Regional property markets show strength
It's the time of year when things start to slow down. The days are shorter, the mornings colder and for the real estate sector, the move to winter usually means a much quieter market.
Buyers bunker down, vendors hold off until spring and renters rush to find somewhere warm. However, if the latest figures from the Real Estate Institute of New Zealand (REINZ) are anything to go by, the property market across the country is just starting to heat up – and not just in central Auckland!
Let's take a look at what's happening.
Once again, the property market in the City of Sails has shown just how strong it really is. There's been a seasonal slow down – property sales took a 25 per cent dive in April when compared to the previous month, but if you compare the volumes to the same time last year, you'll see that they've jumped 25 per cent across the city, according to REINZ.
This seems to reflect what CoreLogic NZ research recently found – speculators look to be having a rare old time buying up homes then selling them off again, which means more sales, fewer listings and, of course, higher prices. The REINZ data shows that prices in the Auckland region have grown 17.7 per cent over the year to April, with the biggest increases seen in the sought-after areas of the North Shore, Rodney and and Outer Auckland.
"The Auckland region continues to see strong demand from all types of property buyers and low levels of new listings," REINZ Chief Executive Colleen Milne said.
Over the Bombays
While Auckland sales have been red hot over the past year, that's nothing compared to activity in the regions beyond the Bombays. The volume of sales has expanded 53 per cent compared to April 2014 in the Waikato/Bay of Plenty, according to REINZ. For the savvy investor wanting to escape the price shocks of the Auckland market, residential property investment in Hamilton presents plenty of opportunities.
Regional Director Philip Searle said there's certainly been a strong upward trend in sales in recent months across the region.
"Attendances at open homes are still strong and there has been an increase in the number of listings available providing buyers with more choice," he said
It's yet another month of strong activity in the country's largest city and the signs are encouraging elsewhere, but the upcoming cooler weather could give your investment ambitions a great chance to get a foothold in the market.
People selling at this time of year can be eager for a quick result, meaning you might be able to find a bargain – just make sure to get investment advice from your Authorised Financial Adviser, like us here at Goodlife. By figuring out your ambitions, we'll help you figure out whether the house is a good fit for your long-term plan.
Here's to your financial independence!
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