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

 


NZ property values heat up in 2Q on Auckland, Christchurch

NZ property values heat up in June quarter, driven by Auckland, Christchurch

By Pam Graham

July 7 (BusinessDesk) – New Zealand property values grew at a faster pace in the June quarter as the country’s two biggest cities continued to underpin the market.

Values rose 2.1 percent in the three months ended June, accelerating from a 0.7 percent three-monthly pace in May, according to state valuer Quotable Value. On an annual basis, the pace of property value gains continued to slow, rising at an 8 percent annual pace in June, and compared to an 8.2 percent in May. Values are still 15 percent above the previous peak of late 2007.

“The nationwide index is still increasing but the picture around the country is mixed,” Andrea Rush, QV’s national spokeswoman said in a statement. “Residential property values in Auckland and Christchurch are still increasing at a similar rate to what they were last June.”

The Reserve Bank introduced loan-to-value mortgage lending restrictions on Oct. 1 last year on concern rapidly accelerating house prices in Auckland and Christchurch may lead to an asset bubble and cause financial instability. Property value growth had slowed earlier this year, and the central bank has hiked interest rates three times to cool the economy as inflation accelerates.

Today’s figures showed the Auckland market increased by 12.3 percent year-on-year and values are up 31.4 percent since 2007. Values rose 2.7 percent in the past three months. Manukau East was the strongest performing part of Auckland, clocking up a 4.3 percent rise in the past three months. Waitakere values rose 2.3 percent.

Values in Wellington decreased 0.4 percent in the past three months, with the western suburbs falling 2.5 percent in the past three months.

Property values in Christchurch have increased 2.5 percent in the past three months and 7 percent year-on-year and are 21.1 percent above the peak of 2007. The Selwyn and southwest parts of the district are performing the best. Liquefaction was a problem on the eastern side of the city when earthquakes struck.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Media: Julian Wilcox Leaves Māori TV

Māori Television has confirmed the resignation of Head of News and Production Julian Wilcox. Mr Maxwell acknowledged Mr Wilcox’s significant contribution to Māori Television since joining the organisation in 2004. More>>

ALSO:

Genetics: New Heat Tolerant Cow Developed

Hamilton, New Zealand-based Dairy Solutionz Ltd has led an expert genetics team to develop a new dairy cow breed conditioned to thrive in lower elevation tropical climates and achieve high milk production under heat stress. More>>

Fractals: Thousands More Business Cards Needed To Build Giant Sponge

New Zealand is taking part in a global event this weekend to build a Menger Sponge using 15 million business cards but local organisers say they are thousands of business cards short. More>>

Scoop Business: NZ Net Migration Rises To Annual Record In September

New Zealand’s annual net migration rose to a record in September, beating government forecasts, as the inflow was spurred by student arrivals from India and Kiwis returning home from Australia. More>>

ALSO:

Scoop Business: Fletcher To Close Its Christchurch Insulation Plant, Cut 29 Jobs

Fletcher Building, New Zealand’s largest listed company, will close its Christchurch insulation factory, as it consolidates its Tasman Insulations operations in a “highly competitive market”. More>>

ALSO:

Scoop Business: Novartis Adds Nine New Treatments Under Pharmac Deal

Novartis New Zealand, the local unit of the global pharmaceuticals firm, has added nine new treatments in a far-ranging agreement with government drug buying agency, Pharmac. More>>

ALSO:

Crown Accounts: English Wary On Tax Take, Could Threaten Surplus

Finance Minister Bill English is warning the tax take may come in below forecast in the current financial year, as figures released today confirm it was short by nearly $1 billion in the year to June 30 and English warned of the potential impact of slumping receipts from agricultural exports. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news