Region’s million-dollar market doubles

The iconic lifestyle the Taranaki region has to offer is enticing big spenders in the property market, agents say.

While the number of properties sold around the country for more than a million dollars in 2017 was down by 13.8 per cent on last year, sales for high-end homes in the New Plymouth district doubled.

Real Estate Institute of New Zealand (REINZ) found 36 homes in the district were sold for more than $1m in 2017, double the 18 high-end homes sold in 2016.

Gary Malcolm, owner of Re/ max Team Realty New Plymouth, said this trend would continue as breathtaking views kept property purchasers vying for the best spot.

‘‘We’re only at the end of February and already there’s property selling in the high-end market.

‘‘There certainly is a demand for seaside views and our lifestyle accommodates that.’’

Strong sales in the milliondollar plus category was found to have occurred in a number of regions, REINZ chief executive Bindi Norwell said.

However, he added, Taranaki ‘‘outshone all the regions’’.

The 36 high-end homes sold last year were sprinkled around central New Plymouth in Brooklands, Merrilands, Frankleigh Park, Moturoa, Fitzroy, Strandon and south in the seaside village of Oakura. The most expensive house was sold just before Christmas and ‘‘just tipped’’ the $2m mark.

Malcolm said 2017 saw new homes built to a higher standard while lifestyle blocks also gained interest. But the location of New Plymouth homes with captivating views of the Tasman Sea coupled with a competitive price tag was what really attracted newcomers.

‘‘Auckland is a sellers’ market whereas here, we’re good for both buyers and sellers,’’ Malcolm said.

‘‘Out-of-town buyers came in and thought there was a good buy compared to the same house in Auckland.’’

Though Malcolm said a shortage of houses on the market did push up values, the growth in Taranaki was slow and steady.

The median house value in New Plymouth climbed about $2000 to $5000 each month, with the average home priced at $439,011 in January - about a 5 per cent, or $23,250, growth from last year.

New Plymouth realtor Jack Kurta said this was a trickle-down effect from Aucklanders leaving the big city. And the secret to selling a million dollar home was all about location, he said. ‘‘There is a certain skill to it. ‘‘But $1m is only a number. It just reflects where the rest of New Zealand is going and New Plymouth is moving forward.’’

While there was limited opportunity for a seaside view in the city, New Plymouth realtor Robert Angus said the events that brought Taranaki to life were what would keep it growing.

Angus pointed to the Govett-Brewster Art Gallery/Len Lye Centre, Americarna, the Womad festival and building revamps like that of the White Hart Hotel as what made the city attractive.

‘‘All that synergy has a great rub-off on people with the money to spend on a high-end home.’’