Sue Hall

"My reputation is your guarantee"

"If anyone is looking for an excellent no nonsense Real Estate Agent, then look no further than Sue Hall - She’s the one! Her knowledge of the Real Estate industry is invaluable. Sue always goes that extra mile, willing to meet with you any time of the day or night. Sue sold me my first home in 2010 and since then..."

- Vikki Seaman

"Just wanted to thank you for making the sale of 53 Carrington Avenue so seamless and stressless. My only regret is that we haven't actually met you yet! But we will make sure to come over and do that before long. Anyway, thanks again for all your great work on our behalf. "

- Trevor & Pauline
More testimonials »

How is the Real Estate Market looking following Covid-19?

19th May 20


Though it is always difficult to have a crystal ball when it comes to predicting the real estate market, there are several historical factors we can look at when evaluating the market moving forward.  A number of comments in this blog have come from trusted sources and experiences of those who have had lengthy careers in the Real Estate industry, including working through the previous Global Financial Crisis.

Prior to Covid-19

Prior to moving into Alert Level 3 on the 23rd of March and subsequently moving to Alert Level 4, two days later, the market was extremely buoyant.  This was fuelled by relatively low stock numbers and high activity from buyers, interest rates were the lowest we had seen for years and LVR (Loan to Value Ratios) restrictions had been slightly lifted, Kiwisaver funds were beginning to mature and buyers were hungry to purchase.  We would often see multiple offers on properties new to the market with anywhere from two to ten or more offers being presented on any one property.  This market saw a steady rise in prices with buyers paying over the top, having missed out in previous multiple offer scenarios.

During Lockdown

There was very little activity in the market from the 27th of March through to the 28th of April.  There were a small number of house sales conducted in the first week, these properties were possibly viewed by the purchasers prior to Alert Level 4.  There were some sales written that were conditional on the purchaser viewing the property once we downgraded to Alert Level 2.  49 properties were listed for sale in Hamilton over this period.  23 of these were either yet to be developed sites with multiple units or bare sections.  There were no physical viewings of property at this time. Kiwisaver funds were reportedly down about 8 - 10%.

Post Alert Level 4 and the next 2 - 3 months - Showing Positive Signs

Since we moved from Alert Level 4 to Level 3, there has been 58 new properties listed for sale in Hamilton, these include a small number of yet to be developed units and sections.  Alert Level 3 allows for purchasers to view properties.  Along with the increase in listings, we have seen an increase in buyer enquiry and viewings.  Although we are limited to only two viewings a day per property, the feedback is that buyers are viewing the properties with the intention of making offers.  There has been an increased number of properties that have been sold in the last week, some even selling in competition with multiple offers.

Along with these positive market signs, the initiative by the reserve bank to remove LVR restrictions for home buyers will see them being able to purchase with little to no deposit, this should help offset some of the losses from buyers Kiwisaver funds.

Prior to lockdown, property values were increasing week on week.  Although there will be less activity compared to pre-lockdown, there is a good chance that property values will hold in the short to medium term.  If you are thinking about selling your property, now could certainly be the time to do so.

Looking Forward - 3+ Months

This is where the crystal ball gets a little murky!  There is no doubt that many families and individuals will be affected by the last six weeks, though this possibly will not be noticeable in the market for a few months.  The market will be dependent on how badly affected the New Zealand and world economy has been hit and how quickly we can rebound.  There are positive signs that Hamilton and the Waikato will continue to thrive.  The majority of roading infrastructure is almost complete, albeit a little delayed.  Fonterra has weathered the storm over this period by diversifying into other products, export markets and the grass has continued to grow!

Only time will tell how we will fare long term, although it looks a little different right now, it is business as usual!

 

^ top
Filed under Hamilton / Waikato

Related posts

Leave a comment

Fields marked * are required

Sue Hall's Blog

How is the Real Estate Market looking following Covid-19?

Though it is always difficult to have a crystal ball when it comes to predicting the real estate market, there are several historical factors we can look at when evaluating the market moving forward.  A number of comments in this blog have come from trusted sources and experiences of those who have had lengthy careers in the Real Estate industry, including working through the previous Global Financial Crisis.

Read More »

Covid-19 and Your Property - What You Need to Know

For answers to the frequently asked questions regarding Covid-19 and Real Estate, please visit this informative article from Lodge Real Estate.

Read More »

Balloons Over Waikato 2020

It was with extreme disappointment and heavy hearts that the organisers of Balloons Over Waikato announced that all public events, including morning inflation and the Nightglow have been cancelled. "As per the Government recommendations in regards to mass gatherings, Balloons over Waikato have made the decision to cancel public attendance at Innes Common for morning flying, The University of Waikato for Nightglow, and all other sub events associated with the Festival."

Read More »

Ruakura Inland Port Set To Open In Two Years

An inland port the size of Auckland's CBD in Hamilton is one step closer with Tainui Group Holdings and Port of Tauranga joining forces to open at Ruakura within two years.

Read More »

Waitangi Day 2020

The 6th of February every year is Waitangi Day.  This day is the most important marker in New Zealand’s history and commemorates the first signing of Te Ririti o Waitangi, The Treaty of Waitangi. Waitangi Day is a day to reflect on the controversy that surrounds the Treaty of Waitangi – Throughout history and within today’s society, how this has affected all New Zealanders and how it has shaped the country in which we live today.

Read More »

More Blog Articles »