The NZ Herald of Sept 14th 2011 published in article on page 4 headed “House prices and sales on rise”. The article emphasised that the value and amount of homes sold over the month of August both showed increases. As has been the trend over the past 2 years, any increases outside Auckland were of your very humble nature, largely in the 1 – 2% region (measured in the previous year). albuquerque open houses
Houses easily obtainable in Auckland, however showed much larger rises with the Real Property Institute (REINZ) figures cited showing median value rises of just short of 3% in the 8 month period since January. Projecting forward, this will lead to the anticipated increase in median values of around 5% for a long time end 2011.
When reporting on homes for sale in Auckland, REINZ figures lump homes (houses) and appointment/town homes in the same category. The most significant group of sales are in the CBD apartment market which has been deflated for some years. Couple this with some areas of the North Shore and Eastern Suburbs where plast typer town houses predominate (for this read “leaky homes”), it is a sensible conclusion to assume that free standing houses in good locations are on track to increase anywhere in the order of 10% in 2011.
From your figures on our own sales board, I can say that this attention to 10% anticipated expansion is about right. There is also a real shortage of residences easily obtainable in Auckland when tested up against the demand. Our office is observing that for a good home in “Greater Ponsonby” we can expect in excess of 100 inspections over a 3 week Auction marketing campaign and four or five bidders is reasonably normal. Earlier previous month (August) we found two homes attract around 200 inspections over 3 weekends and the amount of registered bidders surpassed 15 in both circumstances.
When I compare the number of houses marketed accessible in Auckland, particularly in the main medium of the Saturday Herald Homes health supplement, it is clear that there is a drop in available homes of around 40% over the volumes available 2 or 3 years ago, the key difference being that there are now approximately dual the number of potential buyers having sufficient confidence in their personal circumstances to commit to purchase.
Assurance is on a continuous but solid increase.
Inside the NZ Herald article quoted earlier, ANZ economist Mark Smith said this individual was surprised by the REINZ figures. “The increase in sales volumes was more robust than there were expected. Sales are moving forward to trend up with volumes up 5. 4% seasonally adjusted in the three months to Aug.
With sales volumes around 24% below historical uses as a part of the housing stock, low mortgage loan rates being offered, and an improved labour market environment, there is considerable opportunity for sales to move higher, ” he said.
As an industry viewer and participant, it is clear that generally speaking conditions the future is shiny for those looking to transact in houses for sale in Auckland, and that some regions (normally clustered around the CBD) displays very positive expansion over what has recently been a gloomy preceding 3 years.