January 24, 2025 • 41 mins
An entire village is up for sale - and it will only put you out $2.9 million.
Lake Waitaki Village in North Otago is up for grabs once again - fitted with eight three-bedrooms houses, a five-bedroom lodge, and a list of other amenities.
But why is it so reasonably priced?
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Speaker 1 (00:05):
You're listening to the Weekend Collective podcast from News Talks AB.
Speaker 2 (00:11):
You love.
Speaker 3 (00:14):
Episode.
Speaker 4 (00:16):
You can see standees.
Speaker 5 (00:22):
Hostelling. You can see standees.
Speaker 6 (00:29):
News Talk CB Weekend Collective. I'm Jess. I'm with you
through until six o'clock. Tim on a well earned break
after working through the summer season. Seven minutes past four
still to come on the show. After five o'clock, we're
going to have a debut guest spot with midwife Grace Strange,
so we're going to talk parenting and also the increasing
amount of C sections that are being requested in New Zealand.
(00:52):
We'll find out why that is and whether it is
a good thing. But of course it is now time
for the one roof radio show and joining me today
is Ashley Church, property commentator. Hi, Ashley, Jess.
Speaker 7 (01:04):
I'm just thinking, I'm very please you haven't got the
topics around the wrong way, because I would have been
in a bit of trouble with the next.
Speaker 6 (01:08):
Time I want to put that on. You don't worry.
That would be a whole new type of property check.
Just quietly.
Speaker 7 (01:18):
Actually, I'm pretty sure whoever it was coming on probably
would have struggled a bit too, So there you go.
Speaker 6 (01:25):
Hey, now first and foremost, we'll get the formalities out
of the way. Happy New Year. Did you have a
chance for a good break?
Speaker 7 (01:31):
Yeah, you didn't go anywhere, living here in Paradise on
the beach in Hawks Bay.
Speaker 6 (01:36):
Oh nice.
Speaker 7 (01:37):
Had some stunting weather up until Christmas and then the
and then it all packed up for a while. But
it's come right again now, but it's been good.
Speaker 2 (01:44):
Yeah.
Speaker 7 (01:44):
How about you? Where did you go?
Speaker 6 (01:46):
I worked, so I didn't go too far. But when
I did go away, I went camping for ten days
actually round Nelson and Blenham, and we were lucky with
the weather. But I tell you what, it's nothing like
summer should be, isn't.
Speaker 7 (02:00):
Wow. Well, it's interesting you went down there because your
compatriot Tim Beveridge is down in cable bait the moment,
so yeah, he is so obviously a popular haunt.
Speaker 6 (02:10):
Yep, yep. And of course we are chatting property now,
and are we finding is this the time when people
start to kind of wake up to the property market again? Ashley?
Speaker 7 (02:20):
Well, funny you should ask. So there's a very interesting
article Calvin Davis, who most of your listeners will know.
He's with core logic. He's got an article in the
one of the newspapers a few days ago talking about
what's happened to house prices over the last in fact,
basically since since the peak, which was in twenty twenty one,
(02:43):
and he talks about the fact that Auckland house prices
have dropped by about twenty percent and how Wellington prices
have done even worse. He've dropped by about twenty five sorry,
Auckland about twenty two and Wellington about twenty five, So
very much crash territory for both of those markets, although
(03:04):
to be feared that the incidence so that it would
be different in different parts of Workington Wellington. Anyway, the
reason I mentioned that is because we've had this, and
everybody knows this. We've all experienced it, so I'm not
telling anybody anything they don't already know. What we've all
been waiting for is the return to market normality, and
we've had a couple of false starts chests. We had
a false start about two years ago and then more
(03:26):
recently in December twenty twenty three, so just over twelve
months ago it looked like the market was all ready
to take off again, and this even before interest rates
started dropping. It looked like there was a bit of
confidence in the market. And I don't know if whether
you remember this, but was there was sort of a
hesitant confidence starting to return. And then Sharon Zohner, who
(03:47):
was the head economist at the A and Z, made
what was, in hindsight a pretty stupid comment, which was
that the Reserve Bank was likely to increase interest rates,
and that snuffed it out. And at the time she
got criticized by pretty much everybody, and I think she
came out and said she was wrong pretty quickly. But
the point is not so much to criticize her, but
to just indicate how fickle that confidence actually was at
(04:09):
the time. So I'm mentioning all that because we're now
into another phase like that. So we're now into another
period where it's looking like the market might recover again
with a bit more validity this time, just because interest
rates have been dropping reasonably steadily since late last year.
So the difference between last year and this year is
that there is there is certainly a reduction in what
(04:31):
it's costing people to own property, and that has two impacts. One, obviously,
it gives them more confidence to go back into the
market and to it means that it actually they can
spend more because they've got more to spend because they're
not spending as much on interest. So long, very long
answer to your question, which is the art to which
the answers may.
Speaker 6 (04:47):
Be maybe or we might We might as well carry
on with that chat too, Eshley, because as you say,
it's it's such a it's such a big as investment
for so many people that when do people start believe
thing in the rhetoric when it's Sorry, I.
Speaker 7 (05:10):
Was just going to say, that's an excellent question, and
if I had the answer without it'd be worth billions.
So and the reason I say that is because there
is a point at work. Have you ever read the
book Tipping Point by Stephen Gladwell Malcolm Gladwell, No, I haven't, No, Okay,
that's a really good book. He's a British author, wrote
about twenty years ago, and it basically talks about the
fact that when subtle changes take place in any trend,
(05:30):
there is a point at which they suddenly take off.
Doesn't matter what it is, whether it's a product of
service or in our case, the property market, there is
a point at which it tips. And once that tip
takes place at the prices start dropping in the case
of the property market, all going up if we're going
into a new market. And so the question at the
moment is when will that tipping point be. I think
(05:51):
we all recognize it's coming. We all know it's going
to happen. We all know that the market's long overdue
for an increase and that it's going to take off again.
It's just that none of us know when we will
actually hit that point. When it happens, it will happen
quickly and we'll know it. We'll all know it. But
it hasn't happened yet, and we're sort of all waiting
on ten to hooks. And I think probably more nervous
because this time fourteen months ago we were going through
(06:12):
pretty much the same thing, thinking that was the tipping point,
and it turns out it wasn't.
Speaker 6 (06:17):
Yeah, exactly, And so why is it areas like Wellington
and Auckland. Do you think that have dropped because it
hasn't been near as bad in christ Church?
Speaker 7 (06:26):
Yeah? Two slight dear different reasons in each of those.
So in the case of Auckland, it's because they got
so high. So you remember we had that and it's
really important, and I say this every time on the show,
and I need to stress it. The reason we're in
this position now is that there is a If you
want to look for somebody to blame or something to blame,
there is an offending party and it's the Reserve Bank.
The Reserve Bank created the situation that increased house prices
(06:49):
in twenty twenty and twenty twenty one, and then when
it realized it had gone too far with monetary policy,
it had born interest rates down too far, it then
proceeded to do the opposite of that and basically screw
the economy for two years. So the Reserve Bank is
the stalking night in this and the Reserve Bank's desperate
now trying to get inflation back under control. Looks like
it's done that I should hasten to add. I agree
(07:11):
with what they've done. I just resent the fact that
they put us in the position that they had to
do it in the first place. So Auckland house prices
went up dramatically as a result of rezerm policy, so
they had further to fall. And it's pretty much as
simple as that. In most parts of Auckland, Wellington's a
little bit more difficult difficult a couple of reasons. One
of them is that, and this is going to offend
some of your listeners, but it's just a fact. When
(07:32):
it comes to the Wellington market, I would argue that
Wellington's not a particularly attractive destination for people to purchase homes.
People go there because they have to because they work
in the public service. So it's not a destination like
other parts of the country where I am here in
Hawk's Bay or where you are in christ Church. You
are other parts of the country where people buying because
they want to because it's a lifestyle destination. They buy
in Wellington because that's where the job is. And compounding that,
(07:56):
and related to that, is the fact that the public
service is such a large stalking horse over the Wellington
property economy that when there's a lack of confidence in
what's happening there or or changes taking place as there
are at the moment with the government, that also has
that costs a very long shadow over what happens to
Wellington house prices, and that will continue to do so,
I think probably for another year or so, until that
(08:18):
sort of sorts itself out and we know what the
Government's actually doing in that space.
Speaker 6 (08:21):
Yeah, and it's with things like infrastructure. You know, Wellington's
had such a tough time in the news over the
last year with their water infrastructure and the likes of that.
Does that put people off?
Speaker 7 (08:33):
Well, it puts It's not so much that it puts
us off per se. Well, yes it does, but it
also puts it puts people off because all that impacts
on rates. So Wellington rates are just astronomical at the
moment there. You know, they're at a point now where
I would argue the government should already have stepped in
and sacked the council there and put a commissioner in
in the same way that they did with Towering or
a few years ago. In fact, they probably could have
(08:55):
got in Tolly who was the commissioner and Towering are
to do the same job in Wellington. For whatever reason,
they've chosen not to. But so you've got this uncertainty.
You've got people thinking, what's gonna heaven to my rates?
And they're going to continue increasing over the next few
years are certainly an indication that they're likely to. And
then you've got, as you say, all that infrastructural deficit
stuff that's taking place, which is not only expensive, but
(09:15):
it also impacts on people's lifestyles while the well that
work's actually being.
Speaker 6 (09:18):
Done eight hundred eighty ten eighty. If you've got a
question for Ashley Church, our property commentator today, have you
seen your property value go down? Have you seen prices
going down around you? Are you trying to buy or
sell at the moment and how are you finding it?
Our lines are open, oh, eight hundred eighty ten eighty
or any question in regards to the property market. We
(09:39):
would welcome your calls today. So is it a good
time to sell then, Ashley at the moment, given what's
going on.
Speaker 7 (09:46):
It's an interesting question because it really depends on why
you're selling. If you're selling to make money, if you're
selling because you want to sort of capitalize on the
value of your property, probably not. But most people aren't
doing that. Most people are buying and selling for reasons
other than profits, So they're they're they're selling because they
want to buy another house, either in the same city
or somewhere else. And for those people, life just goes
(10:07):
on and so they'll continue and particularly if you're in
the same market, so if you are in Wellington, for example,
and things are a little bit up in the air
there at the moment. If you're selling a property in
order to buy another property in the Wellington market, then
you're fine because because as much as prices might be
a little bit depressed at the moment, that goes both ways.
