Market Updates

HIBISCUS COAST MARKET UPDATE – APRIL 2019

In the news last month…

  • There has been a great deal of uncertainty in the residential property market and that has had a negative impact on sales, particularly in Auckland.  However the Real Estate Institute of New Zealand has just released their monthly statistics and have reported that median house prices in Auckland have remained exactly the same as April 2018 at $850,000.  Also, confidence has increased back into the market with Captial Gains Tax (CGT) now off the table and with the cutting of the Official Cash Rate (OCR).  Interest rates are predicted to remain low for longer and perhaps even go lower, which makes it a great time for buyers who may have been sitting on the side-lines to commit to a purchase.  And while the effect of mortgage rate cuts announced so far may be modest for individual home owners, when all of those small reductions in mortgage payments are added together they become a substantial cash injection for the economy.
  • With Capital Gains Tax off the table for now, we have certainly noticed an increase in buyer activity over the last two weeks which is a positive sign for the real estate market.  We are also working really hard to find new listings to show our buyers through before they come online!  We also have our first bi-weekly “Coasties Buyers Club” evening next Tuesday, May 14th from 6pm at our Harcourts Silverdale office.  This is a great forum to meet with us to discuss your needs in a “no pressure” environment.  Find out more under our events on our Facebook Page.
  • Ceiling and underfloor insulation will be compulsory in all rental homes from 1st July 2019 and as we head into June, installers are super busy and we’ve heard of other cases where insulation is in low supply.  Landlords who don’t comply with the regulations risk facing a $4000 penalty.  A client recently gave 90 days notice to a tenant as they are going to sell their investment property and wanting to do so once it is vacant.  This 90 days notice meant the tenancy ended in August.  I phoned the Tenancy Tribunal to see if we were able to get an exception as it was no longer going to be a rental home for the vendor.  Unfortunately for the vendor, the property still needed to meet the insulation regulations on the 1st of July.  In an extremely fortunate series of events, the tenants had been embarking on their own real estate adventure and have just bought their first home…. and will be vacating on the 30th of June!  The average cost for a professional installer to put both ceiling and underfloor insulation is approx $3,400 excl. GST for a 96sqm home.  In relation to property prices, it isn’t too much to bring a property up to regulation, but it certainly something to be mindful of when buying property.  Click here to download more information –

Hibiscus Coast Real Estate Market Snapshot

 

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If you would like to have a no obligation chat about real estate, please contact Anita Dobson on 021 337 093 or email anita.dobson@harcourts.co.nz.
Your #1 choice for real estate on the Hibiscus Coast!