Fri, 25 Sep 2009
The North Shore property market is booming, with considerable demand from a wide range of buyer types and a marked increase in sales occurring, according to local Harcourts business owner Martin Cooper.
The Principal of Harcourts’ franchise Cooper & Co, which operates seven offices on the North Shore, says the latest Real Estate Institute of New Zealand statistics showed there was a huge increase in sales last month when compared with August 2008 and according to his group’s figures September is also proving very active.
“According to the REINZ statistics 454 North Shore houses were sold in August, which was a massive 89% up on the same month last year, while from our own figures for September and the anecdotal feedback from our team the North Shore market is continuing to run hot this month, with a lot of buyer demand and a considerable amount of sales being made.”
Mr Cooper says auctions have proven to be the most successful method of sale.
“According to our group’s August figures we had an 84.3% success rate through the auction process – with 72.5% sold prior to or on auction day and 11.8% sold within 14 days of their auction date.   That’s a fantastic result and a credit to the sales consultants and auctioneers in our group who work together to achieve such successful auction campaigns.”
Mr Cooper says a wide range of buyers are actively looking on the North Shore and therefore there is considerable competition for property.
“According to our own data first-home buyers are the largest group of people looking for North Shore property but they are closely followed by investors and there is also a significant amount of competition from people moving into the area, along with new immigrants and ex-pats returning.
“This wide range of buyers has strong interest in all price brackets up to around $900,000, and with the high level of demand around some excellent prices are being achieved which in turn is enabling many sellers to ‘trade up’.
“Harcourts Cooper and Co team has also sold an impressive 14 properties in the past month priced in excess of $1 million, indicating the top end of the market is waking up again.”

During the week I met a client of mine who is considering whether to sell. We have talked about this sale over the last two or three years. She asked me, “Is now the right time?”, and then she said ” Stop being a real estate agent and tell me what you really think”.
I laughed- real estate agents are so full of bluff and bluster, (I’m being polite)-it sometimes is hard to know when we are being real or just spouting a line to get a listing! So I said, “You want me to be enthusiastic and positive, don’t you?!”
So, Is it really the right time to sell? Well, it’s your house, your land, and it really is up to you. I can only help you get the very best price for your house when you decide the time is right for you.
However, there are market factors, right now, that indicate that it is a good time to go to the market. Let’s look at the evidence on a national basis, locally and how it might affect you, today.
After two years of the ball being very firmly in the buyers court, real estate commentator  Alistair Helm of realestate.co.nz says the market is stable and swinging towards a sellers market, but there is a real danger of lack of stock driving up prices. The NZ Property Report, dated 1 Sept 2009, shows a clear lack of houses on the market, especially in the main centres. Auckland is the worst off, there are 45% (almost half) the number of homes on the market as there were a year ago. And this shortage of property for sale will drive up prices. One of the really scary things is that there are few homes being built, and little land being subdivided. Watch out!
Yet Auckland is New Zealand’s biggest city and the landing pad for most immigrants and returning ex pats. These buyers have cash and they are actively in the market buying homes with British Pounds and Chinese Yuan. Often this money is secured against overseas assets and borrowed with low interest rates. It is one of the reasons why the New Zealand Dollar is high. Overseas buyers have always valued New Zealand land and property highly, often higher than the locals ( think of British migrants in 1840, buying land from the locals for a few blankets!).  And while local interest rates are the lowest we have seen for decades, they are forecast to rise in the New Year, so buyers are buying and fixing their rates. Remember a loan in 2009 costs a third less than the same loan did a year ago.
So, locally, on the North Shore, there is a boom. How long will it last? I don’t know, you tell me. The auctions I have attended have been active and exciting. At 89 Forrest Hill Road, Forrest Hill about 200 people witnessed a battle royal. 3 bidders fought over an 1800m2 section with an original 1950’s weatherboard bungalow. It sold for $1,200,000. I have attached the bid sheet for you to see. 7 Trafalgar Road, Milford, a brick and tile 1960’s home, nicely renovated, with a pool, sold after a fiercely contested bidding war, for $900000. And 60 Kowhai Road, Mairangi Bay, sold for $855,000 3 weeks before the auction. The buyer made the sellers an offer they could not refuse, to avoid missing out (again).
Not every home is right for auction however, and some are more difficult to sell than others. If you are needing some advice, without bluff and bluster, call me.
Is now the right time to sell? The market evidence says YES.
Is it the right time for you? Only you can answer that.
If the answer is YES, give me a call on 0800618888.

Harcourts Cooper and Co Auctioneers

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