Tag Archives: valuation

Pondering them ole days….

….things, well….they were different then…

…weren’t they?

Hey it seems even the price of land was kind of reasonable? Hmmm… the ole days?

So…RealEstate, as an investment….I ask you the investment question?

After all ….isn’t it the only investment you and I will make that WILL immediately/directly protect / house / habitat our loved ones, isn’t it?

Or am I wrong………and will shares in Apple or Google or Telecom or P&G have a similar risk, and do that too?

Get ready for The Block – Kiwi Style

June 19th 2012

Renovation Fever (“Reno Fever” in Aussie talk) is about to hit the small screen, very soon. (15 days, 2 hrs, 47 mins, and 56 seconds away actually according to the counter on their site here)

Hot on the heels of a very successful 4 + year run across the ditch, where, on many occasions, it made it to being Aussies most watched program status….

a recent article in The North Shore Times points to the purchase of a 4 adjacent property lot in Takapuna, where it looks more than likely the program will be based.

Although Anneke Bodde, the publicist for the TV3 show, is saying at this stage that they won’t confirm the filming location…….there are other signs according to the newspaper report……

Four dilapidated brick houses on Anzac St have been marked with numbers and have had television crews swarming all week.

Pretty soon 4 couples will embark on the home renovation of their life.

Apparently it would appear that us Kiwis, well, we are one country of 4.4m DIYer’s, and it wouldn’t surprise me at all if the whole country takes these couples and the program to heart.

Who could forget Mark & Duncan from series 3?

Renovation aficionados will recognize these 2 larger than life Aussie characters from the OZ version of the reality TV lifestyle program, “The Block.” As you can see from the above clip, even taking the time out to offer pointers on other DIY projects.

That laugh….

Now who could forget “that laugh.”

Well, watch TV3 from July 4, and you’ll definitely see why……

….and also experience the reasons why this series was such a hit over The ditch.

For the first time in NZ, we will be able to watch the weekly trials and tribulations of our own Kiwi contestants going for it, on home turf.

 

 

Englishmen / Woman coming to New Zealand

May 2012

Aka “Englishmen in New York Nelson.”

A question I am constantly asking myself is this one……….

…..why do “Poms” seem to not consider “future selling” money when they build a home in Nelson?

So, whether a UK resident moves to NZ or New York, their thought patterns should, to all intents and purposes just about remain the same, the only real difference being the physical distance.

If you want to move the family “lock, stock & barrels” out to the antipodes, then here’s two really important tips that will result in you “netting thousands” instead of losing them. (trust me on this, I’ve seen and experienced the heartfelt collateral damage side of this over the last decade…….at the very least, on about 11 ~ 12 occasions)

Ok this is from a UK TV Program...but let me tell you I have seen it locally...in Nelson

No.1

Do Not build a home with associated utility pipework on the outside…….yes yes I know it goes for ok back home……and again yes, yes, yes …I know you need it / have to have it, where else to put it, etc, etc….. but out here in New Zealand….well, we tend to have a bit more room/space around us……and frankly this ole habit just really needs a real good “Dan Carter” kick right out into the paddock.

Let me tell you right here & now…..what a Kiwi buyer thinks when they see this…….“cheap…cheap…cheap” – now, surely, that is not the first impression you want any prospective buyer of your property to have?

Extra rooms aren't always an advantage....

No.2

The fact that you want 3/4/5/14 reception rooms may very well appeal tremendously to you…..but from an antipodean perspective…let me tell you – its almost a “death knell.”

Out here, well……..we want/desire/live for “open plan” living, surely you might have noticed that when visiting the brand new showhome exhibitions……heck, space is what its all about way down here near the great Southern Ocean.

I hope you’ll view this for what it is – just a couple of hints from someone whose seen both sides of the story.

Property Sellers, be aware of this….

At least three local companies are offering “you pay for your feature advertising in the weekly press/paper” and then, …..”when  the property sells” we’ll refund you what you spent.

And, what – after a typical 3 mth agency, if the property doesn’t sell, and the property owner has spent $2 ~ 3,000??

.....truly folks, would you REALLY want your photo amongst this lot?

Really good advice to you Mr/Mrs Seller. here….is BEFORE you list your property……visit your local property press / media weekly advertising medium and ask yourself this question………

Prefice the situation depicted above! ……as in, would I really like my property to be one featured on this sample 2012 Nelson page????

Ask yourself….

How did half the properties on that page get themselves into that situation, because I am sure there are at the very least, 4 (well from this Feb 2012 page at least)  pretty unhappy campers (all with their very own personal stories) who were told an appraised selling price of $x…but now…for some reason 4 out of 8 of them are experiencing something they don’t want to.

Well you have decided to go to market at $XXX, but now…hmm looks like the table is turning. Make sure you don’t get caught like this is all I’m saying?

And around about now……. such a normal property owner would more than likely be thinking, even seriously considering……….hmmm, this hasn’t worked out so far has it…….just like any normal human would think…….I think I want a change……what to do next?

