New statistics show first-home buyers in Auckland are coughing up a median price of $699,000 to get their feet on the property ladder.
One in four houses sold in New Zealand in August were bought by a first-time buyer, a trend that's been increasing since 2014.
- Real estate company advised renting out leaky homes
- Landlords should be banned from renting out bad homes - Greens
- 'It's a very bad outlook': Half of those turning 65 in 2040 will have to rent
Sales data from 2017 released by analysts CoreLogic to NZME shows getting your hands on a first home will cost Aucklanders a median of $740,000 for a three-bedroom home, $642,000 for a two-bedroom home and $515,000 for a one-bedroom place.
But they're still shelling out more than they could get under the KiwiBuild programme. The Government has set maximum price caps of $500,000 to $650,000 for similar sized KiwiBuild houses in Auckland.
It's still far above what Deputy Prime Minister Winston Peters wants. In June he said he wanted to get house prices to no more than five times the living wage - around $213,000. At the time, the median price of a house nationwide was $550,000, and in Auckland it was $870,000.
While houses prices are unlikely to fall that far, there may be more hope on the horizon for buyers as the market shifts in their favour. Figures released by Realestate.co.nz on Monday show a surge in Auckland listings - up 31.9 percent.
Property commentator Olly Newland says it isn't a good sign for sellers.
"I think some people are panicking the market is slipping a little bit, and they want to put it on the market," he says.
"With this influx of supply, vendors will have to be realistic about their pricing and ensuring that they are meeting the market and what buyers are willing to pay," says Realestate.co.nz spokeswoman Vanessa Taylor.
As it moves from a sellers' to a buyers' market, only the coming months will tell whether there's the demand to meet the supply.
Newshub.
