices and market activity levels. Percentage of sales by value band vs total housing stock This data provides an overview of the number of sales by value band which have occurred over a three-month period compared to the total number of properties (housing stock) available. This illustrates price demographics in the market. It also acts as a gauge for demand and can help identify where supply shortages are for certain house stock bands. Median sales price growth by property type The median sales price provides an insight into annual price growth. It also provides an overview of demand levels and whether supply is increasing at a sufficient rate to meet demand. Median sales price growth also provides an indication of the popularity of varying property types within a market which acts as a gauge as to the wider market mindset.

3 Nationwide property snapshot Percentage of Sales by Registration Type Rolling 3 months MOVERS 11.2% Sales by Property Type YOY Growth DWELLING -12.1% INVESTORS 15.1% APARTMENT -20.0% National median sales price movement (YOY) FIRST HOMES 22.5% LIFESTYLE -14.0% AKL UP 5.3% TAU UP 22.9% Annual Building Consent Movement HAM UP 23.3% WEL UP 11.0% NEW BUILDS +36.3% RENOVATIONS +14.5% DUN UP 6.3% National median sales price $450K CHC 0.0% Percentage of Sales by Value Band vs. Total Housing Stock 30% 25% 20% 15% 10% 5% 0% % of sales % of housing stock Copyright 2016 myvalocity Limited powered by Valocity myvalocity.co.nz

4 Auckland

5 AKL Percentage The Auckland median sales price has softened slightly in the three months to September 2016, now sitting at 5.3% above the same period last year. This rate of growth has declined from last month which may be attributed to the further strengthening of macro prudential tools announced by the Reserve Bank during August. Whilst the surge of market activity which traditionally dominates the property market during Spring has yet to occur, certain sub-markets appear to be experiencing strong demand particularly the high end of the market. Auction clearance rates are varied across the region and by property type but are generally softer than they have been earlier in the year. of Sales by Value Band vs. Total Housing Stock 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% The average Sales Price to Capital Value ratio now sits at % of sales % of housing stock 48.4% THOUSANDS $1000 $900 $800 $700 $600 $500 $400 $300 $200 $100 $0 Median sales price over time AUCKLAND Annual Building Consent Movement NEW BUILDS +42.8% DEC 14 MAR 15 JUN 15 SEP 15 DEC 15 MAR 16 JUN 16 SEP 16 NATIONWIDE RENOVATIONS +13.1% Median sales price annual growth +5.3% Percentage of Sales by Registration Type Rolling 3 months INVESTORS 14.7% FIRST HOME BUYERS 18.5% SWITCHER 24.6% OTHER MOVERS 33.3% 8.9% Median Sales Price Growth by Property Type YOY Growth % +9.0 % % APARTMENTS DWELLINGS LIFESTYLE Copyright 2016 myvalocity Limited powered by Valocity myvalocity.co.nz

6 Tauranga

7 TAU The Tauranga median sales price has remained buoyant in the three months to September 2016 with the median sales price now 22.9% above the same period last year. Notably, the current growth in the median sales price for Tauranga is only marginally above that of last month. This plateauing could be attributed to the further strengthening of macro prudential tools announced by the Reserve Bank in August. These changes have, in effect, leveled the playing field for investors seeking to invest within Auckland or across the country. As a result, it appears buyers are now setting their sights further afield on smaller regional markets. Percentage of Sales by Value Band vs. Total Housing Stock 25% 20% 15% 10% 5% 0% % of sales % of housing stock The average Sales 36 Price to Capital Value.6% ratio now sits at THOUSANDS $1000 $900 $800 $700 $600 $500 $400 $300 $200 $100 $0 Median sales price over time Annual Building Consent Movement NEW BUILDS +35.0% DEC 14 MAR 15 JUN 15 SEP 15 DEC 15 MAR 16 JUN 16 SEP 16 TAURANGA NATIONWIDE RENOVATIONS +51.8% Median sales price annual growth +22.9% Percentage of Sales by Registration Type Rolling 3 months INVESTORS 16.3% FIRST HOME BUYERS 17.8% SWITCHER 15.2% OTHER MOVERS 35.2% 15.5% Median Sales Price Growth by Property Type YOY Growth % % % APARTMENTS DWELLINGS LIFESTYLE Copyright 2016 myvalocity Limited powered by Valocity myvalocity.co.nz