If you're buying it also it's also a benefit to you.
(10:28):
So the answer is probably no. But if you ask
me the flip question to that, which is a good
time to buy, it's absolutely a good time to buy
right now and it won't continue to be for it indefinitely.
Prices are probably as depressed as they're going to be
at the moment in most parts of the country, even
christ Church where they've only dropped by about seven percent,
they're not going to drop any further than that. So
(10:50):
for somebody who's looking to buy a home, maybe a
first time buyer who's been holding off for the last
couple of years, thinking that you know, the property houses
that might drop a little bit further. You're talking eking
out small, tiny fractions of a percent. Now more likely
that house prices will start increasing. So for those people yet,
it's a good time to be listening to it to
take advantage of the market. Well, that still prevails.
Speaker 6 (11:12):
An interesting as an aside. This week, of course, we
heard that christ Church in the Canterbury region having a
huge amount of consents approved. So meeting that demand is
obviously going to keep the price fairly reasonable.
Speaker 7 (11:26):
You would hope, you would hope, Yeah, I did see that.
It's not something I keep a huge ionic am. Interestingly,
that would be the opposite situation to some parts of
the country, where partly as a result of the fact
that there was probably over supply over the last couple
of years, and partly as a result of the fact
that immigration numbers have come down, that consenting for new
constructions come down in some parts of the country. So
(11:47):
the fact that it's up in christ Church is a
good sign of a healthy economy.
Speaker 6 (11:51):
Sure is. I can see it happening around me in
the central city as we speak. Apartments going up everywhere. Oh,
eight hundred and eighty ten eighty. If you have a
question around property investment, whether you're buying or selling at
the moment, or want some questions answered, weight one hundred
and eighty teen eighty, we'd love to have your calls.
We have Hapal on the line, Hig Hapal.
Speaker 4 (12:11):
How are you goody, Sorry but novous. This is the
first time Mama were talking on a radio. Shirt don't
need to be made. Yeah, so I got a house
last year. The intrust rate was like, I think six
at five seven. And if the intrust rate go down,
(12:32):
you think it will increase my equity or I have
a chance to buy a second property.
Speaker 7 (12:37):
Both. So let's take two of those things. Firstly, if
interest rates go down, So one of the things we
do now know, and you know it's a merge. It's
something I've talked a lot about over the last three
or four years, is that there is a direct relationship
between increased house prices and lower interest rates, both in
terms of confidence and in terms of affordability. So if
interest rates continue to come down, which they will be recorded,
(13:00):
I don't know what that was. Yeah, if interest rates
continue to go down, as they will, then you would
expect house prices to increase on the back of that,
not necessarily at exactly the same rate, but if you
look at that trend line over the longer periods, you'll
see that that relationship's there. In respect of buying another property,
(13:23):
that really relates to some other factors as well, that
also comes down to what your financial position is, whether
you're in a position to be able to afford to
pay a second mortgage, whether the banks, whether you've got
enough equity in your existing property to maintain the bank's
minimum as well as have enough for a deposit on
a new property, and whether the bank would accept that.
So that's a more fraught and complicated equation. But if
(13:43):
you talk to a mortgage broker or to your local bank,
they'll be able to help you with that.
Speaker 4 (13:47):
Oh, yeah, thanks for helping Matt.
Speaker 6 (13:49):
One for Thanks for your call, Harpal, appreciate it. Oh
eight hundred and eighty ten eighty is the number to
call if you've got some questions for Ashley, you'd be
happy to chat with you. Ashley, We've got a text
here from Alex and I'm not sure if you're familiar
with the carpety mark it, but he's asking are you
familiar with the company market and what it's doing and
is there a different market to Wellington City?
Speaker 7 (14:12):
Yeah, it is and and so and I'm glad he
asked that because that's a good point. Actually, So when
I talk Wellington, I tend to talk the Wellington region
as fast North as as pro ruit and maybe a
little bit further so, so in that sort of I
when I talk with that sort of Greater Wellington area,
for me, that's that Greater Wellington actually does take in
capity though in fact Greater well Engine actually takes in
(14:33):
why a wrapper, I think and the company markets clearly different.
And it's different because obviously it is a lifestyle destination.
It is some it is some where people go because
of the lifestyle. It's a retirement destination. There's a lot
of people by there because they choose to retire there.
It's a lot newer, it's got a lot of newer housing.
It's got a sort of a dynamic to it that
doesn't exist to the same de grand Wellington. So if
(14:55):
Alex is in CARPETI yeah, that's that that would definitely
have a different complexion to it than what's going on
in Wellington.
Speaker 6 (15:02):
Okay, thank you, Ashley, and we'll head back to the
phones now, Hi Ben.
Speaker 3 (15:07):
Ben there, Ashley, you've spoken a bit about Wellington for
first time buyers an Orkland. How much longer do you
think this opportunity might last?
Speaker 7 (15:18):
It's a really good question. So it's definitely there right
now and it's been there for some time. Probably the
best way to answer that is to say, once it changes,
it will change quickly. So I can't tell you when
when the market will change. What I can tell you
is when it does change. You know what FOEMO has
been the fear of missing out. So Phoe is essentially
the personification of the change that takes place in people's confidence.
(15:42):
So they go from this point where they're not sure
whether it's a good time to buy, to suddenly something
changes in the water, The mood changes, the confidence changes,
and then suddenly it moves into this thing of hey,
house prices are going up. I better buy quickly or
I'm going to I'm not going to be able to
afford to do so when that kicks in, and it will.
When that kicks in, it has a tendency to take
hold quite quickly. And when I say quite quickly, by
(16:04):
meaning house prices, good could go up by as much
as ten percent and twelve months. So I can't tell
you when that will happen, but when it does happen,
it will happen fast.
Speaker 3 (16:14):
Awesome thinks I should not worries at all.
Speaker 7 (16:16):
Have That's helpful, mate, chess mate.
Speaker 6 (16:18):
Thanks Ben, appreciate your call, I wait one hundred and
eighty ten eighty your opportunity to pick the brains of
a property expert if you're in the market to buy
or sell, actually would be happy to take your calls.
Just before we take a break, Ashley, I've got a
text your saying, not only the Reserve Bank to blame
investors brought up large and cut out poor first home buyers.
We've never had the capital gain, so it was better
(16:40):
playing with houses rather than business or shares. Would you
agree with that?
Speaker 7 (16:44):
No, not at all. Two reasons. One is that investors
are absolutely no different to anybody else who operates in
any form of business, which as they respond to market signals,
and the market signals were lower cost money buy, so
they did more. Importantly, that text plays up this whole
idea that there's a confrontation between property investors in first
home buyers that simply doesn't exist. It's non since it
(17:05):
always has been the biggest group of buyers in the
market at any given point in New Zealand's history, with
the exception. I think so if you go back to
twenty fourteen and you look at each year as having
four quarters since twenty and fourteen, there was only three
or four quarters, where first time buyers weren't the biggest
buyers in the market. They represent. Yeah, so this idea
that investors came in and took all the first time
buyers our houses is simply not true. And investors serve
(17:29):
a completely different purpose in the market. If you didn't
have investors buying rental property for people to rent, the
government would have to provide those rentals. So it's this
idea that first time buyers were missing out and not
buying houses is simply nonsense. They continue to be the
significant part of the market, will continue to be so,
so if you didn't have investors in the country would
be in dire shape because you and I, as a taxpayer,
would have to pick up the bill for those houses
(17:50):
that people rented.
Speaker 6 (17:51):
Yeah, and a lot of that does come from political
spin too, doesn't.
Speaker 7 (17:54):
It totally totally And it comes out of people's political ideology,
and I get that, but it isn't true.
Speaker 6 (17:59):
Yeah, fair enough, I thank you. Actually, we're going to
take a break now, oh eight hundred and eighty ten
eighty if you'd like to get on the line to
ask your questions. And the one roof property out here,
the week in Collective News Talks e'd b twenty four
minutes past four and I'm Juce Davidson with you today,
Tim having a well enned break in. We are very
honored to be joined by Ashley Church, property commentator today.
He's taking your questions on the property market. We've been
(18:21):
discussing that their significant drops in Wellington in Auckland and
answering your calls as well. Oh one hundred and eighty
teen eighty good afternoon, Mary, Oh.
Speaker 5 (18:32):
Good Asking y Ashley, I wanted to ask why it's
so difficult to get mortgages for company share places. I
know they're wanted people to get, you know, get into
housing and everything and very good, it's very good accommodation
and that. But people seem to be able to very
(18:53):
lot of difficulty getting the mortgage.
Speaker 7 (18:56):
So what do you mean when you say company share places.
I'm not sure I understand.
Speaker 5 (19:04):
So we're like you got five or six flats units
all in a row, and you buy certain number of
shares for the building.
Speaker 7 (19:15):
Oh. I wouldn't profess to be an expert on that
particular form of purchasing, but I would say, just based
on what you've told me, I suspect it's probably because
the security for the banker is more problematic. So when
banks lend money on a mortgage, they do it based
on the security that you provide to them, and they
want to make sure that if anything happens to the market,
(19:36):
that they're covered and they can sell the property and
get their money back. I suspect, and I don't know this.
I suspect there's probably something about the securitization of those
assets which is more problematic for them and makes it
more difficult. But I don't know, and I'm sorry. I
can't help you in a way that would probably are
probably going to be helpful to you to the question
that you're asking.
Speaker 5 (19:55):
Well, that's okay, I just thinking about it. I listened
to the program each week, and I just sort of thought,
we'll give it a go.
Speaker 7 (20:04):
You know, trigging next there might be a smarter mind
than mine and that won't be difficult.
Speaker 6 (20:09):
Thanks anyway, no worries, Thank you, Mary. Thanks to you.
Cal If we get any text correspondence with answers, will
bring it your way. Mary, But thank you very much
for your call. And I guess in the terms of
general deposits, actually has it got easier for people to
get those together.
Speaker 7 (20:25):
Now, well, the deposits only as difficult it has ever been.
