12 May 2014

April house sales drop, figures show

5:31 pm on 12 May 2014

The number of house sales fell sharply in April but prices have continued to rise, Real Estate Institute figures show.

Last month 5670 houses sold - 20 percent fewer than in April last year. As well, it was a drop of 22.5 percent from March.

The fall was seen in all regions, and the sharpest drop was in homes costing less than $400,000.

Real Estate Institute chief executive Helen O'Sullivan said lending restrictions and higher interest rates were causing the fall in sales.

The median house prices rose 10.7 percent compared to April last year, to $432,000, with most of the rise happening in Auckland and Christchurch.