2 0 2 1
P U L S E
S E P T E M B E R
M A R K E T
C21
PUBLISHER Century 21 New Zealand Ltd
CONTRIBUTORS Tim Kearins Cameron Brewer Jen Baird Home Beautiful
EDITORIAL ENQUIRIES Century 21 New Zealand +64 9414 6041
ADVERTISING ENQUIRIES Century 21 New Zealand +64 9414 6041
WELCOME TO THE
SEPTEMBER 2021 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 S E P T E M B E R
C21 NEW ZEALAND NEWS
02
2 0 2 1
FAIRDEAL REALTY GROWTH
Real estate back with this spring the sweet spot to
Manukau’s C21 Fairdeal Realty enjoys strong growth.
sell.
Cameron Brewer
08
Century 21 New Zealand, Tim Kearins
PROPERTY MARKET UPDATE
04
VALUE TIPS
Confidence remains in property prices, activity
8 ways to increase the value of your home.
levels impacted by lockdown.
Home Beautiful
CEO, REINZ, Jen Baird
C21 NEW ZEALAND NEWS
06
Property prices still very strong despite lockdown. Century 21 New Zealand, Tim Kearins
C21 MARKET PULSE
01
CENTURY 21
10
C21 NEW ZEAL AND NEWS
REAL ESTATE BACK WITH THIS SPRING THE SWEET SPOT TO SELL At the writing of this, most of New Zealand is in Alert Level 2, while the Auckland region remains in Level 4 with Level 3 pending.
BY TIM KEARINS,
CENTURY 21 NEW ZEALAND
aged 12 years and over when
agreements, marketing and the
entering any property.
listing process must occur via
Meanwhile our Auckland agencies and agents are looking forward to safely turning a lot of Level 4 enquiries into some measured action.
Our offices south of the Bombay
Under Level 4 our Century 21
Hills are now seeing quite a bit of
salespeople fielded plenty of
pent-up demand as the rubber hits
enquiries about listings and gave
the road again.
virtual appraisals via video calls.
Under Level 2, open homes, private
However, Level 3 will make a big
viewings, and auctions can occur
difference for Auckland. Although
but must meet all public health
it will take an appointment, with
requirements including limits on the
strict protocols in place, Auckland
number of people that can attend.
buyers will at least be able to view
Agents must ensure the likes of
properties in person.
two-metre social distancing is
Lower alert levels mean many
observed and collect and retain
buyers will feel much more
contact records for every person
comfortable, and confident to
visiting a property.
make decisions which will see more
Open homes and indoor auctions
transactions being inked.
are limited to 50 people and
Level 3 means auctions can take
outdoor auctions are limited to 100
place online or via phone bidding.
people.
While there are no open homes,
The Real Estate Authority advises
property viewings can happen
that this time round under Level 2 all properties must have a NZ COVID Tracer app QR code
by private appointment with restrictions, as can pre-settlement inspections, settlements and
throughout the sales process. Mask
moving house.
wearing is also required for anyone
Discussions with agents on
C21 MARKET PULSE
02
CENTURY 21
teleconference or over the phone, not in person. Property appraisals by agents, however, can happen with strict protocols in place but ideally should be carried out remotely. Like Level 2, mask wearing, social distancing, strict hygiene practices and contact tracing requirements will firmly feature at Level 3. Auckland’s real estate sector has operated very safely and effectively in Level 3 before. It’s now looking forward to doing so again, and hopefully it’s not long before it jumps down to Level 2. Century 21’s website and listings enjoyed some great traffic during the nationwide lockdown. In fact, this most recent lockdown has reinforced that the quality of a property’s online marketing is more important than ever. The likes of drone footage, video walk throughs, virtual tours, floor plans, stunning photographs and a strong social media presence are critical when prospective buyers are largely house bound.
