City fringe suburbs next residential hot spots
Auckland’s next wave of residential hot spots could be pushing into the city fringe suburbs.
New research has identified the suburbs of Mt Wellington, Glen Innes and Three Kings as among those topping the list of rising stars by property analysts.
The forecasts, made by the research division of Bayleys Real Estate, were based on tracking three years of residential sales data and took into account Auckland Council’s proposed unitary plan and feedback from open home attendees relocating within the city fringe.
Bayleys Auckland residential manager Hayden Stanaway says as housing values rise across Auckland’s inner city fringe suburbs, more buyers are having to look at the next ring of areas that are within their budgets.
‘‘Within the last 12 years we have seen home buyers unable to afford Ponsonby and Herne Bay then move their expectations westward.
‘‘In a domino effect the cost of homes in Grey Lynn and West Lynn then rose substantially. Then Westmere, Point Chevalier, then Waterview in the past three years.
‘‘We are now seeing the seedlings of price growth pushing into Avondale.’’
Stanaway says once Mt Eden became unaffordable for the average home buyer in the mid 2000s, location options started to edge a few kilometres further away from the CBD to the likes of Mt Albert and Sandringham.
‘‘In the last 11 months we have seen that boundary squeezing into Three Kings.’’
Stanaway says it’s only a matter of time until the wave reaches suburbs like Glen Innes with its high proportion of state housing on flat land, a shopping centre waiting for upgrades and immediate proximity to harbour recreational amenities.
Most of the suburbs identified in the Bayleys research as up-and-coming were within the council’s special housing areas, he says.
While the prices of homes in Mt Wellington, Glen Innes and Three Kings were still relatively attainable at around the $500,000 mark, it would only be a matter of time until they started nudging $700,000 as the average values, Stanaway says.
Mt Wellington, Glen Innes and Three Kings are among those at the top of the list for up-and-coming suburbs.