The August Real Estate market has brought an additional wave of buyer activity which is something not typically seen in late winter.
We’ve seen an increase in sales compared to this time last year with the median price in Lower Hutt around $700,000. As more listings hit the well-supplied market, some buyers are slower to make decisions, extending the average days to sell to 47. Despite ongoing economic challenges, early indicators suggest potential improvement, creating favourable conditions for those looking to put their home on the market.
Now that the Reserve Bank has cut the official cash rate to 5.25%, banks have already started lowering mortgage rates for some fixed term mortgages which is a huge relief to many households. This is sure to encourage more people to bring their properties to market – as we certainly have an abundance of buyers looking for homes.
We are also seeing that buyers are approaching their banks and securing preapprovals even if they aren’t actively looking to buy, many of which are first home buyers who currently make up the most active buyer group in today’s market.
Those who currently have their homes on the market have done so with an understanding of the current market conditions, and when necessary, have adjusted their price expectations accordingly.
Spring will bring new growth and activity as vendors who have been waiting for the ‘right time’ to come to market have a positive outlook now with the money lending criteria easing.