1. Real Estate Agents Authority
Annual Perceptions Research
JUNE 2016

2. CONTENTS PAGE 3 4 5 19 RESEARCH OBJECTIVES NOTES TO THE REPORT
Perceptions of the Real Estate Industry
among new Zealanders 5
Perceptions of the real estate transaction process and ratings of real estate agents
AMONG THOSE WHO HAVE HAD A REAL ESTATE Transaction IN THE LAST 12 MONTHS 19

3. RESEARCH OBJECTIVES
TO Understand consumer perceptions of the real estate industry among all new Zealanders
To understand the perceptions of real estate agents and the transaction process among those who have had a real estate transaction within the last year
In order to get an understanding of perceptions of the real estate industry among the general public, four questions were added to Nielsen’s Online Omnibus. This survey asked questions about confidence in the real estate industry, awareness of REAA, the perceived impact that the REAA has on consumer protection and knowledge of people’s rights and obligations in real estate transactions.
Fieldwork took place between 26 May and 1 Jun 2016.
Note: The Nielsen Omnibus runs fortnightly and surveys 700 people from the New Zealand population. The sample is structured so that it is representative of the New Zealand population by age, gender and region. The final sample is then weighted to account for any minor imbalances the sampling matrix was unable to account for.
A separate stand-alone survey was conducted online among those who had bought, sold, put an offer or received an offer on a property in the last 12 months using a real estate agent. The survey asked specific questions about the process and materials available to consumers, perceptions of their real estate agent, awareness of, and interactions with REAA.
This year additional questions were added to understand what quality assurance tests / tools consumers use, whether they consulted lawyers to help them with their transaction, and whether they encountered any issues during the buying/selling process.
Fieldwork took place between 27 May and 7 June 2016.
Loose regional quotas were used to ensure a range of geographic areas were covered. Quotas were not set for age or gender as there are natural skews given the target group being surveyed.

4. Notes to the report
All differences mentioned in this report are statistically significant at a 95% confidence interval. This means that the difference is a true difference statistically and not due to random variation.
When subgroup differences are mentioned in the text boxes, the results outlined are always in comparison to the total result of all those who answered the question unless stated otherwise.
For example, in slide 6 it says awareness continues to be higher amongst New Zealanders aged 55+ (79%).
This means that 79% of those aged over 55 are aware of the REAA, which is significantly different from the total population in which 72% are aware of the REAA.
Different to previous reports ‘Don’t know’ responses have been excluded to align with annual reporting requirements. All previous years’ data has been updated to also exclude ‘don’t know’ responses.

5. Perceptions of the Real Estate Industry among new Zealanders Results from the Nielsen Online Omnibus reflective of the New Zealand population

6. Levels of awareness are similar across the country.
Overview
Similarly to the previous measures, 7 in 10 (72%) have at least heard of the Real Estate Agents Authority. There has been a small but significant increase since 2012 in the proportion who know a reasonable amount about what the REAA does (increasing from 9% to 13%).
Awareness continues to be higher amongst New Zealanders 55+ (79%) and lower among younger New Zealanders aged 15 to 24 (60%).
Levels of awareness are similar across the country.
Over three quarters (78%) of New Zealanders are confident that the Real Estate Industry is professional (rating it 3, 4 or 5 out of 5 with 5 being a lot of confidence). Two- thirds (67%) believe it is well- regulated, well-monitored (63%), and fair (64%).
There has been a slight increase in the proportion who think the Real Estate Industry is fair, stopping the downward trend evident from to 2015.
Nearly two-thirds (63%) of New Zealanders have at least some knowledge of their rights and obligations with respect to real estate transactions, a significant increase from 2015 (54%).
Those who know more about the REAA and what they do continue to be more likely to say they have more knowledge of their rights and obligations.

