Mike Robson – Living and Selling Real Estate in Mt Eden
Surge in investor activity sees home values soar across NZ
Auckland – Sept 2016
Home values across the Auckland region have continued to rise over the past three months however there are early indications the rate of growth in the market is starting to slow in that the annual growth has slipped back 0.9% over the past month.
The former Auckland City Council central suburbs have increased by 13.0% over the past year and 4.2% over the past three months .The average value there is now $1,194,608. Values in the former North Shore City suburbs also rose 14.8% year on year and 6.3% over the past three months and the average value there is now $1,207,974. Manukau suburbs were up by 17.5% year on year and 6.4% over the past three months, the average value there is now $895,932. Waitakere City rose 14.5% year on year and 6.9% over the past three months. The average value in the western suburbs is now $824,528.
QV National Spokesperson Andrea Rush said, “We have seen a stabilisation of prices in parts of Auckland since the new LVR rules, requiring a 40% deposit from investors purchasing existing housing stock, were imposed.”
“We are also seeing a shift in demand from the investor housing stock to properties with higher density development potential, which suggests some buyers may be getting the message that upward growth around existing town centres will eventually happen under the new unitary plan.”
“Activity in the upper end of the market, above $1.5 million, and in the new build market (where the 40% LVR doesn’t apply), also remains strong and we continue to see strong value growth in this part of the market.”