What does the new year hold for the housing market after the turbulence of 2022?
“My only new year’s resolution is that we return to what we call a ‘normal housing market’, where people can transact without fear of missing out or fear of paying too much,” Tommy’s Real Estate Sales Director Nicki Cruickshank says.
“And I think we are pretty much at that point at the moment. A nice steady market, which is fair for both buyers and sellers is ideal – and real estate agents will have to be good at communication and good ‘old fashioned’ service!
“I think everyone is hopeful for a better year in 2023 across the board.
“My thoughts are that interest rates will settle really early in the year, and hopefully will start to drop a little towards the middle of the year, which will give people confidence to return to the housing market.
“Potentially, too, if it looks like a change of government towards the end of the year, that will encourage investors to return to the market, which will have quite an impact I am sure.”
In the meantime, Nicki’s already noticed “some really good activity” from buyers. “At this early stage of the year that has surprised us.
“Not only are a good number of first-home buyers looking but also families wanting to upsize as well.
“And enquiry to sell is strong.
“But we’re still not seeing too many signs of investors returning – much to the disappointment of many tenants that are looking at the moment!”
Nicki says demand is evenly spread across the market.
“Apartments and townhouses are working well for some and families are looking to move – so demand is good for three- and four-bedroom houses.
“We have noticed, however, the top of the market has not been affected as much as perhaps the middle.
“Good houses always sell well in Wellington no matter what the market is doing.”
Where does she see it heading over the next few months?
“I really think the market is stabilising,” she says. “There have been so many people ‘sitting on their hands’ now for quite some time waiting to see what is going to happen, and I think there are a number who have decided just to get on with things.
“Yes, you can try and wait until you think the market may bottom out, but unfortunately if you miss it, and it turns quickly, then we get back into that terrible cycle for people.
“At the moment there is a lot of choice, and buyers have not had it better for a long time.
“So while you are not feeling rushed, go out there and see if there is something that really catches your eye – and you can imagine living there.
“I have always maintained the best time to buy and sell is when it suits you. Lots of people will advise you not to sell at the moment.
“But if you are buying as well, then it is fine and everyone has time.”
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