7. Awareness of reaa among new Zealanders
Seven in ten (72%) new Zealanders
have heard of the REAA, a result which has remained stable since However, there has been a small but significant increase since 2012 in the proportion who know a reasonable amount about what the REAA does.
74%
Northern North Island
Significant increase from 2012 to 2016
Total awareness over time
2016: 72%
2015: 71%
2014: 70%
2013: 70%
2012: 70%
74%
Auckland
75%
Central and Lower North Island
67%
South Island
Note: Those living in the South Island are not significantly less aware of the REAA than those in the North Island.
Q2. Do you know what the Real Estate Agents Authority (REAA) does?
Base: All respondents

8. Who is more or less aware of REAA?
Awareness by age and region is consistent with 2015.
SUBGROUP DIFFERENCES
TOTAL
72%
WHO ARE MORE LIKELY TO BE AWARE OF THE REAA (compared to the total result of 72%)?
Those with a household income of $100,001 to $120,000 (84%)
Those with a personal income of $40,000 to $60,000 (82%)
Those who are in a two person household (82%)
Those who are working full time (81%)
Those who are aged 55 years and older (79%)
WHO ARE LESS LIKELY TO BE AWARE OF THE REAA (compared to the total result of 72%)?
Those who are aged 15 to 24 (60%)
Those with a personal income of $20,000 or less (63%) and household income of $60,001 to $80,000 (63%)
Those who are currently not working (63%)
One person in the household (63%)
TOTAL
72%
Q2. Do you know what the Real Estate Agents Authority (REAA) does?
Significantly higher / lower than total result
Base: All respondents

9. Confidence in the REAL ESTATE INDUSTRY
% RATED 3, 4 OR 5 WITH 5 BEING A LOT OF CONFIDENCE
Confidence in the REAL ESTATE INDUSTRY
PROFESSIONAL
WELL REGULATED
Four fifths of New Zealanders are confident that the Real Estate Industry is professional (78% rating it 3, 4 or 5 out of 5 with 5 being a lot of confidence). Nearly seven in ten believe it is well-regulated (67%), well-monitored (63%) and fair (64%).
New Zealanders’ confidence with the Real Estate Industry being professional has remained the highest amongst the four attributes (78%).
The perception of the industry being fair has increased slightly this year, stopping the downward trend evident from 2013 to 2015.
WELL MONITORED
FAIR
Significant decrease from 2013 to 2015
Significantly higher / lower than previous wave
Q1. To what extent do you have confidence that the Real Estate Industry in NZ is …
Base: All respondents excluding don’t knows: Professional (n=655), Well Regulated (n=634), Well Monitored (n=633), Fair (n=648)

10. WHO HAS more or less Confidence in the REAL ESTATE INDUSTRY?
PROFESSIONAL
Females are more likely to have confidence that the Real Estate Industry is professional compared to males (82% and 74% respectively).
78%
WELL REGULATED
Older singles/ couples are most likely to have at least some confidence the industry is well regulated (75%).
67%
WELL MONITORED
Young families (20%) are significantly more likely to have no confidence at all, likewise those with personal income of $20,001 to $40,000 (46%) are significantly more likely to have a little or no confidence the industry is well monitored.
63%
FAIR
Older singles/ couples (74%) and those who are retired (75%) are significantly more likely to have at least some confidence that the Real Estate Industry is fair (cf. total 64%). While those with a household income of $20,001 to $40,000 (55%) had a significantly lower confidence in the real estate industry being fair.
64%
Q1. To what extent do you have confidence that the Real Estate Industry in NZ is …
Base: All respondents excluding don’t knows: Professional (n=655), Well Regulated (n=634), Well Monitored (n=633), Fair (n=648)

11. Confidence in the Industry by AGE
Levels of confidence in the industry are consistent across all age groups.
PROFESSIONAL
WELL REGULATED
TOTAL
78%
TOTAL
67%
WELL MONITORED
FAIR
TOTAL
63%
TOTAL
64%
Q1. To what extent do you have confidence that the Real Estate Industry in NZ is …
% rated 3, 4 or 5 with 5 being a lot of confidence
Base: All respondents excluding don't knows

