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

 

Quarterly Rental Update: New Tenancies Drive Growth In Average Weekly Rent

While the usual pace of growth was limited by the Government-mandated rent freeze, new residential tenancy agreements signed during the last quarter continued to nudge Auckland’s average weekly rent upwards.

According to data from around 16,500 Auckland properties managed by Barfoot & Thompson for the quarter ending 30 September, the average weekly rent rose to $589 – $9 ahead of the same time last year and an increase of 1.79 per cent.

Prior to the first lockdown and six-month freeze on rents between 26 March and 25 September, the average weekly rent typically rose by around to 3.00 per cent year-on-year.

“While this quarter’s increase is well under the usual pace we have observed over the past year, it shows that growth has continued among new tenancies, which were not subject to the freeze,” says Barfoot & Thompson Director Kiri Barfoot.

The number of new tenancies was also up substantially on last year, which magnified their effect.

Across the city around 150 more homes, or nearly 40 per cent more properties, were let during September alone.

New tenancies were now priced around 3 per cent higher on average than last year, with the average rent reaching $601 per week.

“This is more in keeping with the usual pace of increase we see across Auckland, and is indicative of two things: these new rents are continuing to follow the previous trends, but landlords – on the whole – are not rushing to rachet up prices unrealistically or bake-in future increases too hastily.

Across all rental properties, by region, Rodney and South Auckland saw the average rent rise slightly more than the norm for the quarter, while Central City properties dipped back slightly to an average closer to late 2018 and early 2019 pricing.

By size, three-bedroom homes rose slightly more as the most popular format, while homes with five or more bedrooms experienced the least price growth.

Figures just through for October – which was entirely outside the rent freeze period – suggest a similar trend is continuing into the new quarter.

The average weekly rent at the end of October was up $2 on September’s to $591, increasing by 1.73 per cent year-on-year.

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Grey Power: Is Disappointed To Learn Of More Bank Closures

Many older people are being left without essential services because of cost cutting and the march of modern technology. It is now expected that most banking transactions can occur via the internet or telephone. Jan Pentecost, President of the Grey Power ... More>>

ALSO:

Economy: Supply Chain On Brink Of Overload Says National Road Carriers

The New Zealand supply chain is on the brink of overload and it looks like the upcoming peak imports season may push it over the edge says National Road Carriers Association (NRC) CEO David Aitken. “Worldwide supply chains are in disarray,” says Mr Aitken. ... More>>

Retail: Supermarkets Announced As Government’s Second Market Study

The Government has today launched a market study to ensure New Zealanders are paying a fair price for groceries. More>>

ALSO:

Statistics New Zealand: Retail Sales Recover In The September 2020 Quarter

Retail sales values recorded the largest September quarter rise since the series began in 1995, Stats NZ said today. Spending on major household items, vehicles, and groceries contributed to the strong 7.4 percent ($1.8 billion) rise in total ... More>>

Kea Aerospace: New Zealand Flies Into The Stratosphere

Development has started on a solar-powered, unmanned aircraft that can fly in the stratosphere continuously for months at a time. The zero-emission aircraft will carry a suite of imagery equipment that will be game-changing for many industries, vastly ... More>>

Stats NZ: Births And Deaths: Year Ended September 2020

Births and deaths releases provide statistics on the number of births and deaths registered in New Zealand, and selected fertility and mortality rates. Key facts For the year ended September 2020: 57,753 live births and 32,670 deaths ... More>>

ALSO:


Forest & Bird: Kākāpō Wins Bird Of The Year 2020

The nation has voted and Aotearoa New Zealand has a new Bird of the Year. New Zealand’s moss-colored flightless parrot has climbed to the top-spot for the second time in Forest & Bird’s annual Te Manu Rongonui o Te Tau/Bird of the Year competition. ... More>>