Statistics and sentiment don’t always choreograph neatly when the property market turns the corner; and that’s what we’re currently seeing in New Zealand.
Buyer sentiment has increased markedly in the past few months even as the pace of value declines eases.
The prospect that we’re near the end of an extended period of interest rate rises is enough to whet buyers’ appetites.
Sellers are yet to capitalise on the opportunity, leaving you with a big opportunity if you’re considering moving soon.
The latest Real Estate Institute data suggests sellers are holding off for warmer weather and the spring selling season. It finds the number of properties for sale in July was down 12.4% compared with the corresponding period last year.
We believe the national property sector will start moving into positive territory very shortly. And this makes it an ideal time to start planning your sale.
We’re already seeing green shoots in markets such as Christchurch, where prices dipped just 0.7% in the past quarter. Buyer optimism is also evident in Auckland, where quarterly falls have slowed from 4% to just 2.6%, according to the Velocity House Value Index.
Quarterly price easing is also evident in Wellington (-2.2%) and Canterbury (-0.9%). The average price at the end of July remained a healthy $943,000.
With the spring sales season approaching, we’re optimistic typical behaviours will return to the market.
Velocity says first-home buyers are 43.9% of today’s market, an encouraging sign. It means more people are moving towards ownership, and that will bolster long-term values.
These five tips will help you prepare your home for sale. It’s not an overnight process, so start making plans now if you want to capitalise on the tide of buyers seeking a deal this spring and summer.
Talk to agents now
With many sellers expected to emerge in the coming months, you’re best served talking to a select number of agents who currently have the time and resources to dedicate to you.
Seek a valuation
When interviewing agents, ensure they set your expectations on price. Uncover their marketing process and how it’s designed to maximise your property’s value. Experience in the current market conditions and communication skills are critical.
Go deep
Clean and declutter like crazy! If you don’t have the time, call in a professional. High on the priority list should be carpets, curtains, windows and all surfaces. Declutter every room, minimise the furniture you need and put personal items in storage to help buyers see the potential of the available space.
Get it fixed
Issues you’ve ignored or tolerated for months, even years, need repairing. Leaky taps, broken tiles, and cracks in walls and paths must be addressed to achieve the best price.
First impression
Make your entrance pristine. An excellent first impression is the most important step in attracting buyer interest.
Showcase highlights
If you have an amazing view or stunning gardens, make these a highlight of an open house or inspection. Unique architecture or renovation will set your property apart.