I think what has changed and which got harder two
things have happened. Actually in twenty and seventeen. Twenty and eighteen,
the Reserve Bank, there's that Reserve Bank again introduced something
called alone to value ratio restrictions, which basically said that
you had to have in most circumstances of twenty percent
(20:45):
deposit if you were buying a home. There were some
exceptions to that, and the rationale for that was pretty
shunky in my view. It was based on the Reserve
Bank's view that they were somehow stabilizing the market by
forcing people to have bigger deposits. There's actually no evidence
to back up that assertion going back forty odd years.
But there you are now having put that, and the
(21:06):
people who suffer most from that first home buyers. Because
for somebody buying another house, you know you've got your
deposit because it's built into the equity of the property
that you're selling. Even if you're buying a more expensive property,
you've got sufficient equity and at the home that you're
selling to cover the portion of the loan that the
bank needs. If you're a first home buyer, that's not
the case, so you've got to actually save it up.
And so instead of back in the old days where
(21:27):
you could buy a house on as little as five
percent deposit, So just to put that in some context,
if you were buying a home with five hundred thousand,
then you could get a house for a deposit as
little twenty five grand, You've now got to have one
hundred thousand dollars deposit for that same house. So big
in position, big change. Anyway, the market's responded to that
and managed okay. The Reserve banks now indicated that it's
(21:48):
introducing yet another in position, something called DTIs debt to
income ratios or get to income restrictions, and so not
happy to have upset the market with the loan to
value ratios, that have now said that banks will only
be able to loan on a multiple of your income.
(22:09):
And so what they're saying is just to make it
really easy, if you've got one hundred thousand dollars income
household income, then the maximum you'd be able to borrow.
And I'm putting aside just to make this simple, I'm
putting aside deposits and things, and just doing the straight numbers,
you'd only be able to borrow seven hundred thousand dollars,
which in some parts of the country is fine. If
you're in Auckland, good luck with that. And the problem
(22:31):
with that is that, firstly, there's no reason for the
Reserve Bank to do that. We've just been through the
most difficult market we've probably been in forty or fifty years,
and we've come through relatively unscathed, and now they're talking
about putting yet another restriction in place. And secondly, it's
not the Reserve Bank's role. The Reserve Bank's role and
remisss around the control of inflation, not trying to control
(22:52):
how the property market works, and so all they're likely
to do. All this is likely to do, in my view,
is make it harder for first time buyers to buy
a property, to the point wherein I've predicted this on
the show a couple of times, the government will have
to for them to revisit this in three or four
years time, because it will prove to basically reduce first
time ownership over and above the other impositions at the
(23:13):
Reserve Bank's already put in place.
Speaker 6 (23:14):
Yeah, such a daunting process for first time buyers and
as you say, another obstacle. Back to the phones' oh
one hundred and eighty ten eighty, or you can text
through nine two nine two if you'd like to check
with scle Church.
Speaker 7 (23:25):
Paul.
Speaker 8 (23:26):
Hi there, Paul, afternoon, nice technical, Thank you. I've got
a bet a four or five year old villa style
house in Walkworth that I'm going to meet with a
real estate agent this week to list. And when I
popped into their office just to set up an appointment
for this coming week, the mains they said was that, oh,
(23:50):
you've got to put it up for action. They haven't
actually seen their house she had or anything like that.
We haven't talked about a marketing plan or anything at all.
I'm not saying that I've got a problem with going
to auction. I'm just wondering, is there always the default position?
Is that always the best thing to do to go
to action? Or do you think?
Speaker 7 (24:11):
I know, and I think you'll find that that's the
the I think you'll find that's a preferred position of
the agent you're dealing with. So every agent, and sometimes
every firm's got its own views on the best way
to sell property. So I should start by saying that
if they're saying that to you, I would there on
the side of thinking that they believe that's in your
best interests. It doesn't necessarily mean it is. There are
(24:32):
different agencies are good at different things. But for every
agent that talks about options being a good way of selling,
there will be another agent will say sell by tender
or or price over or Also there's about ten or
fifteen different mechanisms that you can use. My personal view
for what it's worth octions options are a very bad
way of selling in a flat market. The whole purpose
(24:54):
of an option, and the whole reason that an auction
works is in a hot market, you get four or
five people in the room who all want to buy
the property, and they compete with each other, so that
competition basically causes them to pay the maxim and price possible,
and you maximize the value of the property in a
flat market, and this, you know, I'm probably going to
get agents ring up and complaining when I say this,
but it's my view. In a flat market, it's basically
(25:15):
just a mechanism for real estate agents to basically say
to you, well, the market's spoken, you have to reduce
your price. So I would certainly not be directed by them.
There's no reason to sell byoction, and that they may
think that's the best way, but there are certainly other
ways to do it, and that's not the only one.
Speaker 8 (25:33):
Any recommendation on which one.
Speaker 7 (25:37):
Look. It really comes down to the agent, because because
if you're got an agent who sells bioction all the
time and it is really good at it, it may
well with that agent it may well be the best
thing possible. There'll be another one. It comes down the
most important thing you can do when you're putting your
property on the market is find the right agent, and
that is to ask them what they've sold in the past,
what they've got for those properties, and then be led
by them in terms of the mechanism that they use,
(25:59):
because it's more about their ability to sell than it
is the mechanism, and so I I would be looking
to make sure you're getting the right person and then
being lead by them on their advice, because if it's
worked for other people, that will work for you too.
Speaker 8 (26:12):
Okay, So I'm looking for an agent that's selling a
lot of property in my area and try and understand
how he's selling those machines.
Speaker 7 (26:20):
Yeah, you probably want one. Probably want selling a lot
right now, because nobody is selling a lot, but you're
But look for somebody maybe going over twelve or eighteen
months or two years, and see what they've done, and
see what prices they've achieved, and then be led by
them in terms of their recommendation and what they think
is the best way of selling your property. Because if
they're a good agent, then they obviously know what they're
doing in the way that they do it.
Speaker 8 (26:41):
Great, wonderful, appreciate your help.
Speaker 6 (26:43):
I love you, Thank you, Paul, thank you. And that's
another aspect of selling, isn't it, Ashley, where you've really
got to do your research as to who you're dealing
with in terms of an agent.
Speaker 7 (26:53):
Yees, so and so when you go around town and
you know you're going to movie theaters and you see
these ads from real estatements and the big billboards and everything,
the reason that agents do that is because they're wanting
to create a name familiarity. There's nothing wrong with that,
by the way, that's how the free market works. But
it's not necessarily just because you know somebody's name is
not necessarily the measure of whether or not they're a
good agent, and that's you know, the number of people
(27:15):
that go and pack an agent simply because they like them, well,
they said the right thing when they first met them,
or they're a friend of a friend, doesn't necessarily mean
it's the best person to buy your house. And you
should be saying, you know, maybe interviewing a couple of them,
maybe three of them, and saying, can you give me
an indication of what you've sold over the last couple
of years and what sort of prices you've achieved, And
anybody who's any good will be able to send you
a portfolio of those I'll be able to email you know,
(27:37):
an indication of what they are and that should be
your guide. So the way they do it, you should
be led by them, because if they're good at what
they do, then obviously the way they do it works
and that's what you want for your property.
Speaker 6 (27:48):
Sure thing, Thank you, Eshley. We're going to take another
quick break, but you can take part of the conversation.
If you've got a question you'd like answered, you can
take through nine two nine two, or give us a call. Oh,
eight hundred and eighty ten eighty. In the meantime, though
we're twenty three minutes away from five. It is the
one roof property show on the week n Collective News Talks.
He'd be and we had property commentator Ashley Church with
(28:09):
us this afternoon. If you want to get your call in, oh,
eight hundred and eighty ten eighty or text through nine
two nine two. Back to the phones now and we've
got Ray with us. Hi, Ray, good Ray By.
Speaker 2 (28:22):
I know she's about to get her hat State advances
loan for trail three and a half four percent and
it stayed for the duration of the whole loan. Boy,
is it changed the rank can make more money. Yes.
Speaker 7 (28:37):
So for the listeners who don't know what Ray's talking about,
State Advances loan was, you're going back to the sixties
and the seventies when what used to be the Housing
Corporation and has now Klangora used to issue loans directly. Ray.
It actually didn't start three and a half percent for
the life of the loan. They they in more in
recent years from the eighties onward they reverted back to
(28:58):
market interest rates because the government sold those off to
the banks. But I understand the point you're making. The
main reason is because back in those days when that
was happening, the way they were able to maintain those
low interest rates was basically the taxpayer was subsidizing it.
And I think the government is the labor government in
the eighties decided that wasn't fair. I tend to agree
with them, and that the market should dictate what you
(29:21):
pay an interest, and that should go up and down
relative to what everybody else is paying. And that's that's
essentially the answer to your question.
Speaker 2 (29:28):
Yeah, fair enough.
Speaker 6 (29:31):
Thanks Ray, thank you, thank you for your call. And
we've just got a text here through from Wayne Ashley.
He says, Hi, I'm a co owner of a lifestyle
block just out of Gisbon. It's been on the market
since October with very little interest. The real estate agent
advised to try selling on a deadline sale, so we
went that way. Do you have any advice if this
(29:52):
doesn't work about what to do next? And as Gisbone
a seller's market at the moment, thanks from Wayne.
Speaker 7 (29:58):
I don't know whether the gisms of sales market, so
I can't answer that. I know very little about what's
happening within the Gisbin market itself. I can talk to
deadline sales of all the various sales techniques, that's one
I quite like. So a deadline sale For those don't understand,
there's a couple of variations on it, but a deadline
sale is basically a sale that says, hey, look, it's
on the market and we want offers by this date,
(30:20):
and if you don't put offers in by them, basically,
whoever has the best offer and is the best streats
is going to get it. It's a bit more complicated
than that, but that's essentially it. And what that does
in a market like we're in at the moment is
it kind of has the same effect that an option
does in a hot market. It forces people to have
to make a decision in a way that they wouldn't
if they were stuffing around. What should I said that
mucking around is probably a better way to putting it, so,
(30:43):
and there's a couple of alternatives to that. There's another
one called deadline tender. The only difference between deadline sale
and a deadline tender. With the tender process, it's a
sealed process. You're putting an offer and it gets opened
and basically the vendor and the agent go through those
on the day of these those clothes and make a
decision as to whether or not they want to accept
one of them. I quite like it. I certainly like
(31:04):
it for this market. It it'll be interesting to see
whether that property in gisban cells. If it doesn't, Yeah,
that's a tough one because I'd really need to know
a lot more about the property and also i'd need
to know, based on the answer I gave you before,
a little bit more about the agent concerned and what
other agents were out there and what techniques they used
(31:24):
that were successful for them. So I hope that's helpful.
