House sales up before temperature drops

Jeremy Willoughby and his daughter India. Photo / Janna Dixon

Real Estate sales are enjoying a last surge before winter.

In Auckland, crowds of up to 60 people are attending central open homes, one North Shore property sold in 24 hours - before advertising started - and a new Nelson agent sold four properties in a week.

But the boom is expected to be shortlived as listings drop off as the weather deteriorates.

Low interest rates have fuelled the surge, experts say.

"There's certainly a little boom," said First Rate Mortgages director Kim Lyons.

LJ Hooker general manager Keith Niederer said many vendors were "pleasantly pleased" with sale prices.

"There are people in some areas who get 40, 50, 60 people at an open home."

Rookie agent Leeon Johnston sold four properties in five days.

The Nelson-based former mechanic and business owner joined Bayleys in August and said buyers and sellers were benefiting from the "opportunistic market".

In the first week of April he sold three properties in Motueka and one in Mapua for between $345,000 and $700,000.

"Interest rates are low and there's never been a better time to buy a property. Vendors are prepared to negotiate now."

One of Bayleys' top Auckland agents, Gary Wallace, who sells mostly $1 million-plus homes in Auckland's upmarket Parnell and Remuera, said the market was coming out of the financial crisis.

"You don't see a bargain in my area. If it's been on the market for a long time there's something wrong with the property or it's overpriced."

Barfoot & Thompson recorded its highest average Auckland house sale price for April at $544,975, up from $541,486 a year ago.

The company's listings for April fell 21 per cent, but sales were up 8 per cent up.

Economic commentator Bernard Hickey described the situation as a "hot spot surrounded by a market recession".

"If you're a seller in central Auckland it's a good time because you can sell your house quickly and get a good price.

"[But] it's a recession that has not ended and it won't end for some time."

Get in quick...

Trevor Coppock's four-bedroom weatherboard home in Mairangi Bay on Auckland's North Shore sold in less than 24 hours.

The freelance photographer was "absolutely gobsmacked" by how quickly he had a buyer.

Coppock, 56, and his elderly mother decided to downsize from their large house, section and pool, and listed the home with Prestige International at the end of March.

The property was due to be advertised on April 4, but the day before he accepted an offer from the first person who viewed it.

He was delighted the property, which had an official valuation of $670,000, sold for "close to the asking price".

"I can't complain," he said.

News of the quick sale won't come as any surprise to first-time buyer Jeremy Willoughby - he and his wife have been scouring the Auckland market for 18 months.

The 41-year-old marketing manager said their only must-have features were three bedrooms and a section, so their daughter India, 3, had somewhere to play.

"Anything that's remotely good is selling in two to three weeks," Willoughby said. "You don't have a chance."