Spring has arrived, and property lawyers Eric Lee and Jim Eddy in particular are looking forward to a busy time if the last couple of months are anything to go by.

“We always see an upturn in residential conveyancing in the spring” says Jim. “This time there are two dynamics in play: market momentum represented by the dizzy heights reached in July, and the damping effect of the COVID-19 restrictions.”

Residential property market: a July boom



So what were those “dizzy heights”? The housing market was booming in July with price and sales up nationwide pre- the further COVID-19 restrictions. Statistics from REINZ show that:

• Sales volumes around New Zealand were up by 24.6% year-on-year, with 7,854 sales in total. That represents the highest number of properties sold in a July month for five years.
• The increase was spread throughout the country. All regions (apart from Gisborne and Marlborough) saw year-on-year double-digit percentage increases in sales volumes, a first since April 2016.
• Median house prices across the country increased by 14.8% to $660,000 from the same month last year, and by 3.4% from June. Every region saw an increase in their median house prices.

REINZ chief executive Bindi Norwell says some of these volumes can be attributed to post-COVID pent-up demand, but not all. “But underpinning this activity during July was strong levels of interest and engagement from all buyer levels including first home buyers, investors and families looking to upgrade their property,” says Norwell.

Norwell adds that it’s still a seller’s market. The total number of properties available for sale nationally decreased by 11% from July 2019, which isn’t enough new listings to meet consumer demand. “Hopefully this will start to change as we move towards the warmer months of the year.

Of course, it will be interesting to see what impact the most recent COVID restrictions will now have. While it appears the total number of Auckland auctions decreased, sales rates at the ones that did take place picked up at the end of Level 3. Barfoot & Thompson reported that 71% of properties under the hammer in the final week of Level 3 sold, compared with 58% the previous week.


Trademarks: protecting your brand



Branding and intellectual property protection have become increasingly important for businesses striving to obtain a competitive advantage. We live in a branded society, where most of the products we buy—and, more increasingly, the services we undertake—are influenced by brand.

Why are brands important?

Brands create trust in consistency of product and service. If you buy a McDonald’s burger or a bottle of Coca-Cola, you know exactly what you are going to get anywhere in the world. It goes beyond the product itself, too—if you are travelling overseas you know you can rely on McDonald’s for clean restrooms. That brand clearly has a lot of value.

On a smaller scale, most businesses recognise the value of the branding they have invested in. But it is amazing how many businesses don’t take the next step and protect that value with a trademark.

The strength of a trademark

A trademark gives you the exclusive right to use that brand in New Zealand, and helps ensure you’re the only business using it.

If you didn’t have a trademark, and someone used your brand without permission, you could go to court and challenge them. But you’d incur a good deal of expense and uncertainty. You start well ahead if you own the trademark. In that case, your lawyer can issue a cease and desist notice without the need to get involved in any court action. And that’s usually enough to resolve things.

Chat with our team for advice on protecting your intellectual property.

New Zealand's top brands

And which New Zealand company has arguably the most value in its brand? Research suggests that must be Whittaker’s, which has held its brand for 124 years and recently topped a survey of New Zealand brand reputations carried out by consumer insight agency Opinion Compare.

Also performing well were Trade Me, which was first for “brand purpose;” Mitre 10 for its overall reputation and performance in the past six months; and Earthwise for corporate social responsibility.

Opinion Compare surveyed 1000 people for the research, and evaluated 48 brands on a series of measures relating to how people perceive them. It shows that there are a wide range of factors that influence a brand’s reputation—and it’s important to protect and nurture them all.


Cyberattacks on NZX could extend to banks, businesses - and KiwiSaver customers



If you pay attention to the New Zealand share market, you’ll no doubt be aware of the series of cyberattacks that hit the NZX in the past couple of weeks. The attacks disrupted trading over a number of days, including when it was on track to exceed its previous all-time high.

Could those attacks affect other institutions? Definitely. Other financial institutions around the world were hit, including Westpac.

And even if you don’t consider yourself active in the share market, or a customer of an affected institution, you still could experience the effects of the attacks. Sam Stubbs, the head of KiwiSaver provider Simplicity, points out that ongoing disruption could force KiwiSaver investment schemes to shut down until things return to normal.

It’s a strong reminder that New Zealanders need to be careful with their financial arrangements, and New Zealand businesses be prepared for similar attacks. To that end, the GCSB’s National Cyber Security Centre has issued an advisory to all New Zealand businesses to consider and mitigate their possible risks.
 

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Well, that’s our September news (which hopefully reaches you free of cyberattack!). We look forward to another busy and productive month, and chatting next time.

As always, we’re just an email or phone call away for any questions, help or advice.