Month: December 2022

This week we will take a step back from real estate, the housing market, inflation etc and look at Christmas and why it is so important to not only me, but 99% of people I know. No matter what you believe in, the bottom line is; It’s a time to get together with your loved ones, eat some great food, raise spirits and a glass to the year thats been, here is why I love Christmas.

First and foremost, Christmas is a time for spending time with loved ones. It is a time to come together with family and friends and to celebrate the love and joy that we share and so often forget. to just stop and embrace. It is a time to catch up with those who we may not see as often as we would like, and to create new memories together.

Another reason why Christmas is important to me is because it is a time of giving. I love the feeling of giving gifts to others, and seeing the joy and appreciation on their faces (maybe even more so than opening my own presents). It is a way to show those around us how much we care about them and to express our gratitude for their presence in our lives in ways we may often not.

In addition, Christmas is a time for reflection and gratitude. A reflection on the year, whether it be good, bad or in between it’s important to reflect. It is a time to think about the things that we are thankful for and to express our appreciation for all that we have, covid reminded a lot of people of these values that can get lost in turbulent lifestyles. It is a time to focus on the positive aspects of our lives and to let go of any negativity or stress.

Finally, Christmas is a time for celebration and traditions. I love the traditions that come with the holiday season, such as decorating the tree, baking cookies, and belting out “Christmas bells those Christmas bells” to Snoopy’s Christmas. These traditions help to bring a sense of warmth and cheer to the season and help to create a sense of community.

Overall, Christmas is an important time of year for me because it is a time to come together with loved ones, to give to others, to reflect on the things that we are thankful for, and to celebrate and create traditions. It is a time that brings joy and happiness to my life and to the lives of those around me.

I wish anyone reading this a joyful, happy Christmas time surrounded by loved ones, a mountain of food, lots of prezzies and a drink in hand!

If recency bias was prominent here I would start this blog with a nod towards weather as a massive con. Last week was like another dose of winter. Rain, wind, sideways wind even. It has been far from pleasant however, for those who live here we know this is not the usual.

 

Moving on, and before we start I posted some stats recently on my Facebook page for the Tauranga City housing market in the month of November. If you have not seen those there are some interesting statistics regarding average house price last year vs average house price this year for the month of November. The main one to touch on is the 12-13% reduction we have had in average sale price compared to November 2021 in Tauranga City (Includes Mount Maunganui and Papamoa). With the reserve bank estimating a total fall of around 18.9% this would mean we are roughly two thirds of the way towards the bottom. Naturally this is crystal ball gazing but at least we have some sort of gauge.

 

This week I wanted to touch on the pros and cons of living in Tauranga. First of all I will look at the pros and when initially writing this for a guy who spent seven years living in Hamilton prior (no offence Hamilton) the list was long! This weeks blog is penned for people thinking of moving to Tauranga in the near future or who have a long term plan to end up here. I hope to outlay some clear information regarding what it’s like to reside here.

 

Let’s start off with the classic kiwi tradition of ‘heading to the beach’. We absolutely love laying on the sand, building sand castles and getting roasted like a shrimp on the barby! In Tauranga and in particular Mount Maunganui you have an abundance of options when it comes to beautiful, warm, rich with ammenities, classic east coach New Zealand beaches. If you start at one end and decide it’s too busy just carry on down Ocean Beach road until you find a spot to your liking!

 

Next is the weather. Growing up in the Waikato you could forgive me for being fascinated by how superior the weather is here; I will say it does get windy here at times but unfortunately that is part and parcel of living next to the sea. The temperature hardly drops below 10 degrees during the winter (at it’s worse) and whilst it gets hot here during the summer that trusty old sea breeze is always there to turn the heat bearable.

 

The views! Oh the views! As a Real Estate Agent you get to see some utterly amazing properties that have views that motivate you to keep on working hard to one day have for yourself. A view of Mount Maunganui itself is an extremely satisfying and special kind of view. Because of Tauranga’s geography many residents experience views of water, beach, the mount etc.

 

A few more selective depending on what you enjoy pros; are the range of stunning golf courses Tauranga is fortunate to boast, multiple fantastic malls with a large range of shops to choose from and I find the all round mood of people who live here to be high. who knows, maybe its the sea salt?

 

Now the cons… I would love to say there isn’t any but then I would be blatantly lying to you. Like any city Tauranga does have cons, let’s start with TRAFFIC – it’s not great. In saying this it does very much depend on where you live, what time of day and where you are heading, an issue for any major city in NZ. The geography of our city also poses a problem in this regard, similarly to Auckland there aren’t many different routes to use to get from one end of the city to the other. When trying to understand this, imagine a funnel and during peak hours you’ve poured way too much substance in and it’s all trying to squeeze through the skinny tube.