Speaker 6 (31:27):
Yeah, thank you Wayne for your text. Another thing I
just wanted to mention with you actually before we ran
out of time because this hours going extremely quickly.
Speaker 7 (31:34):
Definitely.
Speaker 6 (31:36):
Now you would have seen the story about the Lake
Kaentucky village in North Otago. This is a story close
to my heart because I grew up in Kerrau, just
down the road from where this is being sold.
Speaker 7 (31:45):
Now.
Speaker 6 (31:46):
It's right next to the way Tuki damn. It's a
little hydro village. What's where the workers used to live
And someone's got through the process of see me doing
it up. But it's on the market now for two
point nine million dollars. So essentially, yeah, you get a
little town to yourselves. Places like this attractive anymore.
Speaker 7 (32:04):
Look, so there's an idealistic aspect to this. I remember
watching a cartoon as a cat. I think it was
a cartoon, it might have been a movie, and it
was about a company in the States that was wanting
to do a competition for its clients, and everybody was
giving away bigger and bigger criot prizes, and so they
decided that they were going to give away an entire kingdom,
so that if you won the thing, you know, you
not only got a castle and all that, you've got
the crown and you were the king or the queen
(32:25):
and what have you, and you won the whole lot.
And it kind of plays into that part of our psychology,
this idea of you know, owning our own town and
having our own fifetom. There's a TV show, a series
on and not going to say that's first name, but
if the other words Creek, which you might have seen,
which is about a couple that own their own town
and similar amounter to this one. But the problem with
(32:45):
it is is that the reality bites pretty quickly. And
I think if you read the story of the people
who are selling its who bought it for about two
hundred and fifty thousand in the early two thousands. They
hadn't been able to make it work economically. They had
great ideas of turning it into a tourists haunt and
putting in a cafe, and you know, tourist accommodation. Great ideas,
and look, somebody may be able to do that, and
to be I think they split and that was the
(33:07):
reason that they're getting out of it. So maybe they
were able to make it. But look, it would be
I think the romanticism of it would be great for
the first ten minutes and then the reality would kick in.
I've got all these houses sitting on this bit of land.
What am I going to do to my Having said
that at two point nine, I mean, you know you
could you don't have to generate a lotivan come basically
(33:27):
to service them mortgage on that. So for somebody who
wants to move to the Kwa Techi next to the
Kwaiteki and you know, have a completely different lifestyle and
Otago fill your boats.
Speaker 6 (33:37):
Well, if you're looking for affordable lake resort, I mean
one occurr in Queenstown completely sold out Cromwell has, so
now people are starting to look up around that lake
area and the thing is you've got the Ocean to
Alp cycleway going right past it. The thing is I
know where it is though, and personally I would not
want to be sleeping right next to one of the
oldest stamps in New Zealand.
Speaker 7 (33:59):
Just quietly no, no, because the other thing I was
just going to say, it's interesting that probably tenp is
what I was about to say. I'd be with the
council to see whether or not there was subdivisional possibilities
and other things, so you know whether or not in
buying that land you could subdivide it and peep and
have people sort of develop new houses. But based on
what you've just said, I suspect it's not a particularly
attractive destination for that, So maybe not.
Speaker 6 (34:19):
No, Maybe go to stay down and kurraw and when
they eventually get that Richie mccare statue, that might be
a more attractive option. Brilliant. Hey, thanks Ashley. We're going
to take another break here news talk, said B and
then we'll have our property of the week with thanks
to one roof, We're thirteen minutes away from five here
on the Weekend Collective the.
Speaker 1 (34:38):
One Roof Property of the Week on the Weekend Collective.
Speaker 6 (34:43):
And we're back with Ashley Church, our property commentator this week.
But this week's Property of the Week with thanks to
One Roof is two hundred and fifteen d a Wahroa
Road on Wahiki Island, featuring three bedrooms, three bathrooms, a
two car garage. The house is four hundred and twenty
three meters square but it comes on eight point eight
hectares and the estimate is around five point seventy five
(35:06):
million and the RV four point nine. Now it's an
artfully crafted three bedroom barn style home and the pictures
are absolutely amazing. And on top of that you've got
a swimming pool, a great outdoor area, you can see
the skytower from where you are, and four self contained cabins. Ashley,
So if you've got some family members coming to stay
(35:27):
for Christmas, maybe you don't want to see them. Twenty
four to seven. This looks like the ideal property for that.
Speaker 7 (35:32):
It's gorgeous, it looks like something out of Grand Designs.
I don't know whether it doesn't it it's absolutely stunning
for somebody who was in that market and looking at
that point in their life, this is a gem. So
it's it's certainly worth looking.
Speaker 6 (35:44):
At, and the popularity of Wahiki. I've only been there once.
Unfortunately it poured with rain the whole time, so I
didn't get to enjoy the full vistas of it. So
have you spent a bit of time over there, Ashley.
Speaker 7 (35:57):
It's a lot of time, but I've certainly been there
many times. I mean, I'm old enough, a bit longer
in the tooth than ugs, and I'm old enough to
remember when it was sort of haven for hippies. That's
coming back a bit now, but it's very much. It
became very much the destination for a long time and
still is. I mean it's a you know, and it's
now it's a sort of an unholy alliance of a
mix between the two of well to do and hippies,
(36:20):
but it's it's a great spot. I don't know whether
i'd be all that keen on the commute on the boat,
but if you don't need to do that on a
daily basis, i'd be a great base to live.
Speaker 6 (36:31):
It's beautiful if you get a chance to have a
look at two hundred and fifteen d road, Wahiki Island
and you can sit at the on the deck, sit
in the pool and see the sky tower. That's our
property of the week. We'll just get a couple of
techs through as well before we wrap things up here.
Ashley Karl says, Hi, Ashley, just wondering how much of
an impact climate change with river and sea flooding, you
(36:53):
think we'll have an impact on the market going forward?
Speaker 7 (36:57):
A wrong person to us move on to the next one.
Speaker 6 (36:59):
Okay, fair enough, Currently on the currently on the Auckland market.
How should we have decided on listing price in order
to cover how much you think we think we will
get knocked down? Is it a percentage?
Speaker 7 (37:12):
Take advice from the agent, and that again comes back
to why it's so important to pick a good agent,
because you will get some agents who buy listings. And
what I mean by buy listings is I'll tell you
whatever you want to hear to get the listing, and
then basically once they've got the place, they'll start saying, hey,
the offers a lie, we need to drop it. If
you get a good agent, somebody who's successful and knows
the market, they'll be honest with you and upfront about
what the property's worth. So take take advice from that
(37:32):
if you don't know yourself, and most people don't take
advice from your agent.
Speaker 6 (37:36):
Wonderful and we've got time for one quick call before
we wrap up.
Speaker 9 (37:39):
Hi Catherine, Hello, I'm just not a de seat to Ashley.
In the Autan housing market. How relevant is the qvs
if you're looking at selling a property.
Speaker 7 (37:50):
Almost irrelevant? And the reason for that, whether with all
due respect to qv or whoever else does those, they're
called rating evaluations. Whoever does them, they serve a particular purpose,
and that purpose is to give the counsel like guideline
as to what it should be charging new in rates
for the next three years. So it's not meant to
be an absolutely accurate barometer. And the other thing is
(38:10):
that from the day they're done, because remember they only
last they last for three years, from the day they're done,
they're getting out of date. So out of date.
Speaker 9 (38:18):
Is an unre like. I know that Auckland qvs are
hugely high at the moment, so it's a percentage decrease.
What you know, would you say it's entirely fear for
properties to sell under qv and Auckland at the moment.
Speaker 7 (38:34):
Yeah would, but I would say that if you're talking
about an expense of property where you're talking about quite
a bit of money, invest a thousand bucks and go
and get a go and get a valu or to
actually do a formal valuation for you to get a better.
Speaker 9 (38:46):
Idea, right, Okay, all right, And I know that's.
Speaker 7 (38:49):
Probably not what you wanted to hear, but you know,
if you're talking a lot of money, that that that
that will be money well spent.
Speaker 9 (38:55):
Yeah, what do you classes a lot of money?
Speaker 7 (38:58):
If you're talking anything over three million, anything under.
Speaker 9 (39:01):
That, if you're talking anything say from one point five down.
Speaker 7 (39:07):
Oh, I mean you can be guided in that case,
be guided by that, take advice from your real estate agent,
have a look to see what similar houses in your
area are selling for as a guide, and then ultimately
see what the market offers.
Speaker 6 (39:20):
Okay, thank you very much, Thank you Catherine, thanks to
your Caul, and thank you to everyone who's called in
this hour the one roof radio shows. It's been a whirlwind.
It's been very very busy, So thank you for all
of your texts and calls. And Ashley, thank you for
your time today. It's been lovely chatting with you. You too, Thanks,
Jess talk so well wonderful. Okay, So the one roof
radio show done and dusted on the Weekend Collective for
(39:41):
another week, and we'll have that again next Saturday when
Tim raturns after the news, We're going to have our
first ever chat with a midwife. And it's Gray Strange
coming up after the news here at five o'clock.
Speaker 7 (40:09):
But I'm too messy and then I'm just too them
please and told me to get a job, that you
are food and I'm SuperFect. So I opened my big mouth.
I wants to meet me.
Speaker 3 (40:24):
Is that not a loud?
Speaker 6 (40:26):
And I'm too clad and then I'm just seeing you
hate it and I.
Speaker 1 (40:31):
Cry and I says that time money and I'm too perfect.
Speaker 7 (40:37):
So I show you that I'm not a thousand people.
Speaker 6 (40:40):
Like a beeing o them dolls?
Speaker 7 (40:45):
Yeah do hold them doors?
Speaker 9 (40:50):
Yeah you know.
Speaker 2 (40:54):
He loved them all.
