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House prices have surged ahead again with the national median rising to a record $330,000, up $6000 in a month.
Prices in Auckland and Wellington were particularly strong, according to the Real Estate Institute's data released yesterday. It said the two cities were barometers for the rest of the country.
Auckland prices were up $10,000, from $415,000 in October to $425,000.
Wellington's rise was an even more spectacular $15,000, from $355,000 to $370,000.
The national median price in October was $324,000. Sales volumes were strong, rising from 8857 in October to 9990 last month.
Institute president Murray Cleland said winter was slow and prices subdued but the past two months demonstrated buyers' confidence had returned.
Shamubeel Eaqub, economist at Goldman Sachs JBWere, said the buoyant housing market would add to the Reserve Bank's discomfort.
"The bank has been voluble in arguing the need for house prices to rebalance closer to historical norms," he said.
"The bank will be increasingly cautious of the rebound in the property market. "
The institute said on average it takes 29 days to sell a house, unchanged from October. The national median price had risen faster than interest rates in the past year, averaging 10 per cent.
Prices rose fastest in Taranaki, up 29 per cent, followed by Nelson/Marlborough and Southland up 20 per cent, Wellington up 17 per cent and Northland up 12 per cent.
