House prices were flat last month, with weaker prices in the Auckland region offsetting record prices in Otago and Northland.
House Prices Photo: RNZ
The national median house price rose a seasonally adjusted 0.3 percent in February over the month earlier, and 14.1 percent to $495,000, which is $5000 more than last year, according to the latest figures from the Real Estate Insitute of New Zealand (REINZ).
While the number of sales fell a seasonally adjusted 8.9 percent to 6253 on the year earlier, that was a 45 percent increase on January's sales.
The number of properties available for sale around the country continued to decline, with 2541 fewer houses for sale in February, compared to last year.
REINZ chief executive Bindi Norwell said it appeared the loan-to-value lending restrictions imposed on banks were having some impact.
"We hear anecdotally that LVRs are having an effect and banks are reducing lending, becoming more selective about who they lend to, what properties they will lend on and the terms.
"Recent media has noted the lower level of cash incentives being offered by banks, and this ties in with the feedback agents across the country are hearing from their clients."
She said fewer properties were being sold at auction, particularly in Auckland, which represented 51 percent of national sales.
In Auckland, the median price fell by $5000 during February, with sales volumes down 8.9 percent.
Central Otago Lakes recorded the largest percentage annual increase in median price, with a 30 percent rise, followed by Northland at 20 percent and Otago at 18 percent.
Photo: REINZ