House values track upwards

A mini buyer frenzy is occurring in south Invercargill, with two suburbs showing some of the biggest growth in house values in the city. Houses built in the 1960s that are well maintained and have scope to be renovated are being snapped up quickly by first-time home buyers and families. QV E-Valuer figures for the three months to April 30 show growth in house value in Invercargill with the median value for Invercargill at $262,600 and its annual growth is 6 per cent. The top three areas with the biggest quarterly growth were Richmond (up 5.6 per cent to a median value of $277,100), Kingswell (up 4.9 per cent to $203,000) and Heidelberg (up 4.4 per cent to $207,750). The annual growth was 13 per cent for Richmond, 11.9 per cent for Kingswell and 9.1 per cent for Heidelberg. Professionals Invercargill general manager Jon Irving said the three suburbs did not surprise him. ‘‘They’re affordable prices, relatively good houses and can be modernised. The whole of Invercargill is going really well – they’re the most affordable in New Zealand by quite a margin. ‘‘There’s a good hospital, good schools, all the things people need, cafes and things. There’s a lot happening in the city, it’s a productive province.’’ The inner-city plans, New Zealand Aluminium Smelters and farming were bringing people to the region for work, he said. ‘‘There are a lot more out-oftown buyers than a few years ago.’’ Invercargill woman Chontelle Syme had her house built in Heidelberg last year. She looked at other areas, including Windsor, which were too expensive before ‘‘falling in love with the little area’’ of Heidelberg. She had seen several other builds pop up since they had lived there. Heidelberg was close to Bill Richardson Transport World and Dig This, and Elizabeth Park, where she walked her dog, was close to south Invercargill, which was starting to boom, and a short drive from other areas of the city, which made it an ideal spot, she said. ‘‘It’s a really awesome place and there’s lots of new families here.’’ Harcourts manager Wayne Ellis said the market was ‘‘very buoyant’’ because of a shortage of stock on the market. What was available in the city was making good interest and being snapped up quickly by buyers, Ellis said. ‘‘It’s not a surprise [there was growth] because the city is doing well.’’ The only area which dropped in value was Grasmere, which was down 0.8 per cent to $246,300 at the quarterly estimate. Outside the city, Riverton was tracking well, with an 11.8 per cent annual increase, and Te Anau, with a 17.7 per cent increase.