Auckland housing becomes slightly more affordable as the regions rise

Auckland has a long way to go before its housing affordability rates are near the rest of the country, but it is going in the right direction , a new report found.

Auckland was one of the seven regions where the lowest prices were recorded, and one of five where affordability improved, up 2.6 percent over the last two years. last three months.

But it remains one of the least affordable areas in New Zealand. with data from the most recent home accessibility index of Massey University, Auckland was 43% less affordable than the rest of the country

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The index ranks cities in terms of affordability of their homes price levels and valuations.

Associate Professor of the Report, Graham Squires, said that improving affordability in high value regions could be attributable to saturation in these regions.

The report also suggests that high-value regions may become more affordable.

"Apart from traditionally overheated markets like Auckland and Queenstown, areas with lower relative values ​​like Manawatu could improve, as investors seek homes in areas that could bring in more capital."

The median price of homes has risen by $ 29,250 in the last 12 months, down 1.1% over the past year, prices in outlying regions of the United States have been rising. Auckland being considered a key factor. 5.4% The price of real estate compared to the income went from 8.5 to 9.1 times the annual wages.

Some of the largest price increases have been observed in the surrounding areas of Auckland. Northland's affordability has hardly changed, rising only 0.3%, but the region has seen the largest increase in median home prices in the country, up $ 27,000. in the last three months.

In Wellington, the median price of homes increased by $ 25,000. The median price of Otago homes increased by $ 24,125 and that of the Manawatu / Whanganui area by $ 21,000.

The largest decline in affordability was noted in Manawatū / Whanganui, with a 10.6% decline in the last three months.

Otago experienced the largest drop in accessibility, down 8.9% in the last quarter.

Annual affordability decreased by 6% and 4% respectively.

According to the "absolute index of homeownership" of the study, Southland was ranked as the most affordable place in the country where to live. He was followed by Taranaki, Manawatu / Whanganui, Otago and Hawke's Bay.

Only housing in Central Otago Lakes was considered less affordable than Auckland. Even though it is the least affordable place in the country, the Central Otago Lake District experienced the largest drop in median house prices, down $ 67,000.

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