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


Gisborne House Prices Selling For 71% Higher Than CV – Highest In NZ

The Gisborne region has seen residential properties selling on average for 71% higher than current CVs, the highest in the country, according to the latest analysis from Real Estate Institute of New Zealand (REINZ).

This is followed by Southland, where prices are around 43% higher than current CV and Hawke’s Bay and Marlborough where properties are selling for around 27% more than their current CVs.

Bindi Norwell, Chief Executive at REINZ says: “For the last 10 months in a row, since October 2019, the Gisborne region has seen purchasers pay the highest percentage over the CV for properties in the country – showing how the shortage of listings in the Gisborne region has continued to impact the East Coast.

“Whilst CVs are not what a property is ‘worth’ they are one of a range of indicators that can help understand the value of a property, and with demand for good properties exceeding supply, this is why we’re seeing such a premium being paid for properties in some parts of the country,” she continues.

“Undoubtedly, the pent-up demand after the country came out of the first lockdown has contributed to the premium people are prepared to pay for properties – particularly if they have features such as a great outdoor area, a pool, a study/office for working from home or even a large backyard,” continues Norwell.

Despite recent headlines of an uplift in sales of Auckland’s multi-million dollar mansions, particularly as Kiwis living offshore look to return home, at a regional level Auckland’s residential properties are currently selling at the closest to their CV.

“Currently, buyers are paying on average 5% over the CV in Auckland which is the most ‘affordable’ in the country – despite the fact that the current CVs are nearly three years old and were due to be updated at the end of this year,” points out Norwell.

“Interestingly, Auckland has been the region where purchasers are paying the closest to the CV for the last 11 months, and for the prior 9 months it was the only region in the country where properties were selling for below CV,” concludes Norwell.

Table 1: Sales price to valuation ratio by region by month

Region Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 
Northland 1.11 1.15 1.11 1.08 1.13 1.10 1.13 
Auckland 1.01 1.04 1.05 1.04 1.03 1.03 1.05 
Waikato 1.14 1.15 1.16 1.12 1.13 1.15 1.17 
Bay of Plenty 1.09 1.13 1.12 1.16 1.11 1.12 1.13 
Gisborne 1.72 1.64 1.61 1.50 1.60 1.71 1.7 
Hawke's Bay 1.23 1.27 1.28 1.26 1.26 1.30 1.27 
Taranaki 1.15 1.14 1.14 1.15 1.13 1.14 1.18 
Manawatu-Wanganui 1.21 1.24 1.26 1.28 1.23 1.29 1.25 
Wellington 1.19 1.18 1.20 1.17 1.16 1.17 1.21 
Tasman 1.20 1.21 1.21 1.28 1.19 1.24 1.19 
Nelson 1.15 1.17 1.15 1.21 1.15 1.16 1.18 
Marlborough 1.26 1.25 1.26 1.3 1.22 1.27 1.27 
West Coast 1.10 1.19 1.08 1.09 1.10 1.14 1.13 
Canterbury 1.03 1.05 1.05 1.04 1.05 1.05 1.06 
Otago 1.25 1.23 1.24 1.24 1.18 1.17 1.22 
Southland 1.42 1.48 1.47 1.45 1.38 1.45 1.43 

Graph 1: North Island sales price to valuation ratio

Graph 2: South Island sales price to valuation ratio


© Scoop Media

Business Headlines | Sci-Tech Headlines


Auckland Transport: Successful Bridge Repair Opens Two Additional Lanes To Traffic

The opening of two additional lanes on the Auckland Harbour Bridge this morning will help relieve some motorway congestion for motorists heading home to the North Shore tonight. More>>


Statistics New Zealand: COVID-19 Sees Record 12.2 Percent Fall In New Zealand’s Economy

Gross domestic product (GDP) fell by 12.2 percent in the June 2020 quarter, the largest quarterly fall recorded since the current series began in 1987, as the COVID-19 restrictions in place through the quarter impacted economic activity, Stats NZ said ... More>>


Climate: Scientists Release ‘Blueprint’ To Save Critical Ecosystems And Stabilize The Earth’s Climate

A group of scientists and experts produced the first comprehensive global-scale analysis of terrestrial areas essential for biodiversity and climate resilience, totaling 50.4% of the Earth's land. The report was published in Science Advances ... More>>


MPI: Independent Review Launched Into Assurances For Safe Transport Of Livestock By Sea

The Ministry for Primary Industries (MPI) has launched an independent review of the assurances it receives for the safe transport of livestock by sea. MPI Director-General Ray Smith says Mike Heron QC has been appointed to lead the review, which is expected ... More>>


Computers: New Zealand PC Market Grows Nearly 40% Due To Work From Home Demand

COVID-19 had large impacts on demand for PCs as businesses prepared for lockdowns by purchasing notebooks to mobilise their workforce. In the second quarter of 2020, New Zealand's Traditional PC market experienced a 39.7% year-on-year (YoY) growth ... More>>


University Of Auckland: Whale-Watching By Satellite – Follow Their Travels Online

Scientists have successfully attached satellite tracking tags to six New Zealand southern right whales, or tohorā, and are inviting the public to follow the whales’ travels online. Part of a major research project involving the University of Auckland ... More>>

Commerce Commission: Kiwibank Admits System Failures And Agrees To Pay Customers $5.2 Million

Kiwibank has entered into a settlement agreement with the Commerce Commission after reporting that it failed to have in place robust home loan variation disclosure policies, procedures and systems. In a settlement dated 27 August 2020, Kiwibank admitted that ... More>>

Ministry of Health: Public Transport Distancing Requirements Relaxed

Physical distancing requirements on public transport have been reviewed by the Ministry of Health to determine whether they are still required at Alert Level 2 (or below). The Ministry’s assessment is that mandatory face covering and individuals tracking ... More>>


NZHIA: New Zealand Hemp Industry Set To Generate $2 Billion Per Annum And Create 20,000 Jobs

A new report says a fully enabled hemp industry could generate $2 billion in income for New Zealand by 2030, while also creating thousands of new jobs. Written by industry strategist Dr Nick Marsh, the report has prompted calls from the New Zealand Hemp ... More>>


Stats NZ: One In 14 Employed People Report High Risk Of Losing Jobs

About one in 14 workers say they expect to lose their job or business by mid-2021, Stats NZ said today. A survey of employed people in the June 2020 quarter showed 7 percent felt there was a high or almost certain chance of losing their job or business ... More>>

ASB Quarterly Economic Forecast: NZ Economy Doing Better Than Expected, But Challenges Remain

August lockdown estimated to have shaved 8% off NZ’s weekly GDP, and 0.5% off annual GDP Economy now expected to shrink 5% (year-on-year) by end of 2020 Unemployment rate now expected to peak at 7.2% The latest ASB Quarterly Economic Forecast is less ... More>>