Apartment Specialists provides you with list of information that will help you figure out the best time to sell your Auckland apartment.
Andrew Murray, Apartment Specialists. Today we are talking about a question I get asked every single day – I know I have said it quite a few times – but this is one every apartment owner always asks, “Is now a good time to sell my apartment?”
There are quite a few answers to that question. I know it seems like a very straight forward one. But they are actually – it is not that straight forward. Because at the end of the day it is actually what is best for you being the owner. Now, there is my personal opinion on what is going to happen in the apartment market – and there is what is best for you.
These two things are completely different. For example, the best thing for you may be to sell your apartment right now because you need the money to do other things. To go on a holiday; it may be a family situation; it may be to put the money somewhere else where it is going to make more money. There are so many different situations though. In that regard, it is irrelevant to what I think is going to happen in the market. Because you are selling because it is the best thing for you.
My job is to give you all the information you need to help figure out what is best. I.e. should you auction your apartment? Should you list it with a price? How should you do it? Should you dress it? How should you market your property? Should you sell it?
If there is a window of six months. Should you sell it now? Should you sell it in six months? If it is a hotel lease, should you wait until you get it out of the pool? Or should you keep it in the pool? All these kind of questions.
Then there is a second question: Should I sell my apartment now? Now that is where I say – Okay, if it was my apartment, and there was none of these other factors, that is when it is very different.
My personal opinion is that there is still more in this market to go. We are still always moving but the thing is – the apartment market is a very different one. It is one that actually does not hit you hard on the back of the housing market. It rides on supply and demand. If there is a lot of apartments available, the price goes down. It is all about the developments.
As you know, the developers are selling off the plans again – which means there is going to be new apartments coming to the market. They are not there yet. They have not been bought yet. I know they are being planned to be built. So I would not sell now. I will probably wait a while. Wait until you start seeing the cranes in the sky. Then I would assess the situation. And then look at – okay, maybe it is time to accept. Or maybe you want a lot – you want to talk long, long, long term.
It all depends on the purpose of your purchase. If it is just for income and you do not care about capital gain then it does not matter. Unless if it’s going to affect he rental situation for example; if you have all of a sudden, had a flood in your apartment, well that could lower the rent. It is a big, big question that cannot really be answered in general terms. That is something that is very specific to the particular person’s situation, the particular person’s goal with their investment, and the particular person’s apartment.
For example, there could be a development going on in front, in a couple of years it could lose its view. That would be advantageous if capital gain was the sole reason for you to sell now. The answer is – I cannot give you an answer. But it all comes down to you being a specific owner, and me giving you the information to help you figure out what is best for you, and you making that decision. Lovely. Cool.
Next week, we will talk about – you are going to sell your apartment, but you have got tenants. How are they going to be affected? Are they going to be affected? Will they move out? It is something that is a concern of most people when they are going to sell – what do they do with tenants. I will cover that very briefly and then how we look at it.