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Top Suburbs For Tauranga Property Investors Blog Title Image Connect Realty

Top Suburbs For Tauranga Property Investors

Tauranga property investors have had plenty to smile about lately. The latest Quotable Value New Zealand figures show property prices in Greerton, Gate Pa and Parkvake have risen more than 30% in the last 12 months!  The popular family suburb of Greerton had the biggest gain with median house prices rising from $323,200 to $429,650 in the last year, a gain of 32.1%.

QV Suburb Report Tauranga 2016

Situated on the southern gateway to Tauranga, Greerton is very handy to Tauranga downtown only 6km away.   This suburb has always been popular with families due to good local schools and a shopping ‘village’ complex with over 120 retailers –Tauranga’s third largest shopping centre.  Astute property investors are investing in the $400-500,000 bracket because of the excellent rental returns they receive, and the knowledge that they are getting good long-term tenants.  Investors in this area will also find well-built established homes that do not require large renovation costs to bring them up to market standard.  Often the homes just require some insulating and cosmetic touches to lift their street appeal.

Gate Pa is handily located 5km from central Tauranga. This suburb also contains a shopping centre, supermarkets, restaurants and schools.  Tauranga Girls College is a very popular high school and many families are looking to rent in this area.

Parkvale is located on the coast about 5km from the city centre. Parkvale is a pleasant residential suburb with a range of lovely family homes throughout the area. The local primary school is Merivale.

These suburbs also appeal to investors because it is difficult to find a property under $400,000 in Tauranga, with houses in many other suburbs being snapped-up the day they are listed and/or before they even get to auction.

This, unseen, demand for housing is pushing up house prices in the whole of the Tauranga Region.  Real Estate figures show that most sales in April 2016 were for homes in the $400-499,000 price band whereas the same time last year it was for homes in the $300-399,000 band.  In addition, the sales of million-dollar homes in Tauranga has jumped by 93% compared to the same time last year!

Demand for rental properties is also huge, with many great tenants on our waiting list waiting to find a decent home in a good suburb.

So if you are considering investing in property in any of these suburbs, or Papamoa, Mt Maunganui and other suburbs in Tauranga, call Christine Jenkins at Connect Realty. Chris will guide you through the process, give you a free rental appraisal, find you high-quality tenants and manage your property with expertise and experience.

Chris Jenkins, Connect Realty 0800 333 221.

Tauranga Property Investment – Predictions for 2016

Image of Tauranga sunrise over ocean for Connect Realty blog.

Another year has started and the Bay of Plenty real estate market doesn’t look to be slowing down anytime soon. As with last year, rental properties are in hot demand and the Tauranga Region is still the place where everybody wants to move.  After such a fantastic summer it is not hard to see why families and business owners want to move to the best Region in the country!

But it’s not just our sunny climate and beaches making Tauranga attractive, last year Tauranga was said to have New Zealand’s fastest growing economy, and the fastest growing job market.  With the continued growth of the City we are seen as a great place to invest by property investors from all over New Zealand and overseas.

So with 2016 in mind what are we predicting for Real Estate and property investing in the Bay? Here are our predictions:

  1. Current demand from Aucklanders wanting to move here will continue. This migration has been caused by increasing house prices in Auckland, traffic woes, and the attraction of our Tauranga lifestyle – none of these factors look to change anytime soon so we expect many more to be migrating south to our shores.
  1. We expect high demand for housing in suburbs such as Papamoa, Bethlehem and The Lakes to continue. We discussed these three suburbs in a blog at the end of last year.  They are areas that have proven to be ‘hot’ in the housing market and we expect demand for rentals in these areas will continue throughout 2016.
  1. With current low interest rates and high rental demand there are good yields possible for property investors who invest in the area. We predict rents will continue to increase through 2016 as demand for rental properties still far outweighs supply.
  1. Renovations and rebuilds in other suburbs have caught our eye and point to an increase in value in these areas. When value is added to a number of properties in a neighbourhood it has the effect of lifting the values of all those properties around the neighbourhood as the desirability of the location improves.  Astute property investors should also keep a look out for these areas.

 

If you are considering a Tauranga Property investment give Chris Jenkins a call at Connect Realty Property Managers. Chris has a wealth of experience in Real Estate and property investment in the Tauranga area and can provide you with the latest property stats and rental information to help guide you with your real estate choices.  Connect Realty also offer a free rental appraisal for your future house investment.

Call the Connect Realty team today on 0800 333 221 or email chris@connectrealty.co.nz

Location Location Location – What’s Hot In Tauranga Property Investing

Photo of Papamoa Beach at Sunset

Those famous words, THAT famous TV programme.  Yes, despite what many real estate agents will tell you, location really does matter for both home owners and property investors.

