CoreLogic's latest property market report highlights the weakness in the City of Sails and most other major markets.

Market activity is set to remain subdued at least through the winter, the report says, and the share of buyers arranging mortgages for Auckland homes is also subdued.

That’s because demand among first-home buyers and movers has dropped and investors in multiple properties, while rising, has a larger share of cash buyers (30%) according to CoreLogic’s analysis.

Price appreciation is at the lowest level since September 2012 at 7.2% for the past year. In central parts of the city, the rate is 6-7% and CoreLogic says there are signs that southern parts of Auckland are moderating and set to continue that way for at least several months yet.

Housing consents of 10,000 have not been realised, the report shows, with just 6,000 extra homes added to the city’s inventory.

Elsewhere, Hamilton’s buyer demand is well below that of 2016 but may have bottomed out, the report says. Values are essentially flat as 2017 gains have only offset losses at the end of 2016.

Tauranga has seen a drop in demand since the surge earlier in the year but prices are rising. However, the 15% increase, while high, is lower than in recent years.

Prospective sellers in Wellington are in for a quiet winter, especially when compared to last winter. The report points to a large drop in demand although first home buyers are still a significant force in the market. Price growth of 2.4% is well below that of the past 2 years.

Christchurch has seen multiple property owners pull back amid tighter lending restrictions from the Reserve Bank. Sales are subdued overall and price growth has stalled.

The full report is available from CoreLogic.

Source: nzadviseronline.co.nz