In real estate, timing can be significant – just like in rugby. 

Just as savvy investors in Australia and New Zealand look for the next real estate hotspot before the rest of the market catches on, the Wallabies will be hoping to get the jump with their rising stars before the All Blacks unleash their full power in Saturday’s Bledisloe Cup match up. 

It’s all about spotting an opportunity early, whether in a suburb or town or on the rugby pitch at Sydney’s Olympic Stadium and then making sure you’re ahead of the game when things heat up.  

The Wallabies are bracing for a fired-up All Blacks outfit, fresh from their winless tour of South Africa, to come hard at them in the first game of the Bledisloe Cup in Sydney on Saturday. 

The Australians, who last sipped sweet victory from the massive silverware that is the Bledisloe Cup, was way back in 2002 when star halfback George Gregan was leading the charge and the other George…. Smith was the incredibly talented openside flanker and the Wallabies rising star. The Wallabies probably wish they had 15 rising stars like Smith to take on the world-famous ABs this weekend. But let’s be honest – ending the 22-year Bledisloe Cup series drought is probably a bridge too far. 

Flashback to 2002, and things were different. Vodafone sponsored the Cadbury Wallabies, and real estate prices were almost unrecognisable – a bit like the Wallaby backline in 2024.  Back in the rugby union stronghold of Sydney, the median house price was $413,000, but now it’s edging closer to $1.4 million[i]. In Brisbane, another long-term source of Wallaby players, prices have skyrocketed from $198,000 to $885,500 over the last 22 years of All Black’s dominance. When the ABs started their winning streak, average house values in the rugby stronghold of Auckland were around $270,000[ii] – now they’re a thumping $1.062 million[iii]. In Wellington where the second leg of the Bledisloe Cup will be held on 28 September, average asking prices are a flick pass above $842,000[iv].

Lessons from rugby and real estate

Everyone is hunting for the next rising star in rugby and real estate. Like All Black rugby scouts on the hunt for the next Ardie Savea or a long-lost talented Barrett, real estate investors know the thrill of uncovering up-and-coming star turn. These exciting hotspots are often areas that are underperforming, and usually lying in the shadows of more popular suburbs.

Meanwhile, the wise old heads in the property engine room, like seasoned rugby pros, stay calm when interest rates are rising, vacancy rates are jumping, and values are softening. These investors play it safe, avoiding risky passes and focussing on long-term gains. 

For savvy property investors, having the right mix of properties is like building a rugby squad. So, while your team should have a balance of different types of properties, quality, well-located properties are more likely to perform when the going gets tough and holding the fort when the try line is under siege. A sound investment portfolio will start with quality, well-located properties with appealing features such as a second bathroom, a garage, and access to schools, shops, and transport.

Like an expert rugby coach constantly adapting to the International Rugby Board’s never-ending flow of law changes, savvy investors will know about proposed planning changes in the suburb, or major infrastructure projects such as new railway stations, major roads, and even aviation improvements. 

Flexibility can also be pivotal in rugby and real estate investing, with different approaches required in various conditions. While a fast-paced style of play with lots of long cutout passes might work well in the sun, the old ‘keep it in the forwards’ approach might be more appropriate during a downpour. The same is true with investing in property. You need to factor in that the spring might bring more properties onto the market for sale, while also factoring in the costs of ownership such as council and water rates, building insurance, landlord insurance, body corporate fees, land tax, land tax, property management fees and repairs and maintenance costs.

Like a skilled rugby coach, experienced investors understand that outstanding results depend on treating their tenants with respect, maintaining clear and transparent communication, and trusting their support teams led by their Raine & Horne property manager to keep the game running smoothly. 

Finally, as a fan, getting home from Accor Stadium in Sydney or Wellington’s Sky Stadium takes ages. Of course, you could leave early, but then you risk missing a winning five-pointer. However, smart phones allow you to leave early and continue to watch the match as you exit the stadium. The property investing equivalent of beating the crowds out of the ground early, is trying to make your real estate move before everyone else jumps in – by doing your market research, getting a preapproved investment property loan and taking advice from your local Raine & Horne agent. 

With the RBNZ already reducing rates and with some predicting up to four rate cuts from the RBA in 2025, now is the ideal time for property investors to act – especially with real estate experts on both sides of the Tasman believing that markets have bottomed and are beginning to recover.

If you are considering selling or buying a property as the end-of-season rugby internationals heat up, contact your local Raine & Horne office today.

 
[i] https://www.abs.gov.au/statistics/economy/price-indexes-and-inflation/total-value-dwellings/latest-release#data-downloads
[ii] https://www.stuff.co.nz/life-style/homed/real-estate/127773204/how-much-harder-is-it-to-buy-a-house-in-2022-than-in-2002
[iii] https://news.realestate.co.nz/blog/new-zealand-property-market-2024-august
[iv] https://news.realestate.co.nz/blog/new-zealand-property-market-2024-august