Fewer houses are being sold in Auckland, but prices continue to rise.
Figures from Barfoot & Thompson show sales dropped 25 percent last year compared to 2016, but the average price rose 4.5 percent to nearly $930,000.
This was the lowest annual rate of house price increase in five years.
Almost 40 percent of homes in Auckland sold for more than $1 million.
Barfoot & Thompson says sales dropped due to tighter lending restrictions, while buyers were still willing to pay high prices due to a housing shortage.
"In part, this was aided by the recent release of new capital values by the council, as sellers and buyers have the same information as to the potential value of a property," it says.