Lowest rents for a decade

Landlords across the country are slashing rents to avoid having their properties stand empty as tenants find themselves in the best position for a decade.

Figures released by Crockers Real Estate this week showed substantial decreases across some of Auckland's most prestigious suburbs.

The picture is similar in other centres, such as fast-growing Tauranga and adventure capital Queenstown.

Letting agents said the recession meant cash-strapped tenants could no longer afford the record rents of yesteryear.

And owners desperate to maintain mortgage payments on investment properties were being forced to accept shorter tenancy agreements than they wanted.

Tamara Willis, property manager for Ray White in Auckland's Kohimarama, said the top end of the market was "very, very quiet".

One property in the upmarket suburb was listed at $650 a week and didn't generate a single call.

"We've just relisted it at $620 and the phone is still not ringing.

"Even when landlords have got an empty property and they're not managing to make any money they are still holding on to that [desired] price in their head."

To read the full NZ Herald story click here

Posted: 26 Apr 2009

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