8 Hamilton

9 HAM The Hamilton median sales price has remained strong in the three months to September 2016 when compared to the same period last year. However, the rate of growth has declined on last month which may be attributed to the further strengthening of macro prudential tools announced by the Reserve Bank in August, which now requires a 40% deposit for investment property across the country. Despite this plateauing of growth in the median sales price, the majority of sales transacted were between $400,000 - $500,000 which will continue to appeal to purchasers, in particular first home buyers and investors. Percentage of Sales by Value Band vs. Total Housing Stock 30% 25% 20% 15% 10% 5% 0% % of sales % of housing stock The average Sales 26 Price to Capital Value.6% ratio now sits at THOUSANDS $1000 $900 $800 $700 $600 $500 $400 $300 $200 $100 $0 Median sales price over time Annual Building Consent Movement NEW BUILDS +0.00% DEC 14 MAR 15 JUN 15 SEP 15 DEC 15 MAR 16 JUN 16 SEP 16 HAMILTON NATIONWIDE RENOVATIONS +51.3% Median sales price annual growth +23.3% Percentage of Sales by Registration Type Rolling 3 months INVESTORS 20.9% OTHER FIRST HOME BUYERS 19.4% SWITCHER 16.6% MOVERS 34.4% 8.7% Median Sales Price Grwoth by Property Type YOY Growth % % +6.0 % APARTMENTS DWELLINGS LIFESTYLE Copyright 2016 myvalocity Limited powered by Valocity myvalocity.co.nz

10 Wellington

11 WEL The Wellington median sales price has remained resilient in the three months to September 2016 when compared to the same period last year. Market activity levels are increasing and demand is strong across a range of property types and price bands. Despite further strengthening of LVR ratios by the Reserve Bank (which may have had an impact on demand levels within certain sub markets, i.e. investors) Wellington is currently seeing strong demand due to the relative affordability of housing stock when compared to other main centers. Percentage of Sales by Value Band vs. Total Housing Stock 20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% The average Sales Price to Capital Value ratio now sits at % of sales % of housing stock 26.5% THOUSANDS $1000 $900 $800 $700 $600 $500 $400 $300 $200 $100 $0 Median sales price over time WELLINGTON Annual Building Consent Movement NEW BUILDS +93.5% DEC 14 MAR 15 JUN 15 SEP 15 DEC 15 MAR 16 JUN 16 SEP 16 NATIONWIDE RENOVATIONS +21.1% Percentage of Sales by Registration Type Rolling 3 months Median Sales Price Growth by Property Type YOY Growth Median sales price annual growth +11.0% INVESTORS 14.8% OTHER 31.3% MOVERS 9.6% FIRST HOME BUYERS 25.7% SWITCHER 18.6% % % % APARTMENTS DWELLINGS LIFESTYLE Copyright 2016 myvalocity Limited powered by Valocity myvalocity.co.nz

12 Christchurch

13 CHC Percentage of Sales by Value Band vs. Total Housing Stock 30% 25% $1000 $900 Median sales price over time The Christchurch median sales price remained stable in the three months to September 2016 when compared to the same period last year. This could be attributed to the residential re-build reaching a peak earlier than initially predicted combined with strengthening of Loan to Value ratios impacting on investors. Both the overall median sales price for Christchurch and the median sales price for apartments and dwellings have remained stable since August 2014 implying that housing supply and demand levels have reached a level of equilibrium. 20% 15% 10% 5% 0% Houses The average in Auckland Sales are, Price on to average, Capital Value selling ratio now over CV by sits at % of sales % of housing stock NATIONWIDE CHRISTCHURCH 837.8%.4% THOUSANDS $800 $700 $600 $500 $400 $300 $200 $100 $0 Building Annual Building and renovations Consent Movement NEW BUILDS +5.6% -5.8% DEC 14 MAR 15 JUN 15 SEP 15 DEC 15 MAR 16 JUN 16 SEP 16 RENOVATIONS -12.0% -2.7% Median sales price annual growth +0.0% Percentage of Sales by Registration Type Rolling 3 months INVESTORS 12.9% FIRST HOME BUYERS 27.0% SWITCHER 15.5% OTHER MOVERS 35.1% 9.4% Median Sales Price Growth by Property Type YOY Growth -1.0 % +1.0 % -7.0 % APARTMENTS DWELLINGS LIFESTYLE Copyright 2016 myvalocity Limited powered by Valocity myvalocity.co.nz

