Property values up but sales remain low

The latest QV report reveals that while average house values rose over the year, "sales numbers in 2011 were more than 20% below the long term average."

While sales volumes were above 2008 and 2010, those were the lowest levels since the early 1980s so aside from those two years, 2011 saw the lowest sales volumes for 20 years.

The report also notes that despite the nationwide rise in values led by Auckland and Christchurch, "the year ended with the first signs that this apparently nationwide recovery may be faltering."

QV said that national values increased from November to December in Auckland, Wellington, Christchurch and Dunedin. However, values flattened in Hamilton and Tauranga and dropped in several provincial towns that had previously been recovering, notably Rotorua and Gisborne.