Her comment follows a survey revealing strong auction attendance despite a short supply of listings
Derryn Mayne, the owner of Century 21 New Zealand said more listings are needed to stop buyers from exiting the market.
Her comment follows a joint survey by the Real Estate Institute of New Zealand (REINZ) and independent economist Tony Alexander reporting strong auction and open-home attendance despite a short supply of listings, leaving buyers worried since June.
“No one can get their hands on enough stock, regardless if they're real estate agents or potential buyers. We haven't seen such a uniformed, nationwide shortage of listings for a very long time. In fact, if listings don't lift soon it could hamper the sector's overall success,” Mayne said.
“Century 21's Turangi office has just sold an ex-Ministry of Works ‘hydro house’ for over 137% more than what the vendor paid for it three years earlier. It jumped from $139,000 in 2017 to $330,000 in 2020. We have dozens of stories like this across the country simply because there are so few houses for sale.”
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Mayne said the coming summer might become one of the strongest for real estate in recent years, depending on enough properties entering the market.
She continued: “The worry is that the likes of young people will give up trying to buy a house because they're sick of missing out, being priced out, or both. That would be a terrible outcome when interest rates are at record low levels, with economists predicting they'll fall further. Success has to surely be when everyone gets a fair go!”
“For the sake of the market's ongoing sustainability, and to ensure new buyers can get in, we need those contemplating selling to actually list their properties. Potential vendors need to consider that almost all New Zealand agents are now reporting seeing price rises, and so those homeowners who take decisive action won't be disappointed.”
