Grass not always greener

There were 514 fewer lifestyle property sales ( down 23 per cent) for the three months ended September 2017 than for the same period last year, according to the Real Estate Institute. All up there were 1716 lifestyle property sales. The value of lifestyle properties sold was $ 6.28 billion for the year to September, and the median price was $ 595,000 — that’s $ 65,000 higher than last year.

Brian Peacocke, rural spokesman at the institute says sales data for the three- month period endorses the trend that there is a general easing in sales across the country. This is in line with the residential sector.

“As is always the case, some regions are displaying greater resilience than others, particularly Auckland, Waikato, Taranaki, Manawatu/ Whanganui and Otago, where volumes have been maintained or increased. All other areas have experienced decreases.”

Peacock says quality listings are in short supply and that the outcome of the general election will impact on the market, particularly as that relates to job security and the implications surrounding changes in the taxation rules and regulations, if any.

“The impact of the various restrictions in the residential market is having a flow- on effect, albeit subtle, on the lifestyle market, but in spite of such influences, the median sale price of $ 595,000 is still distinctly higher than the level of 12 months ago,” says Peacock.

Most regions saw the median price of lifestyle blocks increase between the three months ending September 2016 and the three months ending September 2017. The most notable were in Hawke’s Bay (+ 42 per cent), Northland (+ 28 per cent) and Wellington (+ 22 per cent). At the other end was Taranaki, where the median price fell 18 per cent.

The median number of days to sell for lifestyle properties improved by three days in the three months to September 2017 compared to the same time in 2016 to sit at 65 days.