More listings means prices must be correct
New property listings in Wairarapa for October, were 34.1 per cent ahead of the same time last year – the second highest increase among 20 regions compared by realestate.co.nz
Realestate.co.nz spokeswoman Vanessa Taylor said it was clear people were feeling optimistic about selling and buying in Wairarapa.
“Wairarapa has had a huge jump with a whole lot of fresh new stock,” she said.
“In October 173 properties came on to the market, but there was just shy of 300 properties in total [for buyers] to look at, and that’s a 7.1 per cent increase on this time last year.”
Taylor said more listings meant buyers had more choice in the marketplace, while sellers had to price their properties competitively.
“Most people get a little bit deterred about this . . . but remember if you’re selling, you’re buying into the same market.”
The average asking price in Wairarapa in October was $492,597, up 1.6 per cent from the month prior. Of the 20 regions, 11 had more expensive asking prices.
Taylor said things were finally heating up after a somewhat quiet time for property across the country.
“Not only was it election year last year, but we also had one of the wettest winters on record and we also were coming off the back of a very busy 2015/16 market.
“We had a bit of a hangover with 2017 and the start of this year was a lot quieter.”
Taylor said most people who moved to Wairarapa were from the Wellington area, with the majority aged 45 and over.
“This perhaps suggests that people are looking for a bit more of a lifestyle change rather than being in the hustle and bustle of the big city.”
As well as the spike in house listings, Wairarapa properties are getting snapped up quicker.
Figures showed that if no more houses were listed, it would take only 18 weeks for everything in Wairarapa to be sold at the current selling rate.
This compares with an historic average of 70 weeks for the same stock, the biggest variance seen in New Zealand.
This average is based on 11 years of seasonally adjusted data, and for comparison, Wellington inventory of listings is nine weeks, compared with a long-term average of 17.
Wairarapa real estate agents have noticed the boom. Prue Hamill, of Harcourts Hamill Realty, attributed the rise in listings to the positive direction in which Wairarapa was moving.
“There’s good energy and vibes around with new developments in Queen St [Masterton] and in the towns – the place is looking really good.”
Featherston Property Brokers agent Erin Nesdale said spring weather traditionally brought more listings.
“Last year things were very hot the whole way through, so you didn’t really notice that spike for quite some time, whereas this year it’s probably more consistent with a spring spike.”
Nesdale said more listings meant more competition for buyers, so it was important to have properties marketed at the correct price.
She said Featherston’s property market last year was “a bit out of the ordinary”, and things were still going strong with the majority of buyers coming from Wellington, Auckland, and Hawke’s Bay.
Susan Stephen, of Stephen & Co, agreed that this time of year was the most popular season to sell properties.
“Usually we have a resurgence in properties after winter – spring is the best time for presentation.”
Greytown agent Benn Milne of Property Brokers said he had seen twice as many lifestyle properties listed last month compared with the same time last year.
Meanwhile in QV House Price Index data for October released on Wednesday, the average value of properties in Wairarapa continued to rise. In the year to October 31, residential property values rose by 12.6 per cent in the Masterton and Carterton districts and in South Wairarapa the figure was 9.3 per cent.