The average house price in New Zealand rose slightly from $350,000 to $352,000 between October and November 2007. This is a new record high for the market.

In the wake of newspaper reports of a weakening housing market REINZ National President Mr. Murray Cleland commented:

“Our figures are as of 5.00 PM on November 30 and therefore the most comprehensive and up to date figures available and they show the market has rallied yet again, underwritten by buying demand and the cost of new housing.”

Mr Cleland said that other statistics released earlier this week were based on property settlements rather than on the Real Estate Institute’s unconditional sales figures, and were therefore by definition four to six weeks out of date. They reflected sales in September and October which saw the market in a relatively quiet period, he said.

Despite the new high, the market is showing few other signs of strength:

• House prices are 7 percent higher than a year ago, when New Zealand’s median house price was $330,000.
• Sales of properties fell from 9,900 in November 2006 to 7,837 in November 2007. This was the lowest number of sales in November for seven years.
• The average number of days to sell a house was 36, compared with 29 in November 2006.

Compared with prices in October, six out of New Zealand’s twelve regions reported price rises in November, five reported falls and there was no change in one.

Annual NZ House Price Changes