With the number of competing listings at record low levels, interest rates at rock bottom, but prices still very strong, this spring will prove a great time to market your property. Real estate is again very doable and every day we head through September we’re getting busier. I firmly believe this spring could be the sweet spot for those selling, with demand still high but supply incredibly low. With these dynamics, I wouldn’t be waiting until summer to sell. I’d be listing right now!
www.century21.co.nz Contact: Tim Kearins - Century 21 New Zealand - (0274) 495-547
C21 MARKET PULSE
03
CENTURY 21
P R O P E R T Y M A R K E T U P DAT E
CONFIDENCE REMAINS IN PROPERTY PRICES, ACTIVITY LEVELS IMPACTED BY LOCKDOWN
BY J E N B A I R D, REINZ CEO
Median prices for residential property across New Zealand increased by 25.5% from $677,400 in August 2020 to a record $850,000 in August 2021, 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. Four out of 16 regions reached
to a new record of $780,000 in
again risen across the country, with
new record median prices and
August 2021. Additionally, Hamilton
every region seeing a year-on-year
25 districts reached new record
City ($840,000), Hauraki District
increase from August 2020. This
median highs.
($620,000), Matamata-Piako
latest lockdown has not dampened
District ($755,000) and Taupo
demand for, or confidence in, the
District ($790,000) all reached
housing market as we saw in early
record median highs.
2020. We have heard from across
The median house price for New Zealand excluding Auckland increased by 22.8% from $570,000 in August last year to a new record
• Manawatu/Wanganui: with a
of $700,000 in August 2021.
35.3% increase from $451,000
Auckland again underpinned the strength in the New Zealand median, hitting a record median house price in August of $1,200,000 - up 26.4% from $949,500 in August 2020. This growth was reflected throughout the region with 5 out of 7 districts reaching new record median prices
in August 2020 to a new record of $610,000 in August 2021. Additionally, Horowhenua District
the industry that prices achieved on sales completed in the early part of this lockdown continue to illustrate an ongoing excess of demand over supply; prices are still rising.
($625,000), Palmerston North
“The strength of the market sees
City ($720,000), Ruapehu District
the REINZ House Price Index reach
($446,000), Tararua District
a new high nationally. Nine of the
($476,000) and Whanganui District
12 regions across New Zealand
($560,000) all reached record
reached a record level in August,
median prices.
showing that the underlying value of property is holding strong,”
– Rodney District ($1,280,000),
• Canterbury: with a 24.3% increase
Manukau City ($1,157,000),
from $498,000 in August 2020 to a
Waitakere City ($1,120,000),
new record of $619,000 in August
“Looking at Auckland, we’ve seen
Franklin District ($950,000) and
2021. Additionally, Christchurch
another record median price, the
Papakura District ($940,000).
City ($650,000), Kaikoura District
ninth record in the last 12 months
($675,000) and Waimakariri District
– this growth is spread across
($645,000) all reached record
the region with five of the seven
median prices.
districts reaching new record
In addition to Auckland, 3 other regions reached record median prices in August. They were: • Waikato: with a 23.8% increase from $630,000 in August 2020
Jen Baird, Chief Executive at REINZ says: “House prices have once
C21 MARKET PULSE
04
CENTURY 21
continues Baird.
median prices in August,” she continues.
ANNUAL ME DIAN PRICE CHANGES
$
8.9%
26.4%
NORTHLAND
AUCKLAND
$
$
Record Median Price
$
TARANAKI
$850,000
13.1%
25.5%
23.8%
8.7%
WAIKATO
25.0%
NATIONAL MEDIAN PRICE:
26.3% BAY OF PLENTY
GISBORNE
35.3%
17.6%
MANAWATU / WANGANUI
HAWKE’S BAY
21.5%
NELSON
21.2%
MEDIAN DAYS TO SELL:
30
17.6%
18.8%
TASMAN
WELLINGTON
MARLBOROUGH
24.3%
WEST COAST
$
CANTERBURY
8.6%
18.6%
SOUTHLAND
OTAGO Source: REINZ Monthly Property Report 14 September 2021 .
