Header Ad Module

Collapse

Announcement

Collapse
No announcement yet.

Agents jump in sales slump

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Agents jump in sales slump

    Agents jump in sales slump
    By CHRIS GARDNER - Waikato Times | Thursday, 12 June 2008

    Real estate agents are leaving the industry as the house sales slump bites with nearly a fifth of the Waikato's agents not renewing their licences by the end of March.

    The Real Estate Agents Licensing Board says of 3159 agents registered on March 31, only 2584 renewed their licence. Registrar Diane Rawlinson told the Waikato Times the 18 per cent drop was one of the biggest falls the board had seen.

    Between March 31 and May 31 a further 78 real estate agents registered in the Waikato, pushing the number operating up to 2662, but still 497 behind last year's total.

    The Waikato Times reported this week that one agency, Re/Max, had closed its Rostrevor St, Hamilton, doors.

    The fall in agents is mirrored in the slump in the number of sales, though in the Waikato the median price paid by buyers slipped only slightly. The number of sales in the Waikato-Bay of Plenty in May was 582. In May last year it was 1664.

    Nationally, 17,757 agents renewed their licences at the end of March but almost 4000 did not.

    Agents rely on a commission for each house sold. Declining sales have forced many, often those new to the industry, to look for other work.

    Richard Lindsay, manager of Lodge Real Estate's Hamilton branch, was not surprised to hear of the drop.

    "It's pretty reflective of what's happening in the market," he said.

    Figures released by the Real Estate Institute of New Zealand yesterday showed a 53 per cent slump in the number of sales nationally over the past year. While residential prices stood relatively still in May, and are down 1.4 per cent on a year ago. Figures from the Real Estate Institute's monthly survey show May sales numbers nationally down to 4373 against 4464 in April and 9285 a year ago.

    REINZ President Murray Cleland described the market as treading water and showing signs of levelling off from what had earlier looked like an unpleasant trend.

    "When you look at April and May together it seems that the market is finding a new level, albeit a very low one in terms of sales," he said.

    In the Waikato/Bay of Plenty 582 houses sold in May for a median $310,000, down on the 630 in April and 1364 last May. In Hamilton 160 houses sold in May, compared to 149 in April and 289 a year ago.

    http://www.stuff.co.nz/waikatotimes/4581768a6004.html
    "There's one way to find out if a man is honest-ask him. If he says 'yes,' you know he is a crook." Groucho Marx

  • #2
    Heard an estimate somewhere that about 33% of RE sales people were expected to leave the industry this year.

    Comment


    • #3
      I hope some more brokers leave soon.
      Hamish Patel | ph: 09 625 4693 | mob: 021 625 693
      My Website
      Be informed - register for our free monthly newsletter

      Comment


      • #4
        I hope that a lot of investors leave soon.

        Comment


        • #5
          Sally Ridge could broker my mortgage any day (whatever that means).

          Comment


          • #6
            Pending regulation of the industry possibly assisting the exodus.

            Comment


            • #7
              Originally posted by Paul G View Post
              I hope that a lot of investors leave soon.
              Lol, so do we all.

              David
              Squadly dinky do!

              Comment


              • #8
                News from the trenches:

                I have meant to tell you for ages that xxxxxxx, a mum from school has been the receptionist for xxxxxxx Real Estate, Glen Eden for 10 years plus and she has just been given her notice. They have averaged 6-7 agents in the office in the past but are now down to 3 and can no longer afford her! The hard times are here.
                DFTBA

                Comment


                • #9
                  Just listening to some economists. Sales have slowed a lot but things should pick up in the number of transactions as soon as the sellers start facing the reality of price drops.

                  I think there are still people holding on and this means far less number of sales. Once the price reaches a new low who knows when, then the number of houses sold should pick up a bit.

                  Real estate agents make a lot more in the fist couple of hundreds of thousands so I think those that will stick around may have some work to do in 6 months to a years time.
                  Hamish Patel | ph: 09 625 4693 | mob: 021 625 693
                  My Website
                  Be informed - register for our free monthly newsletter

                  Comment


                  • #10
                    I hope auntie Helen leaves very soon
                    www.focuspropertymanagement.co.nz
                    Property Management Tauranga & Bay of Plenty

                    Comment


                    • #11
                      STill a long way to go for the Agents correction (trimming of jobs) I read somewhere that there is a 65% attrition rate of real estate agents in New Zealand and Australia.....

                      SO if there has only been and 18-20% fall so far ..... things have a fair way to go.....

                      Sellers are still generally unrealistic about thier sales price.... I just got off the phone to one and she had not had an offer at all in 5 months..... When I asked her "what did your agent have to comment on that?" She told me .... "the price is right... jsut need to find the right buyer".....
                      I asked her what she would take for cash and she said... I have a figure in mind..... but I am not telling you!.... So I gave a gracious exit and said when she has fugured out what she wants to sell her house for.... just call me and i will let her know in 30 seconds if that would work for me or not.

                      Have fun out there guys!

                      Comment


                      • #12
                        To be very honest, if I was a Labour cabinet minister I wouldn't exactly be busting my gut to win the next election. It may be a better idea to have a one or two term snooze in my nice safe seat and let the other lot deal with all the economic and social problems that currently beset the country.

                        Comment


                        • #13
                          Originally posted by mortgage broker View Post
                          Just listening to some economists. Sales have slowed a lot but things should pick up in the number of transactions as soon as the sellers start facing the reality of price drops.

                          I think there are still people holding on and this means far less number of sales. Once the price reaches a new low who knows when, then the number of houses sold should pick up a bit.

                          Real estate agents make a lot more in the fist couple of hundreds of thousands so I think those that will stick around may have some work to do in 6 months to a years time.
                          Its not about the lows its about how much easy credit is around.

                          Most banks appear broke and you can only reflate money supply so far.

                          Where already experiencing inflation from the last round of central banker rampent money creation. Thats where the so called profits in real estate have come from!

                          Thats not capitalism since the bankers have no capital any more!

                          Comment


                          • #14
                            That's interesting considering a number of banks have lowered rates plus indicated they are easing some of their lending criteria.
                            Nigel Turner

                            Comment


                            • #15
                              Not much easing this week from the big five.

                              They appear to be sitting and waiting.
                              "There's one way to find out if a man is honest-ask him. If he says 'yes,' you know he is a crook." Groucho Marx

                              Comment

                              Working...
                              X