At Lodge City Rentals, we’re coming out of winter with a positive outlook, ready for a busy spring in the lead up to the end of 2022. In August we saw a noticeable uptick in our regularly tracked stats, with new tenancies, tenant enquiries and applications following the upwards trend.
This shows the market is tracking positively, both in terms of rentals and real estate. In his latest article, Lodge managing director Jeremy O’Rourke noted that the Hamilton real estate market is waking up with renewed activity, with the number of people attending Lodge Real Estate open homes jumping up 35 per cent in August.
People are showing more confidence in where the market is heading, and over the last few weeks Lodge sold as many properties as we listed. Looking at our rental portfolio, we currently only have 45 empty properties, with 30 of those being 2-4 bedrooms which generally get snapped up fast.
As we look forward to our traditionally busy period at the beginning of the new year, we’re likely to see the supply and demand ratio for rental properties unbalance once again, with supply diminishing and demand increasing. On that demand, we’re already seeing some tentative signs that 2023 will look brighter for the student rental market, with some early enquiries coming through for the first semester of next year.
Plus, as our data tracking leases signed by those moving from out-of-town into Hamilton holds steady at 30%, I’m confident about what the future holds for our landlord clients.
What do I think this means for investors? It could be time to ‘dust off the wallet’ and start looking for a property (or properties?) to add to your portfolio. Anecdotally, we’re hearing from developers that banks are becoming more forthcoming with funding than they have been over the past couple of years, so whether you’re looking at a new build and the tax incentives that brings, or an existing property, it could be time to speak to your Lodge sales consultant and get a lead into what’s coming onto the market.
Hamilton not alone – Cambridge on a growth trajectory
I often speak about all the exciting developments going on around Hamilton, but our surrounding towns certainly have their fair share of expansion plans in the pipeline.
High demand for industrial land near Cambridge has seen Waipā District Council bring forward a zoning change for Hautapu initially planned for 2035. Since the last section of the Waikato Expressway opened in July creating an easy transport route, businesses are looking at new locations with increasing interest. With Cambridge’s Carter’s Flat area in town also set to change zoning allowing larger scale retail, this commercial growth will then affect residential property demand; after all, more workers means more houses are required.
We have three property managers who live in Cambridge (and so are on call if needed), with Renee Beard managing our Cambridge rental portfolio. If a Cambridge investment property has your eye, I encourage you to have an initial chat to our business development manager Nic Elliottyson about how we can take care of your needs in Waipā.
Until next month,
Jason Waugh
General Manager
Lodge City Rentals
