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AFTER PHENOMENAL GROWTH, WHERE IS THE MARKET HEADING NOW?
End of the boom? Excerpts from the New Zealand Herald Jan 10-11, 2004
Certainly this is what every vendor and purchaser asks their realtor – Will prices continue to rise? When do you think prices will stabilise? If I sell in 6 months’ time will the prices have come down? How much higher will the property market rise in 2004?
Well, I don’t have a crystal ball; however I do read as much as I can, so as to be informed. Specialists in residential market analysis do vary in their opinion, however a common thread appears to be emerging – the key market drivers indicate an emerging collective trend that proves the property cycle is nearing the end of its boom phase.
Incomes
Incomes are not growing strongly enough to compensate for increased living expenses, which has a major impact on the affordability of buying property. Incomes also affect the desirability of New Zealand as a place to work and live.
Migration
New Zealand is still an attractive place to live but there are factors that are adversely affecting this, such as: the New Zealand dollar is strong therefore New Zealand is less desirable as a destination for creating wealth; our climate is not the best in the world. As we are still a small economy, our economy can be volatile as a result.
Property values
Some parts of Auckland have reached unsustainable levels, thus affecting affordability.
Return on investment
Returns are often being buoyed by the potential of capital gains, as returns are now reaching lower levels. Alternative forms of investment will prove more desirable as returns lower.
In summary, it is envisaged that by the end of 2004 the market may well have hit a plateau.
What does this mean to those of you considering or intending to sell this year?
Certainly to achieve a premium sale price you need to be on the market and probably the sooner the better. In West Auckland prices have not necessarily hit the unsustainable levels that have been reached in other parts of Auckland. Therefore prior to buyers being adversely affected by rising interest rates and rents, it would be prudent to enter the market before activity is slowed down.
A leveling comment here – buyers will continue to purchase property as vendors likewise will continue to sell, however the timing of this is one of personal choice in the main.
For advice as to the expected current market value of your property, phone Kaye now on (09) 814 8984 or (027) 215 2016 and she will provide you with a complimentary market appraisal.
FROM THE DESK OF KAYE MARTIN
THE ENDLESS SUMMER!
Once recovered from the traditional “Kiwi” Xmas-New Year break, homeowners love to spend summer evenings and weekends on their properties - read Tips for Home Selling below for some great DIY projects.
To assist your goal to progress to that new home, find below Kaye’s Calendar, designed to ensure you are in that new home by the time the summer is over!
JANUARY
New Year’s Goal – A new home to meet your changing needs! A list of needs and wants is drawn up.
Ready your home for sale – make good use of the fine weather.Refer to Kaye’s tips!
Phone KAYE to ensure you are informed as to the current market value of your property, and to discuss a suitable marketing plan and timeline to sell and buy.
Speak to a mortgage broker to clarify your buying range for your next home – if you do not have one already, phone KAYE for a reputable contact.
FEBRUARY
Finishing touches are concluded on the presentation of your property.
An advertising campaign begins, marketing starts and prospective buyers are introduced to your home.
Initial house searching begins for your next home.
A contract for the sale and purchase of your property is negotiated by KAYE – possibly still conditional at this time.
MARCH
The contract if conditional is now unconditional.
Serious house viewing is now taking place with KAYE ensuring that no stone is left unturned with Ray White Listings!
Finally – SUCCESS as the right property is found and a successful sale price negotiated by your trusty realtor –KAYE.
Any conditions of your purchase are worked through and ticked off until you are now UNCONDITIONAL
APRIL
Packing commences.
Ideally the two settlement dates are one and the same, ensuring one shift after settlement has been completed.
Unpacking.
You and your family are now settled into your new abode as summer comes to an end!
TIPS FOR HOME SELLING
Selling a property? Firstly, you do not need to break the bank to make improvements and sometimes “As is where is” is your preference and that’s okay. Following are some tips you may choose to act on to increase the appeal to prospective buyers –
· Complete any unfinished renovations
· Touch up blemishes in the exterior paintwork
· De-clutter your garden or shrubs; mulch or bark can vastly improve the garden appearance
· Street appeal is enhanced by a good fence and is important to young family buyers
· If you are fortunate enough to have tongue and groove floorboards, rip up the old worn carpet and return the
· flooring to polished wooden floors
· For indoor/outdoor appeal update or create an outdoor living area with paving or decking
· De-clutter your home by packing up extra ornaments or furniture, thereby giving your home the effect of more space
· Clean, clean and clean again, so your home is sparkling!
