Sold. Guaranteed.
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Property Talk with Craig Hamilton
0800 000 525 mikepero.com
*Conditions and normal listing criteria apply – for more information speak to an agent or representative of Mike Pero Real Estate. Some centres in New Zealand may not be included in this promotion.
Craig Hamilton 027 214 4851 craig.hamilton@mikepero.com Mike Pero Real Estate Ltd Licensed REAA (2008)
We are now at the tail end of a bitterly chilly winter and are approaching the start of spring where we tend to see a traditional lift in the property market.
This spells good news for homeowners or those looking to enter a mortgage with banks offering lower interest rates however it could also fuel demand and increase house prices.
The Reserve Bank made their first cuts to the Official Cash Rate (OCR) back in early June when they dropped the rate by 0.25% which was the first change of any kind since September 2014. This trend continued in July when another 0.25% cut was announced and again in September which has seen the OCR fall to 2.75 per cent. Some commentators are also predicting a further cut before the end of the year.
According to REINZ statistics, the property market experienced strong sales across the country to conclude winter with all regions reporting increased sales compared to the same period in 2014. Their August statistics show that sales volumes increased by 41.7% compared to August 2014 but fell by 4.4% compared to July. The national median price was sitting at $465,000 which is an increase of $45,000 (+10.7%) compared to August 2014.
Mike Pero Real Estate Ltd Licensed REAA (2008)
AUG / SEPT ‘15 In this edition of my newsletter, I look at the importance of the trusty ‘For Sale’ sign. They continue to play an important role in real estate marketing because they are both recognisable and confirm to the public that a property is on the market. If you are thinking about buying or selling in the near future then I would love to assist you in this process. Feel free to call me on 0800 000 525. Best wishes
Craig
0800 000 525 www.mikepero.com
Mike Pero Real Estate Ltd Licensed REAA (2008)
What’s Happening in the Market? Compared to August 2014, the median price rose across the Nelson/Marlborough region by $25,000 (+7%) with prices rising by 12% in Nelson, 9% in Richmond and 3% in Marlborough/Kaikoura.
REINZ August 2015 regional data for the Nelson/ Marlborough region has found that the median price trend is now easing, with the sales volume trend now steady. The days to sell trend is now improving, with the overall trend for the region improving from easing to steady.
Median Price Breakdown - August 2015
The median price rose by $10,000 (+3%) across the region compared to July with prices rising by 7% in Nelson and 2% in Richmond, but fell across the rest of the region. Sales volume rose by 19% compared to August 2014 with sales rising 34% in Marlborough/ Kaikoura and in Nelson.
Marlborough/Kaikoura
$329,000
Motueka
$334,000
Richmond
$421,000
Nelson City
$420,000
Source: REINZ
The number of days to sell eased by six days in August, from 36 days in July to 42 days in August. REINZ Chief Executive, Colleen Milne, noted that “Listings are in very short supply across the region, with buyers having to be well organised and quick to secure properties they are after. Both first home buyers and investors are active, with an increasing level of interest coming from outside the region from buyers with longer term plans to move.”
Thinking Aloud The OCR continues to descend which is good for homeowners and borrowers with the current home loan interest rates sitting between 4% and 5%. So why did the Reserve Bank lower the OCR? Their role is to balance the economy and cash flows and to try and keep some form of stability in our economy. Exporters should benefit from the changes but unfortunately importers and investors have been negatively affected and whenever there is a rise or fall one group will always find themselves on the back foot. As for home owners, the lower the OCR, the better. If the flood gates weren’t already open for home buyers then they certainly are now. However with demand comes higher prices and it’s diff icult to guess when it is going to end, especially in Auckland. The announcement by the Government to encourage new migrants to consider provincial centres is a great initiative and could help move the numbers to smaller centres however this will be small and it will take time. Migration sits at around 60,000 a year and is the biggest cause for demand on accommodation but it is also fuelled by the undersupply and construction over the past ten years. Either way, as a homeowner, you’re better off in most cases than someone renting. You have an appreciating asset and you’re on the property ladder. Despite the crisis in Greece and the slowing of the Chinese economy I think the future remains very positive in our neck of the woods.
Mike Pero Embraces Latest Technology with New Website On September 1, we launched our new website which delivers property information in a cleaner, simplified design while also making the most of new technology like virtual tours and interactive floorplans.
www.mikepero.com
A Sign of Things to Come With the beginning of spring looming ever closer, you can expect to see a stream of new listings enter the market and scores of ‘For Sale’ signs popping up around the streets. This serves as a reminder that the faithful signboard will always play a pivotal role when it comes to buying or selling a home. At Mike Pero Real Estate we pride ourselves on our unique marketing strategies and while technology has taken over large parts of marketing, the signboard still remains an integral part of marketing a property. Signboards serve as a 24/7 billboard for your home and can work in your favour in a number of ways.
Placement It’s important that a signboard is strategically and visibly placed on the property boundary whilst also complimenting your home from the street. When placed correctly, it will suitably standout to those who may travel through your area and are looking to buy. However it also targets those who love your neighbourhood but aren’t actively searching to buy a property - the attraction of a particular house in a certain neighbourhood can be a big drawcard and has the ability to trigger call-to-action.
Visibility A large portion of buyers are inclined to drive past a property before they commit to an open home so having a signboard outside your home makes it easy for them to find, especially on busy roads.
Awareness Word of mouth is a powerful tool and having a signboard outside your property can certainly get your neighbours talking. People who see your ‘For Sale’ sign may talk with family and friends who could be interested in purchasing in the area which will not only extend your audience reach but could lead to a sale. It’s important to note that signboards should be used as part of a wider marketing strategy in conjunction with print and online platforms.