Polls blamed for quiet market

Home buyers and sellers are holding off until the results of the election. Photo / Ben Fraser

Homeowners appear to be holding off selling or buying until the results of this month's election are out.

But even in the stalled market, Rotorua houses are still attracting good prices with the median price nearing $250,000.

Latest Real Estate Institute of New Zealand (Reinz) figures show the median Rotorua house price in August rose $18,500 year-on-year to $248,000.

Local property sales were steady with 70 in August last year compared to 71 in August this year.

Ray White Rotorua owner Anita Martelli said the local market was beginning to move.

"There are more multiple offers happening, and that's a good indication to us that there are more buyers looking for property."

The median number of days to sell was also at its lowest so far this year at 40, she said.

The number of houses sold nationally in August fell 16.3 per cent compared with the same time last year to 5481, which was down 7 per cent from June.

August's national median price of $420,000 was up $30,000 on the previous August, and $4000 higher than in July.

Reinz chief executive Helen O'Sullivan said the national real estate market appeared to be "idling" as buyers and sellers awaited the outcome of the election.

"Sales volumes are 7 per cent down from July 2014, and are 16.3 per cent down on 2013 levels. The upcoming election is not the only factor however, as this is the 10th consecutive month of sales volumes being below the prior year's levels," Ms O'Sullivan said.

Davys Burton legal executive Wendy Ardern is part of an industry group that first met in July to discuss ways of reaching more first home buyers.

She said since that meeting she had received emails from about 10 potential buyers, who had previously thought they would not be able to buy.

The group met again last week, and were considering holding seminars in the new year.

• For more information email Mrs Ardern on homebuyersrotorua@gmail.com.