Summary

Talk to your agent and lawyer or conveyancer, about what to do if you have a transaction under way.
Property inspectors, valuers, engineers and tradespeople can visit properties at alert level 3 if it is necessary, if they comply with public health and industry-specific guidance and if the property’s occupants agree.
Buyers and sellers who deferred settlement during alert level 4 may now be able to settle if both parties agree.
During alert level 3, buyers and sellers can move house (including between regions).
If you want to sell a tenanted property, you will be affected by the new protections against terminations. For more information, visit the Tenancy Services website.
You can find information about what you can and can’t do during alert level 3 on the COVID-19 website.

Conducting real estate business during COVID-19 alert level 3

Listing and marketing a property

Meeting clients and appraising a property

Where possible, appraise the property using virtual methods instead of visiting the property.

If you conduct a virtual appraisal at alert level 3, you should conduct a physical appraisal at alert level 2.

Signing the agency agreement

All discussions regarding the agency agreement must be done remotely.

Marketing a property

Professionals (for example, photographers, videographers or home stagers) who visit the property must comply with the health requirements referred to above as well as any industry-specific or government guidance relevant to their role. If the property is tenanted, the tenant's approval is required.

Open homes and viewings

Open homes are not allowed at alert level 3.

Prospective buyers should view a property online (for example, by video) wherever possible. If this isn’t possible or practical, private viewings are allowed at alert level 3 under the following conditions.

Preparing for the viewing

Licensees should try to ensure that only buyers who are serious about making an offer or are in the process of making an offer are given a private viewing.
There should be no more than two private viewings per day – allow time to clean all surfaces between viewings.
Prospective buyers cannot travel between regions for a private viewing.

During the viewing

Licensees should open all internal doors before the viewing to minimise surface contact. Only the licensee is to touch doors or surfaces in the home.

After the viewing

The licensee must clean all surfaces that the licensee (or anyone else) comes into contact with during the viewing. The covid19.govt.nz website has information about cleaning surfaces

The transaction

Auctions

Auctions can only take place by phone or online bidding.

Signing the sale and purchase agreement

All discussions about the sale and purchase agreement or offers received must take place by phone or video call.

Contracts must be signed electronically. You can use contactless pickup or delivery for the contract if absolutely necessary.

Settlement

Moving

House movers can work at alert level 3, so buyers and sellers can move house if they follow government guidance. Moves can occur between regions at level 3.

Other matters

Agency offices

REA expects that most, if not all, licensees will be able to work primarily from home.

(All the given information is courtesy Real Estate Authority - REA)

REINZ reveals true impact of 6 days of March Level 4 lockdown on real estate sales

Around 1,100 fewer sales happened during the 6 days of the COVID-19 Alert Level 4 lockdown in March than would have normally occurred during that period, according to analysis of the Real Estate Institute of New Zealand’s (REINZ) March data. However, sales didn’t grind to a complete halt, with more than 480 properties still sold during those 6 days using means such as online/telephone auctions or virtual tenders.

Bindi Norwell, Chief Executive at REINZ says: “Analysis of March sales data across the country shows that for the first three weeks of the month, between 1,750 and 1,950 properties were sold each week. However, in the final week around 1,100 fewer sales occurred as a result of the Alert Level 4 lockdown coming into effect, that is approximately a 62% decrease on what we would have likely seen otherwise.

“Looking specifically at the 6 days of Alert Level 4 lockdown in March, more than 480 properties were sold across the country, with sales occurring in each region via online platforms. The majority of these sales were likely already being negotiated or had potential offers waiting before the country moved into Level 3 and subsequently Level 4 lockdown,” continues Norwell.

“Whilst Auckland had the largest percentage of sales, it also appeared to be one of the most affected regions, with sales down 80% (109 properties sold, down from an average of 534 from the 3 six-day periods prior). However, Gisborne’s sales were down 83% with 2 properties sold, down from an average of 12 from the 3 six-day period prior). These regions were closely followed by Waikato which saw sales fall by -77% (31 properties sold, down from an average of 135 from the three six-day periods prior),” says Norwell.

“Whilst lockdown has slowed the housing market across the country, it hasn’t stalled it. However, the key will be the level of activity that occurs in April when people have been unable to visit a property in person – even for private inspections,” concludes Norwell.

- all the given content is courtesy Real Estate Institute of New Zealand (REINZ)

**Regional breakdown of sales that occurred during the 6 days of March lockdown**

Real estate dos and don'ts