MARKET COMMENT AS AT 1st April 2019

Whilst there was a nationwide decline in sales volumes in February, this was not evident at Tommy’s with good sales levels being recorded in February and through into March. The uncertainty created by legislative changes, the outcome of the Taxation Working Groups recommendations on Capital Gains tax and vendor’s pricing expectations have all contributed to the nationwide slowdown in the opinion of the Real Estate Institute of NZ.  House prices are holding up in Wellington contrary to what is being reported in some other centres.

What has been noticeable is that home buyer, faced with a greater selection of property for sale than was the case last year are becoming more circumspect and taking longer to make buying decisions. It is simply a case of supply and demand and with a greater selection of property for sale, competition is spread and an extension of time on the market is a natural consequence that may need to be factored into home sellers ongoing plans.

Irrespective of the market, there is always a steady demand for property that is well priced and well- presented and the current market is no exception. Home sellers though are urged to take advice from their Tommy’s agent, to remain competitive and pitch their expectations at a level that creates competition thereby allowing scope for your Tommy’s negotiator to attract a premium price during the important negotiating process. The use of Government Valuations as a price guide is not generally recommended as these assessments can vary considerably from true market value and their use may not necessarily be in the seller’s best interests.

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