NUMBER OF SALES DECREASES ACROSS MOST OF NEW ZEALAND The number of residential properties sold in August across New Zealand decreased by 26.5% when compared to the same time last year (from 7,828 to 5,753) – this was the fewest properties sold for an August month since 2014. Although lockdown had an impact on sales processes and buyers’ ability to physically view property in the final two weeks of August – the average number of sales made each day during the Alert Level 4 period decreased 24.0% from an average of 208 properties per day pre-lockdown (1 August – 17 August), to 158 properties per day during lockdown (18 August – 31 August). This is testament to the investment made by real estate firms in technology and new ways
when compared to the same time
– 53 fewer houses) – the lowest
last year (from 5,139 to 3,407) –
for an August month since records
the fewest properties sold for an
began.
August month since 2014.
• Southland: -46.8% (from 188
In Auckland, the number of
to 100 – 88 fewer houses) – the
properties sold in August decreased
lowest for an August month since
by 12.8% year-on-year (from
records began.
2,689 to 2,346). This is a smaller decrease than that of New Zealand as a whole, indicating that the multiple lockdowns Auckland has experienced over the last 18 months may have set the region up well to deal with changes in alert levels, and buyers remained confident, however, if Alert Level 4 continues for much longer, we are likely to see a further drop in this activity through September. While the number of properties sold across Auckland in August was fewer than in 2020, it was still higher than what we saw in 2016, 2017, 2018 and
of working in the aftermath of the
2019.
2020 outbreak.
Regions with the biggest annual
For New Zealand excluding
percentage decrease in sales
to 28– 22 fewer houses) – the lowest for an August month since 2014. “As expected, the Alert Level 4 lockdown had an impact on the number of properties sold across New Zealand, with a 26.5% decrease compared to August 2020. While this is largely down to the restrictions that were put in place from a lockdown perspective, New Zealand continues to have record low levels of inventory, meaning fewer properties available to buy,” says Baird.
Click here to read the full report.
Auckland, the number of properties
volumes were:
sold in August decreased by 33.7%
• Nelson: -50.0% (from 106 to 53
C21 MARKET PULSE
• West Coast: -44.0% (from 50
05
CENTURY 21
C21 NEW ZEAL AND NEWS
PROPERTY PRICES STILL VERY STRONG, DESPITE AUGUST LOCKDOWN “Unsurprisingly, the August numbers are lighter on listings and sales, but importantly they confirm the real estate market remains very strong,” says Tim Kearins, Owner of Century 21 New Zealand.
26.4% to $1,200,000. The shortage of houses available for sale continues, with August showing another record low level of inventory. “A lack of property listings remains a key driver for strong sale prices continuing. However, given the current lockdown uncertainty and
His comments follow REINZ
up, this spring could prove stronger
releasing its Monthly Property
than the coming summer.
saw the country in total lockdown halfway through it. Regardless, August saw median house prices across New Zealand increase by 25.5% to a record $850,000 in 12 months. “Month-to-month growth has been becoming more sustainable, but all bets are off as to whether such sustainability will continue this spring. Century 21 offices south of Auckland are reporting strong buyer interest and great prices since operating under Level 2,” says Mr Kearins. With REINZ confirming that ‘this latest lockdown has not dampened demand for, or confidence in, the housing market’, 4 out of 16 regions reached new record median prices, and 25 districts reached new record median highs. Auckland recorded another median price record - up
encouraging property owners to list sooner rather than later, particularly with post-lockdown pent-up demand only adding to the current fuel,” he says. Mr Kearins says Century 21’s Auckland offices were looking forward to safely doing business at lower alert levels. “When it arrives, Level 3 will make a big difference for Auckland, Although it will take an appointment, Auckland buyers will at least be able to view properties in person,” he says. He says under Level 2, Century 21’s offices across the Waikato report a rush of listings going live and busy open homes - albeit with strict public health requirements in place including limits on the number of people, contact tracing, and mask wearing.
06
New Zealand, Mr Kearins also owns the long-time Century 21 Premier office based at 10 The Square in Palmerston North. “Like a lot of provincial centres, we’ve seen some phenomenal price growth in the past 18 months. For instance, in April the Manawatu/ Wanganui median sale price was up a staggering 46.8% on the previous 12 months. That kind of annual growth is now not as large.
