New Zealand's housing market was the second best performer after China in the Global Property Guide’s latest survey, with the average price of a house in the country increasing by 10.43% during the year to Q2 2016, sharply up from a y-o-y increase of 5.19% during the same period last year. New Zealand prices rose by 0.58% quarter-on-quarter during Q2 2016.
Total dwellings sold were 7,299 units in July 2016, down by 10% from a year earlier, according to the Real Estate Institute of New Zealand (REINZ). Sales volumes declined in most of New Zealand's ten regions, with Auckland registering the biggest y-o-y drop of 20.3% in July 2016, followed by Waikato/BOP (14.4%). The decline in sales can be mainly attributed to a shortage of housing inventory, with a 33% y-o-y decline in properties available for sale in July 2016 (six regions had housing inventory declines of over 40%).
New dwelling consents rose by 13.1% to 16,833 units in the first seven months of 2016 from the same period last year, according to Statistics New Zealand. Consents for new houses, which increased by almost 17% over the same period, accounted for 72% of all dwelling consents.