12. Confidence in the Industry by region
Levels of confidence in the industry are consistent across all regions.
PROFESSIONAL
WELL REGULATED
TOTAL
78%
TOTAL
67%
WELL MONITORED
FAIR
TOTAL
63%
TOTAL
64%
Q1. To what extent do you have confidence that the Real Estate Industry in NZ is …
% rated 3, 4 or 5 with 5 being a lot of confidence
Base: All respondents excluding don't knows

13. Confidence in the Industry by awareness of REAA
Those who have not heard of REAA are less likely to have confidence in the real estate industry being well regulated (59% cf. 67%) and fair (53% cf. 64%).
PROFESSIONAL
WELL REGULATED
TOTAL
78%
TOTAL
67%
WELL MONITORED
FAIR
TOTAL
63%
TOTAL
64%
Q1. To what extent do you have confidence that the Real Estate Industry in NZ is …
% rated 3, 4 or 5 with 5 being a lot of confidence
Significantly lower than total result
Base: All respondents excluding don't knows
Significantly higher than previous wave

14. DO new Zealanders think the rEAA MAKEs A DIFFERENCE TO CONSUMER’s PROTECTION when BUYING OR SELLING property?
Four in five (82%) of those who know at least a little about what the REAA does, say that REAA makes at least some difference to their consumer protection when buying or selling property. This proportion has increased slightly from 2015 (78%).
79%
78%
84%
80%
82%
Q3. What difference do you think the Real Estate Agents Authority makes to your consumer protection when buying or selling a property?
Base: All respondents who know what the Real Estate Agents Authority (REAA) does excluding don’t knows

15. % rated 3, 4 or 5 with 5 being a lot of difference
Perceptions of the rEAA’s influence on CONSUMER’s PROTECTION by age and region
Perception of REAA’s influence on consumer protection does not significantly differ by age group or region.
SUBGROUP DIFFERENCES
77%
Northern North Island
n=49**
83%
Auckland
n=123
81%
Central and Lower North Island
n=63*
% rated 3, 4 or 5 with 5 being a lot of difference
TOTAL
82%
84%
South Island
n=53*
* Warning small base size
** Warning VERY small base size
Q3. What difference do you think the Real Estate Agents Authority makes to your consumer protection when buying or selling a property?
Base: All respondents who know what the Real Estate Agents Authority (REAA) does excluding don’t knows

16. Do new zealanders know their rights and obligations in real estate transactions?
Knowledge of consumers’ rights and obligations with respect to real estate transactions has increaseed significantly (63% cf. 54%) and there is a notable decline in the number who have no knowledge at all of their rights and obligations (15% cf. 22%).
54%
59%
58%
58%
63%
Q4. Do you consider you have enough knowledge of your rights and obligations with respect to real estate transactions?
Base: All respondents excluding don’t knows
Significantly higher / lower than previous wave

17. Who are more or less likely to know their rights and obligations?
% rated 3, 4 or 5 out of 5 with 5 being a lot of knowledge
SUBGROUP DIFFERENCES
TOTAL
63%
WHO ARE MORE LIKELY TO KNOW THEIR RIGHTS AND OBLIGATIONS IN REAL ESTATE TRANSACTIONS?
(compared to the total result who rated their knowledge 3, 4 or 5, 63%)
Those who:
Have personal income of $80,001 to $100,000 (86%)
Know a reasonable amount about what the REAA does (89%) or know a little (78%)
Have a household income of $80,001 to $100,000 (78%)
Are aged 55 or over (75%)
Are an older couple with no children living in the household (74%)
TOTAL
63%
WHO ARE LESS LIKELY TO KNOW THEIR RIGHTS AND OBLIGATIONS IN REAL ESTATE TRANSACTIONS?
(compared to the total result who rated their knowledge 3, 4 or 5, 63%)
Those who:
Have never heard of the REAA (38%)
Aged 15 to 24 (52%)
Have personal income of $20,000 or less (49%)
Have a household income of $60,001 to $80,000 (50%)
Significantly higher / lower than total result
Q4. Do you consider you have enough knowledge of your rights and obligations with respect to real estate transactions?
Base: All respondents excluding don’t knows

