PHOTO: Economist Tony Alexander said some of the feedback from real estate agents was first-home buyers were tired of looking at open homes and wanted a break. Photo credit: Getty/Supplied.
Real estate agents are seeing a drop in attendance at open homes and auctions, indicating either demand for property is cooling – or buyers just need a break.
A REINZ and Tony Alexander survey of over 369 nationwide real estate agents during early December shows that for the first time since July, there was a fall in attendance at both.
The biggest monthly change was attendance at open homes, where a net 38 percent of agents reported seeing more people, down from a net 59 percent in November. The drop was most noticeable in Auckland, where less than a quarter of real estate agents (a net 17 percent) said more people were attending open homes.
There was also a slight drop-off in people going to auctions – a net 42 percent of real estate agents reported more people attending auctions, down from a net 47 percent last month. Overall, there was less interest from first home buyers, with around half the real estate agents surveyed seeing more activity – the lowest since May.
The report said as surging house prices and unaffordability were a concern, and loan-to-value (LVR) restrictions will be brought back to reduce higher-risk lending, the slight decline in buyer interest is encouraging.
Economist Tony Alexander said anecdotal feedback from real estate agents showed first-home buyers were taking a break.
READ MORE VIA NEWSHUB
