Homework needed on Sounds properties

OPINION: Until the recent announcement by the Government to curb the mad rush to buy residential property, there has been a steady phenomenon in the background of what buyers are looking for in Marlborough – namely sections or land in the Sounds.

The Marlborough Sounds can be one of the most inconsistent markets in the region. Rateable values often do not reflect market value when sold.

Buyers can be their own worst enemy, making offers, illinformed on what they are buying in localities that do not warrant the price. This factor alone adds to the difficulty for salespeople when trying to assess the market value of a property to sell.

Only today I was asked what is the average number of days to sell a property in the Marlborough Sounds, to which I replied in what bay and in what time of year? Certain bays are more popular than others, just like in town.

Summer can often be more popular to sell than in winter, although the last year there has been very consistent interest.

The variables in the Sounds are so different. In the last year I have seen more sections sell all over the Sounds than I have for many years. Why you ask? – with interest rates being at an all-time low, buyers have been actively seeking new opportunities and have decided it is time to land bank their piece of paradise.

Add to this a shortage of supply within the cities, so people are heading out of town.

Most of the buyers are looking for cheap land. What they do not realise in searching for the ‘‘cheap land’’ is the cost to build on certain contours.

Foundations can be huge; the majority of homes built in the Sounds are on timber poles for a reason. The council will require an engineer’s report to establish a building on any site. Buyers also need to be aware that the Marlborough local authority is in the process of changing district plans to a new environmental plan.

Understanding the new rules and regulations is quite specialised, so really needs expert advice. Another battle is getting an engineer out to the site. They have huge workloads, so often there is a waiting time, which can be several months. It is the same issue with getting a builder.

Other factors in searching for a site are the sun – no-one likes to go on holiday and be in the cold all day. And buyers all have different needs, some like the morning sun, some like the afternoon.

Depth of the water in a bay, access and distance to the site all need consideration. Again, it depends on how you want to travel to the bay – water taxis or your own private vessel. Then there is the consideration of where to park your boat. Moorings, jetties and boatsheds all add extra costs to owning land in the Sounds.

Whether a buyer wants to drive or have boat access only can also affect the price. Homes on roads tend to command higher sale prices, but it depends how far out they are. Generally, the longer you must travel to get there the cheaper it becomes for a site.

It’s really a balancing act on getting the right contour, distances from the main amenities and knowing the associated cost of building and physically getting the materials to a site within the Marlborough Sounds. All have challenges, but they are often worth the battles.

There are pockets of hidden gems throughout the Sounds, where the views vary vastly, the colour of the water changes and weather adds to the attraction.

The serenity of the Marlborough Sounds is like no other place, something all users should treasure and respect.

Dianna Schulz is the branch manager for Summit Real Estate, Picton

BROOK SABIN/ STUFF The beautiful bays of the Marlborough Sounds are a magnet for buyers, but there are a number of factors to consider.