Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Optimism across the Country

Media release
9th May
Optimism across the Country
The latest monthly property value index shows that nationwide residential values increased further in April. Values are up 4.0% above the previous market peak of late 2007, with a 1.3% increase over the past three months and a 7.1% increase over the past year.

Kerry Stewart, QV Operations Manager said “the increase in nationwide values is now being driven by all the main centres, not just Auckland and Canterbury. The value increases in the other main centres is much slower than in Auckland and Canterbury, but the trend is definitely positive. The provincial centres remain more variable.”

“Buyers are showing more optimism and confidence, although are still being careful in their decision making. The exception to this is in parts of Auckland where demand is so high that there is little opportunity to delay making offers” said Stewart.

Auckland
Values across Auckland have continued to increase and are now up 12.0% over the past year. Rodney and old Auckland City still show the slower rates of growth over the past 3 months in comparison to other areas. Old Auckland City for example has seen a 1.7% increase over the past 3 months where as other areas are increasing by 2-3%. Waitakere has seen the highest increase at 3.4%. Overall, values are still markedly above last year, with North Shore, old Auckland City, Waitakere and Manukau all around the 12% mark.

QV Operations Manager Kerry Stewart said “with the continued surplus of buyers and lack of properties on the market to meet the demand prices are still increasing. We have seen instances of some properties selling for hundreds of thousands of dollars above their Rating Value.”

“As a result, buyers are broadening their property search to areas away from desirable suburbs and looking more at the fringe of the city. Again, this is causing prices to increase rapidly with areas such as Blockhouse Bay and New Lyn achieving prices previously unseen for years,” said Stewart.

“Even properties in the higher end of the market, in excess of $4 million, have been selling extremely well lately with over 50 properties sold in this range in the last 12 months,” said Stewart.

Hamilton and Tauranga
Outside of Auckland, the main cities are still increasing. There is renewed confidence in areas such as Tauranga, where growth has been limited in comparison to other major cities like Auckland and even Hamilton. As a result, Tauranga has grown 1.2% over the past 3 months, with Hamilton seeing only a slight increase on that at 1.7%. Tauranga remains only 0.8% above this time last year however in comparison to Hamilton’s growth of 4.9%.

QV Valuer Paul Thomas said “there is a growing feeling of confidence in Tauranga following a strong month of sales and plenty of interested buyers. There are some indications that Aucklander’s are moving down to the city to work, something that has been notably absent for the past few years. This may help the market lift even further.”

QV Valuer Richard Allen reiterated this optimism by saying “sales are ticking over well with enough demand in the market. The drought especially doesn’t appear to have had any negative impact at this stage. Hamilton could also reap the benefits of some proposed developments in the dairy industry nearby.”

Wellington
Values in the Wellington area are showing some growth, although not like the other large cities of Auckland and Christchurch. Values are now 2.0% above this time last year with a 0.8% growth in the last 3 months. Within Wellington, Porirua has seen the biggest increase over the last 3 months at 2.2%.

QV Valuer Kerry Buckeridge said “buyers in the $1-1.5 million bracket as well as first home buyers remain active in the market with attractive, well presented properties attracting multiple offers and selling well. There are quite a few apartments on the market but with insurance increases affecting body corporate fees still, sales aren’t as prolific in many buildings.”

Christchurch and Dunedin
Christchurch values also continue to increase, now 9.4% above last year. The outlying areas such as Waimakariri and Selwyn continue have continued to show slowing growth rates, although are still significantly above last year also at 6.5% and 13.2% respectively.

QV Valuer Daryl Taggart said “good sales are continuing with buyers seemingly determined to get the house at any price, especially if they have been searching for a while. We are also seeing sales increase in the hill suburbs with stigma perhaps starting to decrease about these areas.”

Dunedin has also seen another steady increase with it now up 1.1% increase over the past 3 months, and 4.8% up on last year.

QV Valuer Tim Gibson said “the normal winter slowdown hasn’t taken affect yet with sales volumes good. There does appear to be a lack of properties however across most of the market, meaning any well presented properties, especially in sought after locations, are sold quickly and usually with multiple offers.”

Provincial centres
The provincial centres are fluctuating but generally the market remains stable with the main areas continuing to grow. Areas such as Hawke’s Bay and Wairarapa are witnessing some optimism as per other areas of the country but buyers remain cautious and are still taking their time. Even areas like Whangerei, which has previously been declining, have experienced a slight increase of 0.2% over the past 3 months.

ENDS


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Cosmetics & Pollution: Proposal To Ban Microbeads

Cosmetic products containing microbeads will be banned under a proposal announced by the Minister for the Environment today. Marine scientists have been advocating for a ban on the microplastics, which have been found to quickly enter waterways and harm marine life. More>>

ALSO:

NIWA: 2016 New Zealand’s Warmest Year On Record

Annual temperatures were above average (0.51°C to 1.20°C above the annual average) throughout the country, with very few locations observing near average temperatures (within 0.5°C of the annual average) or lower. The year 2016 was the warmest on record for New Zealand, based on NIWA’s seven-station series which begins in 1909. More>>

ALSO:

Farewell 2016: NZ Economy Flies Through 2016's Political Curveballs

Dec. 23 (BusinessDesk) - New Zealand's economy batted away some curly political curveballs of 2016 to end the year on a high note, with its twin planks of a booming construction sector and rampant tourism soon to be joined by a resurgent dairy industry. More>>

ALSO:


NZ Economy: More Growth Than Expected In 3rd Qtr

Dec. 22 (BusinessDesk) - New Zealand's economy grew at a faster pace than expected in the September quarter as a booming construction sector continued to underpin activity, spilling over into related building services, and was bolstered by tourism and transport ... More>>

  • NZ Govt - Solid growth for NZ despite fragile world economy
  • NZ Council of Trade Unions - Government needs to ensure economy raises living standards
  • KiwiRail Goes Deisel: Cans electric trains on partially electrified North Island trunkline

    Dec. 21 (BusinessDesk) – KiwiRail, the state-owned rail and freight operator, said a small fleet of electric trains on New Zealand’s North Island would be phased out over the next two years and replaced with diesel locomotives. More>>

  • KiwiRail - KiwiRail announces fleet decision on North Island line
  • Greens - Ditching electric trains massive step backwards
  • Labour - Bill English turns ‘Think Big’ into ‘Think Backwards’
  • First Union - Train drivers condemn KiwiRail’s return to “dirty diesel”
  • NZ First - KiwiRail Going Backwards for Xmas
  • NIWA: The Year's Top Science Findings

    Since 1972 NIWA has operated a Clean Air Monitoring Station at Baring Head, near Wellington... In June, Baring Head’s carbon dioxide readings officially passed 400 parts per million (ppm), a level last reached more than three million years ago. More>>

    ALSO:

    Get More From Scoop

     
     
     
     
     
     
     
     
    Business
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news