As predicted the 2019 new year real estate market has a fresh vibrant vibe in the air. Both physically on the street with good open home attendance and online enquiry are showing positive activity, even with a hint of determined decisiveness!
Backing the new year market, we have prepped a number of listings to launch early to mid January, which to date is proving to produce the desired level of enquiry. Often with less stock on the the market immediately over the Christmas – New Year period, being that “first taxi off the rank” is a smart thing to do in the realm of real estate marketing. This equates to heightened interest in the limited available stock from a buying public hungry for new listings.
It’s also worth noting that the Reserve Bank’s reduced LVR restrictions have come into effect from 1 January. This means that banks will now be able to lend 20 per cent of their new loans to owner-occupiers who have a deposit of less than 20 per cent of a purchase price – up from 15 per cent of new lending. The required minimum deposit for investors has now dropped to 30% from 35%. It’s foreseeable that these changes will bring a new batch of buyers into the housing market.
Being intuitive to the marketplace and seasonal trends is something we like to pride ourselves with, meaning we can be on the front foot when tailoring a marketing package with our clients who are looking to sell.
We believe the advantages of the new year market are many, so if you would like to strategise a specific plan to maximise both your property and the current market over a cuppa, be sure to make contact. We’d welcome the opportunity to offer specialised strategic advice to ensure the best possible result. We’re ready to get to work!
BNZ Economist Tony Alexander provides an enlightening piece on why a housing market goes into overdrive. While this is written with reference to the Auckland market, I can apply some of what to a more localised level. Continue reading
At the New Zealand Herald:
Banks are dropping mortgage rates and offering cash sweeteners, loaded credit cards, payment of legal fees and tablet computers as they go to war for customers.
High on their target list are disillusioned National Bank customers, whose bank is to be merged with the ANZ, which owns both brands.
While it is time to say goodbye to the black stallion that has held the head high of a true thoroughbred bank for many years (I remember it back in my farming years in the 1980s!), we can all be thankful of the very competitive mortgage rates on offer as a consequence. The revered black horse has held a market share that has been the envy of most banks and who now see it as an opportunity to lure those that are struggling to come to terms with the merger and dropping of the brand that has been part of the banking landscape for so long.
On the positive, money is so cheap at the moment and this must be one of the most favourable lending eras that we have had for years! While I know here in Christchurch there are more hurdles to jump and criteria to meet post-quake, in my opinion it is well worthwhile enduring the pain to secure a mortgage. Whether it is a first home or an investment property, I believe both fall into the category of “good debt” and will help you get ahead in the long run. With Christchurch already experiencing strong growth in the housing market, jumping onboard has got to be a good thing as demand for housing is set to look high for some time yet.
Go on, now is the time to do it – property is unlikely to become more affordable than it is today!