Property Talk WINTER ISSUE July / August 2018
What’s Happening in the Canterbury Market? The median price trend continues to flatten but is still increasing slightly. The sales volume trend has been fairly flat over the past six months. The days to sell trend continues to ease slightly. The House Price Index has decreased strongly over the past 3 months.
O
ur seasonally adjusted results tell us that, compared to what we expect when moving from May to June, the observed decrease in median price was fractionally greater than expected and the observed large decrease in sales count was much greater than expected. The current Days to Sell of 38 days is slightly higher than the 10-year average for June which is 35 days. The level of inventory available Compared to June 2017: • Median Price down 0.1% • Sales Count down 7.7% • Days to Sell decreased 1 day Compared to May 2018: • Median Price down 2.4% • Seasonally adjusted median price down 0.6% • Seasonally adjusted sales count down 16.8% • Days to Sell increased 1 day
for sale currently sits at 18 weeks, the same as in June 2017. Jim Davis, REINZ Regional Director, says “This Canterbury winter market feels busier than last year in relation to enquiry, listing levels and open home numbers despite a fall in the median price and volume of sales. Buyer enquiries and viewing numbers are still at reasonable levels and
buyers to make quick decisions. Auction outcomes appear steady with 40-50% of the auctions going under the hammer. The market looks to be stable for the next few months, and then it will likely go towards an even more active spring market with buyer enquiry continuing to increase. Hopefully listing numbers will remain strong throughout the rest of winter as well.”
there is no sense of urgency from
Median Sale Price for June 2018
$434,500
CANTERBURY REGION Waimate District Waimakariri District Timaru District
$210,000 $441,000 $365,000 $597,000 $595,000
Mackenzie District Selwyn District
$461,200
Hurunui District Christchurch City Ashburton District
$430,000 $327,000
Disclaimer: Every effort has been made by Mike Pero Real Estate to ensure that the information contained in this publication is complete and accurate. Prospective purchasers and sellers should make their own enquiries to verify any information contained herein. While our information has been prepared with due diligence and care, Mike Pero Real Estate does not accept liability for any errors, mistakes, omissions, or inaccuracies whether expressed or implied.
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Annual Median Price Changes
REINZ Residential Statistics Report for June 2018
JUNE 2017-2018
Winter chill impacts real estate sales volumes, but not house prices, says REINZ. “While Jack Frost may have got his icy grip on sales volumes, he has not been able to extend this to prices as New Zealand’s median price increased by 5.7% year-on-year. The lack of housing supply continues to put pressure on prices in the majority of regions across New Zealand, with 12 out of 16 regions seeing a price increase since June last year. Until we solve the supply issue, house prices are likely to continue rising, particularly as the OCR remains low and the banks continue dropping interest rates,” says REINZ Chief Executive, Bindi Norwell. Median house prices for June 2018 were recorded as follows: Northland
$450,000
Auckland
$850,000
Waikato
$525,000
Bay of Plenty
$580,000
Gisborne
$330,000
Hawke’s Bay
$430,000
Manawatu/Wanganui
$300,000
Taranaki
$345,000
Wellington
$595,000
Nelson
$490,000
Increased
Marlborough
$440,000
Stable
Tasman
Decreased
West Coast
$210,000
Canterbury
$434,500
Record Median Sales
REINZ House Price Index The REINZ House Price Index for New Zealand, which measures the changing value of property in the market, increased 3.8% year-on-year to 2,706. The HPI for New Zealand excluding Auckland increased 6.7% from June 2017 to a new record high of 2,561. The Auckland HPI increased 0.9% year-on-year to 2,883 showing that despite the annual decrease in median price the market is still in a strong position. Again, the only region not to experience an increase was Canterbury, which experienced a decrease of 1.1% year-on-year. This month the Gisborne/Hawke’s Bay region had the highest annual growth rate of 14.0%, followed by Otago and Southland in second equal place with both regions seeing annual growth rates of 10.7%.