18. knowledge of rights by knowledge of REAA
Consumers’ confidence in knowledge of their rights and obligations has increased significantly from 2015 (63% cf. 54%). This is driven by a significant increase in knowledge in the group who have not heard of REAA (38% cf. 23%).
% Rated Knowledge of Real Estate Transactions Rights and Obligations
(rated 3, 4 or 5 out of 5 with 5 being a lot of knowledge)
Total
Yes, I know a reasonable amount
about what they do
I know a little about what they do
I have heard of them but know almost
nothing about what they do
I have never heard of them
Q4. Do you consider you have enough knowledge of your rights and obligations with respect to real estate transactions?
Q2. Do you know what the Real Estate Agents Authority (REAA) does?
Base: All respondents excluding don’t knows
* Warning small base size
Significantly higher / lower than previous wave

19. Perceptions of the real estate transaction process and ratings of real estate agents Results from the stand alone survey asked only of those who have had a real estate transaction in the last year

20. Two in ten (22%) state they referred to information from REAA.
Overview
Nine in ten (87%) of those who have had a real estate transaction in the last 12 months have at least heard of the Real Estate Agents Authority (a slight increase from 83% in 2015).
Awareness is significantly higher than levels seen among all New Zealanders (72%), in addition those who have had a transaction in the last 12 months are more familiar with what the REAA does.
Among those who are aware of the REAA and had a real estate transaction in the last 12 months, under a quarter (22%) have had an interaction with the REAA (14% visited the website, 6% received guidance from staff via the phone, 8% received guidance via ). These interactions are all rated highly with an average of 96% finding the information and/or guidance they received useful.
Among those who sold a property, two thirds (68%) recall receiving the New Zealand Residential Property Agency Agreement guide prior to agreeing a contract. This is slightly lower than the result which was a significant decrease from The majority (85%) however, still found this guide to be at least somewhat useful.
Around two thirds (64%) of those who should have received the New Zealand Property Sale and Purchase Agreement Guide prior to making or accepting an offer recall receiving a copy. Nine in ten (90%) found the guide at least somewhat useful.
Two in ten (22%) state they referred to information from REAA.
Just under 9 in 10 (88%) feel at least somewhat empowered and able to participate effectively in their real estate transaction. This is a significant decrease from 93% in
Those who received an offer on their property but didn’t end up selling it are more likely to say that they do not feel at all empowered.
Overall ratings of the real estate agent are still quite positive with at least eight in ten rating their real estate agent at least good across a wide range of attributes.
Some 15% had an issue during the process but less than one in five (17%) of these people made a complaint. However, most reported that issues were resolved without a complaint (note: small base, results are indicative only).
Eight in ten (78%) consulted a lawyer during the buying/selling process.
Of those who successfully sold their property 63% waited until after they had listed their property with an agent to consult a lawyer.
Nearly 9 in 10 (86%) prospective buyers got at least one report or type of information before making an offer. Only six in ten (58%) obtained a LIM report before making an offer.
Among sellers, 47% said the final sale price was outside of the range of the appraisal provided by the agent (for 20% the sale price was higher, for 27% the sale price was lower).

21. What transactions have taken place in the LAST 12 MONTHS?
Among those surveyed, the most common transaction that has taken place in the last 12 months continues to be the purchase of property.
Those with a household income of $100,001 to $120,000 (64%) are more likely to have bought a property in the last 12 months (compared to the total result of 49%).
Those who are aged 55 years and over are more likely to have sold a property in the last year (43% cf. 33%), as are those who are retired (54%), are not currently working (50%).
Males are more likely to have put an offer on a property but didn’t end up buying it (37% cf. 32%) as are the age group (41%) and work full time (37%).
Significantly lower than previous wave
Q1. Have you in the last year bought, sold, received or put an offer in on a residential property using a real estate agent?
Base: All respondents

22. Awareness of REAA among those who have had a real estate transaction in the last 12 months
Nearly Nine in ten (87%) of those who have had a real estate transaction in the last 12 months are aware of the REAA
This has slightly increased from 2015 when 83% of people who had had a transaction were aware of REAA. This is significantly higher than awareness amongst general New Zealanders.
Awareness among all new Zealanders:
13% know a reasonable amount
30% know a little
30% have heard of them but know almost nothing
28% have never heard of them
Seven in ten (72%) new Zealanders have heard of the REAA
Base: All respondents (n=405)
Q23. Do you know what the Real Estate Agents Authority (REAA) does?

