Our take on the latest Real estate statistics (Fri 15 May 2020)
House sales fall 47%pa
House prices still going up
We expect house prices to fall in future
The key numbers...
- Effects of the Level 4 lockdown were felt in April, with house sales plummeting to their lowest level on record. There were only 1,305 house sales across the country, a fall of 79%pa.
- Unsurprisingly, sales in all regions fell sharply. The biggest contraction was in Southland, where sales fell 92%pa. The number of sales fell the least in Auckland, but was still down a whopping 69%pa.
- Many of the sales that were recorded in April would have been negotiated in March prior to Level 4 being implemented, meaning that the decline is unlikely to reflect the full effect of the lockdown.
- Surprisingly, despite the looming recession, house prices still rose in April, with the house price index surging 3.3% from March (seasonally adjusted).
- The strongest jump in house prices went hand in hand with the biggest drop in sales, as prices in Southland rose by 21%pa.
Number of houses sold
Annual % change, Real Estate Institute
...and our reaction
- The massive drop in house sales was to be expected, as the Level 4 and Level 3 restrictions massively limited the ability of the real estate industry to operate.
- Sales are likely to rebound in May and June as restrictions are lifted. However, we still expect real estate activity to settle below pre-COVID-19 levels, with the extreme economic uncertainty keeping many buyers out of the market.
- We are not reading anything into April’s increase in house prices, given the incredibly low volume of sales. The coming months are likely to paint a clearer picture of house price movements.
- We don’t expect significant downward pressure on house prices to come into play until the mortgage holiday scheme comes to an end in September and forces more homeowners under financial pressure to sell.
Latest updates
Premium
Real estate statistics
House sales and prices still falling
Thu 13 Aug 2026
Monthly
10%pa House sales in July 20260.4%pa House prices from a year earlier
9.3%pa Stock of homes for sale in July 2026Premium
Real estate statistics
Conflict continues to drag on housing market in June
Wed 15 Jul 2026
Monthly
8.8% House sales between Feb and Jun 2026 (seas adj)0.8% House prices since February (seas adj)4.8% Stock of homes for sale since February (seas adj)Real estate statistics
House buyers dry up ahead of interest rate rises
Mon 15 Jun 2026
Monthly
13%pa House sales in May 20260.6%pa House prices from May 2025
Stock of homes for sale at an 11-year highReal estate statistics
House prices and sales fall
Thu 14 May 2026
Monthly
7.9%pa House sales in Apr 20260.5% House prices from Mar 2026 (sa)
1.2% Stock of homes for sale since Feb 2026 (sa)