Hot and cold in regional auction
Thursday 16 June 2016
This 4-bedroom property in Rotorua attracted strong bidding before selling way above its rateable value.
By Dana Kinita
A glimpse into the latest auction movements in Rotorua
Full renovations paid off for one vendor as fierce bidding erupted to lay claim to a 4 bedroom house in Sunnybrook.
A diverse group of about 15 people attended this week’s auction at Eves Realty Rotorua where demand was strongly focused on a Pandora Ave address.
The 1413sq m property had been recently redecorated inside and out which included new double glazing, the latest English radiator central heating, infinity gas hot water and new lacquered kitchen and bench tops.
An opening bid of $250,000 from the crowd was quickly advanced to $300,000 by auctioneer, Gordon Stewart on behalf of the vendor. This sparked a three-way competition with the price quickly rising by $10,000 increments.
It exceeded the $400,000-mark with just a phone and floor bidder remaining in the hunt. The floor bidder was eventually the successor with the final price of $430,000 – far surpassing its rateable value of $248,000.
No bites for family retreat
A well presented, large family home with lake access failed to attract any bids.
The Operiana St property in Ngongotahaha featured three bedrooms, two bathrooms, two living areas, a deck described ideal for entertaining. With a rental appraisal of up to $440,000 per week, it was pitched to appeal to an astute investor, for family living or used as a holiday retreat.
An opening bid of $350,000 was made by the auctioneer, on behalf of the vendor, who remained the sole person in the auction. The price was advanced to $400,000 before the property was handed in.
It was also the case for a 3-bedroom house on Neri Cres in Pukehangi.
The cross-lease property was marketed as a solid investment and had been returning $330 per week with the potential for more after a cosmetic makeup.
The opening bid on behalf of the vendor was made at $280,000 which was advance to $300,000 before it too was handed in.
Investors quiet on units
A block of four units on Gibson St had interest from potential buyers it was insufficient to satisfy the vendors.
With two 3-bedrooms units and two 2-bedroom units on Gibson St, it had a rental return of $695 with an appraisal to reach up to $900 per week.
An opening phone bid of $400,000 was quickly replaced by a vendor’s bid of $500,000. The auctioneer continued to advance to $600,000 on the vendor’s behalf before the auction closed.
Comments from our readers
No comments yet
Sign In / Register to add your comment
Wellington’s approach to housing development will get a major shake up after the city council unanimously voted in favour of proposed changes today.
High house prices and affordability issues remain a key public concern, but New Zealand’s housing market has slipped in global price growth rankings.
Commercial property syndicates give investors options and risks they might not otherwise have access to – but they do come with risks.
The Reserve Bank’s debt-to-income ratio (DTIs) proposals are flawed and would have perverse outcomes for investors, according to a new report from TailRisk Economics.