Auckland houses up $14,000 in 2 months

By ANNE GIBSON property reporter

Auckland's median house prices rose by $14,000 in just two months, according to figures from the Real Estate Institute.

The city's house prices were up $5000 between July and August, but rose a further $9000 between August and September, resulting in the largest rise this year.

That compares with an unchanged national median price of $185,000 between August and September.

Auckland's median house price - the figure in the middle of all the houses bought and sold in any one month - was $259,000 in July and $264,000 in August but $273,000 in September.

In issuing the data, the institute worried about the shortage of houses for sale: "Spring through to Christmas is the peak selling time for housing, but the current shortage of listings reported across the board in all regions would normally be expected to improve in spring," it said in a preamble to its publication Housing Facts.

Factors fuelling the Auckland price rises include the thriving economy, high employment, migration, confidence surrounding the America's Cup and the continuation of stable and relatively low mortgage interest rates.

Blue-ribbon eastern suburbs - Remuera, Glendowie, Kohimarama, St Heliers, Orakei, Parnell and Mission Bay - remain in the most expensive bracket.

Devonport - taking in Bayswater, Belmont, Cheltenham and Stanley Bay - has also stayed at the top of the chart.



The institute figures are supplied by all licensed real estate agents, whereas Barfoot & Thompson sells many exclusive properties, which means its figures are lower and more stable from month to month.

Barfoot director Peter Thompson said this week that average Auckland house prices were up from $340,329 in September to $355,927 in October, a $15,598 rise.

But Mr Thompson is a little concerned about the city riding the housing rocket.

"While it's pleasing to see this level of activity in the market, it's hard to see this trend continuing long," he said.

One out of every three houses sold by Barfoot & Thompson's 53 offices goes for more than $500,000.

"Good-quality listings remain difficult to secure," Mr Thompson said, adding that the offices had sold 1245 residential properties in October, 60 per cent more than October last year.

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