Monday, 29 August 2016

Manager's Comments 30-8-16

September 1st. Spring, and fine weather. Well technically, but I won’t promise fine weather. What we do have is longer days and therefore more opportunity to showcase property after 5pm. That is always a good thing; along with new growth and some spring flowers all of which opens people up a bit, gets the smiles on faces and generally makes life easier.

There is another thing that can make property sellers lives easier, especially in a market like ours with lots of buyers and a shortage of stock.

I would like you to really consider Auction. Ask your agent to book a no obligation discussion with our Auctioneer Phil Quinney as soon as possible, Phil can explain the benefits and the process just to make sure you’re right up to scratch with how it can work to your advantage in this market which is tailor-made for competition. No hard sell, just information. We really believe Auction can achieve the best possible result in most circumstances, especially the present market circumstances.

John Christiansen

Wednesday, 17 August 2016

Manager's Comments 16-8-16

July sales figures in New Plymouth City show a very flat market. The median price slipped a meagre $4000 to $369,500 indicating very little change in the values of the 86 properties sold. We have extremely low interest rates and prices on the higher side of last year, both expected scenarios. However, there is a perception the massive Auckland market is running out of steam, which may be making some buyers nervous. This quote from the ASB Bank housing confidence report today “Fewer people think now is a good time to buy according to the latest ASB Housing Confidence Survey. The sharp drop in sentiment is not much of a surprise when expectations for higher house prices, as well as higher interest rates, picked up over the quarter. Sentiment has fallen across the country as respondents appear to be wary about possible increases in debt servicing costs when house prices are already considered high”.
The New Plymouth market has been very subdued in terms of price rises over a period where Auckland values have spiralled to unprecedented levels. (The median price in greater Auckland is $825,000. In the city over a million dollars). If there is a correction in Auckland it won’t impact severely in New Plymouth, but it will make buyers very nervous and has the potential to slow our local market significantly for a period. Give this some thought and consider the consequences when you receive an offer. A bird in the hand may be worth looking very hard at.

John Christiansen