 

Another personal con for me (however not proven or prescribed by a doctor) is I seem to have developed hay fever since I have lived here, something that has never caused me issues anywhere else I have lived. I wonder whether it is something to do with the heat or the salt in the air. Whilst not a major it is something to be aware of.

 

Last but not least I will comment on the lack of great bars and restaurants per capita here. I believe the rapid growth in population in such a short time has caused this perception. I will admit in the last wee while there seems to have been multiple pop up however I am yet to try them out so I can not comment on whether this has fixed it.

 

Overall Tauranga is a great place to live, you will love the near tropical conditions coupled with the beach on your doorstep, and even better now; after reading this you know a Real Estate Agent who could sell you a house over here!

Are you starting to endure the scary and exciting process of buying your first home? You may know absolutely nothing about the process or you may feel like a seasoned professional from a bit of research – here I aim to get you thinking about certain elements to the process, each week I will hopefully add some value to you by sharing information, personal experiences and much more.

 

Before I get too far into this weeks blog may I just add; this is by no means financial advice and I don’t profess to know absolutely everything, I do however have the experience of going through this process multiple times in the last five years and trying to comprehend what each different method of sale meant. Now as a Real Estate Agent I work with these methods which can all have pro’s and con’s to the vendor, and also to you as the buyer.

 

– Price By Negotiation; this form of sale is a method you are likely to have seen a lot and will continue to see frequently. A property is listed as ‘price by negotiation’ for many different reasons, these include; The agent has not found many comparable properties that have sold near the property to be able to accurately fix an asking price, The agent is relying on buyer feedback in regards to price (what they would be willing to pay), the property may also have special features (views, aesthetics, amazing garden etc) that can’t be justified by just photos, therefore they are garnering interest by drawing more potential buyers to the property to see the special feature(s). Price by negotiation can be difficult and frustrating as a buyer however I encourage you to try and find out as much information as you can if you wish to pursue an offer.

Asking Price/Offers Over; When a property is priced it gives a clear indication of where the vendor’s expectations sit and gives you as the buyer a guideline when making an offer. The key bit of information here is, (something which took me a while to comprehend) unlike a car, or any other goods you see listed online the asking price is not an instant ‘click to purchase’ price. It only acts as the guideline and is only in place to provide that guideline to you. Once you make your offer the negotiation has started and the vendor can choose if they would like to counter-offer, accept or decline completely. As I mentioned there is always pro’s and con’s of any sale method and one con can be enquiries aren’t made by a buyer due to on face value the asking price being too high, they keep scrolling and never look at that listing again. As I raised in price by negotiation spiel, quite often the buyer needs to view the property to embrace its true value and really fall in love.

– Auction; As recent as last year it felt like every property went to auction, and well there is good reason for that. Auctions are designed to gather up all the buyers, put them in a room and let them slog it out until there is a victor. Since the tightening up of lending through the CCCFA (See my last blog) auctions aren’t generally as effective form of sale method. I do say this for most properties, not all however. The predominant sticking point with auctions is that every buyer must be unconditional (cash) at the time of the auction. Not only does this mean they have to pay for their due diligence beforehand and are not even assured a shot at a bid but for most people heading to auction ‘cashed up’ is nigh on impossible. An auction starts with an auctioneer introducing the property and will then proceed to a call for a starting bid – some buyers will choose to go hard and fast early to blow the competition away and some will literally sit on their hands and only bid once the auctioneer starts the count to sell. The vendor will have set a ‘reserve price’ which basically means the absolute minimum it can sell for at auction. Only the listing agent, auctioneer and vendor will know this figure. When the reserve has been hit the auctioneer will clearly let you know by saying something along the lines of “this property is selling” or “this property is now on the market” etc. If the auctioneer thinks the bidding has stalled he can make what’s called a vendor bid, he will state “the bid is with me” this is to tell you that the bid has not yet reached the reserve price so it can’t be sold at the current bid. A vendor bid can no longer be used once the price has eclipsed the reserve price and the top bidder will head through to sign the Sales and Purchase Agreement.

Tender/deadline sale; Last of all we have sale by tender or a deadline sale, which mean slightly different things however can be lumped into one method. When it comes to residential sales this sale method is reasonably rare nowadays because it takes more time and has the same con’s of an auction without the same pro’s, however it does have it’s own list of pro’s and reasons that you would sell this way. A tender sale is when a date is set for offers on the property to be received by. Generally after the close date the vendor has five days to decide on which offer they would like to accept (if any). Opposed to auction the buyers offers may be conditional on certain things ie. builders inspection, lim report etc. As I alluded to before, the process can take a reasonable amount of time and it’s not as straight forward as a standard ‘price by negotiation’ or priced property.

Without going to into too much depth I hope that this gives you an overview into different sales methods and how/why they are used. The best thing you can do to best prepare yourself is research the difference between these on your own terms. Experience when buying will guide you and when you are selling trust your agent to make the right call for your property.