Value for money in Waikato
Sales of residential properties around Matamata have slowed in the past year or two but the Waikato township continues to offer great value, according to local real estate business people.
Jack Van Lierop, LJ Hooker Matamata director, said listings were forthcoming but sales were slower than a couple of years ago, averaging 40-45 days.
Values are steady but purchasers are slower to make decisions. House values start at about $450,000.
‘‘Matamata is an area a lot of people like to live. It’s a good spot for families, good schools and handy to Hamilton and Tauranga,’’ Van Lierop said.
In the 2018 calendar year, 205 houses were sold in Matamata, with this year at 136 sales to July, the figures are about the same.
Subdivisional development was active, with local builders busy and more than 300 sections either on the market of coming soon.
The supply of residential rentals was better than it had been for the past few years, but tenants in good rentals were staying put. Some investors had sold, providing more opportunity for first-home buyers.
Van Lierop said the lifestyle market was strong and anything under $1 million sold fast, but a lack of listings partly caused by district council rules was limiting the subdivision of rural land.
Spending by the farming community had slowed due to the dairy payout and pressure on farmers from banks to reduce debt.
’’There is lots of pressure on farmers.
‘‘The appetite for [buying] farms is limited but values have stayed steady and we’re in a hot spot looking forward.’’
There is very little empty retail space in Matamata and on the commercial, and industrial front, sales had also dropped off in the past 12 months due to there being little for sale.
Matamata Harcourts owner Andrea Deane and sales consultant Roger Child agreed that buyers in the residential market were more cautious and taking their time over due diligence before purchase.
A recent change in rating system by Matamata Piako District Council had led to some uncertainty over values, which had also acted as a brake on the market.
’’There is a perception that CVs go up, the price of houses also go up. But compared to Auckland, Hamilton and Tauranga there is still good value to be found in Matamata,’’ Child said.
A bright spot on the horizon for the Matamata area was the nearby settlement of Waharoa, a few minutes’ to the north, which is becoming a focus for industrial and residential growth due to its rail connection to the Port of Tauranga.
In October 2018, Prime Minister Jacinda Ardern announced that $800,000 would be invested into Waharoa becoming a major industrial and food processing hub.
‘‘There’s going to be a lot of money spent and there are people looking for residential, commercial and industrial land,’’ Child said.