NZ Herald
  • Home
  • Latest news
  • Herald NOW
  • Video
  • New Zealand
  • Sport
  • World
  • Business
  • Entertainment
  • Podcasts
  • Quizzes
  • Opinion
  • Lifestyle
  • Travel
  • Viva
  • Weather

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • New Zealand
    • All New Zealand
    • Crime
    • Politics
    • Education
    • Open Justice
    • Scam Update
  • Herald NOW
  • On The Up
  • World
    • All World
    • Australia
    • Asia
    • UK
    • United States
    • Middle East
    • Europe
    • Pacific
  • Business
    • All Business
    • MarketsSharesCurrencyCommoditiesStock TakesCrypto
    • Markets with Madison
    • Media Insider
    • Business analysis
    • Personal financeKiwiSaverInterest ratesTaxInvestment
    • EconomyInflationGDPOfficial cash rateEmployment
    • Small business
    • Business reportsMood of the BoardroomProject AucklandSustainable business and financeCapital markets reportAgribusiness reportInfrastructure reportDynamic business
    • Deloitte Top 200 Awards
    • CompaniesAged CareAgribusinessAirlinesBanking and financeConstructionEnergyFreight and logisticsHealthcareManufacturingMedia and MarketingRetailTelecommunicationsTourism
  • Opinion
    • All Opinion
    • Analysis
    • Editorials
    • Business analysis
    • Premium opinion
    • Letters to the editor
  • Politics
  • Sport
    • All Sport
    • OlympicsParalympics
    • RugbySuper RugbyNPCAll BlacksBlack FernsRugby sevensSchool rugby
    • CricketBlack CapsWhite Ferns
    • Racing
    • NetballSilver Ferns
    • LeagueWarriorsNRL
    • FootballWellington PhoenixAuckland FCAll WhitesFootball FernsEnglish Premier League
    • GolfNZ Open
    • MotorsportFormula 1
    • Boxing
    • UFC
    • BasketballNBABreakersTall BlacksTall Ferns
    • Tennis
    • Cycling
    • Athletics
    • SailingAmerica's CupSailGP
    • Rowing
  • Lifestyle
    • All Lifestyle
    • Viva - Food, fashion & beauty
    • Society Insider
    • Royals
    • Sex & relationships
    • Food & drinkRecipesRecipe collectionsRestaurant reviewsRestaurant bookings
    • Health & wellbeing
    • Fashion & beauty
    • Pets & animals
    • The Selection - Shop the trendsShop fashionShop beautyShop entertainmentShop giftsShop home & living
    • Milford's Investing Place
  • Entertainment
    • All Entertainment
    • TV
    • MoviesMovie reviews
    • MusicMusic reviews
    • BooksBook reviews
    • Culture
    • ReviewsBook reviewsMovie reviewsMusic reviewsRestaurant reviews
  • Travel
    • All Travel
    • News
    • New ZealandNorthlandAucklandWellingtonCanterburyOtago / QueenstownNelson-TasmanBest NZ beaches
    • International travelAustraliaPacific IslandsEuropeUKUSAAfricaAsia
    • Rail holidays
    • Cruise holidays
    • Ski holidays
    • Luxury travel
    • Adventure travel
  • Kāhu Māori news
  • Environment
    • All Environment
    • Our Green Future
  • Talanoa Pacific news
  • Property
    • All Property
    • Property Insider
    • Interest rates tracker
    • Residential property listings
    • Commercial property listings
  • Health
  • Technology
    • All Technology
    • AI
    • Social media
  • Rural
    • All Rural
    • Dairy farming
    • Sheep & beef farming
    • Horticulture
    • Animal health
    • Rural business
    • Rural life
    • Rural technology
    • Opinion
    • Audio & podcasts
  • Weather forecasts
    • All Weather forecasts
    • Kaitaia
    • Whangārei
    • Dargaville
    • Auckland
    • Thames
    • Tauranga
    • Hamilton
    • Whakatāne
    • Rotorua
    • Tokoroa
    • Te Kuiti
    • Taumaranui
    • Taupō
    • Gisborne
    • New Plymouth
    • Napier
    • Hastings
    • Dannevirke
    • Whanganui
    • Palmerston North
    • Levin
    • Paraparaumu
    • Masterton
    • Wellington
    • Motueka
    • Nelson
    • Blenheim
    • Westport
    • Reefton
    • Kaikōura
    • Greymouth
    • Hokitika
    • Christchurch
    • Ashburton
    • Timaru
    • Wānaka
    • Oamaru
    • Queenstown
    • Dunedin
    • Gore
    • Invercargill
  • Meet the journalists
  • Promotions & competitions
  • OneRoof property listings
  • Driven car news

Puzzles & Quizzes

  • Puzzles
    • All Puzzles
    • Sudoku
    • Code Cracker
    • Crosswords
    • Cryptic crossword
    • Wordsearch
  • Quizzes
    • All Quizzes
    • Morning quiz
    • Afternoon quiz
    • Sports quiz

