Property opportunities appearing in Hamilton
Choosing the right time to buy is an integral part of learning the real estate trade. It pays to know when and where you will see value increases and ensuring that you get your share of the slice. However, some investors seem to have forgotten that a property market exists outside of Auckland, and plenty of opportunities are going unnoticed as a result.
Could this be your chance for property investment in Hamilton?
The latest QV statistics are suggesting that Hamilton could be a rising star in real estate, as the property values around the city continue to rise with only a slight recent slowdown. Owners of Hamilton property saw values rise by 20.1 per cent year on year, reports QV, while Auckland is beginning to feel the strain as new lending practices take their toll on the exponential growth seen over the last few years.
This could be an indicator that as Auckland cracks the one million dollar median property point, affordability has reached a critical mass as investors shy away from the high price points. Perhaps this is why the Real Estate Institute of New Zealand (REINZ) has reported an 18.6 per cent sales volume drop in December 2015 compared to 2014.
While Auckland properties still outstrip Hamilton in terms of median value, Hamilton has fought back with a big 4.2 per cent rise over the last three months, while Auckland has wilted at only 1.2 per cent. Savvy investors might do well to jump on this value-boosting train before the opportunity is missed.
Not dead yet
However, there may be some hope for the Auckland market.
"The decline in sales volume in Auckland, while noticeable, is likely transitory as the region gets to grips with the new LVR rules for investors," said REINZ Chief Executive Colleen Milne.
Time will tell if Auckland manages to recover while Hamilton rises.
Here's to your financial independence!
Authorised Financial Adviser / Investment Property Expert
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