Jill’s Market Comment

The latest *REINZ Median Sale Price sales statistics report for the Kapiti Coast region (sales recorded from Paekakariki to Otaki), released in September for the month of August 2022 when compared to the market conditions recorded from this time last year, clearly illustrate the dramatic “roller coaster” changes (as in most of NZ) of the past 12 months to the Median selling prices, number of sales and length of time to sell - the current market condition Medians for our region. The Median sale price for August 2022 fell to lowest recorded for the past 12 months to $815,000, just below that of the previous low of August last year at $819,000. Compared with just a few months ago when April’s Median sale price was $950,000, August’s $815,000 represents a fall of 14.21%.

The Median days to sell a property has more than doubled: 75 days for August 2022 compared with 30 days to sell the same time last year: that’s a 150% increase in the selling time. There’s a drop of 21.43% in the Median number of sales for the Kapiti Coast, 55 sales in August this year, compared with 70 sales in August last year.

The increase length of time to sell and the number of properties currently listed for sale, a market with limited numbers of purchasers able to purchase without selling before they can buy, bank imposed reduced borrowing levels and the increase in lending rates continue to pressure sale prices - flipping the housing market firmly in favour of the buyers. If you are actively on the market to sell or looking to buy on the Kapiti Coast, this market update will not come as a major surprise!

REINZ statistics are calculated a month behind real time market conditions which have been changing almost weekly. If you are thinking of selling, it has never been more important to ensure your agent has excellent negotiation skills, that their recommended selling price range accurately reflects the current market conditions, and your chosen Agency has a strong “time served team” to sell your house.