But this is a positive thing when you’re looking at investing in property in the Tauranga Region.  With so many fantastic suburbs and a great lifestyle for everyone that lives here, investors are spoiled for choice.  Here are just a few of the suburbs in Tauranga that are hot right now:

Papamoa

Papamoa is the largest suburb in the city of Tauranga and growing every day.  With close access to a stunning 16km long white sandy beach you have surfing, fishing, swimming and every other beach activity right on your doorstep. Besides beaches, this suburb has a real sense of community thanks to great markets, lovely schools and many community-run events for families.  There are new schools here, College and Primary, with more proposed given the rate of growth in this area. Nearby shopping precincts include Fashion Island and Bayfair shopping mall.

Investors have the choice of buying do-ups in some of the older streets, a new home in one of the newer subdivision developments, or investing in a house and land package.

We would recommend this area as a great place to invest, it is particularly suited to those landlords looking at families as tenants.  You will see a strong return on both rental return and capital investment in this area.

 

Bethlehem

Bethlehem is a more established area with mature gardens, a great shopping area close by, supermarket, cafes and restaurants, and it is an easy drive to the centre of Tauranga.  Bethlehem also has great schools, including a high school and 2 primary schools.

This area would suit investors who want to buy an existing home in an established area, it attracts both families and older persons thanks to its safe and relaxed lifestyle.

 

The Lakes

One of the newest developments in the Tauranga area, The Lakes is only a short drive from Tauranga CBD and is selling very quickly.  One of the biggest draw cards for this area is the lifestyle it offers families.  There are acres of parks, reserves, lakes, children’s playgrounds, cycle tracks, walkways and running trails.

The Lakes also has easy access to the new express way which gives you access to anywhere in the district, and there are no traffic hold ups!

There is much going on in this development, including a new commercial area, shops and a medical centre.  The concept supports the live-work-play mantra and they have done an excellent job with planning out the subdivisions.

There are schools nearby, and with the current growth in this area I am sure more will be built.

This area is suited to investors looking for a house and land package, family rental investment, and long term capital gains.

 

If you have any queries about property investment in these suburbs or other areas in Tauranga then give Chris Jenkins a call.  Chris can offer property investment advice and owns Connect Realty property management services. Contact Chris today

3 tips For Property Investment In Tauranga blog

3 Tips For Property Investment In Tauranga

3 tips For Property Investment In Tauranga blog

At Connect Realty Property Management we always say there are two key factors in property investing.  First an investor has to find the right property to purchase, which means knowing and understanding the local real estate market.  Secondly, an investor has to know how to manage their investment so they ultimately make a profit.  Both of these factors require professional advice and support.

  1. Have a Balanced Portfolio

The Western Bay of Plenty, and Tauranga in particular, are seeing unprecedented growth.  The latest news is that Auckland buyers are snapping up investment properties in the Tauranga region without even viewing them. As experienced property managers we do not agree with this type of rushed or ill-informed property investing.

In most locations property increases in value over time, but an investment strategy requires clear short-term and long-term goals as well. Sure some investors are looking to turn-over the property quickly, making a small profit on capital gain alone.  However smart investors will keep the property long-term to take advantage of not only a rising market in trending suburbs such as Papamoa, but also rising rental returns in the whole of the Tauranga area.

Our advice is to have a balanced property investment portfolio that spreads risk and balances highly speculative investments with safer lower-yielding ones.  Given the current state of the real estate market long-term property investments (over 12 months) are looking very strong for our area.

  1. Have A Forward Thinking Plan

As part of our property investing service we can provide you with historical trends for suburbs in the Tauranga region, which can give some invaluable insights on property growth and rental returns.  But property investors also need to look to the future and predict which areas will have strong potential for greater than average growth.  We can provide information on key indicators such as new developments or upcoming redevelopments, transport infrastructure plans and even new schools and Council zoning plans.

In the Tauranga area, and Papamoa in particular, family homes are showing fantastic potential for capital growth, especially with respect to the value of the land.  Tauranga, Mt Maunganui and Papamoa are especially attractive to families with children because of their proximity to the beach, shops and good schools.  New motorways have also made commuting times much better for these areas.

Apartments are proving to be popular for young professional singles and ‘empty nesters’.  This is especially the case if the apartment has great views and a car park provided.  Other selling points include extra facilities such as a pool or gym situated onsite.  We manage a number of apartments for landlords in Mt Maunganui and along the Ocean Rd and find these to be well-built and extremely marketable.

We are happy to sit down with you to identify your target neighbourhood and/or target tenant.  Once you have agreed on the area and style of property we can then help you set a price point for rental return.  This information will be invaluable in helping you decide what property to invest in.

  1. Have Your Property Managed

 Investors often underestimate the costs and time involved with owning an investment property.  Besides the initial legal costs and paperwork, being a landlord means you will also have to consider ongoing costs such as rates, maintenance and insurance.  On top of this investors also need to have a good understanding of property law in New Zealand, including tenancy and landlords agreements and laws.