23. 68% RECEIVED A Residential Property Agency Agreement Guide
Did those who received the residential property agency AGREEMENT GUIDE prior to agreeing a contract for the sale of their property find it USEFUL?
More than two thirds (68%) of those who sold/put an offer on a property received a copy of the New Zealand Residential Property Agency Agreement Guide (this result continues to be below the high result achieved in 2013 (83%)). The proportion who found it to be at least somewhat useful has bounced back slightly from 2015 (85% cf. 77%).
68% RECEIVED A Residential Property Agency Agreement Guide
85% found the guide useful
(rated 3, 4 or 5)
2012
(n=60*)
2013
(n=84*)
2014
(n=62*)
2015
(n=52*)
2016
(n=118)
82%
83%
92%
77%
85%
Q2. Prior to agreeing a contract with the real estate agent for the sale of your property did you receive a copy of the New Zealand Residential Property Agency Agreement Guide from your real estate agent? % who said yes
Q3. Did you find the guide useful?
Base: Those who recall receiving a copy of the New Zealand Residential Property Agency Agreement Guide excluding don’t knows
* Warning small base size
Significantly higher / lower than previous wave
Base: Those who have bought a property or put an offer on a property in the last 12 months

24. 64% RECEIVED A Residential Property Sale and Purchase Agreement Guide
Did those who received the residential property sale and purchase agreement guide prior to making or accepting an offer on a property find it useful?
Just over two thirds (64%) recall receiving a copy of the New Zealand Residential Property Sale and Purchase Agreement Guide prior to making or accepting an offer on a property. Of those who recalled receiving it, nine in ten (90%) found it to be at least somewhat useful.
64% RECEIVED A Residential Property Sale and Purchase Agreement Guide
90% found the guide useful
(rated 3, 4 or 5)
2012
(n=132)
2013
(n=152)
2014
2015
(n=126)
2016
(n=252)
86%
87%
94%
92%
90%
Q4. Prior to making, or accepting an offer on a residential property did you receive a copy of the New Zealand Residential Property Sale and Purchase Agreement Guide from your real estate agent? % who said yes
Q5. Did you find the guide useful?
Base: Those who recall receiving a copy of the New Zealand Residential Property Agency Agreement Guide excluding don’t knows
Significantly higher / lower than previous wave
Base: All respondents

25. % who recall receiving a copy of the Guide prior to making or accepting an offer on a property
Who Received A COPY OF THE residential property sale and purchase agreement guide prior to making or accepting an offer on a property?
There were no significant changes in the total number who recall receiving the guide. However, there continues to be a significant difference between those that had successful transactions and those that did not complete the selling process, with unsuccessful sellers being significantly less likely to report receiving a copy of the guide compared to successful sellers (44% cf. 75%).
Q1. Have you in the last year bought, sold, received or put an offer in on a residential property using a real estate agent? AND
Q4. Prior to making, or accepting an offer on a residential property did you receive a copy of the New Zealand Residential Property Sale and Purchase Agreement Guide from your real estate agent?
Base: All respondents
Significantly lower than previous wave

