North Eastern Hamilton specialist Cathy O'Shea shares her observation of why now is a great time to sell.
It’s coming into winter in New Zealand now, right?!! So who would put their property on the market when its cold and wet? Who would think of selling when their gardens are dead, days are short, and all the summer furniture is stored?
Fortune favours the Outlier.
Today’s announcement by the Reserve Bank of New Zealand to lower the OCR by 25 basis points has serious implications in this current property market.
It’s Counterintuitive yes - but if you can stop thinking and start feeling the market pulse, there is no better time to sell than a week from now. Why so?! Here’s 5 reasons to ignore every instinct, every piece of well-meaning advice, and every perceived indication to the contrary...
1. Why a week? This seems, in my experience, to be the historic reaction time between Reserve Bank Announcements and the Property Market. We can expect a market surge.
2. A Surge? So what?! Hamilton has experienced unusually high numbers of Auckland buyers since Christmas - contributing to a huge stock sellout in May/June and stock is unusually low. But a surge with nothing to buy! What happens next?
3. Normal seasonal variation means that fewer sellers list their properties at this time of year? We know that. However, hectic activity in the last few months means that stock has been depleted even further this year. Thus a perfect storm starts to brew; low stock, high demand from buyers driven out of Auckland attracted by relatively lower prices in Hamilton, and increased local demand.
4. Bad times for First Home Buyers struggling with the LVR?! Now their parents will have the confidence to assist them to borrow. With low stock numbers this can only mean they will be competing for properties, not only with locals, but Aucklanders First Home Buyers too.
5. So, wouldn't you rather sell in a market where there is little competition; when you are likely to get a premium price, when you are not jockeying for position with every other spring listing? In other words, it appears that not only will it continue to be a ‘sellers’ market in Hamilton, but now a sellers market 'on steroids’. Don’t think about it, feel it next week.