Raine & Horne Kumeu - Hobsonville Blog

Can Auction results tell us a story

Most Real Estate Agents I talk with at the moment discuss the conservative and unconfident nature of the buyer community that are wanting an excellent house at an excellent price. Buyers are generally in no hurry to buy and have been looking for some time.  One buyer I was talking with has been shopping for two years, which asks the question “ how can auctions work if buyers are generally disinterested in committing, unless all aspects are in their favor to buy.  We took a snapshot of Auction activity in the North West in early May. 

Waitakere District had 9 auction properties which resulted in no sales result

Rodney District had 15 auction properties which resulted in 3 sales resulting (with 1 making RV)

Therefore, you have to ask the question, have we entered a new phase in the buyer cycle which follows FOMO (Fear of missing out) called FOC (Fear of commitment). 

We are seeing people at open homes, many are trying to understand the market, getting a sense of value and building a buying profile. This clearly is not possible with the Auction process, with buyers wanting to buy on their terms and timeframe. 

The next OCR  (official cash rate) change is scheduled for 28th May 2025 with many predicting another reduction likely, all be it, measured given the global turmoil over tariffs and Warring factions. 

Banks are holding the 12-24 month fixed mortgage interest rates at 4.99% with a further reduction due post 28th May 2025. 

We stay positive that the prices being paid for North West Real Estate today is at its lowest ebb and the lower interest rates will continue to firm up buyer activity and engagement, albeit slowly. 

Call me, Graham McIntyre AREINZ directly 0800 900 700, via text at 027 632 0421, or email at [email protected]

Country Living Realty Ltd, t/a Raine & Horne Kumeu-Hobsonville Licensed REAA (2008)