2 0 2 0
P U L S E
F E B R U A R Y
M A R K E T
C21
PUBLISHER Century 21 New Zealand Ltd
CONTRIBUTORS Derryn Mayne Bindi Norwell Cameron Brewer SCOOP Business News
EDITORIAL ENQUIRIES Century 21 New Zealand +64 9414 6041
ADVERTISING ENQUIRIES Century 21 New Zealand +64 9414 6041
WELCOME TO THE
FEBRUARY 2020 ISSUE OF
C21 MARKET PULSE
DISCLAIMER We have in preparing this information used our best endeavours to ensure that the information contained therein is true and accurate, but accept no responsibility and disclaim all liability in respect of any errors, inaccuracies or misstatements contained herein. Prospective buyers and sellers should make their own enquiries to verify the information contained herein. All information contained in the CENTURY 21 New Zealand Ltd website is provided as a convenience to clients. All links to property prices displayed on the website are current at the time of issue, but may change at any time and are subject to availability. For more information on our Privacy Policy please refer to: www.century21.com.au/privacy
C O N T E N T S F E B R U A R Y
C21 NEW ZEALAND NEWS
02-03
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EXPANDING NETWORK
Gold jacket gone, and no regrets.
Ribbon cut on Papakura Franchise.
CEO, Century 21 New Zealand, Derryn Mayne
Cameron Brewer
PROPERTY FORECAST 2020
04-05
PROPERTY MARKET UPDATE
2020 set to be good year for Auckland.
Busiest January in 4 years sees strong start to
Cameron Brewer
new decade.
07
08-09
REINZ CEO, Bindi Norwell
RECOGNISING SUCCESS
06
Century 21 names 4th Quarter award winners. SCOOP Business News
PROPERTY 10-11 Priority plan your home hunting. As featured in the February edition of Home Beautiful Magazine
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C21 NEW ZEAL AND NEWS
GOLD JACKET GONE, AND NO REGRETS B Y D E R R Y N M AY N E , C E O, C E N T U R Y 2 1 N E W Z E A L A N D
Once the most iconic garment in global real estate, Century 21’s gold jacket has gone! Prospective salespeople, franchise owners, not to mention buyers and sellers, need not fear anymore.
shortened, modernised brand
Last year was all about our global
name of C21 have been well
rebrand and the return of Kiwi
received in the marketplace over
ownership and decision-making for
the past year or so.
Century 21 New Zealand. This year
This was no marketing tweak. Rather, Century 21 threw caution to the wind and took its international branding to a whole new level. Built around defying mediocrity and delivering extraordinary real
It was once proudly promoted
estate experiences
as “100% polyester and machine
to consumers,
washable. The versatile jacket
without doubt
is wrinkle resistant. It features
the rebrand
full lining and metallic buttons.
has made
This classic blazer is rugged,
a positive
yet comfortable.” Well thanks to
difference.
Century 21’s global rebrand, the
In fact, it
wrinkle-free gold jacket has been
has blown
assigned to the apparel archives.
most of our
Don’t get me wrong - the gold jacket was hugely successful at branding and identifying Century 21 for decades. However, our new corporate look and messaging are now a lot more contemporary. Our refreshed colour palette and the
is about attracting high performing salespeople and business owners from other companies to open a Century 21 franchise. In fact, we’re now actively seeking expressions of interest from qualified and ambitious industry
“With a strong digital marketing presence in place, Century 21 New Zealand makes no apology for ambitiously driving its new direction and brand.”
expectations.
professionals. There remain numerous untapped locations available for Century 21 franchises. There are still plenty of
Century 21’s
opportunities in
market repositioning
different parts of the
is delivering new opportunities, including assisting us
North Island, and we’d love to get
to attract a fresh wave of industry
back into the South Island. I’m
professionals.
particularly interested in focused
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CENTURY 21
and professional salespeople with
With a strong digital marketing
Our dedicated recruitment drive
a great work rate and well-honed
presence in place, Century 21
will see some new franchises in
skills, to ensure both vendors and
New Zealand makes no apology
different parts of New Zealand
buyers receive exceptional service.
for ambitiously driving its new
announced in the coming months.
Afterall, service is a key differential
direction and brand.
