Ann: GENERAL: TME: NZ Rental listings up but enqu

• Release Date: 12/04/13 10:30
• Summary: GENERAL: TME: NZ Rental listings up but enquiries tick down
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TME
12/04/2013 08:30
GENERAL

REL: 0830 HRS Trade Me Group Limited

GENERAL: TME: NZ Rental listings up but enquiries tick down

The number of properties available for rent across the country increased by 5
per cent compared with a year ago, and demand from prospective tenants
declined by 2 per cent according to Trade Me Property's analysis of the first
quarter of 2013.    Nationally, average asking rents rose by 3 per cent.

Supply lifting from Hamilton north

Head of Trade Me Property, Brendon Skipper, said the continued strong supply
numbers were driven by Auckland. "The number of available listings saw solid
year-on-year growth right across the Super City, with the stand-outs being
Manukau's increase of 22 per cent, and North Shore's 16 per cent lift."

He said interest from prospective tenants was struggling to keep pace with
supply in Auckland City (down 12%), North Shore (down 7%), and Waitakere
(down 11%), but demand had "bounced back" in Manukau, where it is up 2 per
cent after a decline of 6 per cent in the December quarter.

"Large suburbs like Mt Eden, Remuera, and Mt Wellington provide a microcosm
of the wider picture in Auckland.  The number of listings has continued to
track up, as buoyant values and low interest rates lure investors back to the
market.

"On the flipside, demand from tenants has been diluted as they have more
rental stock to choose from. This means landlords will be working harder to
secure great tenants, especially if they have a property that doesn't tick
all the boxes."

Wellington weak, but not Lower Hutt

Mr Skipper said the picture in the capital had "changed significantly" since
the December quarter when available listings increased by 13 per cent, and
demand had fallen by 7 per cent. "The Wellington market has tightened, with
available listings down by 3 per cent and enquiry numbers up by an average of
2 per cent."

In the Hutt Valley, demand from tenants was "running hot", Mr Skipper said.
"There's good news for landlords in Lower Hutt as it was second only to
Christchurch in terms of the level of interest from tenants with a 19 per
cent surge this quarter. Strong demand has flowed into asking rents too, as
they've ticked up 6 per cent."

The Christchurch and West Coast situations

Mr Skipper said the Christchurch market continued to have its own "tough"
microclimate for renters. "There's ongoing pressure on rental stock, with 19
per cent fewer listings available than a year ago. Demand is still off the
chain with 30 per cent more enquiries from tenants, including a lift of more
than 50 per cent in Linwood, St Albans and the CBD.

"It's no surprise to anyone that the constraint in supply and huge interest
from renters have conspired to see average rents up by 24 per cent on a year
ago, compared with single-digit increases elsewhere, and way ahead of the
national average of 3 per cent."

The opposite situation was at play on the West Coast where supply had
exploded by 42 per cent, but demand had fallen by 32 per cent. "The West
Coast economy has had a rough time, and we suspect the landlords on the Coast
have a hard winter ahead as they seek to fill their rentals in a market where
tenants have a heck of a lot of choice."

-ends-
More info: Stats follow
Contact:  Brendon Skipper, Trade Me, DDI 04 803 2607

Tables: Rentals on Trade Me Property

Notes
? Data is for houses and apartments
? "Supply" is based on total listings onsite, not new listings
? "Demand" is based on the average number of enquiry emails received per
listing

1. Quarterly comparison for Q1: By city

 Jan-Mar 2013  vs  Jan-Mar 2012
City Supply
(%) Ave rent
(%) Demand
(%)
Auckland  +14 -1 -12
Manukau  +22 +6 +2
North Shore +16 +4 -7
Waitakere +12 +3 -11
Christchurch -19 +24 +30
Palmerston North -5 -2 -5
Dunedin -2 +1 -4
Hamilton +13 +4 -6
Wellington -3 no change +2
Lower Hutt +8 +6 +19
National total +5 +3 -2
National total (excluding Canterbury) +7 +2 -4

2. Quarterly comparison for Q1:  Top 5 suburbs by listing numbers

  Jan-Mar 2013 vs  Jan-Mar 2012
City Suburb Supply
(%) Ave rent
(%) Demand
(%)
Auckland  Central  +16 -3 -20
  Mt Eden +10 +3 - 15
  Remuera +7 -3 -9
  Mt Wellington +35 -3 -8
  Epsom no change -4 -7
Christchurch  Central  -34 +27 +53
  St Albans -27 +20 +52
  Riccarton -19 +17 +10
  Linwood -42 +12 +100
  Merivale -8 +27 +2
Wellington Central -13 +1 +17
  Newtown +8 no change +12
  Mt Cook +21 -7 +3
  Te Aro -14 -1 -7
  Mt Victoria +7 +5 +7
End CA:00235101 For:TME    Type:GENERAL    Time:2013-04-12 08:30:04