"We use a metric we call inventory, a measure of supply and demand that indicates how long it would take, in theory, for all the current properties on the market to be sold at the average rate of sales," he said.
"In September, inventory nationally dropped to its lowest level since we've started keeping records."
The data found there was only 16.3 weeks of inventory, compared to the long-term average of 35 weeks. Our biggest cities were particularly affected by this trend.
"In our main centres, the situation is even more extreme. In Auckland, the inventory is only 9.6 weeks and in Wellington 11.1 weeks," he said.
Current inventory levels across all regions of New Zealand were also below their respective long-term regional averages.
While there were more new listings overall, these properties did not stay on the market for long, hence the low inventory levels.
"The simple truth is that these properties are now spending less time in the market, suggesting that market pressures will remain high while the current rate of turnover continues."
Low inventory was usually associated with a sellers' market and higher asking prices, Mr Skipper said.
Further data revealed that while the average asking price in many regions had dropped since August, long term trends show a strong increase in asking price - with six regions in the country achieving their highest average asking price in September.
NZME eo ml
