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Why would housing politics not matter to you and what are the key elements for homeowners to watch? Market values compare properties, why can’t you rely on them?


Housing Politics in the Media

Homeowner’s Concerns and Considerations

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Housing politics — do they matter you?


When owning a home to live in, does it really matter what the media say about the property market?  The answer is YES if you have to sell, want to buy or think about investment properties. When owning and occupying a family home long-term, why would housing politics concern you? Simply the housing market reflects the state of the economy. If concerned, look at the economy and possible impacts on your lifestyle.


You own your home for good reasons and it is your kingdom. Not housing politics matter but housing costs do. Use your house as illustrated here. Nowadays it is for first-time buyers as hard to get into the first home as it has always been in my own experience.


Not the ups and downs of the housing market driven by politics matter but as homeowner having control and paying off the home loan that makes the difference. At the end of the mortgage the value of your property has surely risen — capital gain is the compensation for keeping up with the housing standards. 



Homeowner’s concerns


You have proven it, home ownership is achievable when making sacrifices.  So, understandable is that the actual ownership costs are homeowner’s concerns. Important to watch are interest rates (as long as a mortgage has to be re-paid), rates and levies as well as prices driven by inflation.


Before making any decisions about re-fixing a mortgage, calling a builder for expensive repairs, etc you need to answer one question—what kind of pressure will that expenditure put on your household? The benefit homeowners have is they can defer expenditures for maintenance and have saving options, too - as here illustrated.


Watching housing politics and market values is important when planning to enter or exit the housing market (buying or selling). Down sizing to a smaller house (or opposite) would not matter too much as you sell and buy in the same market.




Key elements of the housing market to watch


People feel attached to the place they live in or want to purchase. That is widely used to create emotional pressure (fear missing out, losing money, etc). That is why homeowners have to look at the key elements such as the economical climate, interest rates and job market in their particular market. Sales figures are driven by supply and demand and that differs locally. High demand on housing and low supply pushes up market values when potential buyers compete with each other.


The economic climate has a profound effect on income, job security, costs and willingness to buy or sell. Employment rates and population growth are clear indications for the economy in your area. What happens e.g. in Auckland does not affect you directly somewhere else. In other words “the housing market” sold by the media is divided in niche markets for any specific area.


Also to watch are exchange rates and inflation as indicators for the national state of the property market and economy. Low interest rates are helpful for expanding businesses, reducing housing costs and are encouraging for home buyers.




Take Away

As homeowner don’t listen too much to national housing politics. Be aware of what is happening in your area and the housing trends (lifestyle and desirable features of the house). A good maintained property and updated house (modern kitchen, bathroom, heating system, technology features like usage of solar energy) will sell in any market if you have to. Good luck.



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Home ownership—a key factor for creating strong communities

Housing Politics

Key elements of the Housing Market


Klauster Blogs lead to a real person, an experienced renter for more than 25 years in Europe, South Africa, Australia, New Zealand and became a landlord/investor  before founding Klauster Properties Ltd in 2006.


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