Spring Surge: Property Market Sees Record New Listings

Online property searches have surged as new listings hit a four-year high, signaling a vibrant spring property market. In October 2023, the number of new properties listed online rose by 29% compared to September and increased by 3% year-on-year, marking the highest level of new inventory since late 2021. The findings come from the latest Trade Me Property Pulse Report, which noted that the uptick in new listings aligns with an 11% month-on-month increase in demand.

According to Gavin Lloyd, customer director at Trade Me Property, these figures reflect a growing confidence among buyers as the market heats up ahead of summer. “It’s exciting to see the property market firing on all cylinders in October, proving that the spring selling season is well and truly underway,” Lloyd stated. He noted that buyers are feeling more confident due to the increased choice in the market, as demand surged in both monthly and yearly comparisons.

Regional Trends Highlight Strong Market Activity

In key urban centres, new listings showed significant growth. In Auckland, new listings rose by 4% over the past year and by an impressive 33% compared to September. Wellington experienced a 6% increase in new inventory between September and October, with a 33% rise from the same month last year. Canterbury also reported a 5% month-on-month increase and a 20% year-on-year rise in new listings.

Demand, as measured by online searches, saw substantial increases across these regions as well. Month-on-month demand surged by 10% in Auckland, 15.5% in Wellington, and 7.9% in Canterbury. Year-on-year growth rates were also notable, with Auckland and Wellington seeing increases between 5% and 10%, while Canterbury experienced nearly 31% growth.

Outside the main cities, regions like Northland and Marlborough also reported notable increases in new property listings, with rises of 49% and 43% respectively. Demand for properties in these areas climbed by 15% in Northland and 22% in Marlborough for the past month, while Northland noted a remarkable 42% year-on-year increase.

Average Asking Prices Reflect Market Confidence

The national average asking price for properties rose by approximately $48,000 in October, bringing the total to $883,200, a 6% increase from the previous month. On a yearly basis, the average price showed a modest increase of just 0.2%. Lloyd indicated that this marks three consecutive months of positive growth in asking prices, with the most significant month-on-month increase since January.

The Trade Me report highlighted that the average asking price increased in 12 of the 15 regions monitored, with the exceptions being Southland (down 2%), West Coast (down 1%), and Taranaki (no change). Notably, five regions experienced double-digit growth in average asking prices in the last month, including Gisborne (up 17%), Hawke’s Bay (up 13%), Marlborough (up 13%), Northland (up 11%), and Bay of Plenty (up 10%).

Additionally, the median number of days properties spent on the market decreased from 65 days in September to 57 days in October. Lloyd remarked that this is the lowest period on the market since March, indicating a more balanced market compared to previous months, which had tilted more in favor of buyers.

As the spring selling season progresses, the robust growth in both listings and demand suggests a dynamic property market ahead.