Auctions and Holidays

New Zealand Property Market

As I mentioned in my last post. I always get tempted by real estate when I am in a different town, city, region, or country for that matter!

Having recently been on holiday in Asia and Europe, we visited some old villages around Lake Como Region of Italy where friends of mine own an old (600 years old - just a little older than NZ houses..) converted apartment. It was such an awesome place - amazing views, one street back from the lake - just amazing to be in that area in the middle of winter - peaceful yet jaw-droppingly beautiful!

It was fascinating to have a look at the property advertised and to hear about how the market has been in recent years/decades and also to hear of the economy and sentiments for the future. From the discussions we had (with fact-based and anecdotal discussion), we gathered that it's picked up considerably in the last couple of years and it looks to be on that same track in the year or two ahead.

So, on my return to NZ, I was interested to see how December and January had fared with regards to demand, prices, and how Global and Local Economic Data was impacting the projections for the NZ Property Market.

If the Tauranga Auction Data, Auckland Property Market reports and my discussions with friends and clients in Auckland and Wellington is anything to go by, it's fair to say that, aside from the factual data, there is a very very strong belief that it's only currently going one way…..and it isn't down.

The Eves Auction this week saw 60% sold (8 of 14) with solid bidding. National House Prices are up 6% and some bank economists are predicting house inflation to reach 7% (Westpac) and 8% (ANZ) year on year before moderating. The economy slowed a little in 2019 but signs are that confidence is back and activity suggests growth is more assured in the medium term. Recent Government investment announcements will only fuel this growth and confidence.

So, last year’s predictions that interest rates would continue to drop have changed. The consensus seems to be that the OCR rate will be on hold for the foreseeable future - although there are Global Events/Risks that could change this at relatively short notice!

Where did January go?

Enjoy the last day of the first month of 2020 and may it be an amazing year for you all.

Get in touch for a chat about your plans for 2020. I'm keen to chew the fat. I love talking!

Cheers

Paul

021 615907

paul@khproperty.co.nz

#thebesttimeisnow