Wellington house prices move ahead

Auckland
Auckland City’s residential property values showed growth of 7.2% (calculated over the three months ending September 2006 in comparison to the same period last year), down from 7.6% reported for the period ending August. The average sale price in Auckland City was $515,364.

Within the wider Auckland market, growth rates continued to ease, following the trend of the last few months. Growth rates in Rodney and Waitakere were in the range of 6% -7%. The southern areas’ growth rates ranged from 10% to 11% with Papakura growing at 10.2% and Manukau at 11%.

“Activity levels can only be described as patchy within each of the cities and regions, with good activity in some areas and limited activity in others. Home buyers and investors continue to approach the property market cautiously,” Glenda Whitehead of QV Valuations said.

Hamilton
Residential property values in Hamilton grew by 14.1% (calculated over the three months ending September 2006 in comparison to the same period last year), easing from 16.2% growth to August. This is the 10th consecutive month that Hamilton has reported a slowdown in growth rates. “The most affected areas were North East growing at 12.3% (down from 14% reported in August) and South East Hamilton at 15.5% (down from 17.8%) while the most resilient areas were North West with 15.5% growth and South West 17.1%,” said Richard Allen of QV Valuations.

“Although sales activity has eased, the average sale price in Hamilton rebounded slightly to $316,895 after hovering around the $315,000 mark over the last couple of months. As we enter spring and the early months of summer, sales activity is expected to pick up. However, we are unlikely to see significant increases in sale prices,” Allen said.

Wellington
Wellington’s property values grew by 10.1% (calculated over the three months ending September 2006 in comparison to the same period last year), up from 9.5% as reported in August. The average sale price in Wellington City was $450,852.

"Within the Wellington market, increases in property values continue to hover around 9% -10% with house prices about $55,000 above last year,” said Max Meyers of QV Valuations.

“Buyer interest remains strong in most areas and properties continue to sell well. More sales activity is expected as summer approaches. Increasing competition by the banks for mortgage monies, and lower lending interest rates are expected to support the market at current levels until the end of the year” said Max Meyers of QV Valuations.

Christchurch
Residential properties in Christchurch increased in value by 9.6% (calculated over the three months ending September 2006 in comparison to the same period last year). The growth rate this month was similar to the 9.4% as reported for the period ending August. The city’s average sale price was $322,838.

“The general trend is a steady market. The sales volumes have continued at subdued levels and property prices are holding at levels established over the last 3 to 6 months” said Mark Dow of QV Valuations.

Dunedin
Dunedin residential property values increased by 5.3% (calculated over the three months ending September 2006 in comparison to the same period last year), down from 6.2% last month. The average sale price in Dunedin was $247,161.

“The easing in the market is most likely a combination of seasonal and prevailing economic conditions. Sales volume and activity are expected to increase as we enter spring," David Paterson of QV Valuations said.

“Most parts of the city continued to show a slowdown in growth as has been the trend over the last few months, the exception being Central/Northern City where there has been a slight increase from 4.7% last month to 6.2%," Paterson said.