RENTAL SHORTAGE
Demand continues to outstrip supply for rental accommodation in Waihi
Demand for rental accommodation is outstripping supply in Waihi with up to 20 applicants per property when they do come available, local experts says.
LJ Hooker Waihi Beach franchise owner and agent Gary Alway says it manages about 65 rental properties and in most cases it already has clients on waiting lists if a vacancy comes up.
“When we do advertise the response is solid with at least 20 applicants.”
Landlords wanted the best tenants to rent their properties, he says.
“It is worth property managers putting the effort in up front and finding the correct match for both the property but also the landlord. This way we find things run smoother in the long run.
“It isn’t simply a matter of filling a rental property — most landlords prefer for us to take our time and do proper due diligence on prospective tenants, Google is always a good start as is Facebook, then to the formal part of the process doing credit checks and calling references.”
Rents for Waihi could range from $320 to $492, he says.
“It all depends on the quality of the property. The region has a large percentage of older style cottages, rather than a big stock of modern homes which would command more in rent.”
“With the introduction of insulation and heating rules and the like, this adds cost to the landlord. This cost will be passed back to the tenants. In my opinion, I can only see rents raising in the future.”
Harcourts Gold Star Real Estate property manager Maree Atkinson says it had about 100 rental properties on its books.
“There is a shortage of rentals and high demand. Landlords give preference to tenants without animals, especially dogs, and liked good references.”
Two years ago for a three-bedroom house you would be paying about $340-$360 a week and now you would be paying $360-$400, she says.
Trade Me head of rentals Aaron Clancy says as rental prices in the main metros continue to Kiwis were looking further afield in search of a cheaper alternative.
“Ultimately this leads to an increased demand and so naturally we see rental prices begin to soar in the traditionally smaller, quieter areas.”
Trade Me figures show the average median price for a rental property in Western Bay, which includes Waihi Beach, for October was $400, an increase of 0.6 per cent on the same time last year while a three to four-bedroom house was $460, with no change.
Data for Hauraki, including Waihi, was not available due to the low number of listings.