Along with the RBNZ announcing a whopping 50 basis point rate cut, Ray White New Zealand saw 126 properties scheduled to go under the hammer last week, recording a clearance rate of 49 per cent.
Buyers were out in force with an average of 2.9 registered bidders, and 1.9 active bidders per auction.
Properties which sold under the hammer last week received premiums an average of 17.2 per cent higher than the highest offer prior to auction.
“The OCR’s recent announcements have had an immediate impact on the broader marketplace, sparking fiercely competitive auctions across the nation, as buyers raced to seize fleeting opportunities,” Ray White New Zealand head auctioneer Sam Steele said.
“This surge in activity resulted in a 49 per cent success rate among 126 scheduled auctions. The national average of 2.9 registered bidders per auction marked a striking increase from July, potentially signalling the close of this market cycle.
“Auctions with four or more registered bidders saw success rates exceed 85 per cent, underscoring vendors’ sustained confidence in the auction process, which consistently outperforms other sales methods.
“Auctions averaged just 26.5 days on the market, in contrast to 40 days for private treaty transactions.
“Nearly half of all properties listed by Ray White last week were auctioned, accounting for 36.8 per cent of the total nationwide stock. Notably, 38 offices across the country auctioned over 50 per cent of their listed properties.
“Nationwide, key auction metrics continue to rise, fueling optimism for an anticipated increase in stock and renewed buyer interest in the coming weeks.”
The top auction for the week went to Ray White Grey Lynn agent Elaine Ferguson who sold 26 Sarsfield Street, Herne Bay, Auckland City, under the hammer for $3.092 million. The auction recorded five registered bidders and two active bidders.
“The sellers had lived there for about 19 years and were downsizing,” Ms Ferguson said.
“Of the five registered bidders we had two downsizers from Remuera and three upsizers who were local couples looking for something bigger.
“The winning bid went to a couple of downsizers who were looking to move into the area after their kids left home.”
Two auctions recorded the highest number of registered bidders last week, with Ray White Manukau’s Kartik Ohari recording 14 registered and 13 active bidders for his 67 Cargill Street, Papakura, auction, and Ray White Manurewa’s Daemon van Riele recording 14 registered and eight active bidders at his 2/12 Templeton Place, Clendon Park, Manukau City auction.
Mr Ohari’s auction sold under the hammer for $840,000 while Mr van Riele’s auction sold for $505,000.
Mr Ohari said there was a lot of interest from traders who were already in the auction room on Tuesday.
“The majority of bidders were traders, but we had one investor and one home buyer, and the investor landed the winning bid,” he said.
“Interest was due to the fact it had a legally consented two-bedroom sleepout at the back. The house itself was also in a neat condition.
“We had really realistic vendors who were open to meeting the market, which is why we achieved over reserve on auction day.
“They had lived at the property for seven years but decided they wanted to move further south for their daughters’ schooling.”
Media contacts:
Sam Steele
Head Auctioneer
Ray White New Zealand
+64 27 864 3254
ssteele@raywhite.com
Cassandra Glover
Senior Media Advisor
Ray White Group
+61 447 000 472
cglover@raywhite.com