Speaker 1 (41:02):
For more from the Weekend Collective, listen to News Talk
ZEDB weekends from three pm, or follow the podcast on iHeartRadio.
You're listening to the Weekend Collective podcast from News Talks AB.
Speaker 2 (00:11):
You love.
Speaker 3 (00:14):
Episode.
Speaker 4 (00:16):
You can see standees.
Speaker 5 (00:22):
Hostelling. You can see standees.
Speaker 6 (00:29):
News Talk CB Weekend Collective. I'm Jess. I'm with you
through until six o'clock. Tim on a well earned break
after working through the summer season. Seven minutes past four
still to come on the show. After five o'clock, we're
going to have a debut guest spot with midwife Grace Strange,
so we're going to talk parenting and also the increasing
amount of C sections that are being requested in New Zealand.
(00:52):
We'll find out why that is and whether it is
a good thing. But of course it is now time
for the one roof radio show and joining me today
is Ashley Church, property commentator. Hi, Ashley, Jess.
Speaker 7 (01:04):
I'm just thinking, I'm very please you haven't got the
topics around the wrong way, because I would have been
in a bit of trouble with the next.
Speaker 6 (01:08):
Time I want to put that on. You don't worry.
That would be a whole new type of property check.
Just quietly.
Speaker 7 (01:18):
Actually, I'm pretty sure whoever it was coming on probably
would have struggled a bit too, So there you go.
Speaker 6 (01:25):
Hey, now first and foremost, we'll get the formalities out
of the way. Happy New Year. Did you have a
chance for a good break?
Speaker 7 (01:31):
Yeah, you didn't go anywhere, living here in Paradise on
the beach in Hawks Bay.
Speaker 6 (01:36):
Oh nice.
Speaker 7 (01:37):
Had some stunting weather up until Christmas and then the
and then it all packed up for a while. But
it's come right again now, but it's been good.
Speaker 2 (01:44):
Yeah.
Speaker 7 (01:44):
How about you? Where did you go?
Speaker 6 (01:46):
I worked, so I didn't go too far. But when
I did go away, I went camping for ten days
actually round Nelson and Blenham, and we were lucky with
the weather. But I tell you what, it's nothing like
summer should be, isn't.
Speaker 7 (02:00):
Wow. Well, it's interesting you went down there because your
compatriot Tim Beveridge is down in cable bait the moment,
so yeah, he is so obviously a popular haunt.
Speaker 6 (02:10):
Yep, yep. And of course we are chatting property now,
and are we finding is this the time when people
start to kind of wake up to the property market again? Ashley?
Speaker 7 (02:20):
Well, funny you should ask. So there's a very interesting
article Calvin Davis, who most of your listeners will know.
He's with core logic. He's got an article in the
one of the newspapers a few days ago talking about
what's happened to house prices over the last in fact,
basically since since the peak, which was in twenty twenty one,
(02:43):
and he talks about the fact that Auckland house prices
have dropped by about twenty percent and how Wellington prices
have done even worse. He've dropped by about twenty five sorry,
Auckland about twenty two and Wellington about twenty five, So
very much crash territory for both of those markets, although
(03:04):
to be feared that the incidence so that it would
be different in different parts of Workington Wellington. Anyway, the
reason I mentioned that is because we've had this, and
everybody knows this. We've all experienced it, so I'm not
telling anybody anything they don't already know. What we've all
been waiting for is the return to market normality, and
we've had a couple of false starts chests. We had
a false start about two years ago and then more
(03:26):
recently in December twenty twenty three, so just over twelve
months ago it looked like the market was all ready
to take off again, and this even before interest rates
started dropping. It looked like there was a bit of
confidence in the market. And I don't know if whether
you remember this, but was there was sort of a
hesitant confidence starting to return. And then Sharon Zohner, who
(03:47):
was the head economist at the A and Z, made
what was, in hindsight a pretty stupid comment, which was
that the Reserve Bank was likely to increase interest rates,
and that snuffed it out. And at the time she
got criticized by pretty much everybody, and I think she
came out and said she was wrong pretty quickly. But
the point is not so much to criticize her, but
to just indicate how fickle that confidence actually was at
(04:09):
the time. So I'm mentioning all that because we're now
into another phase like that. So we're now into another
period where it's looking like the market might recover again
with a bit more validity this time, just because interest
rates have been dropping reasonably steadily since late last year.
So the difference between last year and this year is
that there is there is certainly a reduction in what
(04:31):
it's costing people to own property, and that has two impacts. One, obviously,
it gives them more confidence to go back into the
market and to it means that it actually they can
spend more because they've got more to spend because they're
not spending as much on interest. So long, very long
answer to your question, which is the art to which
the answers may.
Speaker 6 (04:47):
Be maybe or we might We might as well carry
on with that chat too, Eshley, because as you say,
it's it's such a it's such a big as investment
for so many people that when do people start believe
thing in the rhetoric when it's Sorry, I.
Speaker 7 (05:10):
Was just going to say, that's an excellent question, and
if I had the answer without it'd be worth billions.
So and the reason I say that is because there
is a point at work. Have you ever read the
book Tipping Point by Stephen Gladwell Malcolm Gladwell, No, I haven't, No, Okay,
that's a really good book. He's a British author, wrote
about twenty years ago, and it basically talks about the
fact that when subtle changes take place in any trend,
(05:30):
there is a point at which they suddenly take off.
Doesn't matter what it is, whether it's a product of
service or in our case, the property market, there is
a point at which it tips. And once that tip
takes place at the prices start dropping in the case
of the property market, all going up if we're going
into a new market. And so the question at the
moment is when will that tipping point be. I think
(05:51):
we all recognize it's coming. We all know it's going
to happen. We all know that the market's long overdue
for an increase and that it's going to take off again.
It's just that none of us know when we will
actually hit that point. When it happens, it will happen
quickly and we'll know it. We'll all know it. But
it hasn't happened yet, and we're sort of all waiting
on ten to hooks. And I think probably more nervous
because this time fourteen months ago we were going through
(06:12):
pretty much the same thing, thinking that was the tipping point,
and it turns out it wasn't.
Speaker 6 (06:17):
Yeah, exactly, And so why is it areas like Wellington
and Auckland. Do you think that have dropped because it
hasn't been near as bad in christ Church?
Speaker 7 (06:26):
Yeah? Two slight dear different reasons in each of those.
So in the case of Auckland, it's because they got
so high. So you remember we had that and it's
really important, and I say this every time on the show,
and I need to stress it. The reason we're in
this position now is that there is a If you
want to look for somebody to blame or something to blame,
there is an offending party and it's the Reserve Bank.
The Reserve Bank created the situation that increased house prices
(06:49):
in twenty twenty and twenty twenty one, and then when
it realized it had gone too far with monetary policy,
it had born interest rates down too far, it then
proceeded to do the opposite of that and basically screw
the economy for two years. So the Reserve Bank is
the stalking night in this and the Reserve Bank's desperate
now trying to get inflation back under control. Looks like
it's done that I should hasten to add. I agree
(07:11):
with what they've done. I just resent the fact that
they put us in the position that they had to
do it in the first place. So Auckland house prices
went up dramatically as a result of rezerm policy, so
they had further to fall. And it's pretty much as
simple as that. In most parts of Auckland, Wellington's a
little bit more difficult difficult a couple of reasons. One
of them is that, and this is going to offend
some of your listeners, but it's just a fact. When
(07:32):
it comes to the Wellington market, I would argue that
Wellington's not a particularly attractive destination for people to purchase homes.
People go there because they have to because they work
in the public service. So it's not a destination like
other parts of the country where I am here in
Hawk's Bay or where you are in christ Church. You
are other parts of the country where people buying because
they want to because it's a lifestyle destination. They buy
in Wellington because that's where the job is. And compounding that,
(07:56):
and related to that, is the fact that the public
service is such a large stalking horse over the Wellington
property economy that when there's a lack of confidence in
what's happening there or or changes taking place as there
are at the moment with the government, that also has
that costs a very long shadow over what happens to
Wellington house prices, and that will continue to do so,
I think probably for another year or so, until that
(08:18):
sort of sorts itself out and we know what the
Government's actually doing in that space.
Speaker 6 (08:21):
Yeah, and it's with things like infrastructure. You know, Wellington's
had such a tough time in the news over the
last year with their water infrastructure and the likes of that.
Does that put people off?
Speaker 7 (08:33):
Well, it puts It's not so much that it puts
us off per se. Well, yes it does, but it
also puts it puts people off because all that impacts
on rates. So Wellington rates are just astronomical at the
moment there. You know, they're at a point now where
I would argue the government should already have stepped in
and sacked the council there and put a commissioner in
in the same way that they did with Towering or
a few years ago. In fact, they probably could have
(08:55):
got in Tolly who was the commissioner and Towering are
to do the same job in Wellington. For whatever reason,
they've chosen not to. But so you've got this uncertainty.
You've got people thinking, what's gonna heaven to my rates?
And they're going to continue increasing over the next few
years are certainly an indication that they're likely to. And
then you've got, as you say, all that infrastructural deficit
stuff that's taking place, which is not only expensive, but
(09:15):
it also impacts on people's lifestyles while the well that
work's actually being.
Speaker 6 (09:18):
Done eight hundred eighty ten eighty. If you've got a
question for Ashley Church, our property commentator today, have you
seen your property value go down? Have you seen prices
going down around you? Are you trying to buy or
sell at the moment and how are you finding it?
Our lines are open, oh, eight hundred eighty ten eighty
or any question in regards to the property market. We
(09:39):
would welcome your calls today. So is it a good
time to sell then, Ashley at the moment, given what's
going on.
Speaker 7 (09:46):
It's an interesting question because it really depends on why
you're selling. If you're selling to make money, if you're
selling because you want to sort of capitalize on the
value of your property, probably not. But most people aren't
doing that. Most people are buying and selling for reasons
other than profits, So they're they're they're selling because they
want to buy another house, either in the same city
or somewhere else. And for those people, life just goes
(10:07):
on and so they'll continue and particularly if you're in
the same market, so if you are in Wellington, for example,
and things are a little bit up in the air
there at the moment. If you're selling a property in
order to buy another property in the Wellington market, then
you're fine because because as much as prices might be
a little bit depressed at the moment, that goes both ways.
