House values show signs of easing

New Zealand house values eased in the past three months as lower value, more affordable properties sold at a faster rate, due to continued demand from first home buyers, according to Quotable Value.

National residential property values fell 0.7 per cent in the three months through July and the nationwide average sits at $673,797, QV said. The annual increase was 5.1 per cent in July or 3.5 per cent adjusted for inflation, QV said.

In the Auckland region property values fell 0.1 per cent to an average $1.05 million in the past quarter

He there has been a drop in activity in some areas over the past few months and “this could possibly be due to the fact that some buyers are holding off purchasing, hoping they’ll attain a KiwiBuild property in the ballot. We’ll be monitoring the impact of the Government’s initiative over the coming months although its full impact won’t be felt for some time yet”.

Hamilton City home values rose 0.8 per cent over the past three months. The average value in Hamilton is now $558,615.

Tauranga home dropped 0.2 per cent over the past three months. The average value in the city is $702,850.

Values across the whole Wellington region rose 1.5 per cent over the past quarter. The average value is now $651,725.