Harcourts’ March real estate figures released this morning reveal that the average house price in Auckland and North is now $697,454. This figure is 9 per cent higher than February’s figures showing the large returns available to those who can afford to invest in Auckland’s residential property market.
Even though the market is becoming increasingly unachievable for first-home buyers, Harcourts chief executive Hayden Duncan says the overall demand for housing has not dropped, pushing the prices higher.
Duncan says that the only way to slow down these skyrocketing prices is to meet the demand by building more houses. While more construction is planned, it is a long way off the mass construction needed to ease the significant demand. He expects prices to climb further.
The increasing prices of buildings does not necessarily mean that the buildings are of a higher quality. So buyer beware!