On Friday 18 August, the Real Estate Institute of New Zealand (REINZ) announced that the legislation to regulate residential property managers in New Zealand was introduced in Parliament.
This is the long-awaited next step in this becoming law.
This bill establishes a regulatory regime designed to improve the provision of residential property management services in New Zealand, by establishing minimum entry requirements for residential property managers, ensuring residential property managers meet professional standards of practice, and establishing a complaints and disciplinary process that applies to residential property managers.
Should the Bill have its first reading this side of Christmas 2023, ministers and the public have a chance to provide feedback.
While 2023 has been a year of change and realignment for the New Zealand housing market, driven mainly by the increasing interest rate environment imposed through reserve bank actions to fight the demon of inflation, it is great to see the first buds of spring appearing.
Across most markets in New Zealand our team are reporting increased buyer activity at open homes and in our auction rooms. This activity is growing out of confidence that interest rates are unlikely to increase much further and are now being spoken of as likely to decrease over coming months. When coupled with pent up buying needs from people who have put their lives on hold over the last twelve months of market challenges, there is every reason to look forward with optimism.
As often happens during winter months, new to market listings have been at a premium. This lack of new stock alongside increased buyer activity has moved the demand supply equation in the seller’s favour. As we expect a flush of spring lists to come forward, as happens annually, canny sellers will be bringing their listing plans forward to beat this competition to the buyer pool!
Regarding price fluctuations and despite market challenges, the REINZ house price index rose 0.4% monthon- month in June, and the median house sale price in New Zealand remains unchanged at $780,000 for three consecutive months. This confirms our thoughts that the market may have bottomed out already and is starting to recover.
Recent data from Harcourts supports the view that house prices in New Zealand are likely to continue to rise driven by several factors.
As Tony Alexander recently noted, there is a growing sense of FOMO among buyers in the housing market who can see that momentum has changed and they are looking to buy now before “missing out” on what has been a more reserved “buyer market” price wise.
We believe that the springtime housing market will see an uplift in volume of sales, with more listings coming onto the market and buyers more confident about making a purchase.
As the weather starts to warmup, just like every year; more homeowners will be motivated to sell their homes. This will lead to an increase in the number of listings on the market, giving buyers more options to choose from.
Additionally, the springtime is a popular time for families to buy homes, as they are looking to move before the start of the school year. These factors will combine to create a strong springtime housing market for buyers and sellers. If you are thinking about buying or selling a home, we repeat our view that you should act sooner rather than later, as the market is likely to become more competitive as the spring progresses.
The Reserve Bank has kept the official cash rate at 5.5% for the time being and have stated it is unlikely to lift if further in the future. This gives the market confidence.
Overall, we believe that the housing market in New Zealand has reached a turning point and will continue to evolve positively in the coming months.
If you are thinking about buying or] selling a property in New Zealand, it is important to get expert advice. A great real estate sales consultant will be able to help you navigate the current market conditions, find the right property for your needs, and the best buyer for your property.
Visit www.cooperandco.co.nz today.
Property Market Update - July 2023
Andrew North, filling in for Rob Carter, with the July market update for the North Shore, Rodney and Waitākere markets.
The low stock levels that Rob talked about last month continue to be a factor driving buyers, particularly first-time home buyers who have been hesitant but now seem to be growing tired of waiting… they are now active.
Economist Tony Alexander talks about FOOP or fear of over paying exiting the market, with buyers and their behaviour suggesting we have left the bottom of the market, and if they don’t engage they could be faced with higher prices post-election.
The cost of money is still keeping the market in check, creating one of the most balanced markets I personally have ever seen. Translating this further, I see us entering an ‘opportunity for everyone’ market, where you can sell well and equally still buy well.
North Shore sees a median price of $1,212,000 up a modicum on the prior month. With the median days to sell also down by 6 days to 39. Sales volumes are up 11% to 240 – still well below traditional averages so we are not getting too excited just yet.
Rodney median price is sitting at $1,182,000 up a slight 2.8% on the prior month. However of interest, it took 13 days longer to sell in July up to 66. But the sales volume was up 46.7%…that’s 46.7% of 176 transaction.
Out west in the wonderful Waitākeres the median sale price was up 1% to $900,000. Days to sell taking 10 days longer at 52. But again volume of sales is up 6.9%…let’s call it 7% to 249.
In summary, it would appear that the recovery is underway. The first home buyer market is very active, and of course, that is where we see the cycle begin.
Rob will be back next month with the August data, which if I was a gambling man, would be predicting more of what we have seen in July.
Jake Morgan and Jen Singleton are proud to present two immaculately-presented family homes to the market. The motivated vendors are two sisters who are selling to buy next to each other – and their new chapter gives you the rare opportunity to secure a forever home in ever-popular Millwater.
EMBRACE THE SPACE – 6 Percy Greens, Millwater
Offering up views of the verdant reserve next door, 6 Percy Greens allows you to take a deep breath and relax.
The hub of this warm and inviting three-bedroom home is a light-filled openplan kitchen, dining and living room spilling effortlessly out onto a covered outdoor area – ideal for year-round family barbecues, entertaining friends or simply soaking up the sun in the privacy of your fully- fenced backyard.
Every detail has been carefully considered for your comfort, including an abundance of storage and four heat pumps ensuring an even temperature year round. The master suite is a serene sanctuary located at one end of the home and features a walk-in wardrobe, ensuite and access to the garden.
A separate bedroom wing houses the two remaining bedrooms and family bathroom, ideal for guests or children to enjoy their own space.
With a double garage and plenty of offstreet parking for your trailer, boat and caravan, you’ll be all set for adventures, made easy by the lock-up-and-leave nature of the home.
Gardeners will love the easy-care landscaping and garden shed – and there’s room for a vege garden too.
“Our motivated vendors are on the move – don’t miss out on the chance to call 6 Percy Greens your forever home,” says Jake Morgan of Harcourts Cooper & Co.
LOCATION, ELEVATION, MOTIVATION – 12 Kettlewell Drive, Millwater
Sitting pretty at an elevated position where it offers up lovely west-facing views and glorious sunsets, 12 Kettlewell Drive is waiting for its next lucky owner to make wonderful memories here. Sunny and spacious, the four-bedrom home combines serenity with the comfort and convenience of single-level living.
Anchoring the open-plan living and dining is a sleek modern kitchen with butler’s pantry and centre island, where friends and family can gather while you whip up culinary delights
A covered outdoor space forms a seamless cohesion with the indoors, effectively providing you with an additional room, plus two electric awnings for sun protection.
Solar panels on the roof make this property energy-efficient, reducing your environmental impact and energy costs.
A bonus central study nook is ideal for the kids’ homework spot, or for working from home. Five heat pumps have you covered for air and temperature control. Four spacious bedrooms – or three and a second living room- provide plenty of room for growing families. The master suite comes with its own walk-in wardrobe and ensuite, and a family bathroom serves the remaining bedrooms.
“Proximity to schools, shops, motorway access, public transport and the estuary walk / cycleway ensures the utmost convenience in daily life, while time-proven brick and concrete tile construction will give you confidence in ongoing durability.
The vendors have bought and are committed to securing a sale on or before the auction day, so act swiftly to secure your chance to own this idyllic property,” says Jen Singleton from Harcourts Cooper & Co.
Agents | Jake Morgan – M: 021 447 534 – E: jake.morgan@harcourts.co.nz
Agents | Jen Singleton – M:021 820 373 – E: jen.singleton@harcourts.co.nz
Auctions | Thursday 10th August 2023 – 1pm. Harcourts Cooper & Co Auction Room – 128 Hurstmere Road, Takapuna