Regions

  • Northland
    • All Northland
    • Far North
    • Kaitaia
    • Kerikeri
    • Kaikohe
    • Bay of Islands
    • Whangarei
    • Dargaville
    • Kaipara
    • Mangawhai
  • Auckland
  • Waikato
    • All Waikato
    • Hamilton
    • Coromandel & Hauraki
    • Matamata & Piako
    • Cambridge
    • Te Awamutu
    • Tokoroa & South Waikato
    • Taupō & Tūrangi
  • Bay of Plenty
    • All Bay of Plenty
    • Katikati
    • Tauranga
    • Mount Maunganui
    • Pāpāmoa
    • Te Puke
    • Whakatāne
  • Rotorua
  • Hawke's Bay
    • All Hawke's Bay
    • Napier
    • Hastings
    • Havelock North
    • Central Hawke's Bay
    • Wairoa
  • Taranaki
    • All Taranaki
    • Stratford
    • New Plymouth
    • Hāwera
  • Manawatū - Whanganui
    • All Manawatū - Whanganui
    • Whanganui
    • Palmerston North
    • Manawatū
    • Tararua
    • Horowhenua
  • Wellington
    • All Wellington
    • Kapiti
    • Wairarapa
    • Upper Hutt
    • Lower Hutt
  • Nelson & Tasman
    • All Nelson & Tasman
    • Motueka
    • Nelson
    • Tasman
  • Marlborough
  • West Coast
  • Canterbury
    • All Canterbury
    • Kaikōura
    • Christchurch
    • Ashburton
    • Timaru
  • Otago
    • All Otago
    • Oamaru
    • Dunedin
    • Balclutha
    • Alexandra
    • Queenstown
    • Wanaka
  • Southland
    • All Southland
    • Invercargill
    • Gore
    • Stewart Island
  • Gisborne

Media

  • Video
    • All Video
    • NZ news video
    • Herald NOW
    • Business news video
    • Politics news video
    • Sport video
    • World news video
    • Lifestyle video
    • Entertainment video
    • Travel video
    • Markets with Madison
    • Kea Kids news
  • Podcasts
    • All Podcasts
    • The Front Page
    • On the Tiles
    • Ask me Anything
    • The Little Things
  • Cartoons
  • Photo galleries
  • Today's Paper - E-editions
  • Photo sales
  • Classifieds

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In
Advertisement
Advertise with NZME.
Home / Business / Personal Finance / Investment

Property Report: Caution in the air at property auctions

By Bruce Morris
NZ Herald·
4 Mar, 2012 11:00 PM5 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

You never know what you'll get at a real estate auction, but signs are encouraging. Photo / File

You never know what you'll get at a real estate auction, but signs are encouraging. Photo / File

The lady is just three rows in front of the auctioneer - not the greatest place to start stretching with an innocent arm above the head when a deal is in the making.

Instantly she recoils as the man with the hammer jabs away pleasantly, trying to establish whether he's dealing with a live bid or a solo zumba display.

As she snuggles against her partner to hide the embarrassment, the crowd in Barfoot & Thompson's downtown auction room enjoys the tension-breaker.

You can scratch your nose at an auction without drawing attention, but waving an arm in the air is certain to excite an auctioneer.

This time, no damage, except perhaps to pride, and of course auctioneers will always confirm that a bid is indeed intended if they have any doubt.

Advertisement
Advertise with NZME.
Advertisement
Advertise with NZME.

But this lady was soon out of her shell and into her stride, even if her partner wasn't quite in step with her intentions.

When a Meadowbank home was offered, up went that arm again, and this time it meant business. She didn't have a figure in mind, but accepted the auctioneer's suggested starting price of $500,000.

The arm stayed down as a rat-a-tat series of bids from across the room took the price to $725,000, where momentarily it stalled. After whispering to her partner, zumba lady turned John Travolta - ramming a Stayin' Alive arm high to signal a $5000 raise.

Advertisement
Advertise with NZME.

As she did so, the staggered partner yelled "No!", and that was the end of their property play for the day. Whatever they had been whispering must have gone in one ear and out the other. It pays to have everyone in synch when a couple come to buy.

In the end, an auction which offered so much hope ended as mission unfulfilled. The price inched up and the arm stayed down, even after the auctioneer genially offered some advice to the partner: "Stop holding her hand - Valentine's Day was yesterday!" Eventually, as the sellers came down to meet the market, the house sold for $750,000... and the couple slipped away to practise a more unified approach to the business of buying at auction.

They were not the only disappointed party on the day.

Of the 43 lots - representing homes from west, central and east Auckland - 15 sold under the hammer and 28 properties were passed in. Sixteen of them drew no bid at all, with three others attracting just one low offer.

