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Home / Bay of Plenty Times / Business

Jeremy Tauri: Give Aucklanders incentives to leave

NZME. regionals
13 Jul, 2015 05:00 PM3 mins to read

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Offer Aucklanders an incentive to change towns.

Offer Aucklanders an incentive to change towns.

Just this week, I was talking to someone who wanted to sell the rental property they had bought a year ago. They had been phoned by a real estate agent to let them know that they could receive a 15 per cent gain on the original price they paid.

This may sound like nothing much if you're coming from the Auckland market, where it is common for homes to double in price almost from one week to the next.

But in Whangarei, where things have been what could only be described as quiet for several years now, it is a very noticeable change.

Builders are busy, real estate agents are happy, and the "for sale" signs are out.

QV backed this up recently when it released statistics showing what it calls the "Auckland effect" spreading.

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Auckland's super-charged property market is having an effect on regional New Zealand as borrowers who cannot buy in our biggest city look elsewhere and are pleasantly surprised.

Year-on-year, Tauranga prices are now up 7.3 per cent, Whangarei, 4.6 per cent, Hamilton, 4.4 per cent and Palmerston North 2.2 per cent.

This is a big opportunity for the regions. Let's make the most of it and make it our time to shine, proving to Aucklanders why they should move to our regions and give us the economic and social boost that many regions have missed out on lately.

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We should be coming up with incentives to get people to move to our regions. Not only cheap house prices but also things for them to do at weekends, ways to make it easier to set up businesses when they arrive and good schools for their kids.

Existing businesses should be tempted away from Auckland with offers to cut red tape to get established here. Commercial property is also expensive there -- the options to expand, for example in manufacturing and production firms, in smaller centres are massive.

Businesses should also be encouraged to think about allowing their staff to work remotely.

Not only will this give their people the chance to achieve a better lifestyle elsewhere but it also will instantly give them access to a range of candidates who may prove invaluable in the current tight hiring environment.

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Depending on the role, those who work at home can deliver much more productivity for less cost than people in the office.

While Auckland buyers are looking elsewhere, let's grab the opportunity to catch their attention. Who knows how long it will last?

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