Desperate homeowners are being driven to new lengths to sell properties amid a market slump.
An upmarket property in Sandspit, north of Auckland, with sweeping harbour views and a registered valuation of more than $1 million will go under the hammer this month in a rare "reverse auction".
Auctioneer Ben Kloppers, from real estate agent Harveys in Warkworth, will drop the price in $5000 increments until the first bidder puts up a hand _ and wins the auction.
An advertisement for the unusual auction reads: "This is an absolute statement of intent to sell."
It is one of a range of eyebrow-raising tactics _ including the offer of holidays or a car with the purchase _ being used to lure buyers.
"The market is just really depressed," said Dave Eriksen, who has lived for about 18 months at the Sandspit property he developed with partner Lorene Ross.
"It is very frustrating, but it's not really anyone's fault that it's frustrating, it's just the market."
The three-bedroom home, with self-contained flat, has been on the market for four months.
It was passed in at $950,000 at auction in May.
"If we knew the market was going to keep diving, we probably would have looked seriously at it," said Mr Eriksen.
"It is frustrating because it is a nice place ... My brother calls it `the house in the sky'."
Mr Eriksen, an earthmoving contractor, said he and Ms Ross were selling to downsize despite the tough conditions and were hoping to snare a bargain themselves when buying their next property.
"I'm getting older," said the 54-year-old. "I'm getting sick of paying a mortgage and I just want to get to the stage when I haven't got a mortgage and get more out of life."
Mr Kloppers said the vendor could withdraw the property if the price was too low.
The auction comes amid a slump in the property market.
A survey released this month by real estate company First National New Zealand suggested more homeowners were choosing to rent their properties than sell at a low price.
