Real Estate Set For Strong Summer, But Listings Alarmingly Light

“This coming summer is looking stronger than we thought possible just eight months ago, but the quantum of success relies on Kiwis being prepared to sell their properties, as listings remain at an absolute premium,” says Derryn Mayne, Owner of Century 21 New Zealand.

Her comments follow REINZ today releasing its Monthly Property Report for October which shows median house prices across New Zealand up by 19.8%, compared to October 2019. In total, 10 regions and 28 districts around the country saw record median prices during October, including Auckland up by 16.3% in 12 months to new record high of $1 million.

“This summer will be a great time to market your house with limited competing listings, but very strong buyer demand resulting in more and faster sales. Mortgage rates keep hitting rock bottom and the economy is doing better than was earlier expected.

“However, 2021 is proving difficult to predict. When you consider the likes of the mortgage holiday scheme ending in March and possibly the return of LVRs also then, if I were contemplating selling, I’d be listing now – in a rising, hungry market,” says Ms Mayne.

Despite the number of sales dramatically up and the ‘days to sell’ down, REINZ has revealed the number of properties available for sale nationally was down by -18.7% in October compared to 12 months earlier. However, there is some relief in sight as inventory levels have lifted by 3.2%. since last month

The Century 21 New Zealand boss says two things are making a big difference for many vendors currently selling property: Putting a price on it; and online presentation.

“First-home buyers are telling us they won’t go near properties without a price. They have a budget and are tired of going into multi-offer situations and being blown out of the water. Not advertising an asking price can of course benefit a vendor, but they also run the risk of putting off many potential buyers who think it’s just too hard or beyond them,” she says.

In the age of lockdowns, limited travel, and people buying sight unseen, Derryn Mayne says, never before has a property’s online presentation been more important.

“Staging an empty house can add tens of thousands of dollars, especially if buyers are making their determinations via their computer. Professional photography is also critical including the likes of virtual tours, video, and drone footage. 3D floor plans also bring a property to life.”

She says the latest REINZ statistics reinforce that this summer is an opportune time for vendors to sell, and invest in their sale, with professional online presentations returning sellers huge dividends.

“Those Kiwis prepared to list their property this summer, and make a really good job of it, won’t regret their decision. Global uncertainty remains, but clearly not for New Zealand’s real estate market this summer,” says Derryn Mayne.

www.century21.co.nz

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