Dunedin Property Report – April 2018 (March data)
There were 241 sales in March, 18 fewer than last year. The median sale price for the month was $375,000, and prices are strong across the market from small flats to spacious new homes. We are starting to see a seasonal slowing in listing numbers but properties that are well presented and where the owner has a realistic expectation are still often generating multiple offers and great prices in a short marketing period. Days on the market is down from 34 in February to just 25.
We are seeing a shortage of rental properties, particularly in the range between $250 and $350 a week. Investors who have been biding their time, waiting for the market to cool have now started to show interest again as they see opportunities in the market with fewer investors to compete with.
In March, the government extended the bright-line test from two to five years. In short, this requires income tax to be paid on gains from the sale of any property classed as residential that is bought or sold within the specified timeframe, unless an exemption applies. There are exemptions for the family home and other specific situations but we recommend people take advice before selling any property to clarify their tax position. We are watching closely to see what impact this change has on the market.
Joe Nidd AREINZ
Liz Nidd FREINZ