Confidence & competition drive market success
Sam Steele Head Auctioneer , Ray White New Zealand
The Reserve Bank of New Zealand ’ s ( RBNZ ) recent Official Cash Rate ( OCR ) decision , coupled with raising public confidence and easing inventory levels , has set the stage for a period of robust activity in Ray White ’ s auction market .
July saw a significant surge in auction volumes , building on momentum of positive outcomes in previous months .
Property owners capitalised on the winter market ’ s unique opportunities , leveraging the transparency and competitive edge of the auction process .
In July , Ray White scheduled 576 auctions nationwide , marking a 15.20 per cent increase from the previous year . The clearance rate stood at 47.80 per cent , reflecting both the higher stock levels and the broader range of choices available to buyers .
An average of 2.40 registered bidders per auction represented a notable rise from June ’ s 1.80 , and auctions with three or more bidders saw success rates soar to more than 74.40 per cent – despite a challenging financial environment .
The auction method gained significant traction in July , accounting for nearly one-third of all listings nationwide , with a 28.30 per cent share of new properties . Auctions also consistently outperformed other sales methods , with an average time on the market of just 36 days compared to 54 for private treaty sales .
This , again , reflects the value of choosing the right sales strategy to suit today ’ s dynamic market .
Our sales teams have observed improved sentiment among cautious yet engaged buyers , bolstered by fresh inventory and the recent OCR cut . The transparent , competitive nature of auctions continues to deliver strong results , reinforcing consumer confidence .
As we enter traditional seasonal market patterns , Ray White New Zealand remains a strong advocate for auctions as the preferred sales method , driving engagement and success for buyers and sellers .
BIDDING BY MONTH This chart illustrates the number of registered bidders and active bidders per auction for July 2024 .
Source : Ray White Online Analytics 19