Auckland property sales race ahead as prices stall

While Auckland house sales activity was at its highest in more than 15 years during July, price increases stalled, according to agents Barfoot & Thompson.

The average sales price in July 2015 remained at $827,359, within $1,000 of the figure recorded in June and only $5,000 ahead of the figure recorded in May.

"A stable average price over a three month period is a trend we have not witnessed for some time," comments  Peter Thompson, Managing Director of the firm.

"The combination of high turnover and stable price, points to buyer confidence in the strength of the market at current prices but also recognition that property is fully priced. The last three months of trading also demonstrates that high sales numbers can be sustained without prices increasing."

"The first signs that price increases were slowing could be seen in last month's sales figures, and this month's results confirm that prices are no longer racing ahead," he adds.

Indeed, the median price in July at $757,000 is down $29,000 on that for June.

What does continues, though, is property turnover.

"In July we sold 1388 homes, 18.9 percent higher than the number in June and 41.2 percent higher than in July last year," continues Thompson. "It is the highest sales figure for a July going back to 1999, and 4.5 percent higher than in July 2003, the year normally regarded as the most active on record."