National house price increases slowing, but Hutt Valley is bucking the trend

In an article on Stuff.co.nz this week, QV National Spokesperson Andrea Rush is quoted as reporting that the average house price increase in some of the major centres is slowing:

“Auckland, Tauranga and Hamilton home values are continuing to rise, just at a slightly slower pace than they were prior to the new LVR measures being introduced in late July.”

The full article can be found here.

The Auckland market has slowed to ‘only’ 13.8% – the slowest increase since March 2015. Compared to this, the Hutt Valley average house price has increased by over 20% over the same timeframe.

Nonetheless, the Hutt Valley, and particularly Upper Hutt, still offer the opportunity of a bargain price for the savvy investor, with excellent capital gains and a great return on investment.

Consider the example of the Upper Hutt suburb of Totara Park.

In the past six months thirty properties have been sold, with the median sale price of $367,500.

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Harcourts – 19 Kentucky Street, Totara Park

During the same period last year, thirty properties were also sold, with the median sale price of $318,562.

Using this data, the median sale price has increased by a massive $48,938 in just one year!

Rents in the suburb have also increased. Current rents in the suburb (when you can even find a property!) are around $400 p/w for a three bedroom property, and up to $550 for a four or five bedroom property.

Using the middle of the road one-year fixed mortgage rate of 4.39% offered at the moment by the Cooperative Bank, and the median sale price of $367,500, a mortgage at 60% finance would cost $279 per week.

Even when including rates, insurances and maintenance, the return on investment is significant. In the current market there is an opportunity for strong capital gains in a relatively short time frame, as well as the short-term reassurance of a profitable investment.

If you are considering unlocking your property’s capital gains and selling your Upper Hutt property contact Jon today for your FREE appraisal. Jon offers excellent special rates for property developers and builders.

 

Useful link to Upper Hutt Council’s Xplorer site

If you are looking to see what your new rates are, or wish to research a particular Upper Hutt property’s R.V. this is a very useful site here.

Using it is fairly easy and you can search by address as well as selecting individual properties in map view. The map is not reliable in terms of working out where boundaries are on properties – it is a sensible idea to employ a surveyor if you need an accurate idea of where the boundaries are.

Council rates prizes

I spotted this on the Upper Hutt Council website:

Chance to win up to $500 towards your rates

If your rates account is up to date and you receive rates invoices via email, you will be entered into a quarterly draw for a credit to your rates account.

If you receive your rates via email, you will be entered into a prize draw for a credit of $350 towards your rates acccount.
If you receive your rates via email, and you pay the rates by direct debit the amount of the prize increases to $500.

View/download the terms and conditions of the rates credit prize draw [PDF 286 KB]

How to apply

If you do not already receive your rates via email and would like the opportunity to win this rates credit, please complete our online application form to be in the next draw.

Online application to receive your rates invoice via email

Please note:

  • By completing an online application, you agree to accept rates invoices by email to the email address you provide instead of by regular post.
  • If you change your email address, please let us know what your new email address is without delay. Upper Hutt City Council cannot accept responsibility for rates invoices that cannot be delivered due to an invalid email address. Rates invoices that are not able to be delivered by email will be delivered to your last known postal address.

Pay your rates by direct debit and increase the prize from $350 to $500

If you currently pay your rates by direct debit you don’t need to do anything further to increase the prize. Direct Debits can be paid weekly, fortnightly, monthly, or each time an installment is due.

Set up a direct debit for your rates using our online form

For further information please contact the Rates Team on (04) 527 2115 or (04) 529 0092 oremail us.

This week’s open home times

PBN over $479,00018 Ronald Scott Grove, Riverstone12:00-12:30pm
Deadline Sale3/69 Miro Street, Trentham12:00-12:45pm
PBN over $195,0002/50 Miro Street, Trentham12:30-1:00pm
PBN over $599,00044 Mt Marua Way, Mt Marua1:00-1:45pm
TENDER 10 Pempsey Street, Silverstream1:00-1:45pm
Deadline Sale50 Oregon Drive, Maoribank1:00-2:00pm
AUCTION80 Pine Avenue, Ebdentown2:00-2:30pm
By Negotiation19 Kentucky Street, Totara Park2:00-2:30pm
Deadline Sale32A Dowling Grove, Silverstream2:00-2:45pm

Choose Harcourts to sell your Upper Hutt property and be in to win a holiday to Fiji!

If you list and sell with Jon Roberts and Harcourts between now and midnight on the 30th of November 2016 you are in to win one of ten holidays to Fiji!

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The Prize

The prizes will be drawn at approximately 12 noon on the following days. Friday 23rd September 2016, Friday 7th October 2016, Friday 21st October 2016, Friday 4th November 2016 and Wednesday 30th November 2016.

The prize comprises two return adult tickets to the fantastic Sofitel Denarau Island flying Air Fiji from Wellington International Airport, accommodation for 4 nights and transfers to and from the hotel in Fiji are included.

