Houses in Auckland are selling for about $30,000 less than they were a few months ago, but Barfoot & Thompson is dampening fears of a market collapse.
Instead, it says the 4 percent drop to an average price of $908,319 is down to "a combination of winter blues, school holidays, and the impending election.
"Winter traditionally sees a slowing in the market and this winter has been no different," says managing director Peter Thompson.
"It can be hard to make even the best attributes of your home shine when the weather is miserable; that alongside school holidays and the uncertainty an election always brings, has led to some vendors holding off putting their home on the market."
Barfoot & Thompson, the largest realtor in the Auckland market, had 1173 new listings last month - the lowest July result in seven years.
"At the same time, sales numbers at 747 meant this was the quietest July since 2010," says Mr Thompson.
Houses below $750,000 made up just over a third of all sales for the company, with a similar amount priced above $1 million. Forty-one homes sold for more than $2 million.
Mr Thompson says it appears speculators aren't driving prices up as much as they have over the last five years.
"In this type of market, people are motivated by the more fundamental reasons to move house such as a growing family, change of job or downsizing. This could be seen as a return to house sales being influenced by those more traditional factors."
On Wednesday, valuer QV said the average Auckland property was worth $1,044,303, falling behind Queenstown where the average is now $1,092,748.
Year-on-year, prices in Auckland rose 4.6 percent according to Barfoot & Thompson and 5.3 percent according to QV.