C21 Market Pulse | August 2023 | New Zealand

C21

WELCOME TO THE AUGUST 2023 ISSUE OF C21 MARKET PULSE

PUBLISHER

Century 21 New Zealand Ltd

CONTRIBUTORS

Tim Kearins

Jen Baird

Kevin Kelliher

EDITORIAL ENQUIRIES

Century 21 New Zealand

+64 9414 6041

ADVERTISING ENQUIRIES

Century 21 New Zealand

+64 9414 6041

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.co.nz/disclaimer

M ORE ACTIVITY AS NEW LISTINGS REMAIN LOW

BY JEN BAIRD, REINZ CEO

The Real Estate Institute of New Zealand’s (REINZ) July 2023 figures show more activity emerging while listing numbers remain low, total stock numbers fall, and some regions see little movement in median prices.

REINZ Chief Executive Jen Baird says July tends to be a slower month for the property market, however we are seeing buyers returning alongside varying results across Aotearoa.

Compared to July 2022, July 2023 has shown a slight increase in the total number of properties sold across New Zealand, up 1.6% to 4,903, but down 15.6% month-onmonth. New Zealand excluding Auckland sales counts decreased by 2.5% year-onyear from 3,343 to 3,258.

Across the regions, Auckland (10.8%), Waikato (9.4%), Bay of Plenty (13.7%), Nelson (3.9%), West Coast (31.0%) and Canterbury (10.1%) all saw increases in sales counts year-on-year. Bay of Plenty was also up 7.8% month-on-month.

At the end of July, the total number of properties for sale across New Zealand was 23,090, down 12.4% (3,268 properties) from 26,358 year-on-year, and down 6.4% month-on-month.

New Zealand excluding Auckland was down year-on-year from 15,732 to 14,497, a decrease of 1,235 properties or 7.8% annually.

“With sales counts up this month, the national inventory level is falling. More competitive prices and a ‘get in now’ attitude is bringing more buyers out ahead of this year’s election,” says Baird.

Nationally, new listings decreased by 17.6% year-on-year, from 7,470 listings in July 2022 to 6,156 in July 2023, and a 1.0% decrease compared to June 2023 from 6,218. New Zealand excluding Auckland listings decreased 19.5% year-onyear from 4,778 to 3,847.

“These listing decreases are similar to last month’s so although our salespeople are reporting further increases in activity across the country the looming election and ongoing tighter economic conditions are seeing sellers holding back,” comments Baird.

Nationally, the July 2023 median sale price decreased 4.9% year-on-

year to $770,000 from $810,000. There was significant regional variation in this month’s median sale prices. Auckland, the country’s largest property market, saw its median sale price fall 8.8% from July 2022 to fall back under the one million dollar mark and decrease 1.0% compared to June 2023, down from $1,000,000 to $990,000.

Other regions such as Waikato (down 8.9% year-on-year), Bay of Plenty (down 7.0% year-on-year), and Wellington (down 8.9% yearon-year) also saw declines. Three regions have seen a year-on-year price increase – Marlborough (0.3%) and both Southland (1.2%) and Central Otago (4.6%) have seen more resilient markets for much of this year.

The national median days to sell remained relatively stable at 48 days. The median days to sell varied across regions. West Coast had the shortest median days to sell at 28, while Tasman had the longest at 80.

ANNUAL MEDIAN PRICE CHANGES

“The ongoing impact of government policies, economic conditions, and global factors will continue to shape the New Zealand housing market. We also tend to see a slowing in activity in the lead-up to a general election, but with buyer activity rising and lower levels of supply coming to market, we may see stronger demand appear in the coming months,” comments Baird. While there was a slight increase in the House Price Index (HPI) compared to the previous month, the market continues to face challenges with a decline in value over the past year.

The HPI for New Zealand stood at 3,551 in July 2023, showing a

0.7% increase compared to the previous month. However, when compared to the same period last year, the HPI reflects a 6.9% decline.

Click here to read the full report

Source: REINZ Monthly Property Report 15 August 2023 .

AWKE’S BAY

AM LOOKING TO SELL MY PROPERTY. WHAT ARE THE MOST COMMON MISTAKES, AND HOW CAN I AVOID THEM?

BY KEVIN KELLIHER, CENTURY 21 PREMIER

Selling your property requires a strategic plan. It is critical for you to avoid making common errors. As an agent with thirty years’ experience these are my recommendations to avoid the potholes.

AGENT SELECTION

Choosing the best agent for you is paramount in the sale process. Research and interview several agents to assess their experience and track record in your area, their marketing strategies, and ask for testimonials. You will be working closely with them so choose someone you gel with and have a good rapport. Real estate is about people and your agent needs to be a good communicator with all parties and a proven negotiator on your behalf.

ACCURATE PRICING

Incorrect pricing is a common error. Buyers are savvy and will already

have researched sales in your area. Your agent will be able to provide current sales statistics to reassure you where the market value sits.

PRESENTATION

Neglecting your property’s presentation will discourage potential buyers. Declutter the interior and pack up everything you don’t use on a daily basis. Buyers need to visualise where their furniture and belongings will fit and your clutter will put them off. Clean inside and out and do any maintenance jobs. The aim is to create an inviting homely atmosphere. First impressions do count. Stand at the front entrance and decide if as a buyer the first impression you get is exciting and attractive.

MARKETING

Ineffective marketing will limit exposure and the number of buyers. In the current challenging market there are various options including marketing with or without a price indication. Seek your agent’s advice on all the options and

choose the option which suits your circumstances, keeping in mind the price range of your property. Professional photography, various digital and social media platforms will ensure your property is in the spotlight and not the shadows.

