DENISE PIPER/FAIRFAX NZ
Crockers property company says residential landlords are more positive about the market for the year head.
A net 66 per cent were optimistic about increasing their property holdings over the next 12 months in the belief they will perform better.
Rents for three-bedroom properties in Auckland increased from $606 to $614 in April, while three-bedroom rents across New Zealand remained steady at $460.
This meant the Auckland three-bedroom premium over the rest of New Zealand had increased slightly to 34 per cent in March, Crockers researcher Kim Sinclair said.
* Rents are rising, but it’s no El Dorado for landlords
But over the past month, average Auckland rents for a two-bedroom residential property decreased slightly from $481 to $477.
Rents in other centres also decreased slightly over the same period from $395 to $390, leaving the Auckland two-bedroom premium at 22 per cent.
The average rental price for apartments in Auckland has risen steeply, while Dunedin has been steady, and have declined in Christchurch.
Over the past 12-months, Wellington’s two-bed apartment rental price grew the fastest nationally but not to Auckland’s height.
When buying an investment apartment, the majority of investors surveyed preferred to use a professional property management company.
Most of the rest managed their investment apartments themselves – Sinclair said this had been consistent over the years and was probably because the survey sample was sourced from Crocker’s newsletter recipients, and therefore a bias was expected.
The most important factors for landlords in buying an investment apartment were location and freehold, and the level of body corporate fees.
Relatively few landlords considered the level of service from a body corporate or being on its committee were especially important.