26. Interactions with the REAA
Among those who are aware of the REAA, just under a quarter (22%) have had an interaction with them in the last year. The website is the most common form of interaction (14%), followed by (8%) and phone (6%). Three in five (61%) rated the website as a useful way of obtaining information (rated 4 or 5 out of 5 where 5 is very useful), slightly up from 58% in The average satisfaction across the three channels has remained stable at 96% (in 2015 it was 97%).
RATING THE USEFULNESS OF EACH INTERACTION
14% VISITED THE WEBSITE
(n=51*)
6% Received guidance from an REAA staff member via phone
(n=20**)
8% Received guidance from an REAA staff member via
(n=27**)
* Warning small base size
** Warning very small base size
Q25. Overall, how useful did you find each of the following in terms of getting the information and/or advice you were looking for?
Q24. During the last year, have you done any of the following?
Base: Those who have heard of REAA (n=353)
Base: Those who have visited website or received guidance from the REAA excluding don’t knows

27. How many referred to information provided by reaa?
Just over two in ten (22%) of those who are aware of the REAA referred to information from REAA when making a real estate transaction (21% referred to information provided by the REAA during the buying process, while 19% referred to information during the selling process).
This equates to 19% of all those who have had a transaction in the last 12 months (irrespective of whether they are aware of the REAA or not).
Note: Some respondents referred to information from the REAA for one of their transactions and not the other, which is why the overall result of 22% is slightly higher than results illustrated on the chart below.
28%
Auckland
n=130
17%
Northern North Island
n=84*
19%
Central and Lower North Island
n=90* 9%
South Island
n=101
Regional differences:
Those in the South Island are significantly less likely to have referred to information from REAA than those in other regions (9% cf. 19%), while those in in Auckland are more likely to have referred to information (28% cf. 19%).
Note: Regional breakdown includes those not aware of the REAA.
Selling Process
(n=155)
Buying Process
(n=265)
Q39a. Did you refer to information from REAA during the selling process?
Q39b. Did you refer to information from REAA during the buying process?
Base: Those who are buyers or prospective buyers and have heard of REAA
Base: Those who are sellers or prospective sellers and have heard of REAA
* Warning small base size
** Warning VERY small base size
Base: All respondents

28. Consulted a lawyer when buying or selling
Eight in ten (78%) consulted a lawyer during either the buying or selling process
Those who were successful in their real estate transaction were significantly more likely to have consulted a lawyer than those who did not go through with the transaction.
Buyers
Sellers
Regional differences
Those in Central and Lower North Island are significantly more likely to consult a lawyer than those living elsewhere (86% cf. 78%).
38%
58%
91%
89%
Impact of REAA Guides
Those who did not receive the agency agreement or sale and purchase agreement guide were less likely to consult a lawyer (56% and 51% respectively) than those who received either guide (76%).
Unsuccessful Buyers
(n=104)
Successful Sellers
(n=132)
Successful Buyers
(n=198)
Q29. Did you consult with a lawyer during the selling process?
Q30. Did you consult with a lawyer during the buying process?
* Warning VERY small base size
Base: Those who are buyers or prospective buyers
Base: Those who are sellers or prospective sellers

29. information obtained before making an offer
Nearly nine in ten (86%) buyers or prospective buyers got at least one report before making an offer on a property.
Proportion who obtained each type of information:
How the information was obtained
(among all buyers and prospective buyers)
Provided by Agent
I obtained it myself
Other
Did not obtain
58%
A Land Information Memorandum (LIM) or title search
25%
28% 5%
42%
57%
A building inspection report
17%
37% 3%
43%
47%
A valuation
18%
27% 2%
53%
14%
An engineer’s report 7% 6% 1%
86%
11%
A drug contamination test
89% 9%
An EQC Scope of Works 4%
91%
None of the above
Sub-group differences
Those who are not aware of REAA are less likely to obtain any kind of report when purchasing a property (73% cf. 86%).
Those living in Auckland and the other top half of the North Island are significantly more likely to have gotten a drug contamination test (15% and 21%, respectively cf. 11%).
Those in the South Island are more likely to have received an EQC scope of works (27% cf. 9%).
Those who sold a property are more likely not to have sought any information (22% cf. 14%).
Q32. Which, if any, of the following, did you obtain prior to purchasing the property?
Q33. And did you obtain it yourself, or was it provided to you by the agent/seller?
Base: Buyers or prospective buyers (n=302)

