SPRING SELLING
PROPERTY PRICES ABOVE EXPECTATIONS IN REGIONS “Most regions are now seeing properties flying out the door and many houses fetching well above any asking price or expectation,” says Derryn Mayne, Owner of Century 21 New Zealand.
insulated by the likes of the wage
from our Waikato offices, of
subsidy and mortgage holiday
places selling within days via very
schemes. However, most of our
competitive multi-offers, with
offices in regional New Zealand
plenty of properties selling well
could not have foreseen such a
in excess of both the vendors and
buoyant spring. It will certainly help
agents’ expectations.
set up plenty of activity this coming summer,” says Ms Mayne.
Century 21 agents are also reporting people keen to move out of the
Recently ASB significantly revised
cities, with coastal and lifestyle
its forecast on house price falls. It
properties proving popular in the
Her comments come as REINZ
now expects national house prices
current Covid-19 environment.
released September’s REINZ &
will fall by 2.8% by March next year
Tony Alexander Real Estate Survey.
compared to their previous
Agents report more people are
forecast of a 6% drop overall.
attending auctions and open homes,
Others are expecting prices to
with listings still in short supply.
start rising again in 2021, with
Far fewer investors now believe that
economists anticipating the Reserve
they will find bargains, fewer b
Bank will cut the Official Cash Rate
uyers generally retain fears that
to below zero next year, pushing
prices will fall, and a net 81% of
already record-low interest rates
agents say that they are seeing
down further.
property prices rising.
Ms Mayne says recent REINZ
The Century 21 boss says six
figures show while Auckland
months ago economists thought the
property buyers are paying on
sky was going to fall when it came
average 5% over their 2017 CVs,
to the property market, but many
many regions are paying miles
are now revising their ‘doom and
higher with Gisborne seeing
gloom’ forecasts.
residential properties selling on
“Our Covid-19 economy has certainly got a long way to go and the market has been somewhat
average for 71% higher than current CVs - the highest in the country. “We are hearing stories, particularly
C21 MARKET PULSE
05
CENTURY 21
“Many people now realise they can work from home very effectively and in many cases more productively and for cheaper. Subsequently, we’re seeing people selling up in the bigger cities, freeing up a bit of equity, and opting for an easier lifestyle with more space and less people. “What’s more, no overseas holidays in the foreseeable future sees more Kiwi families looking at holiday houses and baches instead, knowing that strong domestic travel will give them good ‘bookabach’ income too,” she says. It seems any vendor opting to sell their property this spring is set to get plenty of market attention.