If this is all too much, choose a realtor that will assist prospective purchasers to visualise your/their new home with all the above done.
End of the boom? Excerpts from the New Zealand Herald Jan 10-11, 2004
Certainly this is what every vendor and purchaser asks their realtor – Will prices continue to rise? When do you think prices will stabilise? If I sell in 6 months’ time will the prices have come down? How much higher will the property market rise in 2004?
Well, I don’t have a crystal ball; however I do read as much as I can, so as to be informed. Specialists in residential market analysis do vary in their opinion, however a common thread appears to be emerging – the key market drivers indicate an emerging collective trend that proves the property cycle is nearing the end of its boom phase.
Incomes
Incomes are not growing strongly enough to compensate for increased living expenses, which has a major impact on the affordability of buying property. Incomes also affect the desirability of New Zealand as a place to work and live.
Migration
New Zealand is still an attractive place to live but there are factors that are adversely affecting this, such as: the New Zealand dollar is strong therefore New Zealand is less desirable as a destination for creating wealth; our climate is not the best in the world. As we are still a small economy, our economy can be volatile as a result.
Property values
Some parts of Auckland have reached unsustainable levels, thus affecting affordability.
Return on investment
Returns are often being buoyed by the potential of capital gains, as returns are now reaching lower levels. Alternative forms of investment will prove more desirable as returns lower.
In summary, it is envisaged that by the end of 2004 the market may well have hit a plateau.
What does this mean to those of you considering or intending to sell this year?
Certainly to achieve a premium sale price you need to be on the market and probably the sooner the better. In West Auckland prices have not necessarily hit the unsustainable levels that have been reached in other parts of Auckland. Therefore prior to buyers being adversely affected by rising interest rates and rents, it would be prudent to enter the market before activity is slowed down.
A leveling comment here – buyers will continue to purchase property as vendors likewise will continue to sell, however the timing of this is one of personal choice in the main.
For advice as to the expected current market value of your property, phone Kaye now on (09) 814 8984 or (027) 215 2016 and she will provide you with a complimentary market appraisal.
FROM THE DESK OF KAYE MARTIN
THE ENDLESS SUMMER!
Once recovered from the traditional “Kiwi” Xmas-New Year break, homeowners love to spend summer evenings and weekends on their properties - read Tips for Home Selling below for some great DIY projects.
To assist your goal to progress to that new home, find below Kaye’s Calendar, designed to ensure you are in that new home by the time the summer is over!
JANUARY
New Year’s Goal – A new home to meet your changing needs! A list of needs and wants is drawn up.
Ready your home for sale – make good use of the fine weather.Refer to Kaye’s tips!
Phone KAYE to ensure you are informed as to the current market value of your property, and to discuss a suitable marketing plan and timeline to sell and buy.
Speak to a mortgage broker to clarify your buying range for your next home – if you do not have one already, phone KAYE for a reputable contact.
FEBRUARY
Finishing touches are concluded on the presentation of your property.
An advertising campaign begins, marketing starts and prospective buyers are introduced to your home.
Initial house searching begins for your next home.
A contract for the sale and purchase of your property is negotiated by KAYE – possibly still conditional at this time.
MARCH
The contract if conditional is now unconditional.
Serious house viewing is now taking place with KAYE ensuring that no stone is left unturned with Ray White Listings!
Finally – SUCCESS as the right property is found and a successful sale price negotiated by your trusty realtor –KAYE.
Any conditions of your purchase are worked through and ticked off until you are now UNCONDITIONAL
APRIL
Packing commences.
Ideally the two settlement dates are one and the same, ensuring one shift after settlement has been completed.
Unpacking.
You and your family are now settled into your new abode as summer comes to an end!
TIPS FOR HOME SELLING
Selling a property? Firstly, you do not need to break the bank to make improvements and sometimes “As is where is” is your preference and that’s okay. Following are some tips you may choose to act on to increase the appeal to prospective buyers –
· Complete any unfinished renovations
· Touch up blemishes in the exterior paintwork
· De-clutter your garden or shrubs; mulch or bark can vastly improve the garden appearance
· Street appeal is enhanced by a good fence and is important to young family buyers
· If you are fortunate enough to have tongue and groove floorboards, rip up the old worn carpet and return the
· flooring to polished wooden floors
· For indoor/outdoor appeal update or create an outdoor living area with paving or decking
· De-clutter your home by packing up extra ornaments or furniture, thereby giving your home the effect of more space
· Clean, clean and clean again, so your home is sparkling!
If this is all too much, choose a realtor that will assist prospective purchasers to visualise your/their new home with all the above done.