30. Use of social media channels
Over eight in ten people who have had a real estate transaction in the past year use YouTube (88%) or Facebook (84%) at least some of the time, while 43% use LinkedIn and 24% use Twitter. Looking specifically at the social media channel used weekly or more often, Facebook is used significantly more (77%) than other social media channels.
% AT LEAST SOME OF THE TIME
(Daily, Several times a week, Once a week, Several times a month, Once a month, Less often than once a month)
% ONCE A WEEK OR MORE OFTEN
(Daily, Several times a week, Once a week)
% SEVERAL TIMES A MONTH OR MORE OFTEN
(Daily, Several times a week, Once a week, Several times a month)
Base: All respondents (n=405)
Q22. How often do you use the following social media channels?

31. What do people think of their real estate agent?
Overall ratings of real estate agents continue to be positive with at least eight in ten rating them excellent, very good or good on all of the attributes. All attributes have seen a drop since 2015, more closely matching the levels seen in 2014.
2012
2013
2014
2015
2016
% who rated excellent, or very good or good
Base sizes vary
86%
85%
85%
88%
85%
80%
85%
80%
86%
80%
79%
85%
82%
86%
82%
84%
85%
83%
85%
83%
83%
88%
81%
86%
82%
81%
86%
82%
85%
80%
Q7. Thinking about when you bought, sold, received or put an offer in on a residential property, how would you rate your real estate agent in terms of…
Base: All respondents excluding don't knows (2016 n=399)

32. Does the RATING OF real estate agents vary by transaction type?
Those who bought a property are more likely to rate their real estate agent positively in terms of being knowledgeable about the market. There has been a significant decrease in ratings of the real estate agents being knowledgeable about the relevant legal requirements by those who bought a property.
% Rated Real Estate Agent Good, Very Good or Excellent
TOTAL
BOUGHT A
PROPERTY
SOLD A
PUT AN OFFER ON A PROPERTY BUT DIDN'T END UP BUYING IT
RECEIVED AN OFFER FOR A PROPERTY BUT DIDN'T END UP SELLING IT
BEING KNOWLEDGEABLE ABOUT THE MARKET 85 89 87 80 79
BEING PROFESSIONAL 83 84 77
BEING KNOWLEDGEABLE ABOUT THE RELEVANT LEGAL REQUIREMENTS 82 76
CLEARLY EXPLAINING THE PROCESS 86 78
PROVIDING ME WITH ALL THE INFORMATION I NEEDED 71
ACTING ETHICALLY, HONESTLY AND OPENLY 73
Significantly higher / lower than the total result
Significantly lower than previous wave
Q7. Thinking about when you bought, sold, received or put an offer in on a residential property, how would you rate your real estate agent in terms of…
Base: All respondents excluding don't knows

33. Accuracy of the range of the appraisal provided by agents
Nearly half (47%) of final sale prices were out of range (higher or lower) of the appraisal value given by agents
12%
Can’t recall or were not given a range
27%
Sale price was lower than given range
42%
Price was within range given by agent
20%
Sale price was higher than the given range
REAA Guides
Those who received an copy of the NZ Residential Property Sale and Purchase Agreement Guide or Residential Property Agency Agreement Guide were significantly more likely to have a sale price within the range of their appraised value (48% and 47%, respectively cf. 42% total sellers).
Sub-group differences
Those aged 40 – 54 are significantly more likely to sell their house for under the range given (43% cf. 27%).
Those who felt empowered and able to participate effectively in their transaction were more likely to have a sale price within the range given to them by their agent (54% cf. 42% other sellers)
Q31. Was the sale price you received within the range of the appraisal provided by your agent?
Base. Those who have sold a property n=132

