Figures from the Real Estate Institute of New Zealand indicate property sales have hit a new low.
The decline in the market has continued in June, with Auckland, Wellington and a number of other provinces showing the biggest decreases.
Sales for the month were 3,000 lower than the same time last year, and it is now taking nearly two months to sell an average house.
The national median property price has fallen from $345,000 in May, to $340,000 in June.
Institute president Murray Cleland says the downward trend is compounded by the fact that winter is traditionally a quiet time of year for house sales.