Housing market opens year on cautious note

Housing market opens year on cautious note

The housing market began 2005 quietly with prices rising nationally but falling in some areas.

Mr. Howard Morley, President of the Real Estate Institute of New Zealand (Inc), said the market indicators suggested caution on the part of both buyers and sellers.

   The national median selling price reached a new record of $265,000 in January, compared with the December median of $260,000.

   House sales fell to 7,078 compared with 8,404 in January 2004.

   Seven of the eleven regions showed modest price rises.

   Average days to sell lengthened to 38, compared with 32 in January 2004.

"What we have is evidence of a shortage of listings, coupled with vendors showing a degree of determination on price. January is always one of the quieter months and it will be another month or two before we see a trend for the rest of the year," Mr. Morley said.