Change agencies, surely that’ll give the product a very practical & important refresh, a new platform, new attention, different focus / audience /  positioning and perhaps in to the bargain….a newly enthused team of agents, etc…..BUT WAIT……there is just this simple matter of thousands of dollars already spent….”and if we change agencies”….well, we won’t get a cent back….will we??

Well what you have just stated is exactly the intention of someone trying to get you into a “contract period” by this method. Think about it?

I could go on for paragraphs about this, but I won’t because like last time………there is the chance that it would be deemed “unprofessional”……and just like last time…….the local paper will pick up on it….and yes, again, just like last time…….I’ll be in a mighty lot of trouble with real estate company directors!

No, please sellers, think thrice before you commence an agency contract based on this type of strategy.

Our company “DaySheet”, the daily “bible” sheet distributed to company offices/sales people shows that yesterday, Summit in the Nelson region (whom I am an independent contractor for) had 10 properties go unconditional on the one day (yesterday 27th March 2012) …… add into that my 2 unconditionals from today, and we have at the very least, 12 SOLDs in 48 hours.

(Perhaps, in our companies case, it could be suggested this type of result amply demonstrates the “power of the team” ….but that sounds kind of simplistic without trying to make it sound that way…..and that’s just my own personal opinion showing through anyway)

Surely a seller should do one thing up front, invest more time in selecting an agent / co to assist with aiding them to get the best premium possible for their, in most cases, most expensively prized asset that they possess …….than (well I’ve seen this in real time) they would typical invest in buying a microwave or big screen LED TV?

And that folks …… that is all I ask.

IT’S TRULY IN YOUR (& YOUR LOVED ONES) OWN BEST INTERESTS.

UPDATED

Serendipity strikes tonight – here I am reading the local paper online at 10:30pm ….and look here.

Home Values, a bit like Coronation Street?

Nov 27th, 2011

Stoked by a suburb? Well yes, as a matter of fact, in Nelson, you can.

As the ITV cameras pan in at the beginning and again, out at the end, you used to see what looked like rows of little boxes on the hillside of Coronation Street. Many many identical little boxes. Something that must surely have made a local Valuers job just that little bit easier back then.

Guess what, Nelson in one way, has something similar.

Not exactly in TV terms, with debatable neighbours, but most definitely from a Valuers perspective.

See, the area local folk know affectionately as “Poets Corner”**, it just about presents that same Coro St equivalent property valuation opportunity.

A large subdivision that was developed & populated in the 60’s, and early 70’s it was quite unique in Nelson terms.

Why?

The why is because, picking a few streets here for example, in this instance Marlowe, Kipling, Tennyson & Dickens, I come up with the figure of 60.8% of the properties that had an identical section size, generally rectangular and always at the same 607 m2. (for those of you statistically inclined, that relates to 110 out of 181 stand alone housing sections in total ) In addition to that, another 15 had a slight 10% bump up, up to 647m2…so to be fair, they could almost be lumped into together in the scheme of things anyway. ( I suggest 125 out of 181 here)

Of these homes, well they were mixed, stucco/roughcast, weatherboard along with a bit of  the usual mixed material construction, again pretty standard fare for the times, but typically of the 110 ~ 125m2 in floor area size, all built in that same short period.

Time to bring you up to date with the suburb of Stokes importance in New Zealand, so I draw your attention to this prior news.

1. Stoke, by the official stats, post GFC , simply New Zealands best performing suburb.

2. Stoke, voted New Zealand top place to live, for the people, by the people!

And the local news, prices for homes in this Poets Corner zone of Nelson have doubled every 10 years in recent memory.

That means that they were…..

In 1975 – $30 ~ 35,000

In 1985 – $70,000

In 1995 – $140,000 (this is really an average decade price b/c the 90’s were, to put it mildly,  a trying^^ time for real estate prices in NZ)

In 2005 – $280,000 (well actually a year or two before this date in reality, because by 2005 most were more like $285,000 ~ 295,000)

In 2011 – $ approx $320-330,000.

In 2015 – $560,000??? ( hmmm….interesting)

Put simply, the figure for 2015 as an average (“median” perhaps), well it has my head spinning?

So the good news is that because we have so many similar style / size / year built homes on exactly the same size sections, we do indeed have a great local property valuation tool. It also reinforces that Stoke home prices have kept their value almost better than anywhere else in NZ over recent years 🙂

There’s a good chance in 4 years time I’ll be eating my words, my hat, whatever…….but any which way, it sure will certainly be interesting around about January 2016 summer BBQs , any discussions regarding “the past” in terms of real estate prices.

Be that as it may, history has shown that investing in real estate in Nelson is certainly not an unsure thing. There’s a track record there.

 

** called Poets Corner because of the following street names…..like  Marlowe, Kipling, Tennyson, Keats, Browning, Dickens, Shelley, Barrett, Coleridge, Wordsworth, Masefield, & Rosetti.

^^ – plenty of examples depicting folks that brought a property in 1991/92/93 sold it for the same price or even less in 97/98/99

RELATED – Beaut suburb is stoked at being NZ’s top place  – Nelson Mail 10th Oct 2010