House prices fall but signs point to 'slight' recovery

National property values have dipped again this month - but the slide may be bottoming out, according to figures from Quotable Value.

Last month's statistics show a 6.8 per cent decline in national values compared with the same time last year. That decrease is the same as reported in October. The average sale price dropped from $379,290 to $375,408.

But it is the first time since August last year that the annual change in property values has not dropped further than in the previous month.

QV spokesman Blue Hancock said it was too soon to say the market was recovering, but the change was positive and "we may be seeing signs of a slight spring recovery".

The economic climate - with interest rates falling at the same time as banks tightened lending criteria - would have a major impact on whether the market would pick up. But the silly season would also be an indicator.

To read the full NZ Herald article click here

Posted: 8 Dec 2008

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