If you're buying it also it's also a benefit to you.
(10:28):
So the answer is probably no. But if you ask
me the flip question to that, which is a good
time to buy, it's absolutely a good time to buy
right now and it won't continue to be for it indefinitely.
Prices are probably as depressed as they're going to be
at the moment in most parts of the country, even
christ Church where they've only dropped by about seven percent,
they're not going to drop any further than that. So
(10:50):
for somebody who's looking to buy a home, maybe a
first time buyer who's been holding off for the last
couple of years, thinking that you know, the property houses
that might drop a little bit further. You're talking eking
out small, tiny fractions of a percent. Now more likely
that house prices will start increasing. So for those people yet,
it's a good time to be listening to it to
take advantage of the market. Well, that still prevails.
Speaker 6 (11:12):
An interesting as an aside. This week, of course, we
heard that christ Church in the Canterbury region having a
huge amount of consents approved. So meeting that demand is
obviously going to keep the price fairly reasonable.
Speaker 7 (11:26):
You would hope, you would hope, Yeah, I did see that.
It's not something I keep a huge ionic am. Interestingly,
that would be the opposite situation to some parts of
the country, where partly as a result of the fact
that there was probably over supply over the last couple
of years, and partly as a result of the fact
that immigration numbers have come down, that consenting for new
constructions come down in some parts of the country. So
(11:47):
the fact that it's up in christ Church is a
good sign of a healthy economy.
Speaker 6 (11:51):
Sure is. I can see it happening around me in
the central city as we speak. Apartments going up everywhere. Oh,
eight hundred and eighty ten eighty. If you have a
question around property investment, whether you're buying or selling at
the moment, or want some questions answered, weight one hundred
and eighty teen eighty, we'd love to have your calls.
We have Hapal on the line, Hig Hapal.
Speaker 4 (12:11):
How are you goody, Sorry but novous. This is the
first time Mama were talking on a radio. Shirt don't
need to be made. Yeah, so I got a house
last year. The intrust rate was like, I think six
at five seven. And if the intrust rate go down,
(12:32):
you think it will increase my equity or I have
a chance to buy a second property.
Speaker 7 (12:37):
Both. So let's take two of those things. Firstly, if
interest rates go down, So one of the things we
do now know, and you know it's a merge. It's
something I've talked a lot about over the last three
or four years, is that there is a direct relationship
between increased house prices and lower interest rates, both in
terms of confidence and in terms of affordability. So if
interest rates continue to come down, which they will be recorded,
(13:00):
I don't know what that was. Yeah, if interest rates
continue to go down, as they will, then you would
expect house prices to increase on the back of that,
not necessarily at exactly the same rate, but if you
look at that trend line over the longer periods, you'll
see that that relationship's there. In respect of buying another property,
(13:23):
that really relates to some other factors as well, that
also comes down to what your financial position is, whether
you're in a position to be able to afford to
pay a second mortgage, whether the banks, whether you've got
enough equity in your existing property to maintain the bank's
minimum as well as have enough for a deposit on
a new property, and whether the bank would accept that.
So that's a more fraught and complicated equation. But if
(13:43):
you talk to a mortgage broker or to your local bank,
they'll be able to help you with that.
Speaker 4 (13:47):
Oh, yeah, thanks for helping Matt.
Speaker 6 (13:49):
One for Thanks for your call, Harpal, appreciate it. Oh
eight hundred and eighty ten eighty is the number to
call if you've got some questions for Ashley, you'd be
happy to chat with you. Ashley, We've got a text
here from Alex and I'm not sure if you're familiar
with the carpety mark it, but he's asking are you
familiar with the company market and what it's doing and
is there a different market to Wellington City?
Speaker 7 (14:12):
Yeah, it is and and so and I'm glad he
asked that because that's a good point. Actually, So when
I talk Wellington, I tend to talk the Wellington region
as fast North as as pro ruit and maybe a
little bit further so, so in that sort of I
when I talk with that sort of Greater Wellington area,
for me, that's that Greater Wellington actually does take in
capity though in fact Greater well Engine actually takes in
(14:33):
why a wrapper, I think and the company markets clearly different.
And it's different because obviously it is a lifestyle destination.
It is some it is some where people go because
of the lifestyle. It's a retirement destination. There's a lot
of people by there because they choose to retire there.
It's a lot newer, it's got a lot of newer housing.
It's got a sort of a dynamic to it that
doesn't exist to the same de grand Wellington. So if
(14:55):
Alex is in CARPETI yeah, that's that that would definitely
have a different complexion to it than what's going on
in Wellington.
Speaker 6 (15:02):
Okay, thank you, Ashley, and we'll head back to the
phones now, Hi Ben.
Speaker 3 (15:07):
Ben there, Ashley, you've spoken a bit about Wellington for
first time buyers an Orkland. How much longer do you
think this opportunity might last?
Speaker 7 (15:18):
It's a really good question. So it's definitely there right
now and it's been there for some time. Probably the
best way to answer that is to say, once it changes,
it will change quickly. So I can't tell you when
when the market will change. What I can tell you
is when it does change. You know what FOEMO has
been the fear of missing out. So Phoe is essentially
the personification of the change that takes place in people's confidence.
(15:42):
So they go from this point where they're not sure
whether it's a good time to buy, to suddenly something
changes in the water, The mood changes, the confidence changes,
and then suddenly it moves into this thing of hey,
house prices are going up. I better buy quickly or
I'm going to I'm not going to be able to
afford to do so when that kicks in, and it will.
When that kicks in, it has a tendency to take
hold quite quickly. And when I say quite quickly, by
(16:04):
meaning house prices, good could go up by as much
as ten percent and twelve months. So I can't tell
you when that will happen, but when it does happen,
it will happen fast.
Speaker 3 (16:14):
Awesome thinks I should not worries at all.
Speaker 7 (16:16):
Have That's helpful, mate, chess mate.
Speaker 6 (16:18):
Thanks Ben, appreciate your call, I wait one hundred and
eighty ten eighty your opportunity to pick the brains of
a property expert if you're in the market to buy
or sell, actually would be happy to take your calls.
Just before we take a break, Ashley, I've got a
text your saying, not only the Reserve Bank to blame
investors brought up large and cut out poor first home buyers.
We've never had the capital gain, so it was better
(16:40):
playing with houses rather than business or shares. Would you
agree with that?
Speaker 7 (16:44):
No, not at all. Two reasons. One is that investors
are absolutely no different to anybody else who operates in
any form of business, which as they respond to market signals,
and the market signals were lower cost money buy, so
they did more. Importantly, that text plays up this whole
idea that there's a confrontation between property investors in first
home buyers that simply doesn't exist. It's non since it
(17:05):
always has been the biggest group of buyers in the
market at any given point in New Zealand's history, with
the exception. I think so if you go back to
twenty fourteen and you look at each year as having
four quarters since twenty and fourteen, there was only three
or four quarters, where first time buyers weren't the biggest
buyers in the market. They represent. Yeah, so this idea
that investors came in and took all the first time
buyers our houses is simply not true. And investors serve
(17:29):
a completely different purpose in the market. If you didn't
have investors buying rental property for people to rent, the
government would have to provide those rentals. So it's this
idea that first time buyers were missing out and not
buying houses is simply nonsense. They continue to be the
significant part of the market, will continue to be so,
so if you didn't have investors in the country would
be in dire shape because you and I, as a taxpayer,
would have to pick up the bill for those houses
(17:50):
that people rented.
Speaker 6 (17:51):
Yeah, and a lot of that does come from political
spin too, doesn't.
Speaker 7 (17:54):
It totally totally And it comes out of people's political ideology,
and I get that, but it isn't true.
Speaker 6 (17:59):
Yeah, fair enough, I thank you. Actually, we're going to
take a break now, oh eight hundred and eighty ten
eighty if you'd like to get on the line to
ask your questions. And the one roof property out here,
the week in Collective News Talks e'd b twenty four
minutes past four and I'm Juce Davidson with you today,
Tim having a well enned break in. We are very
honored to be joined by Ashley Church, property commentator today.
He's taking your questions on the property market. We've been
(18:21):
discussing that their significant drops in Wellington in Auckland and
answering your calls as well. Oh one hundred and eighty
teen eighty good afternoon, Mary, Oh.
Speaker 5 (18:32):
Good Asking y Ashley, I wanted to ask why it's
so difficult to get mortgages for company share places. I
know they're wanted people to get, you know, get into
housing and everything and very good, it's very good accommodation
and that. But people seem to be able to very
(18:53):
lot of difficulty getting the mortgage.
Speaker 7 (18:56):
So what do you mean when you say company share places.
I'm not sure I understand.
Speaker 5 (19:04):
So we're like you got five or six flats units
all in a row, and you buy certain number of
shares for the building.
Speaker 7 (19:15):
Oh. I wouldn't profess to be an expert on that
particular form of purchasing, but I would say, just based
on what you've told me, I suspect it's probably because
the security for the banker is more problematic. So when
banks lend money on a mortgage, they do it based
on the security that you provide to them, and they
want to make sure that if anything happens to the market,
(19:36):
that they're covered and they can sell the property and
get their money back. I suspect, and I don't know this.
I suspect there's probably something about the securitization of those
assets which is more problematic for them and makes it
more difficult. But I don't know, and I'm sorry. I
can't help you in a way that would probably are
probably going to be helpful to you to the question
that you're asking.
Speaker 5 (19:55):
Well, that's okay, I just thinking about it. I listened
to the program each week, and I just sort of thought,
we'll give it a go.
Speaker 7 (20:04):
You know, trigging next there might be a smarter mind
than mine and that won't be difficult.
Speaker 6 (20:09):
Thanks anyway, no worries, Thank you, Mary. Thanks to you.
Cal If we get any text correspondence with answers, will
bring it your way. Mary, But thank you very much
for your call. And I guess in the terms of
general deposits, actually has it got easier for people to
get those together.
Speaker 7 (20:25):
Now, well, the deposits only as difficult it has ever been.