DISCLOSURE

Failing to disclose known defects or history about the property that a buyer would want to know is critical. Complications are in no one's interests and are easily avoided with honesty and transparency. Ask yourself, if I was the buyer what would I want to know about the property before I purchase? The Real Estate Act is stringent so disclose to your agent whatever is necessary to avoid any potential issues that may affect achieving a sale.

Selling your home can be stressful but remember any stress you feel as a seller is likely also felt by the buyers. Finally rely on your agent’s skill and advice to achieve you a successful sale.

I

GET THE BEST RESULT WHEN SELLING YOUR PROPERTY

We can help you achieve the best result when selling your property. It's what we do.

C21.co.nz

7 BUDGET-FRIENDLY TIPS FOR A LUXURIOUS HOME LOOK

Creating a luxurious and expensive-looking home doesn't have to break the bank. With a few smart and creative choices, you can transform your living space into a stylish and elegant abode without spending a fortune. In this blog, we'll explore seven affordable ways to make your home look more expensive while staying within your budget.

1. DECLUTTER AND ORGANISE

One of the simplest and most cost- effective ways to give your home a high - end appearance is to declutter and organise your space. Remove unnecessary items, streamline your belongings, and find smart storage solutions. A clean and clutter-free environment instantly elevates the look and feel of your home.

2. FOCUS ON LIGHTING

Ample lighting can make a huge difference in how your home is perceived. Opt for well-placed lighting fixtures that add warmth and sophistication to your living areas. Consider investing in ambient and accent lighting to create layers of light that highlight key features and create a luxurious ambiance.

3. UPGRADE YOUR HARDWARE

Another affordable way to make your home look more expensive is by upgrading your hardware. Replace outdated doorknobs, drawer pulls, and cabinet handles with stylish options that complement your interior design. Choose finishes like brushed gold or brushed nickel for a contemporary and upscale look.

4. ADD A TOUCH OF LUXURY WITH TEXTILES

Introduce luxurious textiles into your home to instantly elevate its appearance. Swap out old and worn - out curtains or blinds for floor-to - ceiling drapes made of rich fabrics. Invest in high - quality throw pillows, plush area rugs, and soft bedding to create an inviting and sophisticated atmosphere.

5. CREATE AN ACCENT WALL

Enhancing a single wall can make a significant impact on the overall

aesthetic of your home. Choose a bold and eye-catching colour, textured wallpaper, or even a patterned tile to create an accent wall that adds depth and visual interest to your space. This focal point will give the impression of a thoughtfully designed interior.

6. INCORPORATE MIRRORS

Mirrors are a powerful tool in interior design as they create an illusion of space and reflect light, making any room appear larger and brighter. Place mirrors strategically in areas where they can reflect natural light or act as statement pieces. Consider adding a large

mirror in your entryway or above a mantel to make a grand statement.

7. PAY ATTENTION TO DETAILS

The small details in your home can make a big difference in its overall appearance. Invest in high - quality decorative accessories like vases, candles, and artwork. Look for pieces that have an air of sophistication and uniqueness, adding personality and charm to your living spaces.

Creating an expensive -looking home doesn't have to drain your bank account. By following these seven affordable tips, you can enhance the overall aesthetic of

your living space without blowing your budget. Remember, it's all about decluttering, lighting, upgrading hardware, incorporating luxurious textiles, creating focal points, adding mirrors, and paying attention to the details. With a little creativity and attention to detail, you can transform your home into a sophisticated and elegant haven that exudes luxury and style.

U NDERSTANDING LANDLORD AND TENANT RESPONSIBILITIES

As a property owner or prospective landlord in New Zealand, it's crucial to comprehend the ins and outs of the Residential Tenancies Act 1986 (RTA), the cornerstone legislation that governs landlord-tenant relationships within the country. This act outlines the rights and duties of both landlords and tenants, delineating the procedures for dispute resolution.

Under the RTA, landlords have an array of responsibilities aimed at maintaining the welfare of their tenants and fostering a harmonious living environment. Some key obligations include to:

• Provide a rental property that is in a reasonable state of repair and meets all health and safety standards.

• Give the tenant quiet enjoyment of the property.

• Not unreasonably interfere with the tenant's use of the property.

• Give the tenant at least 24 hours' notice before entering the property (unless it is an emergency).

• Provide the tenant with a copy of the tenancy agreement and the Residential Tenancies Act.

• Pay for all necessary repairs to the property, except for wear and tear.

• Not increase rent more than once in any 12-month period.

• Not evict the tenant without a valid reason.

Landlords, too, possess rights safeguarded by the RTA, aimed at maintaining a balanced relationship with tenants. Here are some key landlord rights under the RTA:

• Receive rent on time and in full.

• Have access to the property for inspections and repairs, with reasonable notice.

• Evict the tenant if they have breached the tenancy agreement.

• Claim compensation for damage to the property caused by the tenant.

RESOLVING DISPUTES: THE ROLE OF THE TENANCY TRIBUNAL

In the event of an alleged breach of the RTA, either party – landlord or tenant – can seek a resolution through the Tenancy Tribunal. As a government agency, the Tribunal is empowered to hear and resolve disputes that arise within tenancy arrangements.

Apart from the RTA, New Zealand landlords are also bound by

other laws that underscore the importance of tenant well-being and equitable treatment. Here are some additional landlord laws:

• Landlords must comply with the healthy homes standards, which set minimum standards for the quality of rental properties.

• Landlords cannot discriminate against tenants on the basis of their race, sex, religion, or disability.

• Landlords must provide tenants with information about their rights and responsibilities under the RTA. For more comprehensive insights into landlord laws in New Zealand, you can explore resources provided by the Tenancy Services website here: www.tenancy.govt.nz/