Having an experienced property manager takes the pressure off an investor.  The best property managers do the right marketing to find a suitable tenant, they take care of the all the legal requirements and necessary paperwork, and they ensure your property is maintained to a high standard throughout its tenancy.

If you require more information about investing in the Tauranga, Mount Maunganui and Papamoa areas then give Chris a call.  Chris and her team at Connect Realty also provide a rental and property management service for these areas and have a wealth of experience and advice to offer you.

Freephone 0800 333 221 or email info@connectrealty.co.nz

 

Outdoor Space – Why It’s Important For Rental Properties

Connect Realty Tauranga Property Management Blog outdor space for rental property tenants

We all love the outdoors in New Zealand, and outdoor living is often a key driver for people moving to the Tauranga region.  Here in the Bay of Plenty we have surf beaches, picturesque harbours, long stretches of white sand beaches and more, all adding to the attraction of coastal living.  But it is not just the open outdoors that are important, many rental property tenants also look for a home with their own private outdoor area.

At Connect Realty Property Management we have tenants looking for a range of outdoor areas including large backyards, small low maintenance gardens, apartments with a terrace, BBQ areas, or even just a small area to entertain friends on a summer’s evening.

What many landlords don’t realise is that the outdoor space of a home or apartment can help rent the property, or it can spoil the deal.  While indoor layout and amenities are important, outdoor space is just as significant to many people.  This is especially true in the Tauranga region where our climate suits outdoor entertaining.

From our experience as property managers, outdoor space needs to be easily accessible, sheltered, and preferably easy to maintain.  Well kept gardens that are low-maintenance are the best for properties with large sections.  Examples are bark or stone gardens, shrubs and bushes that don’t require watering or pruning, and easily mowed lawns.  For apartments and flats we recommend providing an outdoor space for a BBQ and room for a small table and chair set.  Small garden boxes can also make a single story or downstairs apartment/flat look more appealing to potential tenants, along with suitable outdoor lighting.

The key is to make sure your property’s outdoor area is attractive and functional.  For some homes this may require alterations such as adding a ranch slider or French doors to connect outdoor space to the home.  Other more simple changes include adding pavers where there will be the most foot traffic, or defining paths by adding railway sleepers and stones or gravel.

We also recommend that you clean outdoor areas before we advertise your property.  Water-blast footpaths, walkways, patios and decks.  Fix broken trellis, reapply grout where needed, remove or prune foliage that blocks sunlight on the house, and remove plants that require a lot of maintenance such as roses.  These simple fixes require minimal investment but can generate maximum returns in rental price and in real estate value in the longer term.  We have a number of ground and maintenance people on our books and can provide quotes for any work you need done on your rental property.

If you require more advice about how to improve the curb appeal of your rental property, or any other rental property investment tips, then call Chris at Connect Realty Property Managers.  Chris has many years of real estate experience and is an expert on all matters about property management in the Tauranga Region.

Property Investment In Tauranga, Papamoa and Mt Maunganui

Image for why property investors should invest in Tauranga, Papamoa and Mt Maunganui Connect Realty Blog

If you are considering purchasing an investment property somewhere in New Zealand then you should look no further than the Bay of Plenty. The Bay covers Tauranga, Mount Maunganui, Papamoa and outlying areas. The reasons we think you should seriously consider this area are two-fold:

  1. There is currently a housing shortage in this area; specifically there is a rental shortage in the whole of the Tauranga area. All properties are being sought after – apartments, houses and units – in all price ranges.

We have many registered tenants interested in renting property in this area, and we get daily enquiries from other great tenants who cannot find a suitable home.

  1. The Tauranga area is growing exponentially; with new roads, schools and businesses opening to cater for the huge population explosion that has taken place over the last 10 years.

A lot of the housing in Papamoa and Mount Maunganui is also new, well built and low maintenance which interests our out of town clients as a great property management option. And these areas are located close to the beach and other great amenities.

Recently the Bay of Plenty times ran an article about the Bay’s economy. This article stated that the region’s economy is growing faster than that in Auckland and the Waikato. Mark Lister from Craigs Investment Partners was quoted as saying:

“[Tauranga’s] future is bright because of a whole range of reasons. We’ve got the best climate in the country, the best beach, we’ve got the best port … we’re not isolated, we’re close to Auckland and Hamilton and it’s a great place to live.”

We believe the above reasons make the Tauranga area a great place for investment buyers. For prices much cheaper than other similar sized cities you can purchase a low maintenance property with low vacancy periods and great rental return. Combine this with a stunning climate, modern infrastructure, continued growth of this Region and the current shortage of rentals and you have the perfect mix for investment buyers.

If you are interested in more information about the Bay, investment property, and what we can offer landlords with our property management services, then please contact Chris at Connect Realty 0800 333 221.  We look forward to hearing from you.