Waikato prop­erty prices con­tinue to in­crease

Matamata Chronicle - - Out & About - PROP­ERTY

Homes in the Waikato/Bay of Plenty are among six re­gions in New Zealand that have hit record high me­dian prices.

The de­tails come from a new re­port which also shows Auck­land con­tin­ues to be the least af­ford­able part of the coun­try to buy a house, closely fol­lowed by Cen­tral Otago Lakes.

How­ever the gap in af­ford­abil­ity be­tween Auck­land and Cen­tral Otago and the rest of New Zealand - 62 per cent and 61 per cent - is reach­ing ‘‘un­prece­dented’’ lev­els, a re­port by Massey Univer­sity says.

Se­nior prop­erty lec­turer and re­port au­thor Susan Flin­tHar­tle said de­mand con­tin­ued to drive me­dian house prices up, mak­ing en­try into the Auck­land mar­ket a chal­lenge.

‘‘The me­dian house price in Auck­land is now 13.5 times me­dian an­nual house­hold in­come, which will con­tinue to place strain on first home buy­ers in our largest city.’’

Af­ford­abil­ity in Cen­tral Otago Lakes - which cov­ers Queen­stown and Wanaka - de­clined by about 21 per cent dur­ing the past year, the largest drop for any re­gion in New Zealand.

‘‘The de­cline in af­ford­abil­ity in Cen­tral Otago Lakes is ex­ac­er­bated by the boom­ing tourism in­dus­try putting stress on the sup­ply of af­ford­able hous­ing,’’ Flint-Har­tle said.

While most of the coun­try has shown ‘‘mod­est im­prove­ments in af­ford­abil­ity’’ dur­ing the past year - largely due to low in­ter­est rates - the Waikato and Bay of Plenty re­gion is on par with Cen­tral Otago in be­com­ing less af­ford­able over the same pe­riod.

This re­port comes as REINZ re­leased its lat­est fig­ures show­ing the na­tional me­dian house price hit a record high of $515,000.

Six re­gions hit record me­dian highs in­clud­ing North­land ($390,000), Waikato/Bay of Plenty ($458,500), Taranaki ($350,000), Welling­ton ($480,000), Nel­son/Marl­bor­ough ($450,000) and Otago ($296,000).

Prices out­side of Auck­land hit a record me­dian high of $400,000.

Auck­land’s me­dian price has risen 7 per cent year-on-year to $825,000, although it dipped 2 per cent on Au­gust.

The num­ber of sales na­tion­wide for Septem­ber also fell 2 per cent on Au­gust.

Na­tion­wide sales vol­umes also fell 10 per cent com­pared to Septem­ber 2015, with sales for Auck­land fall­ing 23 per cent in the City of Sails.

HOMANZ

Kelvin Heights, Queen­stown.

Newspapers in English

Newspapers from New Zealand

© PressReader. All rights reserved.