The number of sales was up 1.6 percent in July on the year earlier, but down nearly 16 percent on June. Photo: 123RF
The housing market remains subdued, with a drop in the total number of properties available for sale and some regions seeing little change in median prices.
The Real Estate Institute's (REINZ) house price index for July, which measured the changing value of properties, fell 6.9 percent on last year to 3551 points.
The median house price fell 4.9 percent during the period to $770,000, with Auckland prices down 8.8 percent to $990,000.
The number of sales was up 1.6 percent in July on the year earlier, but down nearly 16 percent on June.
"This month's figures show a lift in market activity with sales counts slightly increasing in many parts of the country on July last year, and the year-on-year decrease in median prices continuing to ease, suggesting some confidence is returning," REINZ chief executive Jen Baird said.
"With sales counts up this month, the national inventory level is falling. More competitive prices and a 'get in now' attitude is bringing more buyers out ahead of this year's election."
However, the total number of properties for sale was down 12 percent to 23,090 on the year earlier.
The number of new listings fell nearly 18 percent on last year, and was down 1 percent on June.
"These listing decreases are similar to last month's so although our salespeople are reporting further increases in activity across the country the looming election and ongoing tighter economic conditions are seeing sellers holding back," Baird said.
"The ongoing impact of government policies, economic conditions and global factors will continue to shape the New Zealand housing market.
"We also tend to see a slowing in activity in the lead-up to a general election, but with buyer activity rising and lower levels of supply coming to market, we may see stronger demand appear in the coming months."