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The Hotel

The 5-star Sofitel Fiji Resort & Spa is located beachfront on Denarau Island and all 296-accommodation rooms overlook the sea.

Beautiful Fiji – crossroads of the South Pacific, an archipelago of 333 tropical Islands, an exotic retreat enjoyed for its turquoise waters and rainbow reefs, sunshine days on palm fringed beaches, ‘paintbox’ sunsets inhabited by the world’s friendliest people. Dive the famous White Wall and Astrolabe Reef, surf the six metre Cloud Break, taste a Meke Lovo banquet, be entertained by traditional dancers and discover a diverse local culture. With its desirable climate, cascading waterfalls, lush rainforest explore the Islands that touch your soul. Blending French influences with traditional Fijian custom, Sofitel Fiji Resort & Spa is a paradise to be discovered.

Learn more about the resort HERE

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The Rules

To qualify for inclusion into the draws your must have a signed exclusive listing authority in place or signed after midnight on the 31st of August 2016 and the property must be sold in an unconditional state no later than midnight on the 30th of November 2016.

The full terms and conditions can be found HERE

Contact Jon today to list your property and be entered into the draw.

Trying to buy your first house in Upper Hutt?

 Have you considered the Welcome Home Loan?

Finding the deposit to buy your first home in Upper Hutt can be a struggle, with most lenders currently requiring a minimum 20% deposit. But with a Welcome Home Loan you only need a 10% deposit which means getting into your first home is that much easier.

Welcome Home Loans are issued by selected banks and other lenders, and underwritten by Housing New Zealand. This allows the lender to provide loans that would otherwise sit outside their lending standards.

welcomehomeloan

Find out if you are eligible by going to the Welcome Home Loan page.

Upper Hutt has a $500,000 cap for existing first homes mortgaged under the Welcome Home Loan scheme. You can use your Kiwisaver contributions to get you started as well!

Don’t forget that Harcourts can assist with information and by putting you in touch with other mortgage providers too. Just contact Jon today to be added to the mailing list!

 

Reserve Bank drop OCR by 25 basis points

 

Last week the Reserve bank lowered the Official cash rate by 25 basis points to 2.0%.

On the RBNZ website it states:

“House price inflation remains excessive and has become more broad-based across the regions, adding to concerns about financial stability.  The Bank is consulting on stronger macro-prudential measures that should help to mitigate financial system risks arising from the rapid escalation in house prices.”

http://www.rbnz.govt.nz/news/2016/08/official-cash-rate-reduced-to-2-percent

 

A few FAQ’s to bear in mind when choosing a Real Estate Agent

Does Jon deal with buyers and sellers?

Yes. If you sign up with him as your representative, he will be the key point of contact for your property and does not engage other staff to handle the sale of your house. If for any reasons, Jon may be required to ask another staff member to assist (i.e. If he is going away with family) this will be made clear to you at the earliest opportunity and full contact details will be provided to you for the agent assisting in his place. As such, you can be confident that he will negotiate to best represent your interests. There are numerous complexities to selling a property, which can be difficult to navigate on your own, and that is why having a representative that is well-versed with all aspects of the property business is so important.

Can I cancel my contract with you?

When you sign an agency agreement , it will be for a set time-frame (usually three months). When this contract comes to an end (which is usually when the property has sold!) you are free to choose another agent to represent you. If you engage another agent whilst under contract, you may become liable to pay commission to more than one agent!

What happens if I am unhappy with your services?

This is extremely unlikely, but customer service is the most important part of providing services as a real estate agent. As such, if you are unhappy at any time please contact Jon immediately, via any one of the methods in the left-hand sidebar.

 

Proud to be NZ’s Most Trusted again

 

For the fourth consecutive year Harcourts has been voted New Zealand’s Most Trusted real estate brand.

Reader’s Digest today announced the results of its Most Trusted brand survey for 2016. It is the fourth time the real estate category has been voted on, and the fourth time Harcourts, New Zealand’s largest real estate group, has come out on top.

Harcourts CEO Chris Kennedy says it is extremely humbling to see the faith and support New Zealanders place in the group.

“To be considered the country’s most trusted real estate brand is just incredible. Thank you to everyone who voted for us. It means a lot.”

He says Harcourts’ challenge is to keep living up to the trust Kiwis place in it.

“We understand that buying and selling a home is often the biggest financial decision most people will make. Our goal is always to make sure our people have the knowledge, experience, honesty and integrity to assist with that decision.

“We are always looking at ways to improve our service to clients, and improve their experience. That might be through innovative customer-focused technology, a commitment to continually training and upskilling our people, or simply making sure all our offices and staff have a thorough knowledge and understanding of their local communities.

 “No relationship works without trust. That is just one reason being named Most Trusted real estate brand is so important to us.

“Our company started out in Wellington 128 years ago and I would like to personally thank New Zealanders for still being so firmly behind us.”

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Real Estate Salesperson serving the Upper Hutt community