Our C21 franchise family will only get bigger and better in 2020.
for Century 21. As well as stylish new branding, untapped locations, and a reputation for unbeatable service, Century 21 also brings superior training and technology, and of course serious global grunt. We’re the largest real estate company in the Asia Pacific region and are internationally well recognised thanks to thousands of Century 21 offices across the world. Our global website translates into 18 languages, so when you list in little old New Zealand your audience is literally unlimited. No local agency can compete with that proposition!” In addition to promoting the huge potential of Century 21 franchise ownership, 2020 will see the real estate company actively support its existing salespeople and current locations to grow a stronger market presence. As a 12-year franchise owner myself, those contemplating Century 21 can see that I bring on the ground experience and knowledge as both a salesperson and franchisee. I’m not a manager in HQ, but someone who’s living the office highs and lows every day, and people seem to appreciate that perspective.
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PROPERTY FORECAST 2020
2020 set to be good year for Auckland
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"2020 will be the best year for Auckland real estate that we’ve seen in the past three or four years,” predicts Derryn Mayne, owner of Century 21 New Zealand.
plunge. Conditions are also ripe for
“The main issue for Auckland real
next-home buyers to extend their
estate in 2020 won’t be around a
mortgage for a bigger or better
shortage of buyers, but a shortage
property,” she says.
of sellers. We’re already seeing that
Ms Mayne expects business and consumer confidence to strengthen throughout the year, adding to the ‘feel good’ factor that the real estate market always benefits from. “Many regional towns and cities have enjoyed strong price growth in the recent years while Auckland has taken a breather, bringing
CoreLogic QV December 2019 House Price Index, which highlighted the recovery of property values in Auckland. Quarterly growth of 1.9% to close out the year was the strongest rate since November 2016, taking the average value of Auckland property to $1.047m. The real estate boss says while the third quarter might pause due to the 19 September General Election, 2020 will generally see market confidence restored in New Zealand’s largest city and commercial capital. “Interest rates are low and are expected to stay at record-low levels, while rents continue to rise. What’s more, with Governmentbacked schemes for first-home buyers now requiring only 5% deposits, I think we’ll see more first-home buyers taking the
effectively, but sadly there’s just not the listings to satisfy them.” Century 21 New Zealand’s owner says as well as industry statistics showing the Auckland market strengthening, many economists are forecasting strong price growth. “With Auckland on the rise in 2020,
more sustainable levels. Now
I’d encourage prospective buyers
Auckland looks set to get back in
to make a move sooner rather than
the driver’s seat!”
later. At the same time with fewer
Bank’s tougher loan-to-value ratios, followed the release of the
and able to borrow money cost-
the city’s house prices back to
She says factors like the Reserve Ms Mayne’s New Year comments
this summer with many Kiwis willing
the Government’s foreign buyer
competing listings around, what a great opportunity for vendors to attract interest,” says Derryn Mayne.
ban, and Auckland Council’s unitary plan releasing much more land had an impact on the Auckland market. However, such policy shifts have now normalised, with a reset Auckland ready to step forward again. “The next couple of years will be
AUCKLAND STATS JANUARY 2020 COMPARED TO JANUARY 2019:
an exciting time for Auckland, when you consider the city is hosting both the America’s Cup and APEC in 2021. These significant international events will only add to
Median Price Up 8.7%
the momentum we’re already seeing, with some massive infrastructure projects now in play.” Ms Mayne says many were concerned a change of Government
Sales Count Up 9.7%
in 2017 would see immigration slashed. However, annual net migration remains at historically high levels, ranging between 48,000 and 64,000 since 2015, which is not
Days to Sell Decreased 8 Days
likely to change with most migrants making Australasia’s fastest-growing city their home.
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Source: REINZ
RECOGNISING SUCCESS
CENTURY 21 NAMES 4TH QUARTER AWARD WINNERS Century 21 New Zealand has announced its real estate winners for the last quarter of 2019, which finished up particularly strongly for key offices in Waikato, Central Wellington, and East Auckland.
SCOOP BUSINESS W W W . S C O O P. C O . N Z
Realty, Wellington); and Ivan Rakich (Darrak Realty, Albany).
Property Manager of the Quarter
Bronze Awards went to Gary
was won by Rebecca Houghton of
Matthews (Gold Real Estate,
A1 Realty in Paraparaumu.
Manurewa); Gary Bal (Local Realty, Papakura); Barbara Craig (Rural & Residential Real Estate, Huntly); Tim Kearins (Premier, Palmerston North); Barnie Cornaga (Darrak Realty, Albany); and Joseph Lupi
“Te Awamutu had a great fourth
Mangakino).
