House prices now dropping rapidly as correction kicks in

In Auckland the drop in average values of $99,227 is almost double that of the rest of the country. The percentage drop is 6.4%.

Over the three months to June QV’s HPI shows the average value of all New Zealand homes is now sitting at $1,011,188, dropping 3.4%, while in Auckland the average value is now $ $1,441,941, falling 4.1% over the three month period.

These values still show 7.2% and 7% average annual growth respectively, but down on the 10.5% and 9.9% growth in May.

QV’s data shows Wellington and Napier had the biggest three-month value drops with falls of 6.6% and 5.4% respectively. Nelson and Hamilton, at 5.2% and 4.7% reduction in values respectively, are not far behind.