Wellington property prices were up almost 13 per cent in December compared to the year before. Photo / Getty
Wellington property prices were up almost 13 per cent in December compared to the year before. Photo / Getty
2017 was a record year for the average asking prices for property, according to the latest Trade Me Property Price Index.
Thirteen of New Zealand's fifteen regions hit record average asking prices in the month of December with Wellington leading the increase in property prices.
Asking prices for properties in Wellington increased by an average of $64,000 in December, up a total of 12.8 per cent from the year prior, to $568,100.
Trade Me head of property Nigel Jeffries said the Wellington property market saw the biggest record increase, as did Otago, with the average asking price sitting at $525,300, up a solid 13.3 per cent from the same month a year before.
Demand for property across the country increased, with a spike of 18.5 per cent more listing views on the year before.
"Popular holiday hotspots Hawke's Bay, Nelson and Northland all had over 30 per cent more views on each property listing compared to December 2016 as Kiwis checked out the local listings ahead of their summer break," Jeffries said.
"On the whole, the New Zealand property market ended 2017 with a bang. Gisborne and the West Coast were the only regions that didn't reach record asking prices in December."
The average asking price in Southland grew by 13.5 per cent to $292,350, Otago rose 13.3 per cent to $525,300, Hawke's Bay jumped 12.8 per cent to $510,550 and Wanganui was up 12.2 per cent to $327,550.
In Auckland, the average asking price reached a new high in December - up 3.6 per cent to $941,850 - an annual increase of $33,000.
Jeffries said townhouses appeared to be particularly popular among listings.
Graphic / NZ Herald
"We're continuing to see strong buyer demand for property in Auckland with average views per listing up 10 per cent on December 2016. Townhouses in the city are particularly popular at the moment and reached a new record average asking price of $898,650 in December and an annual increase of 6.2 per cent," he said.
Graphic / NZ Herald
The average asking price for properties outside Auckland exceeded half-a-million dollars for the first time in December, up 5.9 per cent to $502,800.
Looking ahead, the easing of loan to value restrictions, plans to curb foreign buyers and Healthy Homes Guarantee Act was good news for first time buyers, he said.
"The loosening of credit rules should allow more first time buyers get a foot on the property ladder which will result in a small increase in demand."
