New rating valuations on the way
Average house value for Kā piti is $810,000
Residential property values have risen across Kāpiti in the last three years by an average of 12 per cent, according to the latest revaluation by Quotable Value (QV).
The district’s property owners will soon receive new three-yearly rating valuations in the post, which show updated values that have been prepared for all 26,541 properties in the district.
They reflect the likely price a property would have sold for on August 1, not including chattels.
Since the district’s last revaluation in 2020, the value of residential housing has increased by an average of 11.8 per cent.
The average house value is now at $810,000, while the corresponding average land value has increased by 15.7 per cent to a new average of $451,000.
Kāpiti Mayor Janet Holborow said changes in property values will mean different things for different people.
“Housing is very personal, and circumstances can vary significantly.
“This change could be great news, not so great or of little consequence.
“What the valuations tell us is Kāpiti remains a desirable place to live, but like elsewhere in New Zealand, we have
challenges with housing availability and affordability.”
QV Wellington manager Hoa Quan said the last three years had been a “rollercoaster” for the property market, with record-low interest rates helping to drive significant value growth in 2021, before the market experienced a long period of decline throughout 2022 which continued until May 2023.
“Kā piti Coast was one of the hottest residential markets in New Zealand throughout 2021, peaking in late 2021 with an average value of just over $1 million, a 43 per cent increase over the 2020 revaluation.
“Though property values have softened over the past 18 months or so due to increasing interest rates, they’re still above the 2020 revaluation.
“For the three months prior to the revaluation date of August 1, the market has stabilised where no value decline has been recorded.”
Quan said properties at the more affordable end of the ladder have seen the most competition from first-home buyers, who remain the most active group in the market today, and have therefore experienced some of the largest average value increases since 2020 —¯ especially in and around Otaki.
The average capital value of an improved lifestyle property has increased by 22.6 per cent to $1,252,000, while the corresponding land value for a lifestyle property increased by 21.6 per cent to $711,000.
Meanwhile, commercial property values have increased by 13.9 per cent, and property values in the industrial sector have increased by 40.7 per cent since the district’s last rating valuation in 2020.
Commercial and industrial land values have also increased by 19.8 per cent and 48.1 per cent respectively.
The number of economic rural properties within the district is very small.
The pastoral sector increased by 21.4 per cent and forestry increased by 28.3 per cent.
The total rateable value for the district is now $23.76 billion, with the land value of those properties now valued at $13.04b.
Kā piti Coast District Council corporate services group manager Mark de Haast said the council understands revaluations can make property owners nervous about what changes could mean for rates.
“We know a rise in property value doesn’t suddenly mean a rise in the spending money people have available to them. An increase in your property value may not mean you pay more in rates.
“Where a property’s revaluation increase is larger than the average increase, the property will have a slightly higher rates increase than average. A property that has a revaluation increase lower than average will have a slightly lower rates increase than the average.”
If owners do not agree with their rating valuation, they have the right to object before December 14.
To find out more about valuations or to lodge an objection online, go to www. ratingvalues.co.nz or call QV toll-free on 0800 787 284.