NZ home values increase at slowest annual pace in 5 months   1 Nov 2016

Tina Morrison

Tuesday 01 November 2016 12:27 PM

Nov. 1 (BusinessDesk) - New Zealand residential property values increased at the slowest annual pace in five months in October, as tougher lending restrictions constrained Auckland growth.

The average value of a New Zealand home rose 13 percent to $622,309 in October from a year earlier, the weakest annual growth rate since May, according to state-owned valuer Quotable Value.

Growth in Auckland house values increased at a 14 percent annual pace in October, the slowest rate since March 2015, taking the average value for the Auckland region to $1.05 million. The rate of growth in Auckland peaked at 24.4 percent in November last year and has since slowed following the introduction of tighter loan-to-value lending restrictions by the Reserve Bank. However, Wellington house values continued to accelerate with values in the region gaining at a 21 percent annual rate to $558,886.

"Home values continue to rise faster in the Wellington region than the Auckland region, and the housing market in the capital appears largely unaffected by the new LVR restrictions, particularly at the more affordable end of the market in areas such as the Hutt Valley, Porirua and the Kapiti Coast," said QV spokesperson Andrea Rush.

Nationwide, sales volumes were down by about 12 percent on the same period last year and mortgage approval rates were also down, Rush said.

In other urban centres, Hamilton values jumped 25 percent to $537,388, Tauranga rose 27 percent to $651,725, Dunedin lifted 13 percent to $341,566, and Christchurch edged up 4.7 percent to $498,425.

Napier values gained 18 percent to $396,000, Hastings increased 16 percent to $366,083, and Nelson advanced 14 percent to $484,019.

In the North Island, all areas saw double-digit value growth over the past year. Values surged 49 percent to $151,957 in the Kawerau district, although QV noted the gain was off a low base.

In the South Island, annual value growth in provincial centres was much lower, with most areas seeing single digit value growth, although some areas such as Queenstown Lakes district bucked the trend, with values soaring 30 percent, QV said. The only areas to see an annual decrease in values were the West Coast districts of Buller and Grey, the Hurunui district in North Canterbury and the south-western suburbs of Christchurch, the agency said.

(BusinessDesk)

ends

Add a comment

Bookmark and Share

News

Details of The Duke of Cambridge’s visit announced

18 Apr 2019 News By RT HON JACINDA ARDERN
18 APRIL 2019 Details of His Royal Highness The Duke of Cambridge’s itinerary for his upcoming visit to New Zealand on 25th... more

NZ and France seek to end use of social media for acts of terrorism

24 Apr 2019 News By RT HON JACINDA ARDERN
New Zealand and France announced today that the two nations will bring together countries and tech companies in an attempt to bring to... more

Business

Minister Parker leads trade delegation to China

24 Apr 2019 Business News By Hon David Parker
Minister for Trade and Export Growth David Parker will lead a delegation of business representatives to China next week to advance the... more

Multinationals to pay fair share of tax

26 Jun 2018 Business News
26 JUNE 2018 HON STUART NASH New measures to ensure multinational companies pay their fair share of tax will come into force next... more

Living

Kiwis Saving Kiwi - London fundraiser to save NZ's iconic national bird

3 Jun 2019 London
This is an opportunity for London Kiwis to become Kiwi Savers. We're not talking about our financial future here, but the very... more

Celebrating NZ wine: today is International Sauvignon Blanc Day!

3 May 2019 Food & Wine
Today, Friday 3 May, is International Sauvignon Blanc Day. Sauvignon Blanc is the variety that woke the world up to New Zealand wine,... more

Property

New Zealand Government will not implement a Capital Gains Tax

17 Apr 2019 Property By RT HON JACINDA ARDERN
The Coalition Government will not proceed with the Tax Working Group’s recommendation for a capital gains tax, Jacinda Ardern... more

More certainty in construction sector smooths boom and bust cycle

22 Aug 2018 Property
30 JULY 2018More certainty in construction sector smooths boom and bust cycle HON JENNY SALESA The 2018 National Construction Pipeline... more

Migration

Christchurch reinstated as refugee settlement location

18 Aug 2018 Migration
18 AUGUST 2018 HON IAIN LEES-GALLOWAY The announcement that Christchurch can once again be a settlement location for refugees... more

Post-study work rights emphasise skills NZ needs

8 Aug 2018 Migration
8 AUGUST 2018 HON IAIN LEES-GALLOWAY Changes to post-study work rights will help ensure international students coming to New Zealand... more

Travel

Arrival card change to smooth border process for international travellers to NZ

26 Sep 2018 Travel & Tourism By Hon Kris Faafoi
25 SEPTEMBER 2018 International travellers arriving into New Zealand should have a simpler, faster entry as a result of changes to... more

NZ Government to fully fund Auckand's SkyPath as part of $390m investment in walking and cycling

25 Aug 2018 Travel & Tourism
23 AUGUST 2018 HON PHIL TWYFORD HON JAMES SHAW Transport Minister Phil Twyford and Acting Associate Transport Minister James Shaw have... more

Sport

America’s Cup court ruling vindicates process

26 Sep 2018 Sailing By Hon David Parker
25 SEPTEMBER 2018 The Environment Court has today granted the resource consent for the 36th America's Cup bases in Auckland and the... more

Humble Stephen Kearney praises Warriors staff ahead of finals appearance: 'It's not down to one person'

3 Sep 2018 Rugby League
Warriors coach Stephen Kearney paid tribute to the club's unsung heroes ahead of their first taste of NRL finals football since... more

Columns

Gordon Campbell on the Gareth Morgan crusade

11 Nov 2016 Opinion
Gordon Campbell on the Gareth Morgan crusade First published on Werewolf The ghastly likes of Marine Le Pen in France and Geert ... more

Gordon Campbell on the US election outcome

10 Nov 2016 Opinion
Column - Gordon Campbell   Gordon Campbell on the US election outcome Well um.. on the bright side, there (probably)... more

Kiwi Success

Congratulations to Loder Cup winner

26 Sep 2018 People By Hon Eugenie Sage
25 SEPTEMBER 2018 The Loder Cup, one of New Zealand’s oldest conservation awards, has been awarded to Robert McGowan for 2018... more

Appointments to New Zealand National Commission for UNESCO

16 Aug 2018 Appointments
16 AUGUST 2018Appointments to New Zealand National Commission for UNESCO HON JENNY SALESA Associate Education Minister Jenny Salesa is... more

Recruitment

Historic pay equity settlement for education support workers

14 Aug 2018 Recruitment By RT HON JACINDA ARDERN
14 AUGUST 2018Historic pay equity settlement for education support workers RT HON JACINDA ARDERN HON CHRIS HIPKINS Prime Minister The... more

Historic pay equity settlement for education support workers

22 Aug 2018 Recruitment By RT HON JACINDA ARDERN
14 AUGUST 2018Historic pay equity settlement for education support workers RT HON JACINDA ARDERN HON CHRIS HIPKINS Prime Minister The... more