NZ 1st homebuyers are ScReWeD...

[The Great Gold Guru]

Hi , I am currently selling a rental property in Blenheim that we purchased in Dec 2007 ... so this is REAL data.

We paid : $380,000 current RV $350,000

Marketing started last Wednesday ...

6 private viewings
10 thru open home on Friday
15 thru open home yesterday

1 cash unconditional offer so far at $355,000 ... rejected

I will keep you all informed.

Funds required to help pay for purchase of new family home in Devonport.



I posted this a week or so ago ....

We had a set sale date yesterday , four offers in total after 62 parties thru 4 open homes in the last 11 days.

Best offer is a house swap at $290,000 + $110,000 cash , house has RV of $280,000 and will rent out for about $325,000. I am negotiating today to try for another $5-$10k cash but am realy pleased at this level whatever happens.

Best cash unconditional offer was $372,000

[The Great Gold Guru]

OOOpppps ... will rent for $325/wk ... not $325,000 !!!

[minimoke]

Best offer is a house swap at $290,000 + $110,000 cash , house has RV of $280,000 and will rent out for about $325,000. I am negotiating today to try for another $5-$10k cash but am realy pleased at this level whatever happens.

Best cash unconditional offer was $372,000

All I can say is that you must reject this offer. It is offers like this that just distort the views of Hickey and Morgan (especially as Morgan is relying on his reputation to spruik his Global Warming book in Christchurch this week) and all those other doom/ gloom chicken little’s. You must accept an offer BELOW $340k to give them a sense of self worth and credibility to the gullible..

Otherwise brilliant! 62 open home visits (in Blenheim!) suggests great potential local buyer interest; 4 offers suggests buyers are actually out there. What a great offer (assuming the house is worth $290,000 – ignore the RV!) - not only have you not lost on the deal, you’ll make a bit as well . Not a bad result in these tough times.

[The Great Gold Guru]

Just had a call from the agent .. no more money on the table, young couple with another baby on the way so need extra bedroom and have absolutely put their best foot forward. So I am happy with that. I used to walk passed the swap house every day ( 5 doors up from where we lived for 12mths ) so know the property quite well. Very happy with swap and SBS Bank will lend us 80% on new property . Everyone wins.

[The Great Gold Guru]

passed ??? past !!!

[minimoke]

So I am happy with that.

Great attitude!. You’ll get your $5 - $10000 in spades at some point in the future. Look after the young couple and someone will help you out someday. Great result!

[The Great Gold Guru]

Thanks for those kind words Minimoke ... gotta find some new tenants now for our new rental ...

[Dr_Who]

TGGG stikes again. Good on ya mate.

Those that cant see that the market has bottom are either blind or/and in denial. And those that listen to the commentators that say the market will drop another 30-40% will have to wait another 10-15 years for the next cycle... ROFL!

[The Doctor]

no where near the bottom.Once interest rates start to rise ,reality will set in.Prices are being artificially propped up by govt stimulus and low interest rates...and the banks 'soft' options for distressed borrowers.NZ is heavily in debt,ave houses requiring 6x ave earnings to service are an aberration....there is only one way for property prices...DOWN..the halcyon days are OVER.

[The Great Gold Guru]

My 6th form economics teachers taught me that when demand exceeds supply prices will tend to rise ....

Immigration up >>> demand up.
Emmigration falling >>> demand up.
New home building consents collapsing >>> supply down.
Real Estate listings down 34% in April >>> supply down.

I'll leave it up to you all to figure it out ...