A Housing Market Upturn is Good News for Sellers16 Nov 2023

New Zealand’s property market may be shifting from a buyer’s market to a seller’s market, driven by greater buyer demand – in particular from first home buyers taking advantage of favourable house price conditions – and lower-than-usual listings in what is traditionally the busy spring selling season.

Read on to find out more about the two important changes to market conditions that could see sellers regain the upper hand.

First home buyers leading the charge
One of the key driving forces behind a shift in the market is the influx of first home buyers. Slightly lower house prices and less competition has seen a greater number of individuals and families eager to take their first steps onto the property ladder, in what is considered by many to be the most favourable market conditions for first home buyers in recent years.

Across most markets in New Zealand, real estate agents – including those at Harcourts – are reporting an increase in buyer activity at open homes and at auction.

The busy spring selling season is underway
Spring is traditionally a busy time for New Zealand’s property market, with a surge in listings matching an influx in buyers eager to find their dream homes. As the spring listing increase begins, the market offers a wider selection for buyers.

This, in turn, boosts confidence for sellers to list their properties for sale, knowing they will have more opportunities to secure their next home once their property is sold.

Bryan Thomson, Managing Director – Harcourts New Zealand said, “For this later part of 2023, month on month we have continued to see an upward lift in volume growth, signalling a positive trend.

While the increase is from a low starting point, all upturns have to start somewhere, and we are optimistic that the summer months will see a marked improvement in all growth aspects of the real estate market.”

Strategic approach for sellers
For those considering selling their property in this evolving market, there are several strategies that can be employed to optimise outcomes:

• Pricing wisely. While demand is high, it's important for sellers to set a competitive but realistic asking price for their property. This will attract serious buyers and maximise the potential for a quick sale.

• Showcasing the property's unique features. Highlighting the distinctive features of a property can make it stand out from the rest in a competitive market. Whether it's a stunning view, a well-designed layout, or modern amenities, these aspects can sway buyers in your favour.

• Timely decision making. With competition on the rise, acting promptly on offers and negotiations can be crucial. Sellers should be prepared to make decisions in a timely manner to keep the momentum going.

• Professional guidance. Engaging the services of an experienced real estate agent can make all the difference when it comes to navigating this shifting market. They have the expertise to guide sellers through the process and negotiate on their behalf.