southerner

From what I read that probably is a good time frame for buying a section. Right now they still have a bit to fall, especially coastal or resort stuff. A guy called Rodney Dickens does a great little monthly analysis on property prices - google him if you're interested.

LoganT

Sections are the way to go if you can find one still!
Developers snap up most of the good ones these days.

There was a spurt nationwide not long ago where every second person you spoke do was a budding 'property developer' hehe.

I know it peeved alot of of regular builder developers but thats the game.

anyway, yes sections, at least then you can design a home exactly how you like it.

CarolineSwan

Dont know if i let you all know, but last thursday night the couple we have been negotiating with finally accepted our offer on there wonderfully flat 1000 sq m section .. signed the deal on my birthday yay what a present aye

cant wait to build now

caz

jennifer45

but you've got to rely on a kiwi builder to build it and after recent posts I don't know how stress free that would be.
Better a house that's been test driven and sorted so to speak!

jmh

My mum built a Lockwood house on a sheer hill and it looks pretty solid! You have to like wood though

Dave1892

House prices will not rise in the near future. The Economic fundamentals simply will not allow it. Money supply is dwindling, jobs are disappearing, demand through most industries is falling. Add weak sentiment and cautious banks choosing (or due to the threat of being regulated) to reduce loan to value ratios and you everything you need to suppress property prices.

The question of supply and demand is something that does need to be factored in - rising populations versus lower house building starts/homes to market - but demand for houses at prices at which we have all become accustomed is weak due to the above factors.

How far will prices fall from here - who knows?

Genesis

I have a mate who has just bought 2 rentals. I think he's making a big mistake. Apparently they are JUST paying for them selves..what happens when they need work and or any repairs. I would have waited as what he has bought could have been bought in a while much cheaper..neither gaffs were 'bargains' either. I reckon theres still a ways to go. Probably not a bad thing IMO..houses are waaaaaaaaaay to expensive relative to $$s earned in NZ. Plus the govt. are starting to limit emigrees..a well known source of house price hiking!!

Dave1892

Can't speak for NZ but rents are falling in the UK. There are 80% more properties on the rental amrket than this time this year. I look after the rental of 40+ properties for the company I work for and we can only fill empty properties at 10-15% discount to what we were getting last year.
The reason for this is that quite a few jumped onto the rental wagon last year because the media wrongly suggested that rents would rise due to the lack of sales activity and because those people who cannot sell homes are often taking the option to rent them out.

Batty

It's the Temporary visas that are gonna be restricted and they're not likely to be looking at buying houses

Your friend might very well have been right you know. The bargains are going to be few and far between soon. It's not about pricing anymore - it's about the market moving. If that stalls much more there will be a whole heap of buyers with very little property to buy and it doesn't take a genius to work out what that means. There are immigrants coming here from countries that are in much better shape than the UK and we can't even find them rentals while they wait for a house to buy.

jmh

Good point. I was a cash buyer in the UK in the recession of the 90s and I couldn't find anywhere to spend my money because no one was selling. I did eventually find somewhere (couple with baby where forced out with negative equity)) but it took a lot of effort. When the market doesn't move it doesn't go up or down I guess.

eddie_nz

lots of good stuff in the UK, just picked up a repo victorian pile in the surrey hills. Sale last year 490 we just got it 300

Dave1892

This view does not take into account the fact that we have experienced a house price bubble fueled by easy credit. Easy Credit is over, probably for a generation. House prices were/are artifically high. The conditions in which house prices keep rising do not simply exist. The shortage in supply will not create further price rises but instead an impetus for new housing starts backed by lower land values.

The reason why the stock of property for sale has fallen is not because bargain hunters are snapping up homes; it is quite the reverse. It is because sellers have abandoned any hope of finding a purchaser at an acceptable price.

Good luck to anyome punting on rising house prices for they are going to need it.

strawbie

Nice to hear someone being positive!!! I'm hoping the cloud has a silver lining! House prices are not likely to rise but at the same time I dont really think they've fallen as dramatically as the media suggests, of course there are bargains to be had but that is dependant on how badly the seller needs to sell. As we've just got PR I would quite happily knock £100,000 or ours to sell but there are just not the viewers/buyers and it seems that even advertising a huge reduction does not bring them queueing at the door to view. The banks are just not giving out the mortgages they were.

jmh

Well done on getting a bargain. A house across the road from me has just gone on the market for a big drop down price because the seller has got a good deal elsewhere. Not sure how common that is though. Anyway I'm no expert.

jmh

I really do hope you are right because it is a shame to see youngsters priced out of the market. I have heard these sentiments in the UK for years. House prices can't continue to go up, the market can't sustain it etc. We of course have had easy credit too. They kept on going up, and probably will again once this period is over. It's depressing.