(First Choice Realty, Wellington).
Property Management Office for the Quarter under 250 (the highest number of new managements by an office with less than 250 managements) went to Collett Realty in Unsworth Heights, while Edwards Realty in Botany
quarter with local real estate
The Diamond Award – the most
Downs once again won Property
legend Gaile Para of Gadsby
prestigious sales award - went to
Management Office for the
Realty taking out the Gold Award
Jeh Wasti, (First Choice Realty,
Quarter Over 250.
for sales. Te Awamutu goes from
Wellington), who also won Top
strength to strength, with the office
Salesperson for the Quarter
wonderfully rebranded and the new
for both Units (the number of
franchise ownership working out
properties listed and sold) and GCC
really well. Those guys are buzzing,”
(Gross Closed Commission).
says Derryn Mayne, Century 21
What’s more, Annette Edwards of Edwards Realty won a Quality Service Award, while Administration Team Member of the Quarter went to Alex Zheng also from Edwards
New Zealand owner.
Ms Mayne said the Central
Reality. Molly McLean of Premier
Wellington franchise finished the
in Turangi won Personal/Sales
Te Awamutu salesperson Eli Gadsby
decade the strongest, with First
Assistant of the Quarter.
also took out a Silver Award for the
Choice Realty winning Top Office
fourth quarter. Other Silver sales
for the Quarter for both Units
winners were Gold Real Estate in
and GCC.
Manurewa; Iresh Tennakoon and Kevin Ratnayake (Local Realty, Papakura); Christine Stevens (Stevens Realty, Mangakino); Andrew Pugh (Premier, Palmerston North); Alen Moshi (First Choice
“Our salespeople, principals, and offices from the small towns to the larger centres finished 2019
Top Principal for the Quarter
strongly. Summer has since been
GCC went to Ivan Rakich (Darrak
busy and 2020 is looking better by
Realty, Albany) and Top Principal
the day,” says Derryn Mayne.
for the Quarter Units went to Christine Stevens (Stevens Realty,
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EXPANDING NETWORK
RIBBON CUT ON PAPAKURA FRANCHISE Century 21 Local Realty has officially opened at 46-50 Broadway in Papakura. Local MP Hon Judith Collins cut the ribbon at a celebration attended by many local businesses and
residential growth areas, including
says Derryn Mayne, Owner of
Papakura, Takanini, Karaka and
Century 21 New Zealand.
Drury. Local Realty owners Gary Bal and Iresh Tennakoon bring considerable form having already been successful in real estate in the region’s southern suburbs and districts.
With a top performing sales team in place including, Kevin Ratnayake, Anjali Amarasinghe, Harsha Thanthriwatte, Kanwar Dhillon, Bali Dhaliwal and CJ Ratwatte, the Local Realty owners anticipate they’ll be
supporters. Executive Director of
“Good on Gary and Iresh for
recruiting more salespeople over
Century 21 Australasia, Michael
having the business foresight to
the coming months.
Baliviera, was among the speakers.
establish a new franchise in such
The new franchise office is focused on some of Auckland’s most critical
a strategic part of Auckland. It further strengthens Century 21 as a growing powerhouse in the south,”
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CENTURY 21
If you’re thinking of buying, selling or renting in Papakura, visit: papakura.century21.co.nz
P R O P E R T Y M A R K E T U P DAT E
BUSIEST JANUARY IN 4 YEARS SEES STRONG START TO NEW DECADE
BY BINDI NORWELL, REINZ CEO
The number of properties sold in January across New Zealand was up 3.2% on the same time last year (from 4,459 to 4,603) making it the busiest January in 4 years according to the latest data from the Real Estate Institute of New Zealand (REINZ), source of the most complete and accurate real estate data in New Zealand. Bindi Norwell, Chief Executive at
of the North Island and
In Auckland, median house prices
REINZ says: “Normally January is a
the top of the South Island,”
increased by 8.7% to $875,000 –
quiet time of the year, and for a few
continues Norwell.
up from $805,000 at the same
regions that was definitely the case, however, overall the country had a strong start to the year with the most residential properties sold for the month of January in four years.
“Sales in Auckland were the highest for the month of January in four
These results are in line with the
years, with particularly strong
REINZ House Price Index (HPI)
uplifts in sales volumes in North
which saw property values in
Shore City (+29.0%), Waitakere
Auckland increase 4.4% annually.
