Record prop­erty prices for Waikato

Waikato Times - - News - EL­TON RIKIHANA SMALLMAN

Record prop­erty prices in the Waikato have seen the av­er­age sale price for the re­gion hit $500,000 for the first time.

REINZ data for the year to Oc­to­ber show prices in the re­gion rose

9.9 per cent com­pared to a na­tional me­dian price in­crease of 3.9 per cent. Prices rose 61 per cent in Wait­omo, 44 per cent in Otoro­hanga and 27 per cent in Taupo.

REINZ chief ex­ec­u­tive Bindi Nor­well said Waikato is the sixth re­gion in the coun­try to have ex­ceeded the half a mil­lion dol­lar mark at least once. But REINZ’s Waikato re­gional di­rec­tor Philip Searle warns house val­ues could drop as a ‘‘knee-jerk re­ac­tion’’ to the new gov­ern­ment. Yet he pre­dicts new in­ter­est in Hamil­ton in the New Year as Auck­lan­ders con­tinue to strug­gle with high prices.

In Hamil­ton, the av­er­age sale price of $535,000 is only slightly up on Septem­ber fig­ure of $533,000. How­ever, sales vol­umes dropped

15 per cent in Oc­to­ber due to the elec­tion hang­over and school holidays, said Lug­tons Real Es­tate man­ag­ing di­rec­tor Si­mon Lug­ton in his analysis on the REINZ data.

Just 237 houses were sold in Oc­to­ber 2017 com­pared to 278 in Oc­to­ber 2016.

‘‘So the lower vol­ume of 237, down on the pre­vi­ous month and same time last year, was not a huge sur­prise,’’ Lug­ton said. The spring flour­ish in the mar­ket ap­pears de­layed and Lug­ton ex­pects to see a flow of new stock to the mar­ket.

‘‘The sup­ply of avail­able hous­ing in Hamil­ton freed up no­tice­ably in Oc­to­ber with the late spring list­ing surge.

‘‘Auc­tion list­ing num­bers flow­ing through have in­creased dra­mat­i­cally in past weeks also. Auc­tion sales as a per­cent­age of the to­tal in Oc­to­ber was just un­der

22 per cent.’’

Bindi Nor­well

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