12/11/20 Hot Housing Market / Limited Stock / Returning Kiwis
The Auckland housing market is running as hot as I have seen it since 2008 but agents are hampered by very limited stock. Regardless of the impact and future ramifications of Covid crisis there are many factors spurring on the mark. Besides record low interest rates these include an optimism that NZ has is over the worst of the Covid and future outbreaks will be able to be managed, plus the very likeness the LVR’s may be removed in a few months. This is compounded with an extremely high amount of Kiwis retuning home.
07/10/20 High Demand For Inspections.
Inspections are back to normal in Auckland but Covid appears to have now heated up the market with a high demand for inspections.
23/09/20 Covid Impact & Outlook
The long term impact of Covid 19 wont be know for some time, or even years, but currently the market is rocketing forward. This is largely across the board but more so for starter and more basic houses. Currently I am the busiest I have been since 2008.
25/08/2020 COVID 19 Level 3 Extension & Outlook
Level 3 has been extended but it is anticipated that the inspection process will largely revert to the new normal next week pending Auckland moving to level 2. Demand has been hot and cold with many people delaying inspections till next week under level 2.
14/08/2020 OPINION: Covid 19 in Auckland
The Covid has returned to Auckland. The affect in the short term may slow the market but at this stage it appears unlikely to hinder the recovery of the market much over the coming year.
29/07/2020 OPINION: Market stabilising but still an unknown
The housing market in Auckland has largely stabilised with increased sales and achieved prices at the lower to middle end of the market in particular. There is an elevated level of demand for houses for first time buyers. Anecdotally this can be attributed returning kiwis and those game to jump into the housing market when there are still some deals to be found while having the confidence that interest rates will remain low for some time to come.
1/07/2020 OPINION: Increased turnover of lower value houses
House sales turnover rates now appear at a good rate for this time of year, sales turnover appears almost unaffected by the Covid issues. Interesting that although sales at the upper end of the market have slowed considerably these have been replaced by increased sales at the lower to middle end. It is too early to tell to what extent prices have reduced compared to if there had been no pandemic but at least a small drop is anticipated over the year to come. In the short term the sales data averages (sale prices) and increased turnover of lower value house will likely artificially deflate and skew the achieved sale price which will mislead some to think like-for-like before-and-after (the pandemic) sales prices have actually reduced more than that has actually occurred.
16/6/2020 OPINION: Slow sales but strong prices
It is becoming clear that although, and as can be expected, house sales slowed to a trickle during lockdown sales have picked up. These are still reasonably slow but better than most people expected. There is a limited amount of stock currently available. What is somewhat of a surprise is that prices appear only marginally affected with the median sales price up about 7% over the last year. There is no indication on any big price hit. From what I am seeing there is higher demand for entry level houses.
10/6/20 OPINION: There will be winners and losses
With the lifting of COVID-19 restrictions it can be seen the most sectors of New Zealand will get back into action with the damage to the housing market poised to start recovering. The extent of the damage will become clearer once sales numbers are released but I have seen most turnover in the lower end of the market. How long the market takes full fully recover to pre COVID-19 heights is unclear but most expect this to be within a year as historically encountered. There will be winners and losses in the short term (& long term) but media reports should be balanced, some media such as OneRoof in the NZ Herald may not be as independent as they appear.
No COVID-19 restrictions remain in place but for the foreseeable future suitable enhanced separation and hygiene precautions will be practiced.
18/5/20 OPINION: A significant boost for first home buyers
A crystal ball would be great to have as would hindsight but history has shown a pattern and outcome regarding major negative events on the New Zealand housing market. From what I have seen after such events (Black Friday 87 & the Great Financial Crisis 2008 etc) the market slows considerably and house prices initially fall, but recover over the year as does turnover. Generally kiwis don’t like to sell their houses while the market is at a low point and would rather wait it out till the market recovers. There are no indications that this will not be the case this time around, but there are some positive factors with the cycle this time around which may help speed up a recovery. These include record low interest rates, kiwis returning home in record number, and the ongoing effects being more likely to only hit a few sectors significantly (such as tourism in particular). Additionally the Reserve Banks easing up on LVR (Loan Value Ratios) to trading banks (& hence customers) and a possible glut of former Airbnb suited houses may well be a significant boost for first home buyers as would be 95% loans if this occurs, as it has been touted.
17/5/20 New Website & Email
Harbour Home Inspections has just upgraded to its new '.kiwi' website, domain name and email address '@buildersreport.kiwi' superseding the 2002 era 'hhil.co.nz' website and email. www.hhil.co.nz and enquires / firstname.lastname@example.org will be retained for the foreseeable future. Some debugging and construction of the new website is still being conducted.
House prices were already running at record levels in recent months as houses sold for hundreds of thousands of dollars above council valuations and one Remuera home even fetched $4.4 million this week despite being described as a do-up.
Now further fuel could be poured on the fire by two Reserve Bank announcements made yesterday.
The Government-backed bank said it was considering bringing back restrictions on so-called loan-to-value-ratios earlier than expected - a move pundits said could bring property investors rushing into the market in greater numbers.
TSB's two-year home loan rate will also sit at 2.65 per cent as of tomorrow - 0.04per cent lower than any of its major competitors.
16/07/20 Stuff NZ
ASB drops first-home buyer mortgage rates
A low-equity margin would still apply, which can add between 0.3 per cent and 1.5 per cent to the advertised rate. The Reserve Bank has lifted its loan-to-value restrictions which require banks to limit their lending to borrowers with smaller deposits.
But banks are still being cautious with their new lending and low-deposit lending dropped from $707 million in May last year to $515m this year. Retail banking Craig Sims said the move was intended to help first-home buyers.
Ray White South Island regional manager Jane Meyer says an auction late last week of five properties in Christchurch reinforced the belief that the local property market “continued to fire on all cylinders”.
House prices across New Zealand were 9.2 per cent higher last month than in June 2019, at a median of $639,000.
15/06/20 NZ Herld
House sales drop almost 50 per cent, but prices stay record levels
House sales in Auckland and New Zealand are almost 50 per cent down on the same time last year, yet prices continue to reach near-record highs. Just 3990 homes sold across the country in May - 47 per cent down on the same month in 2018, the Real Estate Institute's latest monthly sales data showed. In Auckland, 1117 homes sold, down 45 per cent on last year.