As usual good properties are being contested but now lesser admired properties and addresses are taking longer to shift. Sales volumes in Tauranga have come off compared to corresponding months a year ago. Some individual salespeople are bulging with stock whilst other good salespeople are low on listings. When a salesperson gets the wheel spinning there is a natural attraction to their offer. A bit like walking into a full restaurant and avoiding one with not many people in it. Auction successes across all brands (clearance rates) have come back and that’s why the brag stories aren’t being told. Having said that some properties are still selling way beyond expectations . Depending on the inventory list some weeks clearances are better than others. Because of the spotlight that has been shining on Tauranga and Hamilton (for different reasons- commute distance to AKL for the Tron ) the bulb may dim a little but I think Tauranga will remain a focus from the Auckland market while it remains steady.
1/ Those that are cashing up, buying to live here and banking the balance.
2/ Those using equity out of their Auckland homes to buy investment property here that they can’t afford in Auckland.
3/ Those finding work hear and preferring Tauranga over Auckland.
4/ and those who are buying their first home, continuing to live and rent in Auckland but want to be on the property ladder.
We are somewhat reliant on the performance of the Auckland market. Those people that think we are not have short memories. The property boom in the bay has seen real estate agents roll out free marketing offers. This will not be sustainable by the companies with big expenses no matter what the playing field looks like. How this is dealt with will be interesting. Next week we are going to be launching a new product into the market. It could be a game changer…….watch this space. Outlook for Thursday…your guess is good as mine. Now there’s a song lyric!