Archive for the 'New Zealand Real Estate Market' Category

224 Houses For Sale in City of 190,000 People.

Wellington, today.  I have no idea what is going to happen this year to prices, but it might be dramatic.  By contrast 124 houses available in South Wairarapa, population  only 10,000. Wellington is that out of kilter.

January 15 2016 | And What About The Wellington Market? and New Zealand Real Estate Market | No Comments »

Wellington Gets Busy- 65 Offers on this House!

Yes, the 65 written tenders this Northland Wellington house covered a range of nearly $300,000. We sold it  about 50% over the  – low- RV of $495,000.

It seems the arrival of some Auckland investors since 1st October deposit changes, has finally made Wellingtonians’ get a bit of confidence in their own housing stock! The shortage of stock & low interest rates may result in some upward prices in the new year: a change to what has been 8 years of virtually no price changes in the region. See graph below.

31 Kaihuacorrect wgtn

December 17 2015 | And What About The Wellington Market? and Auckland real estate and Memorable sales and New Zealand Real Estate Market | No Comments »

Auckland Buyers Storm Wellington?

In the last week I have had three offers from Auckland investors: one has bought this beauty in Thorndon from me. Way over its silly RV of $1,050,000. Yielding over 6%, on a lovely 550 m2 section in a great street in Thorndon ( Burnell Avenuemain). Bought without physical inspection though the buyer knew the property and carried out full diligence. The other two offers were made sight unseen also. I’ve rarely  had even one offer like that in 26 years real estate. A trend or an anomaly?

October 30 2015 | Around Wonderful Wellington and Auckland real estate and Landlords/Investment and New Zealand Real Estate Market and Notable Property For Sale | No Comments »

Economist Renowned for Wise Predictions Ticks Wellington.

“Wellington offered good opportunities for investors, first home buyers, and people looking to free up cash outside Auckland,”  Tony Alexander Chief economist of the BNZ said last week.

“If you gave me $10 million and said go forth and buy a bunch of houses you reckon will produce the best capital gains in the next five years, where would I look? I would sink it into Wellington, Hamilton, Tauranga and a bit in Nelson.”

He expected to see a lot of talk soon about the good city life which Wellington offered.IMG_0460

“The ability to buy a reasonably priced house to raise a family, the fact few head offices are planning to shoot north now, the coming long-term benefits of the Transmission Gully Motorway, IT sector, culture, runway lengthening and the film sector.”


A local  Wellington real estate manager Marty Scott said in a newspaper interview:

“Wellington is looking like a good destination for investors in terms of price and yield”.  However he questioned if the growth was driven by out of town investors. He believed it was mostly Wellington buyers. “Currently about 15 per cent of buyers were from outside of the capital and about 3 per cent from overseas. In the last 3 months there had been no shift in these numbers”, he said.

Grow Wellington chief executive Gerard Quinn said there were plenty of job opportunities in the capital, particularly in the strong tech sector.

“With a vibrant city, excellent public transport and easily accessible coastline, the Wellington region offers so much more than lower house prices.”

August 28 2015 | And What About The Wellington Market? and Around Wonderful Wellington and New Zealand Real Estate Market | No Comments »

No offers Prior To Tender Close.

No offers presented till property on market for 7 days. No tenders that sell prior to advertised close date. My employers  have mandated these rules for years: seems reasonable in order to work for a vendors best price!  Licenced under REAA 2008

August 11 2015 | Auckland real estate and market manipulation and New Zealand Real Estate Market | No Comments »

School Zoning Tab on Realestate Web! Great News!

School zoning has been very profitable for agents. And tricky, as zones change. Well done team, this is a great feature mums and dads will love!Untitledbbb

August 10 2015 | New Zealand Real Estate Market and Websites and Zoning | No Comments »

Reduced by 75%, 4 years old, never lived in. NZ$2m!

I can sell you this 600 m2 beauty, just outside Tucson, Arizona. came on market new, 2008 at US $6,500,000. Now US $ 1,790,000. Tuscon is a place I really like. The bank own it, and another I can sell, similar grandeur & size,  same story, never lived in either.

Makes you realize how much of the worlds property drama we have missed out on.

February 21 2013 | Global Markets and New Zealand Real Estate Market and Notable Property For Sale | 2 Comments »

Buyers will consider rates, & indebtedness of Authorities

For a long time US statistics for buyers have emphasized  “property taxes” & the solvency of local authorities in comparisons of various sorts.

Till recently I thought this somewhat unnecessary for New Zealand whereI felt all authorities run the same more or less, and the rates not hugely different, and imagined buyers thought the same.

But look now;  would you like to buy real estate in Kaipara with $19,000 of debt for every citizen? And Dunedin  looks to have major issues…. including a $220 million stadium that I believe has not generated a cent of income in its first half year! Neither Elton John nor the World Cup Rugby paid to use it.

I think buyers will consider these things when moving now.

So authorities that have been profligate may drive a nail into that areas future prospects. A sobering thought.

March 09 2012 | New Zealand Real Estate Market and Zoning | 1 Comment »

Are Christchurch People Buying Elsewhere?

I have only met one Christchurch  party paid out on their destroyed house, who have bought in Wellington. They intend going back to Christchurch in 2 years. It seems almost no one has been paid out on insurance. Any agents anywhere seen evidence of Christchurch influence? If these homeowners  have not bought elsewhere, & can not yet re build….what are they doing? Australia? Renting elsewhere? Any ideas?

November 24 2011 | And What About The Wellington Market? and Earthquakes. aka The Big One and New Zealand Real Estate Market and Uncategorized | No Comments »

Save us from the Capital gainers! Please

The IMF think a capital gains tax on real estate would suit us here in NZ just fine!

So: do they know we have a capital gains tax already, on shares as well as property?

Do they propose it be on Commerscial property or just residential?

Why did those countries with capital gains taxes have just the same surge in values as NZ did?

Since it costs more to build new than buy existing, in most NZ markets, that must mean build costs have doubled in the period house prices have doubled!  HMMMM could that be a culprit? & who’s fault was that? Not the “greedy real eastate owner!”

A tax would drive prices down. That would totally kill “new builds”, leading to aging housing stock, housing shortages, increased crowding, increased rents….all the building trade going to Australia…..hmmmm.

If the tax was on “realized gains”, the market would freeze up a lot. In Italy houses have lain idle for literally hundreds of years because the owners cant afford to pay taxes due on sale.

If it is on “unrealized gains”. Whew! where do retired couples get that money each year? Where does anyone get it?

So year one, “Unrealized Gains” scenario: Prices fall 20% (see my earlier blog) wiping $36b. Investors lose $24b, & claim $12b in tax losses! Hmmm.
In future after that, when the market rises, (which is always good times) Govt coffers will overflow at a time it dosnt need it, so will spend it like Labour just did for 9 years. When times are bad, investors will get refunds, putting pressure on already empty Govt coffers.

BUT THEN… there will be an equalizing private effect. Investors will have Mr or Ms Taxpersons hand in their pocket during booms, but handing some back in bad times. Countercyclical for investors.
Of course that is a bit like saying they take 3 pints of blood, but give one back.

Where are they at?

May 01 2011 | Media Beats Up Real Estate and New Zealand Real Estate Market | No Comments »

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