Christchurch Real Estate: October 2023 Update
Jo Abel, Harcourts Christchurch/South Island Regional Manager, shares her latest view on the property market in Christchurch.
The Christchurch market carried on its steady form throughout October 2023. Days on market held constant at 29 days. A good sign of the continued demand from confidant buyers, which has lent itself to increasing Auction success with a notable number of brought forward sales and multi-offers, often prompting seller readiness.
This trend is likely to continue in the short to mid-term.Realestate.co.nz had a 7% increase in unique visits from buyers looking online from September to October. They also recorded the October number of new listings in the region as less than September, by 5.2%. The result is less to choose from for those ready to move once combined with October number of sales, up month on month – October 2023 achieving 553 residential sales, compared with 526 in September 2023. So far, the median price has remained level. There have been reports of increased investor interest and new mortgage applications since the election, further supporting a competitive residential market to close out 2023.
October marked a switch of Christchurch’s main buyer group. From the predominantly first home buyer driven purchases so far this year, to more property being acquired by those already in home ownership, who may have moved for a host of lifestyle reasons; bigger house, smaller yard or new school location but continue to call Christchurch home.
One area yet to catch up from the post-covid slowdown is the year-on-year number of new dwellings consented. In the year ended September 2023 Canterbury had 7,209 (down 17 percent). A large amount of land was made available for sections previously and is ready for these builds to occur. Some appear to be slowly moving back towards housing companies who, with more security, can get the finance and make the properties available to a wider audience upon completion. With no clear indications ofthe post-election meetings currently, some observers and would-be buyers continue to hold back. Which promises are National being tested on? Will it affect the statements made pre-election towards tax, interest deductibility and Brightline for the housing market. The wait continues.
Following a busy time in Christchurch where racing and fashion or perhaps long weekend gardening and getaways took the focus, the sprint to Christmas begins. Each year the holiday deadline causes a flurry of decisions and be-in-by-Christmas moves, until the market stops and turns its attention to an optimistic new year.
The Christchurch market looks set for more of the same into the new year. Buyers have become more obliging to work with current interest rates where finance is possible, the OCR held for a third time, with November suggested to be a forth and house prices don’t appear to have any great changes on the horizon. Through curiosity and confidence, the Christchurch market continues on its merry way as the celebration season builds its momentum for another year
REINZ FIGURES
Median $679,000 | Average $750,523
HARCOURTS FIGURES
Median $720,500 | Average $816,095