Discover more

Investment

Pressure on realtors

03 Mar 04:30 PM
Economy

Auckland property market out in front

04 Mar 04:30 PM
Economy

Barfoot bemoans lack of new listings in Auckland as home sales rise

04 Mar 09:45 PM
Business

Property Report: No prospect of a price surge as caution reigns

04 Mar 04:30 PM

Of course, the sales process extends beyond auction day and, with conditional buyers hovering, many of the properties will, in time, sell. But if the raison d'etre for auctions is competitive and unconditional bidding on the day to drive higher prices, this February 15 snapshot told an interesting story.

All the signs lately have been that the overall market - and particularly in Auckland - is picking up, with supply edging closer to meeting demand and prices continuing to make gains. But most of the properties selling on February 15 seemed to fetch prices below the vendors' initial reserve as Barfoot & Thompson staff negotiated the deals - eking out a few dollars more from buyers and persuading sellers to drop a little.

It's risky to read too much into one auction lacking North Shore and South Auckland presence, but it may suggest sellers have been buoyed by the signals, especially in central Auckland, that prices are continuing to move steadily. Perhaps they're aiming just a little too high?

If the auction gave another pointer, it was that buyers are still cautious, with just two homes comfortably clearing the original reserve.

The passing-in of so many properties without a single bid hardly suggests supply is still way out of kilter with demand in Auckland, but may support arguments that generally we still have quite a fussy market.

Well-presented quality homes that, in real-estate jargon, tick all the boxes will be in strong demand, especially in the inner-city suburbs, but the price will need to be right for standard offerings.

Advertisement
Advertise with NZME.

You don't need such a big cheque book to get a decent family home on the fringes of Auckland and a mortgagee auction the same day gave an excited couple just what they were looking for: a newish three-bedroom property, fenced with decks and garden, a separate double garage, a decent rural view of rolling hills and carrying a CV of $275,000.

They got it for $270,000, and the young couple couldn't have been happier. And not a bad day to celebrate buying a house either - revealing to the auctioneer, "it's our wedding anniversary!"

THE BEST RESULTS ON THE DAY WERE:
* 7 Schofield St, Grey Lynn, again showing the continuing strength of this prime inner-city patch next door to glamour suburbs Westmere, Herne Bay and Ponsonby. The old three-bedroom bungalow sold for $930,000, about $10,000 above reserve. It last sold in 1998 for $290,000 and has a current council capital value (set in July last year) of $790,000. People living outside Auckland must look at properties like this and scratch their heads, but it is a classic case of location, location, location.

* 5 Quentin Ave, Epsom, a true-blue Auckland suburb where a million dollars doesn't go very far (the latest QV data in the centre pages of this Property Report puts the average property value in Epsom at a touch over $1.133 million). The four-bedroom home with downstairs granny flat sold for $1.166 million, $16,000 above reserve. The property last sold in November 2007 at the peak of the boom for $920,000 when the CV was $830,000. Its latest capital value is $960,000.

Save

    Share this article

Latest from Investment

Premium
Opinion

Nadine Higgins: Alternative ways to get on the property ladder

21 Jun 05:00 PM
Premium
Opinion

Mary Holm: Should I pay off my student loan or invest in an index fund?

13 Jun 05:00 PM
Premium
Opinion

Nadine Higgins: Should you swap residential for commercial property?

07 Jun 09:00 PM

Jono and Ben brew up a tea-fuelled adventure in Sri Lanka

sponsored
Advertisement
Advertise with NZME.

Latest from Investment

Premium
Nadine Higgins: Alternative ways to get on the property ladder

Nadine Higgins: Alternative ways to get on the property ladder

21 Jun 05:00 PM

Prices and interest rates have fallen, offering a window to buy homes now.

Premium
Mary Holm: Should I pay off my student loan or invest in an index fund?

Mary Holm: Should I pay off my student loan or invest in an index fund?

13 Jun 05:00 PM
Premium
Nadine Higgins: Should you swap residential for commercial property?

Nadine Higgins: Should you swap residential for commercial property?

07 Jun 09:00 PM
Premium
Mary Holm: The biggest winners and losers from the Government's KiwiSaver changes

Mary Holm: The biggest winners and losers from the Government's KiwiSaver changes

30 May 05:00 PM
Help for those helping hardest-hit
sponsored

Help for those helping hardest-hit

NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • NZ Herald e-editions
  • Daily puzzles & quizzes
  • Manage your digital subscription
  • Manage your print subscription
  • Subscribe to the NZ Herald newspaper
  • Subscribe to Herald Premium
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • The New Zealand Herald
  • The Northland Age
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Whanganui Chronicle
  • Viva
  • NZ Listener
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven Car Guide
  • iHeart Radio
  • Restaurant Hub
NZME
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Book your classified ad
  • Photo sales
  • NZME Events
  • © Copyright 2025 NZME Publishing Limited
TOP