Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Buyer fear gone from Hamilton housing market

MEDIA RELEASE
11 March 2014

Buyer fear gone from Hamilton housing market, keeping sale numbers low

Hamilton, New Zealand – Lodge Real Estate’s managing director, Jeremy O’Rourke, said February’s residential real estate numbers released by the Real Estate Institute of NZ (REINZ) today point to the fact buyers’ ‘fear of missing out’ is virtually gone from the Hamilton housing market.

“The number of house sales in Hamilton city during February was much lower than the past two Februaries. We only had 193 sales last month, when the past two years were 247 in February 2013 and 245 in February 2012.

“These sales numbers are down because of two factors. First of all, there has been a good amount of quality stock on the market, so buyers are content to sit back, look around and wait for the right property to come along. This is very different to six months ago when buyers were snapping up quality properties very quickly.

“Secondly, as we’ve been saying for months, first home buyers have pulled right out of the market. Those extra fifty or so sales we’re missing this past February can be attributed to this group of buyers being absent,” he explains.

Mr O’Rourke also said the lack of first home buyers if having a big effect on median house prices in Hamilton.

“The median took a jump from $350,000 in January to $375,000, which is closer to the $385,000 median in December 2013.

“You need to analyse this number carefully, however. If you are currently in the market for a new home, you won’t be seeing a huge jump in individual house sales prices.

“Rather, the jump in the median is simply a continuation of a trend that started after the Reserve Bank raised the loan-to-value (LVR) last year. Every month there are less and less sales happening at the bottom end of the market, which is causing Hamilton city’s median house price to shift upward,” he said.

However, Mr O’Rourke said that these buying conditions may be short lived.

“We expect that the number of first home buyers entering the market will increase in the coming months. We are starting to see first home buyers finding more ways to finance their entry into the market.”

Lodge Real Estate is Hamilton city’s largest real estate agency by volume.

-ENDS-


Hamilton housing market February 2014 - key facts:
• Hamilton’s median house price was $375,000 in February 2014.
o The city’s median house price has risen from $350,000 in January 2014 and $385,000 in December 2013.
• The number of homes sold in Hamilton during February 2014 was 193.
o This compares to 156 in January 2014; 247 in February 2013 and 245 in February 2012.
• The average number of days to sell a Hamilton home was 30 in February 2014.
o This compares to 42 days in January 2014 and 38 in February 2013.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

ALSO:

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news