“Much of the increase in sales
City (+28.6%) and Rodney District
volumes is being driven by
(+21.1%),” points out Norwell.
increasing confidence in the housing market which has been underpinned by a relatively strong economy, good employment rates and the low interest rate environment,” continues Norwell. “Looking around the country, 10 out of 16 regions saw annual increases in the number of properties sold, with particularly strong uplifts in sales volumes in most of the middle
time last year.
Median house prices across New Zealand increased by 11.8% in January to $615,000 up from $550,000 in January 2019 and 7 regions saw new record median prices – the highest number in 2 months. Median house prices for New Zealand excluding Auckland increased by 11.7% to $525,000, up from $470,000 in January last year.
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Record median prices were recorded in: • Waikato with an 8.9% increase to $599,000 up from $550,000 at the same time last year • Bay of Plenty with a 17.8% increase to $683,000 up from $580,000 at the same time last year • H awke’s Bay with a 22.2% increase to $550,000 up from $450,000 at the same time last year • M anawatu/Wanganui with a
24.5% increase to $411,000 up
“This time last year, only the
Unless we see more listings come
from $330,000 at the same time
Auckland region had a median
on to the market in the next few
last year
price over the $600,000 mark
months, we anticipate that prices
and now the Bay of Plenty,
will continue to rise in a similar
Wellington, Tasman and Nelson
pattern,” she continues.
• Taranaki with a 9.1% increase to $420,000 up from $385,000 at
regions all have median prices at or
the same time last year
“Looking at Auckland, North
over that figure. If things continue
• Otago with a 19.9% increase to
Shore City has the highest median
in the same manner, before long we
$570,000 up from $475,475 at
price for residential property at
wouldn’t be surprised if the Waikato,
the same time last year
$1,101,000, followed by Auckland
Otago and potentially Hawke’s Bay
City on $935,000 and Rodney
regions also have median prices
• Southland with a 28.7% increase to $359,000 up from $279,000 at the same time last year.
District close behind with a median
over the $600,000 mark,” points
of $927,000, Waitakere City also
out Norwell.
saw a record median of $830,000. $
ANNUAL ME DIAN PRICE CHANGES $
Record Median Price
8.7% AUCKLAND
$
$
9.1%
NATIONAL MEDIAN PRICE:
$
8.9%
20.1% GISBORNE
$
24.5%
MANAWATU / WANGANUI
6.0%
42.4%
10.2% 3.2%
TASMAN
Source: REINZ Monthly Property Report 18 February 2020.
$
28.7%
$
SOUTHLAND
Additionally, Canterbury experienced a record equal median price of $465,000 – a record set in October last year. “January saw all 16 regions with annual increases in the median house price and 7 regions with record median prices, reflecting the sustained pattern we’ve seen over the last year or so where the shortage of housing stock coupled with the increased urgency from buyers has been pushing prices up,”
WELLINGTON
MARLBOROUGH
8.1%
WEST COAST
$
22.2% HAWKE’S BAY
13.9%
MEDIAN DAYS TO SELL:
says Norwell.
17.8%
BAY OF PLENTY
NELSON
11.8%
42
$
WAIKATO
TARANAKI
$615,000
5.3% NORTHLAND
CANTERBURY
19.9% OTAGO
“Additionally, the Manawatu/
“However, prices in the Capital
Wanganui region has had 7 of
City have been more mixed with
the past 8 months with a record
Wellington City at a median price
median price,
of $755,000 the most affordable
Southland has had 6 of the 7 past months with a record median price and Hawke’s Bay has had 5 of the past 6 months with a record median price. Even Queenstown Lakes had a strong start to the year with a median house price of $1,055,000 – the first time in six months the median price has exceeded the million-dollar mark.
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CENTURY 21
it’s been in 7 months yet record median prices were seen in Porirua and Upper Hutt Cities,” continues Norwell.
