House prices rise almost $100 a day

Hutt Real Estate Agent

Real Estate Planning with Anna Manning

The average New Zealand house price rose by $98 a day or nearly $700 a week over the past year, a new analysis shows. For many daily wages are eclipsed as the relentless rise of home values in growth regions outstrips pay packets

Makes for an interesting read – check out the full article

House prises rise almost $100 a day

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Peace of mind important in choosing how to sell a home

Lower Hutt Real Estate Agent Professionals redcoats Anna Manning sold sign 1

Real Estate Planning with Anna Manning

Deciding how to sell your home can be as daunting as choosing which shade of white to paint a room. One real estate agent’s advice is to pick the method that’s the least stressful.

“In the end, the method you choose should always be the one which you feel most comfortable with,” John Ross, of Professionals, Redcoats in Lower Hutt, says. “You want peace of mind rather than doubt and concern that you have used the right method. All methods work – choose the one that will work best for you.”

The chief selling options are for sale by negotiation (fsbn), auction, tender and buyer enquiry over (beo).

“If selling by negotiation, we encourage no-price marketing in the initial period.”

“We have resounding evidence that if the asking price is set more than 5 per cent above the market, buyers are put off and the property quickly acquires a stale stock status.”

“Rather than risk your home losing market value because of this, it’s better not to list it with an asking price,” Ross says.

“Buyers will sometimes pay more than the owner was anticipating and at other times much less than the owner thought their property was worth.”

“No-price marketing allows the owner to get buyer feedback before they price their property, thereby avoiding the wrong price and with it the risk of slipping into the stale stock downward spiral.”

“A property should have a price on it within no more than a month on the market and to achieve a good result, this price should be based on credible feedback from buyers who inspect the property during that period.”

 

Auction and tender are the most common forms of sale without an asking price. Ross says their key advantage over fsbn is they set a date of sale. “Buyers focus on this date and it helps them make up their mind rather than delaying the decision to purchase.”

Ross says the real estate industry is encouraged to use “pure form tender,” which means the property is not to be sold before the close-of-tender date. So a buyer turns up a week into the marketing and wants to buy on the spot, the owner can’t sell it – however good the price might be – until the close of tender. “In the waiting period, the buyer may cool off or find something else,” Ross says.

 

“Auction is the preferred method of sale for buyers. It is open and transparent and gives them the opportunity to compete right up to their limit, rather than missing out by a thousand dollars, as happens with the other methods. “They bid with confidence knowing that one or more other buyers see the same value in the property.”

“For the seller, their position is protected by a reserve and the bidding gives them peace of mind about where the market really sees the price.”

“This is the method most often used by banks, liquidators and many times by trustees for estate sales, as the courts recognise it as robust for audit and accountability purposes”

 

Ross calls beo “a poor hybrid” of the other methods. “We have found buyers use it as the asking price and offer less rather than more”

“The Commerce Commission has ruled that it is misleading to offer a beo price if the owner will not accept that price, so I therefore ask: What is the benefit of using beo rather than an asking price?”

 

Article Source: The Dominion Post – Property Market -31 May 2014

Anna Manning is a Real Estate Agent at Professionals Redcoats Lower Hutt

Buy first, or sell first?

Buying a home in Lower Hutt
Real Estate Planning with Anna Manning

Buy first, or sell first?

The prospect of selling your house before you have established where you are going to move to may seem daunting, but the reality is a huge number of home hunters actually find the property they want within a relatively short time.

So, don’t be afraid to sell first – then buy.

Selling first means you will have your financial arrangements already taken care of and you have the freedom to bid at auction, or to make an offer knowing you are in a strong position to negotiate on price and time.

There are two major financial considerations to buying before selling: –

• If you make an offer on a property before your house is even on the market, the seller of the property you want is less likely to be willing to negotiate on the price or terms.

• Selling your house as a condition of contract to buy another, usually means you have a very limited time in which to complete a sale for your existing property. This means you can be under pressure to accept a low market offer.

Anna Manning is a Real Estate Agent at Professionals Redcoats Lower Hutt City.
Sourced: Professionals – Pathway to buying your home.

3,400 new homes (that’s about 170 a year) will be needed to maintain Hutt City’s population.

Anna Manning Lower Hutt Real Estate Agent Professionals Redcoats Blog Building a House Pic
Real Estate Planning with Anna Manning

Support for Housing Growth in Lower Hutt

Housing supply and affordability is an issue right across the country and it’s something that the Lower Hutt City Council is addressing in it’s Urban Growth Strategy.

Sixty-two percent of households in the Hutt City in 2032 are forecast to be one person households or couples without children – that’s because New Zealand has an aging population and families are downsizing.

3,400 new homes (that’s about 170 a year) will be needed to maintain Hutt City’s population.

To manage this, Council’s Urban Growth Strategy targets an increase of 6,000 homes in the city by 2032. This will be achieved through a mix of housing development and targeted intensification in certain parts of the city.

Mayor Ray Wallace says, “It’s important that Council works together with developers to ensure that they build quality, affordable homes”.

“Greenfield land has been in short supply in the city and we are helping to address this by partnering with developers to help provide the infrastructure needed to bring over 74 hectares of land onto the market in Kelson and Wainuiomata. This will help to provide sufficient land for at least 1,100 homes”.

Council would like to see low-rise apartments in a limited number of sites in the city. These sites have been chosen because they are close to main centres, key public transport routes, and/or high levels of public amenity.

The four locations identified in the Urban Growth Strategy for low-rise apartments are Waterloo, CBD Fringe, Petone Esplanade and Eastbourne Village/Foothills.

Any development of low-rise apartments will be expected to be designed to a high standard with a particular focus on type and mix, lifestyle and community amenity.

Article Sourced: Hutt News – 29/04/2014