Latest / Best of Business / Perspective with Heather du Plessis-Allan: Spare a thought for Aucklanders today

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Perspective with Heather du Plessis-Allan: Spare a thought for Aucklanders today · Best of Business

• 0:09
  Speaker 1: You're listening to a podcast from News Talk sat Be
• 0:12
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• 0:16
  Speaker 2: It is as expected, if our office is anything to
• 0:20
  Speaker 2: go by, Auckland is a miserable town today because the
• 0:22
  Speaker 2: house valuations are out and they are bad. Just about
• 0:25
  Speaker 2: everyone has jumped on the computer to have a look
• 0:27
  Speaker 2: by now, i'd say, and just about everyone's house has
• 0:29
  Speaker 2: gone backwards. So my house, our house, it's gone down
• 0:32
  Speaker 2: in value by eight percent. One of the bosses, not
• 0:35
  Speaker 2: too bad, only gone back by four percent. I don't
• 0:37
  Speaker 2: think anyone's house has gone up. In the office, someone's
• 0:41
  Speaker 2: house has dropped by two hundred and fifty thousand dollars.
• 0:44
  Speaker 2: One colleague, and this is this colleague is suffering more
• 0:46
  Speaker 2: than anybody else. Our house has gone down by twenty
• 0:49
  Speaker 2: one percent, that's one point one five million down to
• 0:54
  Speaker 2: nine hundred thousand dollars. Has another two hundred and fifty
• 0:56
  Speaker 2: thousand dollars shaved right off right there. Someone some worne's
• 0:59
  Speaker 2: feeling agitated. I called a realistate agent today to see
• 1:02
  Speaker 2: if it's wider than just our office. They told me yep,
• 1:05
  Speaker 2: and quote, people are not happy. Another realist that agent
• 1:09
  Speaker 2: and this is Rawden Christy, who are gonna have a
• 1:10
  Speaker 2: chat too later reckons he's already fielding calls from buyers
• 1:13
  Speaker 2: who are mid negotiation, who are now saying they're not
• 1:16
  Speaker 2: going to lift their offer anymore. They are just gonna
• 1:18
  Speaker 2: leave it right where it is, because look at the
• 1:19
  Speaker 2: valuation that's out today. Auckland Council says they normally have
• 1:23
  Speaker 2: about five hundred people on their website at any one time.
• 1:26
  Speaker 2: When we called, they said they were watching twelve thousand
• 1:29
  Speaker 2: people on their website at any one time. As I
• 1:33
  Speaker 2: said yesterday, spare thought for Auckland. If you have an
• 1:36
  Speaker 2: Aucklander in your life, spare thought for them. Beginn It's
• 1:39
  Speaker 2: a tough day for Auckland today because I mean, we
• 1:42
  Speaker 2: take them Mickey out of Auckland. But there is good
• 1:44
  Speaker 2: reason why Auckland feels like this. Houses in Auckland mean
• 1:47
  Speaker 2: a lot, don't they. I feel like, probably more than
• 1:49
  Speaker 2: anywhere else in the country, apart from maybe I suppose
• 1:52
  Speaker 2: Queenstown and the surrounding area. Because houses are expensive in Auckland.
• 1:56
  Speaker 2: Young Aucklanders obsess about it. They scrimp and they save,
• 2:00
  Speaker 2: and they try so bloody heart to get into their
• 2:02
  Speaker 2: first house. It's totally understandable that absolutely no one in
• 2:05
  Speaker 2: this town wants to watch the house then go down
• 2:07
  Speaker 2: on value. But of course, bear in mind it is
• 2:10
  Speaker 2: slightly irrational. If you are one of these Aucklanders doing this,
• 2:13
  Speaker 2: you are being irrational. You realize that because you're not
• 2:15
  Speaker 2: suddenly poorer today than you were yesterday, are you? I mean,
• 2:18
  Speaker 2: the value of the thing has not changed overnight. It's
• 2:20
  Speaker 2: simply just been written down. In fact, it was written
• 2:23
  Speaker 2: down a year ago. It's just taken them a year
• 2:24
  Speaker 2: to put it out there. And if you're buying and
• 2:26
  Speaker 2: selling in the same market, it really doesn't matter at all.
• 2:29
  Speaker 2: It's only if you're cashing up to move out of
• 2:31
  Speaker 2: town or to get rid of an investment property or
• 2:33
  Speaker 2: something like that, that this actually matters. Now, I say
• 2:36
  Speaker 2: that knowing that none of that is going to sink,
• 2:39
  Speaker 2: and we're going to continue to be irrational because it
• 2:41
  Speaker 2: is all in our heads, isn't it. We fell wealthier
• 2:43
  Speaker 2: when the house is worth more, and that ain't what
• 2:45
  Speaker 2: happened today.
• 2:46
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