Napier Property Market Update
Recent COVID-19 developments have been rapid and the situation changes daily.
The Reserve Bank of New Zealand has slashed the cash rate and eased the banking system’s capital requirements and the Government is about to begin a massive spend up.
Even with this help, most are preparing for a significant economic downturn.
What does this mean for the property market?
While significant risks lie ahead, the safest assumption is that the impact on New Zealand’s property market will be short-lived.
Data for February indicated that the fundamentals for the property market were solid, but now we need to account for the possible impacts from the coronavirus.
Clearly this is a human disaster, and the economic and property effects are secondary.
A potential rise in unemployment stemming from exporting sectors such as tourism, forestry, and seafood, as well as manufacturing activities that have had their import supply chains disrupted would dampen property demand and therefore values. Some markets may be more vulnerable than others (like the tourist centres of Queenstown and Rotorua).
On the other hand, with the OCR set at 0.25% for the next 12 months, interest rates are expected to remain low, and with the downturn in the share market, investors tend to turn to real estate.
For now, we are cautiously optimistic that Hawke’s Bay will weather this storm well. Our view is that Hawke’s Bay is possibly one of the best places you could be in the face of such a situation.
To ensure the ongoing health and wellbeing of our clients, customers and team members, all Cox Partners staff have been trained in appropriate health and safety precautions.
Cox Partners offers buyers individual viewing by appointment and on request video walk-throughs are also available. We also have video conferencing facilities which allow us to continue to communicate as if we are face-to-face.
For more detailed information about the Napier Property market please us on (06) 835-4321.
Poll: Does the building consent process need to change?
We definitely need homes that are fit to live in but there are often frustrations when it comes to getting consent to modify your own home.
Do you think changes need made to the current process for building consent? Share your thoughts below.
Type 'Not For Print' if you wish your comments to be excluded from the Conversations column of your local paper.
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91.5% Yes
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8.1% No
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0.3% Other - I'll share below!
Lest we forget...
On this ANZAC Day, let's take a moment to remember and honor the brave men and women who have served and continue to serve our country.
Tell us who are you honouring today. Whether it's a story from the battlefield or a memory of a family member who fought in the war, we'd love you to share your stories below.
Getting unfinished projects finished
This is an international project that completes projects left when someone dies. You pay postage to get it to a volunteer and for them to return it to you.
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