Hamilton’s median house price achieved another strong median during May at $542,000. This is down from a record median of $560,000 for the month of April and compares to $520,000 in May 2017.
Lodge Real Estate’s managing director Jeremy O’Rourke says the dramatic decrease in the number of homes listed for sale in the city is keeping upward pressure on house prices in the city.
“Three hundred and six (306) homes were sold in Hamilton during May, however that stock was not replenished at the same rate through new listings. At this level of demand, a market in equilibrium – meaning not favouring either buyers or sellers - would have around three months of stock available for sale, which is around 900 homes.
“However, at the start of June there were only 716 homes listed for sale. And this is a dramatic decrease when compared to the past few months. For instance, at the start of March there were 792 homes available for sale in Hamilton. While at the start of April there were 793 and at start of May there were 783.
“When considering the balance between the demand for Hamilton homes versus supply, this is quite a significant disparity, favouring sellers. The market usually experiences a drop in listing every winter, but normally not to this extent,” explains O’Rourke.
O’Rourke said if demand continues to outstrip supply, Hamilton city could see its median house price break through the $600,000 barrier.
“While predicting a record median isn’t an exact science, it’s looking probable that the city will experience a median near the $600,000 mark within the next six months,” says O’Rourke.
Total value of home sales within Hamilton city during May was $183,427,682 - up from $144,225,550 during April. The median listing price during the month was $524,000 compared to the median sale price of $542,000. The median government value of homes sold in Hamilton during the month of May was $405,000. The median number of days it took to sell a home in Hamilton during May was 35 days.
For the latest REINZ market data for Hamilton, visit www.reinz.co.nz.