$571,000
Otago
$415,000
Southland
$249,000
NZ excluding Auckland
$460,000
NEW ZEALAND
$560,000
The REINZ House Price Index shows: New Zealand
+3.8% on June 2017
NZ ex Auckland
+6.7% on June 2017
Auckland
+0.9% on June 2017
Days to Sell The median number of days to sell a property nationally increased by 2 days from 36 days in June 2017 to 38 days in June 2018. For New Zealand excluding Auckland, the median days to sell increased by 1 day from 36 to 37. Auckland saw the median number of days to sell a property increase by 2 days to 40 days (up from 38 in June 2017), but it remained the same as last month. Regions with the biggest decrease in the median number of days to sell were West Coast -68 (from 128 to 60), Gisborne -6 days (from 39 to 33) and Taranaki -2 (from 37 to 35). Regions with the biggest increase in the median number of days to sell were Southland +8 (from 31 to 39), Tasman +7 (from 33 to 40) and Waikato +6 (from 36 to 42).
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New Zealand NZ ex Auckland Auckland
-0.1% on May 2018 +0.3% on May 2018 0.0% on May 2018
For more REINZ HPI information, see https://www.reinz.co.nz/reinz-hpi Source: REINZ
MIKE PERO TURNS THE CLOCK BACK TO THE 70s’, 80s’ & 90s’
Admission to the gallery is free for Mike Pero Real Estate customers past, present and future.
motorcyclegallery.co.nz | Fri - Sat - Sun : 10am - 4.30pm | Adult $15, Children FREE | 1 Hawthornden Road, Chch
A stroll down memory lane is one way to describe the impressive lineup of motorcycles in New Zealand’s only classic Japanese motorcycle gallery. It’s the pride and joy of entrepreneur businessman Mike Pero. When he’s not at work as the Chief Executive of his real estate company he’s tinkering with bikes from a bygone era. Pero trained as a motorcycle mechanic and qualified after a fouryear apprenticeship at a Christchurch Suzuki dealership in the late 70s’. During that time and into the early 80s’ the young Mike Pero rose to become one of the country’s most prolific national riders. “It was a time in my life where I felt I could do no wrong on a motorcycle. At one stage, the season of 1981, I pretty much won every Grand Prix I entered. “These were days when there was good prize money in the sport. I could earn a month’s income in a weekend. I worked my days as a mechanic and then I would work in a Hornby cardboard factory from 6pm till 11pm Monday to Friday, to earn extra income. In the weekends, I’d go racing. I could work on my own motorcycles and I knew how to make them fast and reliable .” “The motorcycles of the 70s and 80s were very much different to today’s machines and that’s what makes them so cool. Obviously, there were no onboard computers, no traction control and our biggest leaps in technology were from points ignition to CDI (electronic ignition) and increased ground clearance for cornering. Most bikes of the 70’s and 80’s were air-cooled but there were a few exceptions like the Suzuki GT750 (Waterbus).
In 1981 Yamaha launched the Yamaha RD350LC. This was one of the first small performance machines to come out of Japan in huge numbers and it hugely appealed to the ‘Boy racers’ and the ‘production racers’, on the race tracks.” “Remembering that motorcycles were a cheap mode of transport and during this era motorcycle registrations were at an all-time high for New Zealand. At Shirley Boys High, my school, there were often close to 100 motorcycles proudly lined up outside the school gates. Riding a motorbike to and from school made you one of the cool guys.” “The Ministry of Transport had a fleet of motorcycles in the 70s’ and these ranged from Suzuki triples to Yamaha 650cc Cops Special’s to even, Yamaha RD350s.The funny part about the RD350s’ was that the Cops were often seen taking off from the traffic lights wheel-standing these pepi little two strokes. With the weight of all their gear it made for a very light front wheel. I owned several RDs’ in the 70s and 80s’ and while these were primarily for the race track, they were even more fun to ride on the road.” What you can expect to see in the gallery is a wide range of machines – two strokes, four strokes, 50cc machines and 1100cc. every bike has a specifications plaque and a story. “Most of these machines are on loan to the gallery by their owners. We’re delighted to be able to showcase these machines and retain the heritage for all to enjoy.” — Mike Pero
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REDWOOD
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Winner On Wingate
NORTHWOOD
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Who ‘Dares’ Wins!
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NORTHWOOD
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Executive Luxury Escape
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CHRISTCHURCH CENTRAL Live Large in Four Avenues!
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BISHOPDALE Vendor Moving North - Open to Offers
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