With a recent 0.5% interest rate cut, savvy New Zealand buyers have a prime opportunity to act strategically before the market gains momentum. The Reserve Bank has now reduced rates by a full 1% in just a few months, setting the stage for change. Whether you’re upgrading, downsizing, purchasing your first home, or investing, it’s time to consider your next move.
After two years of stagnation, property values are stabilizing, and growth is on the horizon. Lower rates have made borrowing more affordable, while sellers can benefit from increased liquidity, enhancing their chances of achieving their desired price points.
A OneRoof survey confirms that a rebound is imminent: 41% of respondents believe affordability will improve in the next 12 months, and 21% say lower rates will influence their decision to buy or sell.
If you’re looking to take advantage of this moment, here’s how to position yourself for success:
1. Buy Now
According to the OneRoof-Valocity House Value Index, the national average price dipped by 1.1% in September to $957,000. While lower prices might seem like bad news for sellers, most will also be buyers in this market. If you’re upgrading, this is a golden opportunity—cheaper buying prices can outweigh any shortfall on your current property sale.
2. Time Wisely, Not Perfectly
Don’t get stuck waiting for the "perfect" market conditions. The current environment is favorable, and delays could cost you as momentum shifts to sellers. Even if your timing isn’t flawless, acting now gives you an edge.
3. Secure Your Financing
With rates down and borrowing more accessible, competition among buyers is heating up. To move quickly when you find the right home, ensure your financial arrangements are finalized in advance. Pre-approval is key to staying competitive.
4. Prepare Your Property
A turning market can complicate the traditional strategy of selling first and buying second. Focus on getting your property market-ready as soon as possible. This increases your flexibility and allows you to respond quickly to changes in the market.
5. Partner with a Great Agent
Engaging an experienced real estate agent early can make all the difference. A skilled agent will provide a realistic valuation, offer tips to maximize your property’s appeal, and guide you on which improvements will (and won’t) add value. We’d love to help you navigate this critical phase with confidence.
6. Stay Flexible
Show your home to as many potential buyers as possible, even if it means accommodating inconvenient inspection times. Be prepared for negotiation but set your bottom line in advance. The more adaptable you are, the smoother the process will be.
The market is shifting, and the window to act advantageously is narrowing. Whether you're buying, selling, or both, the right strategy now could secure your financial future for years to come.