34. Issues during the transaction process
Some 15% have had an issue during the real estate transaction process. These issues include delays due to building compliance, dissatisfaction with an agent’s conduct and difficulties with inter-agency communication.
Was there an issue during the buying/selling process?
Examples of the issues experienced: “
Lack of contact from the agent, nothing for over three months.
Yes: 15% ” “
The agent for the seller was completely useless and took advantage of me being a first time buyer. ” “
There were some illegal building modifications. It took a long time for them to get the council to inspect, and kept trying to assure me it was ok when it wasn't. ”
Sub-group differences
Those aged 55+ are more likely to have issues during the transaction processes (21% cf. 15%). “
There was a disagreement between agencies as the seller had chosen to relist exclusively with another company after I had viewed the property with another company. ”
Q34: During the transaction process did an issue come up that you had to work with your agent/agency to resolve?
Base: All respondents n=405

35. Complaints about issues during transactions
Less than two in ten (17%) made a complaint about the issues they experienced during the transaction process
Satisfaction with how the complaint was handled “
Warning VERY small base size, results indicative only (n=10**)
She addressed it and told the other interested parties immediately ” “
They got hold of the tenant and got the problems fixed within a day. ” “
The agent was rude and unhelpful and was not interested in our point of view ” “
They told us it was not their problem! ”
Q35: Did you make a complaint to the agent/agency?
Q36: How satisfied are you with the way in which the agent/agency dealt with the complaint?
Base: Those who had an issue during the transaction process. n=60*
Base: Those who made a complaint about their issue excluding don’t knows n=10**
* Warning small base size
** Warning VERY small base size

36. Resolving issues without making a complaint
For the 83% who did not make a complaint about their issue, the majority (94%) resolved the problem. When asked how they did so, reasons relate to withdrawing from the process or using an agent or lawyer to negotiate on their behalf.
Withdrawing from the process
Used an agent or lawyer to negotiate “ “
We pulled the offer off the table
Worked with estate agent and buyer to sort out between us. Resolution was all about good communication. The estate agent was the go-between. ” “ ”
We missed out on the property because we weren't prepared to change our offer “ ”
The real estate agent negotiated with the potential buyer. ” “
We talked with the agent and the property was taken off the market. “
The agent contacted the vendor and resolved the issue within a reasonable time frame. ” ”
Q38: Please tell us how you resolved the issue
Base: Those who did not make a complaint about their issue n=50*
* Warning small base size

37. How Empowered Do people feel?
Nine in ten (88%) feel at least somewhat empowered and able to participate effectively in their real estate transaction. This is a significant decrease from 93% in 2014.
2012
(n=198)
2013
(n=199)
2014
(n=211)
2015
(n=195)
2016
(n=391)
% who feel empowered (rated 3, 4 or 5)
87%*
92%*
93%
90%
88%
% who don’t feel empowered
(rated 1 or 2)
13% 8% 7%
10%
12%
88% felt empowered and able to participate effectively in their real estate transaction
(rated 3, 4 or 5)
Significant decrease from 2014 to 2016
Significant decrease from 2012 to 2014
Significant increase from 2014 to 2016
Those living in the top half of the North Island (excluding Auckland) are more likely to feel very empowered (30% cf. 20% rating 5), as are those who know a reasonable amount about what the REAA does (42%).
Those who received an offer on their property but didn’t end up selling it are more likely to not feel empowered at all (12% cf. 5% rating 1).
Q6. Overall, did you consider yourself empowered and able to participate effectively in the real estate transaction?
Base: All respondents excluding don’t knows
*These are 1% different from previous reports due to rounding in calculations

38. Does empowerment vary by transaction?
The level of empowerment of those who put an offer in for a property but didn’t end up buying it has seen a significant drop in the past year (85% cf. 94%).
2012
2013
2014
2015
2016
% who feel empowered (rated 3, 4 or 5)
Base sizes vary
91%
92%
98%
87%
88%
89%
95%
95%
93%
91%
81%
92%
92%
94%
85%
96%
93%
82%
77%
84%
* Warning small base size
Q6. Overall, did you consider yourself empowered and able to participate effectively in the real estate transaction?
Base: All respondents excluding don't knows
Significantly lower than previous wave