Last updated 18:21, November 2 2017
Demand for houses in New Plymouth has increased in the past year.
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“Listings have definitely increased in the past two months, and we are getting a multi-offers through a wide price range,” he said.
Sale numbers in the plus $800,000 market had been positive since April which was “unexpected”, he said.
Hull did not expect New Plymouth to suffer price decrease as Auckland was experiencing.
“New Plymouth is still considered an affordable market for home buyers compared to other areas in the country.”
The market was buoyant 2-3 years ago due to first home buyers using Kiwisaver, he said.
The market had now plateaued, but traditionally listings pick up in the Christmas New Year period.
People transferring for work, such as teachers, often were looking for a house during those times, he said.
The next level up to buy in Auckland had proved to be a bigger savings hurdle than many expected, he said.
“It’s become too difficult and people are now deciding to renovate their homes instead of moving to the next level.”
Hull said a “Taranaki house market” did not exist.
A better guide was to break down house prices separately in each area, such as New Plymouth, Bell Block and outlying towns.
High demand for houses, and low listings, may be down to seasonal variations with many would-be vendors holding off putting their houses on the market until spring, Real Estate Institute of New Zealand Taranaki ambassador Gary Malcolm said.
Historically the housing market lifted from spring onwards as many vendors waited for warmer weather to best present their house for sale, he said.
The recent election also did not feature as a reason for low sales, he said.
“When there are shortages, people wanting to move to the next level of price, will be hesitant on selling their own home because they are not sure what is available to buy,” he said.
“We’ve had a very wet winter, people are reluctant to put their house on the market until the weather improved, and that always produces some uncertainty of buying into the next level.”
Realestate.co.nz figures showed the average asking price for houses in Taranaki was $403,350, an increase of 5.1 per cent in the past 30 days.
The largest monthly increase was felt in Central North Island, up 10.8 per cent, and Gisborne, up 9.3 per cent.
Malcolm said tighter lending restrictions were still limiting first home buyers being able to secure their property.
On average houses were selling between 27-40 days in New Plymouth and Bell Block, he said.
“We are seeing a lot more multi-offers on houses, and agents listing with ‘no price’ label, and also more conditional offers.
“Normally a vendor will take the offer with the least number of conditions.”
Realestate.co.nz showed there was a 2.6 per cent decrease in listings in Taranaki in the past year.
“Historically listings increase over the summer,” Malcolm said.
Malcolm said local buyers were still the majority for house sales in Taranaki.
He did not believe the proposal to ban foreign ownership would make a big impact on Taranaki house prices.
– Taranaki Daily News