AS SEEN IN THE FEBRUARY EDITION OF
PROPERT Y
PRIORITY PLAN
UWHEN YOU’RE ON THE HUNT FOR YOUR DREAM HOME, SET YOUR PRIORITIES BEFORE YOU HIT THE INSPECTION CIRCUIT TO KEEP YOUR EYES ON THE PRIZE IN ASSOCIATION WITH
I
t’s happened to the best of us: you turn up to a house inspection on the hunt for a modern twobedder with parking, but find yourself so enamoured by the home’s soaring period ceilings that all your pre-considered requirements fly out the pretty sash windows. Compiling a prioritised wishlist will help separate your needs from your wants, and keep you on track in the search for your dream home. FOR HELP WITH BUYING AND SELLING PROPERTY VISIT C21.co.nz
A DV E RT I S E M E N T A DV E RT I S E M E N T
GETVISUAL VISUAL GET
We’renot notsuggesting suggestingthat thatmanifestation manifestationisisthe theanswer answer We’re to all your property aspirations, but visualisation to all your property aspirations, but visualisation isisa a savvystarting startingpoint. point.Envision Envisionyour yourperfect perfecthome homeininallall savvy its glory – the size, the style, the suburb… Keepit itsemisemiits glory – the size, the style, the suburb… Keep realistic(shelve (shelveyour yourTuscan Tuscanvilla villapipedreams pipedreamsforfornow), now), realistic butstill stillthink thinkfreely. freely.This Thiswill willhelp helptap tapinto intoyour yourdesires desires but and get you thinking about how you want to live. Sure, and get you thinking about how you want to live. Sure, oceanviews viewsmay mayfall falloutside outsideyour yourbudget, budget,but butperhaps perhaps ocean you’dsettle settleinstead insteadforforeasy easyaccess accesstotoa abeach beachororbay. bay. you’d Scrawl down all your ideas to refer back to later. Scrawl down all your ideas to refer back to later.
ADDTHE THENICE-TO-HAVES NICE-TO-HAVES ADD
Belowyour yourmust-haves, must-haves,start startnoting notingdown downthe thefeatures features Below youdeem deemappealing, appealing,but butnot notessential. essential.AAwalk-in walk-in you wardrobe? You wouldn’t turn it down, but notmake make wardrobe? You wouldn’t turn it down, but it’sit’snot
break.ItItmight mightbebethe thesame sameforfora apool. pool.Interior Interiorfeatures features ororbreak. could also fall into this category – think hardwood flooring could also fall into this category – think hardwood flooring andstone stonecountertops, countertops,asaswell wellasascentral centralairairconditioning conditioning and or a fireplace. Check in with your above-mentioned or a fireplace. Check in with your above-mentioned visualisationnotes notesasasyou yougo, go,picking pickingout outthe theelements elements visualisation thatare areenticing, enticing,but butalso alsoattainable. attainable. that
CONSULTTHE THEEXPERTS EXPERTS CONSULT
Finally,round roundout outyour yourlistlistwith witha alittle littleexpert expertintel. intel.The The Finally, agentsatatreal realestate estateorganisation organisationCentury Century2121will willshare share agents some“value” “value”items itemstotoconsider considertacking tackingonto ontoyour yourlist. list. some As the name suggests, these are features that will add As the name suggests, these are features that will add valuetotoyour yourproperty propertyover overtime. time.Think Thinka agreat greatbathroom, bathroom, value dual-pane windows, or close proximity to top schools. dual-pane windows, or close proximity to top schools. Whilethese theseitems itemsshouldn’t shouldn’ttake takeover overyour yourwants wantsand and While wishes,they’re they’renevertheless neverthelessworth worthkeeping keepingininmind mindasasyou you wishes, navigate the inspection circuit (now armed with a handy navigate the inspection circuit (now armed with a handy prioritylist, list,sosoyou younever neverswerve swerveoffoffcourse courseagain!) again!) priority
GOBACK BACKTO TOBASICS BASICS GO Importantconsiderations considerationsare arethe the Important minimumnumber numberofofbedrooms, bedrooms, minimum number of bathrooms andtheir their number of bathrooms and minimumsize. size. minimum Othermust-haves must-havesmight mightinclude includea a Other gardenorordeck, deck,off-street off-streetparking parkingoror garden an internal laundry. an internal laundry. Locationmay maybebeparamount paramount– – Location perhaps you want to withinwalking walking perhaps you want to bebewithin distanceofofyour yourchildren’s children’sschool school– –oror distance maybe you have your heart maybe you have your heart setsetonona a certaincluster clusterofofsuburbs. suburbs. certain Alsoconsider considerliveability: liveability:isis Also renovating an option, areyou youkeen keen renovating an option, ororare finda ahome homeand andmove movestraight straightin?in? totofind
FOR HELP WITH BUYING AND SELLING PROPERTY FOR HELP WITH BUYING AND SELLING PROPERTY VISIT C21.com.au VISIT C21.com.au