Property market slumps in December

Property prices and sales continued to drop away during December, as the traditional Christmas shut-down caused the market to slow, latest figures from the Real Estate Institute show.

The data shows house sales and prices fell during December, while the number of days to sell held steady at 39.

The REINZ Monthly Housing Price Index decreased by 0.6 per cent in December, from November, and was down 1.6 per cent on year-ago levels.

The volume of sales in December fell to 4397 from 5138 during November and 4957 during December 2009, but were up on August, September and October figures.

Meanwhile the national median price fell to $352,000 in December from $360,000 in November.

ASB economist Chris Tennent-Brown said the market remained frail, and continued to be tipped in favour of buyers.

"We continue to expect softness in prices over the months ahead, with prices remaining down on year-ago levels, and around 5 per cent off the 2007 peak."

To read the full NZ Herald article, click here

Posted: 17 Jan 2011

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