“With that in mind, we’re
C21 MARKET PULSE
CENTURY 21 NEW ZEALAND
As the new owner of Century 21
the prospect of interest rates going
Report for August – a month which
BY TIM KEARINS,
CENTURY 21
Nonetheless, our regions are still performing very well. In fact, August saw Manawatu/ Wanganui and Palmerston North City again achieving new record median prices. The Waikato region and the Taupo district also reached new highs. “With the rest of the country again enjoying significant real estate activity, Auckland can also expect strong demand in the coming weeks. My advice to Aucklanders set to sell: Use this lockdown to prepare your property, so you’re out of the blocks when the buyers are,” says Tim Kearins. www.century21.co.nz Contact: Tim Kearins - Century 21 New Zealand - (0274) 495-547
Selling
your property?
WE CAN HELP GET THE PRICE YOU DESERVE.
Looking to sell your property? We can help you achieve the best result. Contact us today for your FREE property appraisal.
Visit: C21.co.nz
FAIRDEAL REALTY GROWTH
MANUKAU’S C21 FAIRDEAL REALTY ENJOYS STRONG GROWTH Within six months of Century 21’s newest franchise, Fairdeal Realty, opening in central Manukau, its team had grown to 16 busy people. Now the new owner of Century New Zealand is calling on other experienced businesspeople to consider opening a successful Century 21 franchise. “We have well and truly exceeded our six-month sales targets. The team is listing and selling a range of properties including units, development sections, new builds, classic homes, and lifestyle blocks,” says Rupinder Kaur, co-director of Fairdeal Realty. Ms Kaur says since her and fellow director, Surbani Sandhu, opened the new Lambie Drive office in South Auckland they’ve hit the ground running. Working under Century 21’s well recognised global brand and unparalleled network has only boosted their local success. Century 21 offers clients consistent service, creative content, and highquality marketing – all important credentials for Fairdeal Realty.
In fact, both franchise directors
fastest developing and changing
strongly believe that Century 21
neighbourhoods.
has provided them will all tools and expertise needed for their team to strongly perform and succeed in real estate.
“We strongly believe Manukau’s many diverse communities deserve top quality service from our dedicated team. Having the office
“We had a vision of opening a
located in the heart of Manukau’s
boutique style office, instilling a
commercial area is ideal, and
new culture, and adopting a fresh
importantly all our team members
approach to real estate. Century
come from the Manukau region,”
21’s stylish brand and its reputation
she says.
for superior service fitted our aspirations perfectly. What’s more, the technology available to the sales team is incredibly impressive,” she says.
Ms Kaur and Ms Sandhu say the driving success of Century 21 New Zealand is aided by the national network operating like a family, supporting each other in the good
Fairdeal’s sales team includes John Dorking, Chatty Verma, Surbani Sandhu, Tasreet Dhatt, Ambi Basati, Ajit Saini, Deeyana Amosa, Fiona Eliki, Grayson Muriwai, Kiratpal Sandhu, Kunwar Sandhu, Robert Muriwai, and Shaminder Guraya.
times and in the lockdowns! “We appreciate all the support Century 21 New Zealand has given us to set up this office in Manukau – an area we all love and know very well. Head office and our fellow principals in other franchises
Ms Rupinder says the Fairdeal
around the country have been
team represents a good mix of
amazing,” says Ms Kaur.
experienced and new salespeople, with the older hands helping those relatively new to real estate to learn and grow faster. Fairdeal also employs an administrator, Ashlee Keelan, and a property manager, Rochelle Hall.