I think what has changed and which got harder two
things have happened. Actually in twenty and seventeen. Twenty and eighteen,
the Reserve Bank, there's that Reserve Bank again introduced something
called alone to value ratio restrictions, which basically said that
you had to have in most circumstances of twenty percent
(20:45):
deposit if you were buying a home. There were some
exceptions to that, and the rationale for that was pretty
shunky in my view. It was based on the Reserve
Bank's view that they were somehow stabilizing the market by
forcing people to have bigger deposits. There's actually no evidence
to back up that assertion going back forty odd years.
But there you are now having put that, and the
(21:06):
people who suffer most from that first home buyers. Because
for somebody buying another house, you know you've got your
deposit because it's built into the equity of the property
that you're selling. Even if you're buying a more expensive property,
you've got sufficient equity and at the home that you're
selling to cover the portion of the loan that the
bank needs. If you're a first home buyer, that's not
the case, so you've got to actually save it up.
And so instead of back in the old days where
(21:27):
you could buy a house on as little as five
percent deposit, So just to put that in some context,
if you were buying a home with five hundred thousand,
then you could get a house for a deposit as
little twenty five grand, You've now got to have one
hundred thousand dollars deposit for that same house. So big
in position, big change. Anyway, the market's responded to that
and managed okay. The Reserve banks now indicated that it's
(21:48):
introducing yet another in position, something called DTIs debt to
income ratios or get to income restrictions, and so not
happy to have upset the market with the loan to
value ratios, that have now said that banks will only
be able to loan on a multiple of your income.
(22:09):
And so what they're saying is just to make it
really easy, if you've got one hundred thousand dollars income
household income, then the maximum you'd be able to borrow.
And I'm putting aside just to make this simple, I'm
putting aside deposits and things, and just doing the straight numbers,
you'd only be able to borrow seven hundred thousand dollars,
which in some parts of the country is fine. If
you're in Auckland, good luck with that. And the problem
(22:31):
with that is that, firstly, there's no reason for the
Reserve Bank to do that. We've just been through the
most difficult market we've probably been in forty or fifty years,
and we've come through relatively unscathed, and now they're talking
about putting yet another restriction in place. And secondly, it's
not the Reserve Bank's role. The Reserve Bank's role and
remisss around the control of inflation, not trying to control
(22:52):
how the property market works, and so all they're likely
to do. All this is likely to do, in my view,
is make it harder for first time buyers to buy
a property, to the point wherein I've predicted this on
the show a couple of times, the government will have
to for them to revisit this in three or four
years time, because it will prove to basically reduce first
time ownership over and above the other impositions at the
(23:13):
Reserve Bank's already put in place.
Speaker 6 (23:14):
Yeah, such a daunting process for first time buyers and
as you say, another obstacle. Back to the phones' oh
one hundred and eighty ten eighty, or you can text
through nine two nine two if you'd like to check
with scle Church.
Speaker 7 (23:25):
Paul.
Speaker 8 (23:26):
Hi there, Paul, afternoon, nice technical, Thank you. I've got
a bet a four or five year old villa style
house in Walkworth that I'm going to meet with a
real estate agent this week to list. And when I
popped into their office just to set up an appointment
for this coming week, the mains they said was that, oh,
(23:50):
you've got to put it up for action. They haven't
actually seen their house she had or anything like that.
We haven't talked about a marketing plan or anything at all.
I'm not saying that I've got a problem with going
to auction. I'm just wondering, is there always the default position?
Is that always the best thing to do to go
to action? Or do you think?
Speaker 7 (24:11):
I know, and I think you'll find that that's the
the I think you'll find that's a preferred position of
the agent you're dealing with. So every agent, and sometimes
every firm's got its own views on the best way
to sell property. So I should start by saying that
if they're saying that to you, I would there on
the side of thinking that they believe that's in your
best interests. It doesn't necessarily mean it is. There are
(24:32):
different agencies are good at different things. But for every
agent that talks about options being a good way of selling,
there will be another agent will say sell by tender
or or price over or Also there's about ten or
fifteen different mechanisms that you can use. My personal view
for what it's worth octions options are a very bad
way of selling in a flat market. The whole purpose
(24:54):
of an option, and the whole reason that an auction
works is in a hot market, you get four or
five people in the room who all want to buy
the property, and they compete with each other, so that
competition basically causes them to pay the maxim and price possible,
and you maximize the value of the property in a
flat market, and this, you know, I'm probably going to
get agents ring up and complaining when I say this,
but it's my view. In a flat market, it's basically
(25:15):
just a mechanism for real estate agents to basically say
to you, well, the market's spoken, you have to reduce
your price. So I would certainly not be directed by them.
There's no reason to sell byoction, and that they may
think that's the best way, but there are certainly other
ways to do it, and that's not the only one.
Speaker 8 (25:33):
Any recommendation on which one.
Speaker 7 (25:37):
Look. It really comes down to the agent, because because
if you're got an agent who sells bioction all the
time and it is really good at it, it may
well with that agent it may well be the best
thing possible. There'll be another one. It comes down the
most important thing you can do when you're putting your
property on the market is find the right agent, and
that is to ask them what they've sold in the past,
what they've got for those properties, and then be led
by them in terms of the mechanism that they use,
(25:59):
because it's more about their ability to sell than it
is the mechanism, and so I I would be looking
to make sure you're getting the right person and then
being lead by them on their advice, because if it's
worked for other people, that will work for you too.
Speaker 8 (26:12):
Okay, So I'm looking for an agent that's selling a
lot of property in my area and try and understand
how he's selling those machines.
Speaker 7 (26:20):
Yeah, you probably want one. Probably want selling a lot
right now, because nobody is selling a lot, but you're
But look for somebody maybe going over twelve or eighteen
months or two years, and see what they've done, and
see what prices they've achieved, and then be led by
them in terms of their recommendation and what they think
is the best way of selling your property. Because if
they're a good agent, then they obviously know what they're
doing in the way that they do it.
Speaker 8 (26:41):
Great, wonderful, appreciate your help.
Speaker 6 (26:43):
I love you, Thank you, Paul, thank you. And that's
another aspect of selling, isn't it, Ashley, where you've really
got to do your research as to who you're dealing
with in terms of an agent.
Speaker 7 (26:53):
Yees, so and so when you go around town and
you know you're going to movie theaters and you see
these ads from real estatements and the big billboards and everything,
the reason that agents do that is because they're wanting
to create a name familiarity. There's nothing wrong with that,
by the way, that's how the free market works. But
it's not necessarily just because you know somebody's name is
not necessarily the measure of whether or not they're a
good agent, and that's you know, the number of people
(27:15):
that go and pack an agent simply because they like them, well,
they said the right thing when they first met them,
or they're a friend of a friend, doesn't necessarily mean
it's the best person to buy your house. And you
should be saying, you know, maybe interviewing a couple of them,
maybe three of them, and saying, can you give me
an indication of what you've sold over the last couple
of years and what sort of prices you've achieved, And
anybody who's any good will be able to send you
a portfolio of those I'll be able to email you know,
(27:37):
an indication of what they are and that should be
your guide. So the way they do it, you should
be led by them, because if they're good at what
they do, then obviously the way they do it works
and that's what you want for your property.
Speaker 6 (27:48):
Sure thing, Thank you, Eshley. We're going to take another
quick break, but you can take part of the conversation.
If you've got a question you'd like answered, you can
take through nine two nine two, or give us a call. Oh,
eight hundred and eighty ten eighty. In the meantime, though
we're twenty three minutes away from five. It is the
one roof property show on the week n Collective News Talks.
He'd be and we had property commentator Ashley Church with
(28:09):
us this afternoon. If you want to get your call in, oh,
eight hundred and eighty ten eighty or text through nine
two nine two. Back to the phones now and we've
got Ray with us. Hi, Ray, good Ray By.
Speaker 2 (28:22):
I know she's about to get her hat State advances
loan for trail three and a half four percent and
it stayed for the duration of the whole loan. Boy,
is it changed the rank can make more money. Yes.
Speaker 7 (28:37):
So for the listeners who don't know what Ray's talking about,
State Advances loan was, you're going back to the sixties
and the seventies when what used to be the Housing
Corporation and has now Klangora used to issue loans directly. Ray.
It actually didn't start three and a half percent for
the life of the loan. They they in more in
recent years from the eighties onward they reverted back to
(28:58):
market interest rates because the government sold those off to
the banks. But I understand the point you're making. The
main reason is because back in those days when that
was happening, the way they were able to maintain those
low interest rates was basically the taxpayer was subsidizing it.
And I think the government is the labor government in
the eighties decided that wasn't fair. I tend to agree
with them, and that the market should dictate what you
(29:21):
pay an interest, and that should go up and down
relative to what everybody else is paying. And that's that's
essentially the answer to your question.
Speaker 2 (29:28):
Yeah, fair enough.
Speaker 6 (29:31):
Thanks Ray, thank you, thank you for your call. And
we've just got a text here through from Wayne Ashley.
He says, Hi, I'm a co owner of a lifestyle
block just out of Gisbon. It's been on the market
since October with very little interest. The real estate agent
advised to try selling on a deadline sale, so we
went that way. Do you have any advice if this
(29:52):
doesn't work about what to do next? And as Gisbone
a seller's market at the moment, thanks from Wayne.
Speaker 7 (29:58):
I don't know whether the gisms of sales market, so
I can't answer that. I know very little about what's
happening within the Gisbin market itself. I can talk to
deadline sales of all the various sales techniques, that's one
I quite like. So a deadline sale For those don't understand,
there's a couple of variations on it, but a deadline
sale is basically a sale that says, hey, look, it's
on the market and we want offers by this date,
(30:20):
and if you don't put offers in by them, basically,
whoever has the best offer and is the best streats
is going to get it. It's a bit more complicated
than that, but that's essentially it. And what that does
in a market like we're in at the moment is
it kind of has the same effect that an option
does in a hot market. It forces people to have
to make a decision in a way that they wouldn't
if they were stuffing around. What should I said that
mucking around is probably a better way to putting it, so,
(30:43):
and there's a couple of alternatives to that. There's another
one called deadline tender. The only difference between deadline sale
and a deadline tender. With the tender process, it's a
sealed process. You're putting an offer and it gets opened
and basically the vendor and the agent go through those
on the day of these those clothes and make a
decision as to whether or not they want to accept
one of them. I quite like it. I certainly like
(31:04):
it for this market. It it'll be interesting to see
whether that property in gisban cells. If it doesn't, Yeah,
that's a tough one because I'd really need to know
a lot more about the property and also i'd need
to know, based on the answer I gave you before,
a little bit more about the agent concerned and what
other agents were out there and what techniques they used
(31:24):
that were successful for them. So I hope that's helpful.
