Low housing stocks help sellers

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Ray White agent Mark Keesom.

Ray White agent Mark Keesom.

Low stocks means Hamilton’s residential housing market is shifting in favour of sellers, according to some of the city’s real estate firms.

Lodge Real Estate’s managing director Jeremy O’Rourke says Real Estate Institute of NZ statistics show March was a very strong month for home sales in Hamilton with 344 homes sold in Hamilton, compared with just 291 in February and 336 in March 2017. 

“However, home listings have not kept up with those sales. On March 1, there were 792 homes available for sale in Hamilton and on April 1 the number listed was still the same at 793. This supply-demand imbalance means the power has shifted slightly toward sellers in the Hamilton market,” says Jeremy.

Ray White agent Mark Keesom agrees supply is low.

Lodge Real Estae managing director Jeremy O’Rourke.

Lodge Real Estate managing director Jeremy O’Rourke.

“We are seeing that sales are exceeding the listings coming in at the moment.”

Mark says first home buyers are definitely still out in force and notes a lot of Auckland buyers looking for houses beneath $500,000.

“That $400 to $500 thousand price band is running hot at the moment.”

Real Estate Institute of NZ (REINZ) figures show Hamilton’s median home price increased during March to $535,000 which compares with $522,000 in February and $540,750 in March 2017.

Lugton Real Estate director Simon Lugton says April was in a bit of a “lull” but things normally pick up in May.

“There are probably just under 800 houses on the market in Hamilton at the moment and that’s about 10 weeks’ supply which is not a huge amount to choose from. Simon says a “constrained market” is normally good for sellers because with more competition buyers have to act decisively.

Harcourts managing director Brian King says housing stock is lower than at the same time last year with lifestyle listings noticeably down.

Harcourts managing director Brian King.

Harcourts managing director Brian King.

He says he is noticing strong demand from buyers both for first homes and at the top of the market.

“Investors have definitely left the market and that’s giving some comfort to first home buyers who are getting a chance to have a good look around and then buy,” he says.

Brian is confident the market is still in good shape.

“I don’t see any reason for it to stop. There’s a lot of confidence still out there.”

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