If you need convincing that we’ve reached the bottom of the market, look no further than these two graphs:
Let’s breakdown how each graph impacts home buyers like you.
1. Lower Hutt stock drop
According to REINZ, Lower Hutt has seen one of the largest price drops out of all areas in New Zealand.
But what you might not have noticed is the drop in listing numbers. In just six months we’ve seen stock levels go from 528 to 316.
40% fewer options has led to multi-offers, crowded open homes and we’re now starting to see prices climb again—something we haven’t seen since late 2021.
2. Net % of Agents that Believe Prices are Rising
In Tony Alexanders 17th of August newsletter, he shared a compelling graph showing a significant net 70% increase of agents saying they feel prices are rising in their area. For the first time since December 2021, the majority of agents he’s surveyed are saying prices are increasing.
Now what bearing do the opinions of Real Estate agents have on the trajectory of the market?
Well they are certainly leading measures that give us a good idea of what is happening on the coalface of the market. It may be months before their assessments are mirrored in REINZ sales data.
What do we take away from these two graphs?
We are feeling the bottom of the market in Lower Hutt is behind us.
Our straight up boots on the ground analysis. What we are now seeing is the buying opportunity of a life time and we don’t think we will ever see these house prices again. Ever. Strong words but worth considering.
Tony puts it well when he said,
“…there is little point in standing on the sidelines any longer waiting for further declines in prices.”
In summary, if you haven't been keeping up with the news for the past six months, no worries!
There are still fantastic opportunities for both first-time homebuyers and investors.
However, to ensure your success when making an offer, make sure you're well-prepared and organized, as this will give you an edge over buyers who are less prepared.
Hi I’m Hausia,
I help first home buyers make better buying decisions.
If you want access to arguably the best off-the-plans mortgage advisor in Lower Hutt, click ‘contact us’ below or head straight to his website here.
If you have any questions about something you've read in the blog, email hausia@faisandier.group.