21 New Zealand, says Fairdeal Realty’s early success is a credit to them. What’s more, setting up shop in Manukau further strengthens Century 21 as a growing powerhouse in the south of
The new office is well situated with the team squarely focused on some of South Auckland’s key residential growth areas and the country’s
C21 MARKET PULSE
Tim Kearins, Owner of Century
08
CENTURY 21
Auckland “Fairdeal Realty has been great addition to our company. It shows
what can be quickly achieved with a positive attitude and hard work. Rest assured their arrival has been well noted by competitor companies which only helps lift the bar for consumers,” he says. Mr Kearins says Century 21’s superior service and global status will continue to attract other highperforming businesspeople and salespeople to consider franchise ownership. Opportunities to set up Century 21 offices remain available in many parts of New Zealand. “As well as franchise opportunities for experienced agents, we are seeking keen salespeople with the drive and motivation to learn what it takes to thrive in this exciting industry. In fact, we now have numerous sales positions available across Auckland, Waikato, and Wellington regions,” says Century 21’s New Zealand owner. To find out more about the benefits of becoming a part of Century 21’s global network, visit www.c21.co.nz/joiningcentury-21 Tim Kearins – Century 21 New Zealand - (0274) 495-547 Rupinder Kaur - Owner of Century 21 Fairdeal Realty - (021) 971-433
VA L U E T I P S
8 WAYS TO INCREASE THE VALUE OF YOUR HOME Whether you’re looking to sell right now or later down the track, it pays to keep your home up to date.
BY HOME BEAUTIFUL
focus a couple of rooms, or perhaps
heater without the hassle or damage
a feature wall?
to the environment.
As for the colour, it's been said that
Installing gas cook tops and ovens
ivory is the one colour that will add
add value in the kitchen and is often
value to your home.
preferred to electric ovens and cook tops due to its ability to provide
If you own a property, chances are you're hoping it will one day be worth more than you paid for it. And while much about a property's value relies on things like location, population growth, infrastructure and the mercy of a fluctuating market, there are some things within your control that you can alter to increase your home's value. It's often the smallest changes that have the biggest impact, so don't feel as though you have to undertake a full-scale renovation to make a return. In fact, when
2. INCREASE STORAGE SPACE Unless you're converting to hardcore minimalism, zero storage space is going to be a massive shortfall for potential buyers. Think open shelves in the kitchen, bathroom and laundry. Additionally, installing hooks on the back of doors is another simple convenience that's often overlooked.
compared to electric. As for the environment, gas may produce less greenhouse gas emissions than electricity.
5. SIMPLE SWAPS It's possible to create a whole new bathroom look without renovating. Small, but modern updates, such as replacing handles and taps
3. IMPROVE THE OUTDOOR AREA An outdoor space perfect for entertaining will increase the
renovating for profit it's very
desirability of your home.
important to avoid overcapitalising.
While shade and shelter are
Here, we run through 8 affordable
essential, fire pits have also
things you can do to make your
instant heat and even temperature
become a popular addition to many
is a simple way to elevate the appearance of this room. Consider painting tiles if they look old, or grubby. If your vanity is outdated, replacing it will make a remarkable difference to the feel of the room.
backyards.
6. STREET APPEAL How your home looks from the
1. A NEW PAINT JOB
4. INSTALL GAS HEATING AND APPLIANCES
A new coat of paint is the easiest
Gas appliances are a favourite home
necessarily increase the value
home more appealing to buyers as well as increase its value.
and most cost-effective way to refresh the look of your home while boosting value. Decide whether you want to redo the whole house or
feature for a couple of reasons plus they're efficient. Gas heaters and in particular, flame-effect fires, give all the warmth and comfort of a wood
C21 MARKET PULSE
10
CENTURY 21
street influences desirability. Adding a fence can be expensive but won't of your home. However, it would be worth fixing and painting any existing fences around the property.
Additionally, replacing or painting your front door a different colour will boost your curb aesthetic for little cost.
7. DECOR AND INTERIOR DESIGN Adding things like cushions, rugs and throws can make a big difference to the look and feel of your home. Update lampshades and consider some artwork. If you are selling your home, it's essential for potential buyers to be able to see the space as somewhere they could potentially live.
8. BUILD A GRANNY FLAT It's becoming more common for generations of families to live together and split the cost of living. If you have space, adding a granny flat to your property can increase the overall value as long as it's done right. They're also a great way to generate an income to help pay off that mortgage.
Click here to read the full article
C21 MARKET PULSE
10
CENTURY 21