A home-owner in Recent Zealand’s rapidly cooling housing market is popping to an unusual option to attract buyers — by offering a free Tesla.
The listing for a recent seven-bedroom house within the suburbs of Auckland, the nation’s largest city, is offering a Tesla Model Y, a sign of the lengths sellers are going to advertise homes as jumping borrowing costs hurt demand.
The commercial, by real estate agents Barfoot & Thompson, is headlined: “Brand recent Tesla and brand recent home.”
Aggressive rate of interest hikes by central banks worldwide have caused a world slump in housing markets, with Recent Zealand being certainly one of the toughest hit. The availability of homes on the market rose 43% year-on-year last month, in accordance with the Trade Me property auction site, further driving down prices.
Residential property prices in October released Thursday by the location also show that the asking price for a median house in Auckland fell 3.4% compared with the identical month last 12 months. That follows a broader 7.5% slide in median property prices in October because the same period last 12 months, in accordance with the Real Estate Institute of Recent Zealand.
The downturn will not be expected to ease soon, with the central bank tipped to proceed its yearlong tightening cycle later this month and lift the benchmark rate a further 75 basis points to 4.25% to rein in inflation.
That’s meant sellers are having to resort to unorthodox ways to advertise homes that now take a median of 44 days to sell in accordance with REINZ, nearly double the time it took to achieve this in early 2021. In a rare exception, Barfoot & Thompson real estate agent Prince Kapoor, who’s selling the property, said he was confident they might get within the region of the NZ$1.8 million ($1.1 million) asking price.
“It’s 100% going crazy because the ad went up, we’re getting lots of inquiries,” Kapoor said by phone. “We must always sell the property inside the week.”