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Know The Market You’re In



If I strike a buyer on day one of their property hunt, chances are, they won’t need to tell me that.


Before you scoff away. No, I’m not laying claim to any kind of sixth sense here!


For seven out of ten first time buyers, the giveaways are as clear as day. From the moment they walk through the door, most will immediately tense up, their eyes will glaze over and from there the remainder of our viewing will devolve into mere formality. After asking all of the appropriate questions and moving through all of the standard motions, the polite types will conclude their viewing with a thank you but inform me that, “It doesn’t quite tick all the boxes.” Whereas, the less than polite types will bark out some snarky reference to shoeboxes before walloping me with the assertion that, ‘they can do better.’


As I said, It hardly takes a modern Hercule Poirot to pick up on those signs!


It's just an unfortunate truth that people tend to be disappointed after their first day in the field and there are only two or three ways that they can express that.


Now, before I characterise myself too much as the jaded salesmen here, please know that I am not casting judgment on this reaction at all. This knee-jerk response to the Auckland Housing market is completely understandable, in fact it’s probably a firm indication of sanity!


House prices in Auckland are simply ridiculous. Your money SHOULD get you more than a shoe box, you SHOULD be able to do better. But at the end of the day, this is the reality we are stuck with and having a firm grasp on the way things ‘ought to be’ isn’t going to get you any closer to securing yourself a house and apartment in this city.


This is where knowing your market comes in.


Understand right now that the economic altitude in Auckland is simply heavier than it is in other regions and your dollar is going to come to a spluttering halt far earlier here than it would elsewhere.


Please do not fall into the trap I’ve seen far too many buyers succumb to, allowing denial to derail their property hunt for three months while they attend senseless townhouse and unit viewings, knowing full well that each is well out of their budget.


There’s a reason you started your search with an apartment. Some part of you knows that this is the realistic option. Save yourself the runaround, adjust your expectations and make a call based on what you’ve got in front of you.


Yes, your dollar per square meter is going to pale in comparison to what you could get in Dannevirke, but at the same time I can assure you that the value of your property is going to rise a hell of a lot faster in Auckland than it will down there!


Please don’t shoot the messenger, I'm only trying to save you some time and heartache. When you’ve recovered from your jarring first day of viewings, just try to be objective, take a deep breath and ask yourself,


'can I compromise my expectations in the short term to get a foot on the ladder or do I need to spend a bit more time saving up to get myself into the place I really want to live in?'


The answer will be different for everyone. It’s certainly not an easy call to make, but it is a simple one.






Note: The information in this article is provided for entertainment purposes only.

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If you require financial or other expert advice you should seek assistance from a professional adviser.