Leonie's blog

The latest stats are out from Quotable Value and the market is still looking positive.  It is early days yet and may just be signs of a stabilising market - coming back from the depths of 2008 and early 2009.  Wellington has shown a 1.1% increase over the past year (calculated over the three months ending September 2009 in comparison to the same period last year).  Wellington Northern Suburbs have shown a 1.4% increase.

QV is offering free market reports at QV Free Market Reports.  Have a look but take with a grain of salt as they haven't seen inside your particular house.

John Ross has commented in the Hutt News on the Top Ten changes under the new legislation - the Real Estate Agents Act - that takes effect on the 17 November 2009.  This is another great step in helping to clean up the industry.

Here are John's  Top 10:

1. There will be a 24 hour (1 working day) “cooling down” period for the vendor after a listing has been signed.
2. The vendors will be able to unilaterally cancel the listing after 90 days. This will be the default maximum listing period.
3. If the agents doesn’t give the client a copy of an “approved guide” prior to listing, the agreement will not be binding on the vendor.
4. There will be guides for the Sale and Purchase Agreement which the agent must provide to clients.
5. Deposits will have to be held in a Trust account for 10 working days.
6. Agents will be required to have three years experience out of the last 10 years to qualify to become an Agency Licensed Agent.
7. The appraisal and pricing of property must be provided in writing to the clients, must realistically reflect current market conditions and must be supported by comparable information on sales of similar property. Licensees must not mislead customers as to the price expectations of the client.
8. All licensees (agents, branch managers and salespeople) will be able to sell property by Auction without having to have an Auctioneers licence.
9. Agents will have to disclose any rebates and commissions they get (if any).
10. A licensee must not disclose confidential information relating to a client unless: (a) the client consents in writing; or (b) the licensee is required by law to disclose the information; or (c) disclosure is necessary to answer or defend any complaint.

Quick news/update - 2nd September 2011

1. Spring arrives early – September usually sees the start of a traditional ‘spring lift’ in real estate activity, with a rise in new property listings coming to market.  Noticed all that pollen on your car? .  Spring has started earlier this year - 701 new homes came onto the Wellington market in August, up 6% on July though still 4% below August 2010*.  The spring lift will be welcome news for buyers waiting to buy but unable to find what they want.  Sellers, it’s great time to bring your property to market with buyer interest levels strong and listings still in relative short supply – act now!  We listed several properties last month and have a number currently being prepared to come to market.  We still have some slots available so if you (or anyone you know) wants to get moving in Spring or Summer let us know to reserve a place (027 518 0008).

2. Market favours sellers…in particular those who help themselves!! - With sales very active over recent months and new listings down, the stock of homes for sale on the Wellington market fell in August to just 19 weeks (equivalent weeks of sale**), our lowest inventory level on the market in 18 months, and below the long term average for Wellington of 22 weeks***.  To achieve the best results in THIS market, you simply must work with a top agent and take the RIGHT approach - our last sale had 53 buyer groups through the property in 3 weeks, 7 offers and sale above RV at 23 days (median days to sell in Wellington market is 45 days***).  While the market is more positive for sellers, these results are down to preparation, smart marketing, leading edge technology, the right pricing approach, and best practice advice, processes and negotiation.  There is a lot a seller can do to improve their results, starting with calling us .  To find out how, get in touch for a no-obligation appraisal and tailored plan (leonie@leoniesnook.com).

3. Smart tips for buyers - If you’re thinking of buying a property check out the helpful tools and resources on our website, including  ‘Top 10 Home Buying Dos’ and ‘Essential Tips for First Home Buyers’.  For investment property, have a look at ‘Buying a Smart Investment’.  We have bought and sold, are property investors as well as agents, and have seen more than our fair share of skip bins and paint brushes.  As valued clients, if you ever need property advice just give us a call (027 518 0008).  We can also refer you to quality and affordable tradespeople.  No add-on charge from us…just service!

* NZ Property Report – August (realestate.co.nz)
** Equivalent weeks of sale, i.e. how long it would take at the current rate of sale to clear all of the stock currently available on the market.
*** Real Estate Institute of New Zealand - Market Trends

Leonie Snook and Steve Welsby, Top Wellington Real Estate Agents

#1 Team Active Real Estate Limited (REAA2088) 2010-2011

September has been another record breaking month for traffic to NZ real estate websites with over 1,500,000 unique browsers.  The top four real estate websites saw another month of growth in unique visitor numbers for September:

The new Real Estate Agents Act comes into effect on the 17th November 2009.  This act has changes that will effect everyone working in the real estate industry.  To be in the loop - please visit the REAA Website for more details.

The key changes introduced by the new Act are:

• agents, branch managers and salespersons must all be licensed individually
• an independent Real Estate Agents Authority is established that will be responsible for licensing, complaints, disciplinary action in relation to unsatisfactory conduct, industry standards, and providing information for consumers
• new complaints and disciplinary processes are introduced, including the appointment of Complaints Assessment Committees by the Real Estate Agents Authority and the establishment of an independent Real Estate Agents Disciplinary Tribunal
• new responsibilities apply to real estate agents, including duties in relation to the information that must be provided to consumers
• no longer compulsory for agents to be members of the Real Estate Institute of New Zealand (REINZ).

According to an article on the Landlord Website there was a 19% increase in listings in September 2009.  This could be attributed to the 'Spring Fling' however with prices increasing and vendor expectations of prices increasing we do see and increase in consumer confidence.

Of course there is talk of Capital Gains Tax - the government and their media team are 'chip... chip... chipping' away at that one with various media releases and statements, but that doesn't seem to have dampened the rise in prices or buyer activity going on.

Mortgagee sales continue to rise especially in Auckland and in the most part with investors.  If you are struggling with payments please call me first - we may be able to sort out a plan to svae your house from the bank...

Have a great weekend, Leonie Snook, Sales and Marketing Consultant, Harcourts, Wellington.