Ann: GENERAL: TME: Trade Me Property - quarterly

• Release Date: 09/10/13 11:02
• Summary: GENERAL: TME: Trade Me Property - quarterly rental report
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					TME
09/10/2013 09:02
GENERAL

REL: 0902 HRS Trade Me Group Limited

GENERAL: TME: Trade Me Property - quarterly rental report

9 October 2013

Christchurch rental prices now highest in NZ

Kiwis in Canterbury are now facing the highest average asking rents in the
country, according to Trade Me Property's analysis of the third quarter of
2013. The number of properties available for rent across New Zealand in the
past quarter was up 5 per cent on a year ago.

Head of Trade Me Property Brendon Skipper said the Christchurch picture was
an interesting but slightly unusual one. "It's something of a rebuild
phenomenon - rents are up 25 per cent on last year despite the number of
short-term rentals in the city being well ahead of what we saw a year ago,"
he said.

"We've seen a lot of activity in short-term accommodation as families grab a
place to stay while their homes are being fixed up, or workers relocate to
the city temporarily for a project. With so much more to do, we don't see
demand slowing anytime soon."

The national picture

Mr Skipper said average rent in Auckland was up 2 per cent, with the rest of
the country also pretty quiet. "It's subdued on the national front, and if we
exclude the unusual situation in Canterbury, the number of properties
available for rent is up 5 per cent and the national average asking rent is
up 2 per cent. It's positive but steady as she goes."

Supply in the Auckland region was up 5 per cent on last year, with the
availability of 5-bedroom properties "skyrocketing" by 50 per cent. "The
number of listings is trending upward in Mount Eden, Mount Roskill and Mount
Wellington, but the average level of enquiry from tenants is almost static
compared to this time last year."

There was a different picture in Wellington, with the number of properties
available for rent down 14 per cent, driven by a drop in 2-bedroom houses and
apartments. Tenant enquiry levels were up 23 per cent with the central city,
Karori and Newtown all proving popular.

Pets or no pets?

Trade Me Property users hunting their next rental are seeking fully furnished
properties with a garage, and flexibility with pets. Looking at the past six
weeks of search data, the top five search terms used by prospective tenants
are: 'furnished', 'fully furnished', 'garage', pets negotiable', and 'pets
ok'.

"If you're a property owner, it could pay to relax animal rules for your
property, for the sake of an increased tenant pool," Mr Skipper said. "On the
flipside, tenants with pets are limiting their options."

The future

Mr Skipper said it was too early to see any effect from the new loan-to-value
lending ratios. "We'll be keeping an eye out for the impact of the new loan
restrictions - if this forces potential first home buyers back into rental
properties as many expect, this would be good news for landlords."

-ends-

Contact: Paul Ford, Trade Me, DDI 04 803 2611
  [email protected]
More info: Data tables follow
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 Q3: By city

 July-Sept 2013 vs  July-Sept 2012
City Supply
(%) Ave rent
(%) Demand
(%)
Auckland  5  2  - 1
Manukau   18  4  - 0
North Shore  21  - 2  - 11
Waitakere  8  2  - 10
Christchurch  4  25  8
Palmerston North  2  3  - 3
Dunedin  14 No change  - 11
Hamilton  11  4  - 8
Wellington  - 14  3  23
Lower Hutt  - 5  - 1  15
National total  5  4  2
National total (excluding Canterbury)  5  2  1

2. Quarterly comparison for Q3:  Top 5 suburbs by listing numbers

  July-Sept 2013 vs  July-Sept 2012
City Suburb Supply
(%) Ave rent
(%) Demand
(%)
Auckland City Centre  - 4%  1%  - 12%
 Mount Eden  29%  3%  - 2%
 Remuera  15%  9%  0%
 Mount Wellington  22%  6%  - 15%
 Mount Roskill  23%  4%  - 12%
Christchurch St. Albans  - 7%  26%  11%
 City Centre  - 6%  28%  14%
 Riccarton  0%  14%  4%
 Merivale  18%  28%  - 13%
 Linwood  - 17%  18%  38%
Wellington Central  - 17%  - 1%  36%
 Newtown  2%  1%  20%
 Karori  - 16%  9%  36%
 Thorndon  14%  4%  0%
 Te Aro  1%  15%  10%
End CA:00242147 For:TME    Type:GENERAL    Time:2013-10-09 09:02:42