An Auckland lifestyle block fetched a premium price at auction last week, as new figures from the Real Estate Institute of New Zealand showed unease in the wider lifestyle property market.
The five-bedroom luxury home on an 1800sqm section on nearby Marae Road, in Greenhithe, attracted solid pre-auction offer and sold for well above its CV.
Listed with Barfoot and Thompson agent Hans King, the lifestyle block sold for $3.08m after pre-auction offer of same amount. OneRoof records show the property had a CV of $1.575m and last sold 11 months ago for $2.33m.
The sale is a positive result for the market which has suffered from the Covid-19 lockdown, a drop in listings and uncertainty over interest rates.
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While the median price for all lifestyle properties sold nationwide in the three months to September 2021 was, at $950,000, up 25.8% on the same period last year, the number of sales fell sharply.
REINZ data shows that there were 39.3% fewer lifestyle property sales in the three months to the end of September 2021 than the three months to the end of September 2020.
Brian Peacocke, REINZ rural spokesman, said the drop reflected volatility in the lifestyle property market.
The Greenhithe lifestyle block had stunning views and a CV of $1.575m. Photo / Supplied
“Why the drop? Perhaps partly because of the Covid-19 pandemic, partly because of the shortage of stock, and possibly partly because of anticipation of interest rates and debt reduction requirements from the banking sector being likely to increase in the foreseeable future."
Peacoke noted that Auckland sales volumes for September dropped around 70% on September 2020, whilst the median sale price for the month was, at $1.3m, down 23.5% on the previous month.
Thirteen regions enjoyed a 12-month bump in the median sale price, with the biggest increase in Gisborne/Hawke's Bay (+73.9%) and Wellington (+59.4%) and the smallest increases in Canterbury (+6.8%) and Northland (+13.8%).
