New Zealand residential property values have continued their gradual decline along with a lower level of sales transactions, according to Quotable Value Limited (QV).

Property values have fallen 5.3% since their peak in late 2007, with a low point in April 2009 of 9.6%. Although they showed signs of recovering slowly, with an increase of 3.4% between September 2009 and March 2010, they have since fallen 1.4% from March up to September.

Jonno Ingerson, research director at QV, said: “The New Zealand housing market is currently experiencing a very low level of sales activity, as has been the case for several months now.

“The low number of sales is due to some buyers choosing to hold back, to see where the market will go while others who are being very cautious in their decision making, and some are unable to find suitable properties. There are also some financially secure vendors who are holding out for their desired sale price rather than being tempted by low offers.”

“QV Valuers, particularly in Auckland and Wellington, are reporting that there is a general lack of well presented, quality properties on the market at present. Those that do come up are selling quickly and for good prices. Properties that are not well presented, lacking maintenance, or with perceived flaws are either failing to sell, or buyers are discounting their offers accordingly.”