Tauranga's property market has started back with a "hiss and a roar". Photo / George Novak
Tauranga's property market has started back with a "hiss and a roar". Photo / George Novak
Tauranga's property market has rebounded with a "hiss and a roar" with real estate agents reporting activity reaching pre-lockdown levels.
Buyers have been out in force after months of pent-up demand but some agents are not ruling out the possibility that the market was in catch-up mode post lockdown andfear there is a shortage of new listings.
General manager of Tremains Bay of Plenty and Waikato, Anton Jones, said things seemed to be returning to normal and had "certainly started with a hiss and a roar".
General manager of Tremains Bay of Plenty and Waikato, Anton Jones. Photo / File
Jones said his team had 14 multi-offers on properties in the past two weeks and four properties above the million-dollar mark also went unconditional last week.
Tauranga Harcourts managing director Simon Martin said online property viewings were "astronomical" during the lockdown and there had been a steady increase in viewings in recent weeks.
Tauranga Harcourts managing director Simon Martin. Photo / File
"We went into this with a low supply of stock and haven't seen a massive increase of properties coming on but there is solid demand."
Martin said the change to level 1 meant "we are back to 100 per cent normal business".
He said there had been an increase in first-home buyers and investors because of the low interest rates and removal of LVRs as well as a lot of interest from ex-pats.
First National Real Estate Tauranga realty general manager Cameron Hooper said business had started to "ramp up".
"Buyer inquiry is high for new listings and purchasers are not waiting until the first open homes, with mid-week appointments increasing.
First National Real Estate Tauranga realty general manager Cameron Hooper. Photo / File
"Feedback has been that while people are cautious about where the market is heading the low interest rates and a shortage of new listings to choose from is encouraging to them to make a move."
Hooper said their sales numbers were strong and similar to the first three months of this year but it was new stock they were searching for.
"... While we had a flurry of new listings after lockdown, vendors have been cautious about jumping in.
"Investors who contemplated dumping excess properties are seeing signs of light at the end of the tunnel."
Investors were returning with the new interest rates coupled with confidence in a stable property market, he said, while first-home buyers who still had approved finance were frantically looking at properties.
"Buyers' confidence is growing once again particularly ones that have good job security, they are excited about getting on with it.
"There's a real sense of purchasers not wanting to miss out."
Heath Young, chief operating officer of Realty Services Limited, which operates Eves and Bayleys across the Bay of Plenty, said level 1 meant people had more clarity in regard to buying and selling.
Young said sales volumes had been steadily picking up during the past few weeks since lockdown with "better than expected results" in the auction rooms.
"We are cautiously optimistic about the future for real estate in the Bay of Plenty."
OneRoof editor Owen Vaughan. Photo / File
OneRoof editor Owen Vaughan said agents, mortgage brokers and economists were reporting a "tremendous surge of sales" in level 3 and 2.
"Now in level 1, we are hearing agents are the busiest they've been for over a year."
Vaughan said good properties were getting multiple offers and selling for good money and mortgage brokers were processing huge numbers of loan applications.
"The buyers are out in force, and with months of pent-up demand, they're hungry to do the deals, picking up from their interrupted search from the summer boom."
However, he said the biggest constraint on sales now was a "severe lack of new property listings" as demand exceeded supply.
"Buyers who are confident about their job or business prospects are still looking, but some vendors are waiting to see where prices and volumes settle, and what happens to the economy."
Real Estate Institute of New Zealand chief executive Bindi Norwell. Photo / File
Real Estate Institute of New Zealand chief executive Bindi Norwell said things were returning to "normal" from a real estate perspective.
"Whilst the last few months have been tough, there is certainly an appetite from both real estate professionals and buyers and sellers to get things moving as quickly as possible when it comes to real estate transactions."
Norwell said there had also been an increase in interest from Kiwis living offshore looking to move home and the low-interest-rate environment was also helping the market.
