The latest figures bring forth that the values of property have continued to decline in the last month.

According to QV, the values stood at 4.1% more than those of July 2009, as against a fall of 5.2% in the preceding month. Also, since March, the property values have plummeted to 0.8%.

The data of QV is based on the Real Estate Institute figures, which exhibit that the quantity of the residential property sales came down to the second-lowest volume in the month of June since the last decade.

The reasons attributed for the decrease in demand are the stringent lending criteria of the banks, rampant unemployment and the ceasing of some tax breaks for property in the May Budget by the Government. Further, the rise in the interest rates by the Central Bank is also a reason for the plunge in the demand in the property sector.

As per the figures, the average sales price rose from $404,715 to $407,191, which reflected that fewer properties were sold in the recent months.

In the area of Auckland, the values increased to 6.9% from a year earlier. In Wellington, the values were above 3.2% since the last year, and were down from the 5.4% in the last month. Further, in Christchurch there was less change from the previous month, as the values stood at 4.6% more that the last year.

Witnessing the downward trend, QV.co.nz Research Director Jonno Ingerson said, "We are now seeing more of a "do-nothing" sentiment".