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

 

Construction costs, rents, and rates rise

16 October 2018

The cost of running a household rose over the year to September 2018, Stats NZ said today.

Housing and household utilities increased 3.1 percent, with increases for construction, rents, rates and electricity. Insurance premiums also rose.

Nationally, local authority rates and payments increased 5.1 percent for the September 2018 year.

“Local authority rates increase in the September quarter each year,” prices senior manager Paul Pascoe said. “However, the rise this year is higher than the 4.2 percent average increase we have seen over the last five years.”

Prices for the purchase of new-built homes increased 4.1 percent in the September 2018 year. The largest increase was in the Rest of South Island (South Island excluding Canterbury), up 7.6 percent. Prices in the Rest of North Island (North Island excluding Auckland and Wellington) rose 6.6 percent over the period.

In Auckland, rising prices for building new homes have slowed recently, up 3.3 percent in the September 2018 year. This compares with an annual price increase of 8.1 percent in the June 2017 year. Over the last five years, the costs for building new homes have increased 37 percent in Auckland, compared with 29 percent across all New Zealand.

Rents increased 2.3 percent in the September 2018 year, down slightly from the 2.5 percent increase in the year to June 2018. The largest increase was in Wellington, which was up 3.8 percent for the September 2018 year and 0.7 percent in the September 2018 quarter. Rents in all regions saw smaller rises in the September 2018 quarter than they have in the last two quarters.

“The average quarterly rent rise reflects many tenants not having an increase, as well as those facing higher costs,” Mr Pascoe said.

Nationally, around 85 percent of properties surveyed had no price change in the September 2018 quarter.

Annual electricity prices rose 2.5 percent in the September 2018 year, after easing slightly in the September 2018 quarter, down 0.2 percent.

Insurance premiums for both dwelling and contents also contributed to the rising cost of running a household. Dwelling insurance was up 16 percent for the September 2018 year, while contents insurance was up 4.3 percent. Quarterly increases in insurance premiums reflect policies being renewed at different times of the year.

Video

View our Consumers price index: September 2018 quarter video.

The Government Statistician authorises all statistics and data we publish.

For more information about these statistics:
• Visit Consumers price index: September 2018 quarter
• See Petrol pushes annual inflation to 1.9 percent
• See CSV files for download

ends

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Other Windy Cities: Auckland-Chicago Named A Top 10 ‘Most Exciting’ New Route

The inclusion of Auckland-Chicago on Lonely Planet’s Where to fly in 2019? The 10 most exciting new flight routes list comes just two weeks before Air New Zealand prepares to celebrate its inaugural flight to Chicago’s O’Hare International Airport on 30 November. More>>

Deadly Strain: ESR Ups Its Reporting On Meningococcal Disease

The increasing number of cases of Group W Meningococcal disease (MenW) has prompted ESR to increase its reporting on the disease to the Ministry of Health. ESR has upped its reporting to weekly. More>>

ALSO:

Very Small Things: "Game-Changing" 3D Printing Technology Launched

New Zealand microfabrication researchers Andrea Bubendorfer and Andrew Best, the co-inventors of a new way of fabricating very small things with Laminated Resin Printing (LRP), are part of Callaghan Innovation’s MicroMaker3D team launching the new patent pending technology in the US this week. More>>

ALSO:

Wainui: Major Infrastructure Partnership For North Auckland

Minister of Housing and Urban Development Phil Twyford and Auckland Mayor Phil Goff today announced a partnership that will fund $91 million of roading and wastewater infrastructure to support the building of 9000 homes... More>>

ALSO: