EXECUTIVE SUMMARY: QUEENSTOWN’S REAL ESTATE SALES-Calendar Year 2016


REINZ Commentary—-“Sales volume for the Central Otago Lakes Region rose by 11% compared to September 2015, with sales up 26% in Queenstown but flat in Central. Compared to August 2016, sales volume rose 7%, with sales rising 26% in Central but falling 9% in Queenstown. On a seasonally adjusted basis sales rose by 3% in September.

The median price across the region rose $202,000 (+41%) compared to September 2015, with prices rising 43% in Central and 21% in Queenstown.

The number of days to sell improved by one day compared to August, from 34 days in August to 33 days in September. Compared to September 2015 the number of days to sell improved by 10 days. Over the past 10 years the average number of days to sell in September across the region has been 58 days. The level of inventory now stands at 16 weeks, a drop of 47% over the past year.

REINZ Regional Director Gail Hudson commented that, “Investors have withdrawn from the market in part, along with buyers at the lower end of the market with the introduction of the new LVR restrictions. Despite this, the market remains active albeit not as strong as it has been in recent months.”

Informative updates are fundamental to be first to know when the time is right to make your move whether it be buying or selling. Adhering to REINZ policy I am not at liberty to comment on the market data so I’ll just let my ‘desktop analyses’ of the sales numbers do the talking.

Queenstown Area Sales by Property Type

Report Period: January- September 2016 comparing 2015

□ Report compares aggregated sales for the calendar year 2016 v 2015

□ REINZ reported sales. Private / Developer direct sales not included.

Property Type Jan- Sept 2016 Jan– Sept 2015 Variance +/-
Residential Dwellings (RD) 404 sales  316 sales  +27.8%
RD Median Sell Price $921,000 $740,000 +24.4%
Apartments (A) 81 sales  92 sales -11.9%
A Median Sell Price  $500,000 $426,750 +17.1%
Units (U) 83 sales  91 sales -8.7%
U Median Sell Price $600,000 $470,000 +27.6%
Townhouses (TH) 44 sales  31 sales +41.9%
TH Median Sell Price  $650,000 $585,000 +11.1%
Residential Sections (RS) 321 sales  186 sales +72.5%
RS Median Sell Price  $330,000 $260,000 +26.9%
Rural (R) 64 sales  48 sales +33.3%
R Median Sell Price $1,225,000 $870,000 +40.8%
Total Sales Numbers 995 sales  764 sales +30.2%
Value of Sales $ $852,521,575 $533,929,571 +59.6%

January – September 2016 comparing same period Year-to-date 2015:

  • 2016 YTD median sell price residential dwellings all types (home, unit, apartment, townhouse)              $835,000. Sales above $1.0m represented 31.3% of all sales.
  • 2015 YTD median sell price residential dwellings all types (home, unit, apartment, townhouse)                     $645,000. Sales above $1.0m represented 16.0% of all sales.

 REINZ Reported sales by price of Queenstown Residential Homes

January- September 2016 comparing same period Year-to-date 2015

Price Band % of Total Sales 2016 % of Total Sales 2015
<$350,000   0.2%    4.8%
  $351,000 – $450,000   2.2%   2.6 %
  $451,000 – $650,000   5.4% 26.3%
  $651,000 – $999,000 49.8% 43.6 %
  $1.0m – $1.999m 34.7% 19.9%
  $2.0m plus    7.7%    3.1%

REINZ Reported sales by price covering all property types —

(Homes, Units, Apartments and Townhouses).

January- September 2016 comparing same period Year-to-date 2015

Price Band % of Total Sales 2016 % of Total Sales 2015
<$350,000   5.2% 10.7%
  $351,000 – $450,000   4.4% 11.5%
  $451,000 – $650,000 17.1% 29.3%
  $651,000 – $999,000 42.0% 32.4%
  $1.0m –      $1.999m 25.9% 13.7%
  $2.0m plus   5.4%   2.4%

Lot-4010 Jack's Point Rise. For Sale!

REINZ Reported sales by price of Residential Sections.

January- September 2016 comparing same period Year-to-date 2015

Price Band % of Total Sales 2016 % of Total Sales 2015
<$199,000   0.6% 23.2%
  $200,000 – $299,000 42.0% 38.2%
  $300,000 – $499,000 34.6% 19.4%
  $500,000 – $749,000 10.0%   8.0%
  $750,000 – $999,000    6.8%   8.0%
  $1.0m – $2.0m    6.0%   3.2%

Data Source: REINZ. Private & Developer direct sales data not included.

Disclaimer:  While every effort has been made to ensure the information contained herewith is true, no responsibility will be taken for errors or omissions. You should seek your own independent advice from your legal, taxation and financial consultant prior to purchase.

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