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It doesn’t seem to occur to this researcher than many people prefer to rent to have a freer life style and less ties. This is now quite common overseas as the advance of technology and ease of travel make home ownership burdensome for many.
Saturday Jan 24, 2015
Dream fading for many as ownership in some regions tipped to fall below 50%
Future home ownership rates are looking sombre.
Many of today’s middle-aged and young people face the prospect of never owning a house, as a study warns that home ownership rates could drop below half in some parts of New Zealand within 20 years.
The research – the first long-term regional analysis by age using 2013 census data – shows home ownership rates in some regional household types have plunged by more than 40 percentage points since ownership peaked at 73.8 per cent in 1991.
It traces ownership rates by age group, showing for example that the home ownership rate for Aucklanders born in 1961-66 peaked at 65.3 per cent in 2006, when they were aged 40 to 44, and slipped back slightly to 64.6 per cent by 2013, when they were aged 45 to 49.
SEE THE STUDY RESULTS IN OUR INTERACTIVE BELOW
The New Zealand property market could be due for a correction in coming years, meaning prices could fall, experts warn.
One of New Zealands leading KiwiSaver managers is warning there could be a correction in the property market.link:More hog wash from “experts” who know the price of everything and the value of nothing.There is no chance whatsoever of a crash in the present climate unless there is some major catastrophic event ( another GFC i.e.) . The market will level off and stablise some time for sure, but good money will still be made even in a flat market. If ever the market did crash as predicted – then the building industry will be wiped out (together with most of the whizz kid money managers) as the country sinks into the biggest depression since 1929.I’ve been through several booms and busts and can tell when the market is on the edge - and it isn’t even close.I should know. I wrote the book. (2004)
Auckland worsens on Demographia’s affordability rating
19 January 2015
(Note: I would take much of what Demographia says with a grain of salt.
They are a politically motivated group whose agenda seems to be to embarrass Government and Local Councils.
Do not believe everything you read. Check out our Face book page for more detail)
Auckland has been rated severely unaffordable in all 10 of Demographia’s previous annual international housing affordability surveys and made sure of that ranking again today.
That’s not surprising. The metropolitan urban limits have been a constraint on land supply for more than a decade and the new rural:urban boundary proposed under the region’s unitary plan will continue to be a constraint, albeit with some more flexibility.
Auckland, 8.2, $613,000, $75,100
Christchurch, 6.1, $388,200, $63,900
Dunedin, 4.6, $249,000, $54,400
Hamilton-Waikato, 4.7, $314,700, $66,900
Napier-Hastings, 5.1, $292,200, $57,700
Palmerston North-Manawatu, 4.1, $221,700, $54,200
Tauranga-Western Bay of Plenty, 6.8, $397,600, $58,500
Wellington, 5.2, $392,500, $75,000
NZ median multiple, 5.2
2014 was a year of mixed sentiment in the residential property market
14 January 2015
Values in the Auckland region increased 9.8% or $68,309 from $693,549 at December 2013 to $761,858 at December 2014. They rose 4.2% over the past three months and are now 39.4% higher than the previous peak of 2007.
It was a stop start year for residential property values with some flat periods due to uncertainty associated with the LVR speed limits, interest rate hikes and an election, along with periods of rapid value increases in some areas and decreasing values in others.
Overall the nationwide average shows residential property values increased 4.9% or $22,652 during 2014 from $466,022 in December 2013 to $488,674 in December 2014, according to the latest statistics from Quotable Value (QV) powered by CoreLogic.
The average national value increased 1.5% over the final three months of 2014 and nationwide values overall are now 17.9% higher than the previous market peak reached in late 2007.
Sales volumes were also down on 2013 for every month despite picking up towards the end of the year however they remain at historically low levels and CoreLogic research shows there were changes in who was buying property during 2014.
QV National Spokesperson, Andrea Rush, “After a slow start to the year following the introduction of the LVR speed limits, values picked up in February and March but then following four interest rate hikes during March and July value increases plateau-ed.”
“The prospect of further interest rate rises in the lead up to the election seemed to cause some uncertainty as to whether the market had peaked and this led to a slowdown in the market during the middle of the year.”
Read the rest here:
Renting in Auckland: Landlords put squeeze on tenants
Expect average increases of more than $20 a week as housing shortage is exploited.
Anne Gibson NZ Herald 12.1.15
(Also see full article and our comments on our Face book page)
Fifteen people checked this $725-a-week Epsom property during a 10-minute “open home” last week. Photo / Nick Reed
Fifteen people checked this $725-a-week Epsom property during a 10-minute “open home” last week. Photo / Nick Reed
Thousands of Auckland tenants could be in for a big shock as experts predict rents will continue to rise rapidly this year.
Kiri Barfoot, a Barfoot & Thompson director, and David Whitburn, immediate past president of the Auckland Property Investors Association, said Auckland rents rose 4.6 per cent in the year to November 30 – up an average $21 a week across all suburbs and all property categories – and a similar increase could be expected this year as rising demand continues to squeeze an already tight sector.
Barfoot’s figures show the average weekly rent rose $19 to $476 for a three-bedroom house, $17 to $499 for a four-bedroom home and $40 to $749 for five or more bedrooms.
