No I’m not Santa but Ho ho ho… a very Merry Christmas to you!
The year has flown by and Christmas is now upon us! I hope you’ve had a good end to the year and no doubt, are looking forward to a much deserved break over Christmas with family.
2015 has proven to be a record breaking year in real estate throughout Snells Beach, Algies bay, Scotts Landing, Sandspit & the Mahurangi East in general. Both prices and volumes have risen significantly and the market is in good health across the board. The residential market is at an all time HIGH, commercial yields are strong and we are running out of bare land to sell!
The strength of the market is well backed by what we have seen in our auction rooms in the last few weeks. We’ve had some outstanding sales under the hammer with aggressively competitive bidding producing premium sale prices for local home owners. There are many arguments for the various methods of sale, but in the current market auctions are getting the best results hands down for our local property owners. We are pleased to have finished the year with some offices running to almost 90% clearance rates for their auction properties.
The burning question
Is this market sustainable? Personally I’m not quite ready to go back to the depths of the GFC and relive 2008 and 2009, but we should put the emotion aside and look at the facts. The economy is tracking well and, aside from the dairy industry, looks set for another good year ahead. Interest rates remain low and may drop even further. Despite politician talk, new land is not coming on quickly and supply is constrained. Immigration is at high levels and looks set to continue and who blames them!
From where we sit at present, we believe 2016 and 2017 are set to be good years in property and the market will remain robust. It would be nice if a little heat came out of it so that things were sustainable for a longer period. I remember Cameron Bagrie from ANZ saying in January 2008 that ‘you can’t expect to eat like an elephant and fart like a mouse’, and it feels like the appetiser is finished and dinner is just about served. In saying that, the fundamentals all still look strong and I think the journalists will sell many more papers in the next couple of years as the discussion on housing affordability continues on and on!
Why didn’t we do this sooner?
While our North Rodney market remains fighting fit, we are still seeing a massive amount of our buyers coming from Auckland. The value for money and quality of lifestyle on offer in the North continues to lure Aucklanders north. Our friendly communities and beautiful beaches are attracting many who are cashed up Aucklander’s who are moving up to the Mahurangi. Reflecting on this, I can hardly see any of these buyers regretting their decision. The most common sentiment I hear is ‘why didn’t we do this sooner?’.
While everyone is getting into holiday mode my team and I are ramping things up in the Snells Beach, Algies Bay & Mahurangi East area and preparing for a massive 2016!
I hope you have a superb Christmas and see in the New Year in style!
PS if you haven’t heard about our $150 Christmas ham giveaway or the free letter from Santa to your child, what rock have you been hiding under ?! Joking, but seriously it’s easy to enter just click here and follow the instructions and good luck!