14 Dunedin

15 DUN The Dunedin median sales price has remained robust in the three months to September 2016 with the median sales price now 6.3% above the same period last year. However, this is down on the annual growth rate reported last month indicating that the market has entered a period of temporary plateauing. This may be attributed to the Reserve Banks s recent strengthening of LVR ratios. Despite this, Dunedin offers extremely affordable housing stock when compared to other main centres and gross yields for investors are among the highest in the country. The attraction of positive cash flow for comparatively low capital outlay will see Dunedin continue to be favored as a hot spot for the foreseeable future. Percentage of Sales by Value Band vs. Total Housing Stock 40% 35% 30% 25% 20% 15% 10% 5% 0% The average Sales Price to Capital Value ratio now sits at 21.6 % Percentage of Sales by Registration Type Rolling 3 months % of sales % of housing stock THOUSANDS $1000 $900 $800 $700 $600 $500 $400 $300 $200 $100 $0 Median sales price over time DUNEDIN Annual Building Consent Movement NEW BUILDS +84.0% DEC 14 MAR 15 JUN 15 SEP 15 DEC 15 MAR 16 JUN 16 SEP 16 NATIONWIDE Median Sales Price Growth by Property Type YOY Growth RENOVATIONS +52.0% Median sales price annual growth +6.3% INVESTORS 16.2% OTHER 30.0% MOVERS 13.9% Copyright 2016 myvalocity Limited FIRST HOME BUYERS 28.6% SWITCHER 11.2% % % % APARTMENTS DWELLINGS LIFESTYLE powered by Valocity myvalocity.co.nz

16 About myvalocity myvalocity empowers kiwis with property insights so consumers can make well informed property decisions. It makes our lives easier through visually easy to understand reports and free insights. myvalocty is powered by Valocity which is New Zealand s first locally built digital property valuation platform, with the most comprehensive and relevant range of property information. Valocity is used every day by major banks to support lending decisions and now Consumers can have access too to this powerful data and accurate estimated valuation reports. Media contact Charlene White Communications Manager Charlene.white@valocity.co.nz By myvalocity Commercial in Confidence. Purpose of myvalocity's Insights for this report. The information in this report is not intended to provide guidance or commentary nor does it constitute legal, accounting or other professional financial advice. To the extent permitted by law, myvalocity specifically excludes all liability and responsibility for any loss or damage out of reliance of information in this report including any consequential or indirect loss of profit, loss of revenue or loss of business opportunity. Disclaimers Property information 1) The property information (including data) contained within reports issued by myvalocity is not intended or designed to replace a full market valuation. If you need a property valuation for lending, tax or other purposes then you should seek a full market valuation from a registered valuer. 2) myvalocity will use its reasonable endeavours to check the accuracy of the information contained in any report. However, the accuracy of such information (including the estimated value and estimate of selling range) is not guaranteed by myvalocity. 3) myvalocity will use its reasonable endeavours to check that the property statistics contained within reports are substantially complete and free of errors or defects. However, you acknowledge that from time to time, errors may occur. 4) The information supplied by myvalocity as part of the Services: (a) is not a certified copy of any district valuation roll entry; (b) is drawn from third party sources which are independent of and outside the control of myvalocity; (c) is not warranted for lending purposes; and (d) is not a registered valuer's report for the purposes of the Trustee Act 1956.