Rotorua real estate agents gave a number of reasons for the slight downturn in sales, including the impact of new loan-to-value ratios (LVRs) of 40 per cent for property investors, the school holidays and local elections.
First National principal and REINZ Rotorua spokeswoman Ann Crossley said the latest figures confirmed her feeling about the month.
"We noted the removal of the investors from the market because of higher LVRs and the median has come down a bit due to a change in buyer activity.
"But, we still had good value growth.
"After listening to a presentation yesterday I was told the impact of the LVRs would last for about three months, which was what happened when they were introduced in the first place," she said.
"I still don't see any indicators we are slowing down, it's just a case of finding property to sell, as people can be reluctant to sell if they haven't got anywhere to go."
Mrs Crossley said Rotorua still suffered from a lack of new homes and subdivisions.
"The numbers [of properties] on the market have been maintained and they are not staying there very long, while listings have been pretty static for the last few months."
Professionals McDowell Real Estate Rotorua principal Steve Lovegrove said it was a "very interesting and fascinating time for real estate in Rotorua".
"What's happened has culminated in the net effect of what might look like a slow-down."
He said factors such as school holidays, wet spring weather, local government elections and the new LVRs had dampened down the market.
"I see the volume of sales of the last three months is declining and there are not so many high value properties selling and more low value houses selling."
He said it would be interesting to see what happened over the next few months and if people wanted to make a move before Christmas when "investors start to get re-established with equity in their portfolios and look to reinvest".
"But net migration is still high and interest rates are still low and I think we are going to see a pretty strong market going into Christmas and a good start to the new year.
"I feel confident prices and values will rise in Rotorua."
He said his company was getting increasing interest from buyers from outside Rotorua.
Two of those - Paul and Patricia Gellatly - thought they'd better get in quick before they missed their opportunity to buy in Rotorua.
The couple, who live in Taumarunui, have a son and daughter living in Rotorua and bought their Lynmore property in September at auction.
Mr Gellatly said they weren't out to make money and were planning on moving to Rotorua to be closer to family when they retired.
"Basically we bought to get a foot in on the ground.
"Rotorua's house prices are still in the process of going up 10 to 15 per cent, and in Taumarunui it's static."
He said his 1900sq m property with manicured gardens and 70ft trees in Taumarunui would be lucky to fetch $500,000, "but if it was in Auckland would be worth around $3 million".
"We thought we won't be able to get into Rotorua if we waited too long or we wouldn't be able to afford anything.
"We have always liked Lynmore, our son has been up there for five years, and we are very pleased with the property," he said.
Professionals McDowell Real Estate residential salesman Karl Hereford said the company had done well through auctions in recent times with 13 of its last 15 auctions being settled on the day.
This week the company sold two houses at auction worth more than $1m in total.
"We advise our vendors to try and not cave in to pre-auction offers and go all the way to the auction date because you can always make it conditional on what happens during the auction," Mr Hereford said.
Rotorua house sales
September 2016 median sale price: $300,000
September 2015 median sale price: $264,500
August 2016 median sale price: $325,000
September 2016 houses sold: 115
September 2015 houses sold: 128
August 2016 houses sold: 139
- REINZ