Conditions that led to last year’s rises – including landlords being optimistic about getting more rent and high levels of domestic and international migration – would continue this year, they said.
read the rest here:
60 AIREDALE STREET, CBD
441m² land, 2,300m² building, $332,600 rental – part vacant
Sold for $6,000,000 or 5.5% or $2,609/m² building
68 SALE STREET, CBD
1,381m² land, 2654m² buildings, $263,084 rental – part vacant
Sold for $6,100,000 or 4.31% or $2,298/m² buildin
35 STATION ROAD, PENROSE
811m² land, 551m² building, $88,600 rental
Sold for $1,425,000 or 6.25% or $2,436/m² building
26 MONMOUTH STREET, GREY LYNN
333m² land, 585m² building, $22,800 rental – part vacant
Sold for $1,905,000 or $3,256/m² building
597 NEW NORTH ROAD, KINGSLAND
1,378m² land, 1,200m² building, $180,000 rental – 15 months remaining
Sold for $3,200,000 or $2,322/m² land or 5.6%
339 PARNELL ROAD, PARNELL
497m² land, 272m² building
Sold for $3,160,000 or $6,358/m² land
210 BALMORAL ROAD, BALMORAL
612m² land, 12 room boarding house, $135,960 gross income
Sold for $1,211,000 or $1,979/m² land
304-328 QUEEN STREET, CBD
3,058m² land, historical theatre component
Sold for $34,500,000 or $11,289/m² land
Auckland house prices skyrocket to all-time high
January 6 2015 Brendon O’Hagan
THROUGH THE ROOF: Auckland house prizes have hit an all-time high.
Auckland house prices hit a new all-time high last month, with December sales at their strongest in 10 years.
Auckland real estate agency Barfoot & Thompson said sales numbers were up significantly and the number of listings hit and all-time low.
Barfoot & Thompson managing director Peter Thompson said even though December was the shortest selling month of the year, the agency sold 1050 properties, marking the fourth-busiest month of 2014.
“It was our busiest December in the last 10 years with demand never being higher, or choice lower.”
Sales in December were 28.5 per cent higher than in December 2013.
The average sales price last month was $758,891, $1982 or 0.3 per cent higher than November’s average price, Thompson said.
I admire this fellows initiative but I am afraid if he comes up North he will become dog tucker inside 3 months. Most people build in the agents commission in the selling price from the beginning so its no shock. Besides most agents will negotiate their commission either from the start, or when there is skin on the table. Best if luck to him
but I don’t like his chances.
“New breed of real estate agent charges by the hour”
December 27 2014
NEW BREED: Real estate agent Kim Franklin of Bellamy’s says his clients should think of him as a professional consultant.
A Christchurch real estate agent is offering an alternative to sellers fed up with paying percentage commission. He wants to spread north with his unusual model of charging hourly fees, reports ELOISE GIBSON.
House sellers fed up with paying real estate agents tens of thousands of dollars’ in commissions – regardless of how much work was done – may have a saviour in the form of a small Christchurch sales firm.
Kim Franklin, who charges by the hour to sell houses, is in talks with potential partners in Auckland about spreading his unusual business model.
Like a lawyer or accountant, Franklin sees himself as a highly skilled professional whom home owners employ as a consultant.
He earns a steady stream of income which arrives every week, regardless of whether he has made a sale, freeing him from the boom and bust pay cycle that can make agents stressed and desperate to sell.
Clients of his two-partner firm Bellamy’s pay only for the actual hours worked – an appealing pitch when the average agent’s commission is $18,000 plus GST.
On the downside, sellers must pay the same fees regardless of whether their house sells or how much it sells for.
It requires a lot of trust in the agent.
Rents on new tenancies rise 4.5% nationally and 13.7% in Auckland as the residential property market tightensDecember 22, 2014 – Greg Ninness
There was a significant drop in the number of new residential tenancies in November co… See More
E/30 Heather St, Parnell. A 95sq m, three bedroom apartment with a car park and courtyard garden.There were multiple bidders and it sold under the hammer for $572,000, compared to its latest rating valuation of $695,000. According to QV.co.nz the unit previously sold for $505,000 in 2006.
916/135. Hobson St. A 51sq m, two bedroom, two bathroom unit sold under the hammer for $210,000. According to QV.co.nz the unit was last sold for $300,000 in 2006.
6e/2 White St. Bianco building. A furnished one bedroom unit rented at $450 a week. Sold under the hammer for $225,000. According to QV.co.nz it was previously sold for $355,000 in 2007.
5/55 Mahuhu Cres. Brownstone building. A 133sq m, leasehold unit with three bedrooms, two bathrooms and a tandem car park. Passed in for sale by negotiation with a highest bid of $420,000.
305/152 Hobson St. A 54sq m , one bedroom unit. Passed in for sale by negotiation with a top bid of $320,000. The agents were Adelle Keane and Krister Samuel.
2f/121 Newton Rd. A 59sq m, one bedroom unit with car park. There were seven people bidding for the property and it sold under the hammer for $365,000. According to QV.co.nz it was last sold for $245,000 in 2011.
102 & 206/188 Hobson St. Two x 2 bedroom apartments, each with a balcony, both leased to the Oaks on Hobson hotel. One sold for $160,000 and the other for $168,500. According to QV.co.nz, one was previously sold for $231,720 in 2004 and the other for $238,800 in 2004.