Residential house prices are up and steady, across the country.
The latest QV House Price Index reveals house prices have increased by 8.1 per cent in the past year. The average value sits around $639,000.
Despite slowing annually, rates picked up in the last quarter – rising by 1.2 per cent.
QV National Spokesperson Andrea Rush said the increase is driven by boosts outside our main centres.
She said there’s been strong growth in some provincial areas and the market has picked up particularly in Hamilton and Tauranga.
Auckland’s housing prices are flat and moving slowly. The new figures show the region’s market plateaued at 0.0 percent in the last quarter.
The average house price is holding at just over $1 million, in the city’s stagnant market.
Andrea Rush said that while values have dipped in some parts of the region – times are still tough for first home buyers.
She said well-presented and well-located properties are still gaining record prices and first-home-buyers are struggling to find the finance to secure a home.
In Christchurch, there are signs housing market will remain cool beyond the winter months.
The new QV figures show house values in the region have increased just over one percent in the last 12 months.
More rentals, new housing and a lack of demand mean prices are largely staying put.
Spokesman Daryl Taggart said there could be a number of reasons behind the stagnant market.
“Things might be tightening up a wee bit and there is certainly not as much optimism in the market and these are things that really do drive the market in one way or another.”
He said other factors are also to blame.
“Rentals, which are back at the moment. New housing which is all caught up…the market hasn’t got those supply pressures on it.”
Taggart said there is no sign of that changing after the wintry months.
“The only reason Christchurch has risen a lot over the last three or fours years is they have found a level where people are obviously comfortable in it and they are not going to continue growing.”
Wellington’s housing market is also cooling.
The latest QV figures show average house values have only increased 2.4% over the past three months.
That’s compared to increases of up to 6% this time last year.
Registered valuer David Cornford said the market is relatively quiet this Winter.
“What we are seeing is slightly less demand in the market. Properties are taking a little bit longer to sell. The number of listings are up slightly and we are seeing lower sale volumes compared to a year ago.”
He said the frenzy has definitely died down a bit.
“People are are in less of a hurry to secure a property. They are doing a bit more homework, so they are doing their due diligence, there taking there time and making sure they get the property they want.”
-NewstalkZB