Speaker 6 (31:27):
Yeah, thank you Wayne for your text. Another thing I
just wanted to mention with you actually before we ran
out of time because this hours going extremely quickly.
Speaker 7 (31:34):
Definitely.
Speaker 6 (31:36):
Now you would have seen the story about the Lake
Kaentucky village in North Otago. This is a story close
to my heart because I grew up in Kerrau, just
down the road from where this is being sold.
Speaker 7 (31:45):
Now.
Speaker 6 (31:46):
It's right next to the way Tuki damn. It's a
little hydro village. What's where the workers used to live
And someone's got through the process of see me doing
it up. But it's on the market now for two
point nine million dollars. So essentially, yeah, you get a
little town to yourselves. Places like this attractive anymore.
Speaker 7 (32:04):
Look, so there's an idealistic aspect to this. I remember
watching a cartoon as a cat. I think it was
a cartoon, it might have been a movie, and it
was about a company in the States that was wanting
to do a competition for its clients, and everybody was
giving away bigger and bigger criot prizes, and so they
decided that they were going to give away an entire kingdom,
so that if you won the thing, you know, you
not only got a castle and all that, you've got
the crown and you were the king or the queen
(32:25):
and what have you, and you won the whole lot.
And it kind of plays into that part of our psychology,
this idea of you know, owning our own town and
having our own fifetom. There's a TV show, a series
on and not going to say that's first name, but
if the other words Creek, which you might have seen,
which is about a couple that own their own town
and similar amounter to this one. But the problem with
(32:45):
it is is that the reality bites pretty quickly. And
I think if you read the story of the people
who are selling its who bought it for about two
hundred and fifty thousand in the early two thousands. They
hadn't been able to make it work economically. They had
great ideas of turning it into a tourists haunt and
putting in a cafe, and you know, tourist accommodation. Great ideas,
and look, somebody may be able to do that, and
to be I think they split and that was the
(33:07):
reason that they're getting out of it. So maybe they
were able to make it. But look, it would be
I think the romanticism of it would be great for
the first ten minutes and then the reality would kick in.
I've got all these houses sitting on this bit of land.
What am I going to do to my Having said
that at two point nine, I mean, you know you
could you don't have to generate a lotivan come basically
(33:27):
to service them mortgage on that. So for somebody who
wants to move to the Kwa Techi next to the
Kwaiteki and you know, have a completely different lifestyle and
Otago fill your boats.
Speaker 6 (33:37):
Well, if you're looking for affordable lake resort, I mean
one occurr in Queenstown completely sold out Cromwell has, so
now people are starting to look up around that lake
area and the thing is you've got the Ocean to
Alp cycleway going right past it. The thing is I
know where it is though, and personally I would not
want to be sleeping right next to one of the
oldest stamps in New Zealand.
Speaker 7 (33:59):
Just quietly no, no, because the other thing I was
just going to say, it's interesting that probably tenp is
what I was about to say. I'd be with the
council to see whether or not there was subdivisional possibilities
and other things, so you know whether or not in
buying that land you could subdivide it and peep and
have people sort of develop new houses. But based on
what you've just said, I suspect it's not a particularly
attractive destination for that, So maybe not.
Speaker 6 (34:19):
No, Maybe go to stay down and kurraw and when
they eventually get that Richie mccare statue, that might be
a more attractive option. Brilliant. Hey, thanks Ashley. We're going
to take another break here news talk, said B and
then we'll have our property of the week with thanks
to one roof, We're thirteen minutes away from five here
on the Weekend Collective the.
Speaker 1 (34:38):
One Roof Property of the Week on the Weekend Collective.
Speaker 6 (34:43):
And we're back with Ashley Church, our property commentator this week.
But this week's Property of the Week with thanks to
One Roof is two hundred and fifteen d a Wahroa
Road on Wahiki Island, featuring three bedrooms, three bathrooms, a
two car garage. The house is four hundred and twenty
three meters square but it comes on eight point eight
hectares and the estimate is around five point seventy five
(35:06):
million and the RV four point nine. Now it's an
artfully crafted three bedroom barn style home and the pictures
are absolutely amazing. And on top of that you've got
a swimming pool, a great outdoor area, you can see
the skytower from where you are, and four self contained cabins. Ashley,
So if you've got some family members coming to stay
(35:27):
for Christmas, maybe you don't want to see them. Twenty
four to seven. This looks like the ideal property for that.
Speaker 7 (35:32):
It's gorgeous, it looks like something out of Grand Designs.
I don't know whether it doesn't it it's absolutely stunning
for somebody who was in that market and looking at
that point in their life, this is a gem. So
it's it's certainly worth looking.
Speaker 6 (35:44):
At, and the popularity of Wahiki. I've only been there once.
Unfortunately it poured with rain the whole time, so I
didn't get to enjoy the full vistas of it. So
have you spent a bit of time over there, Ashley.
Speaker 7 (35:57):
It's a lot of time, but I've certainly been there
many times. I mean, I'm old enough, a bit longer
in the tooth than ugs, and I'm old enough to
remember when it was sort of haven for hippies. That's
coming back a bit now, but it's very much. It
became very much the destination for a long time and
still is. I mean it's a you know, and it's
now it's a sort of an unholy alliance of a
mix between the two of well to do and hippies,
(36:20):
but it's it's a great spot. I don't know whether
i'd be all that keen on the commute on the boat,
but if you don't need to do that on a
daily basis, i'd be a great base to live.
Speaker 6 (36:31):
It's beautiful if you get a chance to have a
look at two hundred and fifteen d road, Wahiki Island
and you can sit at the on the deck, sit
in the pool and see the sky tower. That's our
property of the week. We'll just get a couple of
techs through as well before we wrap things up here.
Ashley Karl says, Hi, Ashley, just wondering how much of
an impact climate change with river and sea flooding, you
(36:53):
think we'll have an impact on the market going forward?
Speaker 7 (36:57):
A wrong person to us move on to the next one.
Speaker 6 (36:59):
Okay, fair enough, Currently on the currently on the Auckland market.
How should we have decided on listing price in order
to cover how much you think we think we will
get knocked down? Is it a percentage?
Speaker 7 (37:12):
Take advice from the agent, and that again comes back
to why it's so important to pick a good agent,
because you will get some agents who buy listings. And
what I mean by buy listings is I'll tell you
whatever you want to hear to get the listing, and
then basically once they've got the place, they'll start saying, hey,
the offers a lie, we need to drop it. If
you get a good agent, somebody who's successful and knows
the market, they'll be honest with you and upfront about
what the property's worth. So take take advice from that
(37:32):
if you don't know yourself, and most people don't take
advice from your agent.
Speaker 6 (37:36):
Wonderful and we've got time for one quick call before
we wrap up.
Speaker 9 (37:39):
Hi Catherine, Hello, I'm just not a de seat to Ashley.
In the Autan housing market. How relevant is the qvs
if you're looking at selling a property.
Speaker 7 (37:50):
Almost irrelevant? And the reason for that, whether with all
due respect to qv or whoever else does those, they're
called rating evaluations. Whoever does them, they serve a particular purpose,
and that purpose is to give the counsel like guideline
as to what it should be charging new in rates
for the next three years. So it's not meant to
be an absolutely accurate barometer. And the other thing is
(38:10):
that from the day they're done, because remember they only
last they last for three years, from the day they're done,
they're getting out of date. So out of date.
Speaker 9 (38:18):
Is an unre like. I know that Auckland qvs are
hugely high at the moment, so it's a percentage decrease.
What you know, would you say it's entirely fear for
properties to sell under qv and Auckland at the moment.
Speaker 7 (38:34):
Yeah would, but I would say that if you're talking
about an expense of property where you're talking about quite
a bit of money, invest a thousand bucks and go
and get a go and get a valu or to
actually do a formal valuation for you to get a better.
Speaker 9 (38:46):
Idea, right, Okay, all right, And I know that's.
Speaker 7 (38:49):
Probably not what you wanted to hear, but you know,
if you're talking a lot of money, that that that
that will be money well spent.
Speaker 9 (38:55):
Yeah, what do you classes a lot of money?
Speaker 7 (38:58):
If you're talking anything over three million, anything under.
Speaker 9 (39:01):
That, if you're talking anything say from one point five down.
Speaker 7 (39:07):
Oh, I mean you can be guided in that case,
be guided by that, take advice from your real estate agent,
have a look to see what similar houses in your
area are selling for as a guide, and then ultimately
see what the market offers.
Speaker 6 (39:20):
Okay, thank you very much, Thank you Catherine, thanks to
your Caul, and thank you to everyone who's called in
this hour the one roof radio shows. It's been a whirlwind.
It's been very very busy, So thank you for all
of your texts and calls. And Ashley, thank you for
your time today. It's been lovely chatting with you. You too, Thanks,
Jess talk so well wonderful. Okay, So the one roof
radio show done and dusted on the Weekend Collective for
(39:41):
another week, and we'll have that again next Saturday when
Tim raturns after the news, We're going to have our
first ever chat with a midwife. And it's Gray Strange
coming up after the news here at five o'clock.
Speaker 7 (40:09):
But I'm too messy and then I'm just too them
please and told me to get a job, that you
are food and I'm SuperFect. So I opened my big mouth.
I wants to meet me.
Speaker 3 (40:24):
Is that not a loud?
Speaker 6 (40:26):
And I'm too clad and then I'm just seeing you
hate it and I.
Speaker 1 (40:31):
Cry and I says that time money and I'm too perfect.
Speaker 7 (40:37):
So I show you that I'm not a thousand people.
Speaker 6 (40:40):
Like a beeing o them dolls?
Speaker 7 (40:45):
Yeah do hold them doors?
Speaker 9 (40:50):
Yeah you know.
Speaker 2 (40:54):
He loved them all.
Speaker 1 (41:02):
For more from the Weekend Collective, listen to News Talk
ZEDB weekends from three pm, or follow the podcast on iHeartRadio.
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