Market Comment from Tommy's: words from the horse's mouth
There is no denying that the uncertainty preceding the general election has had an adverse impact on Wellington’s real estate market activity. This uncertainty combined with a carry-over of inclement winter weather into spring has retarded the market to a lower level than we have become accustomed to in the last couple of years. Whilst NZ wide sales figures are not yet available for September as we prepare these market comments, from our observations, it appears this trading pattern will be fairly consistent nationwide. As we await the counting of special votes and contemplate the options of what our government will finally look like, we can perhaps expect more of the same uncertainty in the next couple of weeks?
Irrespective of the elections outcome, there seems to be a unified opinion in all political parties to continue the momentum of getting people housed and we expect that it will be business as usual again before too long. As we have said before, Wellington is fortunate in having a more stable real estate market than some other major centers and despite the aforementioned lull in activity, Tommy’s city office alone has concluded over 50 sales in September. It can be seen therefore that there is still interest and activity centered around well priced and well- presented properties in all price ranges.
The lead in months to Christmas have historically produced strong sales and we see no reason why this year should be any different. For those in the market to sell in the coming months, we urge you to contact Tommy’s and allow time to plan a marketing campaign that will meet your requirements for a sale either pre or post Christmas. There continues to be a shortage of homes for sale and this is a factor that will ensure that prices are likely to hold up at or about current levels over the coming months.
If Tommys were to make any prediction it would be; The longer it takes to form a Government the more people contemplating selling their homes now may wait until after Christmas. If that happens the current listing shortage will be maintained until the new year with an increased chance there will be a surge in listings in February. One of the main impacts on the real estate market is supply and even a small over supply can lead to reduced prices. Our advice therefore is, if you are contemplating selling, take advantage of the current shortage of supply now! Call one of our Tommys salesperson for a no cost market appraisal.