Chief leaves Real Estate Institute in good heart

By ANNE GIBSON

A record 90,000 homes will be sold by the end of this year, says outgoing Real Estate Institute president Rex Hadley.

House sales have already rocketed well ahead of those sold at this time last year, he said.

In 2000, agents sold 65,000 homes, 76,000 were sold last year and 60,000 had been sold by July this year.

Hadley predicted that the country's 12,000 real estate agents could easily sell 90,000 residential properties this year.

Peter Thompson, of Barfoot & Thompson, said yesterday that the volume of Auckland house sales rose 27 per cent last month. Average prices rose $25,000, to $326,000.

Agents sold 1132 houses, compared to 892 in the same month last year.

Hadley will step aside at the institute's national conference in Rotorua today. Christchurch real estate agent Graeme Woodley will take over.

As president for the past two years, Hadley oversaw radical changes at the institute - not all of them popular with members.

They included:

* A revamp of New Zealand Real Estate, the institute's monthly journal, which had been published in-house and edited by Graeme McGregor. Aucklander publisher Robin Beckett's AGM now puts out the magazine and has made design and editorial changes.

* Presiding at the time of the axing of long-standing institute chief executive Eric Keys, who had been with the institute for 23 years, in favour of a younger head, Boud Hammelburg, 48, who was appointed executive director this year. Hammelburg, a lawyer and accountant, was chief executive officer of international loss adjusters McLarens Toplis New Zealand.

* Taking full control of the RealENZ website. Melbourne internet-based property business realestate.com.au sold its 26 per cent stake in RealENZ to its fellow shareholder, the institute. RealENZ is now fully owned by the institute.

The Australians had bought the shareholding two years ago for A$1.27 million, but Hadley said the institute paid only $400,000 to buy back the holding.

* A scrap with lawyer-led startup venture REAL, which collapsed after a year. Hadley was openly critical of the venture, seeing it as a conflict of interest between lawyers and real estate agents.

* Fronting up three times on TVNZ's Fair Go to answer criticism of real estate agents, particularly on commission disputes about double-claims by agents against vendors.

* A turnaround in the residential real estate fortunes, with prices and volumes rising.

Hadley had set three goals in his time as institute head: to restructure management and direction, to change and promote the website and to bring passion back to the industry.

Hadley said: "I must admit, appearing on TV One News when sales figures are buoyant is far preferable to Fair Go, where I know I am going to be hauled over the coals on the issues of two commissions or false advertising."