Live like a king down country
First-home buyers and those approaching retirement age are opting to buy a piece of paradise in the King Country.
But like the rest of New Zealand, new housing stock is hard to come by and real estate agents are struggling to keep up with demand, despite previous forecasts that the town could be set to lose a third of its people in coming decades.
Auckland house hunters and those moving to work at the upgraded Waikeria Prison and at the new Happy Valley Nutrition milk processing plant are among those looking for new homes in Te Kuiti.
The prospect of more people moving to the Waitomo district is good news for its mayor John Robertson and his councillors, who are on a campaign to reverse a projected population decline. Stats NZ showed Waitomo had a population of 9000 but a Waikato Regional Council economic forecast suggested only 6000 would be living in the district by 2060.
Harcourts Te Kuiti Sales Consultant Craig McKellar said house listings were ‘‘as rare as hen’s teeth’’.
‘‘Whatever you do get, it is sold straight away and for the fraction of the price of homes in Kihikihi, Te Awamutu and Hamilton. There’s been extra demand put on the housing market with the new milk processing factory at O¯ torohanga plus the extension of the Waikeria Prison.
‘‘There is no difference in travel time, from Hamilton to the prison, or from Te Kuiti to the prison but in Te Kuiti it is more affordable for renting and purchasing a house.’’
McKellar has lived in Te Kuiti for more than 30 years and worked as an agent for about 20 years.
‘‘What we need is for the council to set up a new development, but not a satellite one because that needs a lot more infrastructure and costs are a lot more.’’
McKellar said there was more interest from ‘‘outside of town’’ buyers than locals.
‘‘This has been going on for about five years. I get a phone call from Aucklanders who ask if they can have a look at a few homes. I get them in the car and I ask, why Te Kuiti?’’
McKellar said the city slickers were attracted to the lower house prices, the fact the town still had its own hospital, there were no parking meters, no traffic lights.
Buyers did complain about the high cost of rates but McKellar said Waitomo had a large road network with few people to pay for it.
‘‘That’s where the costs are incurred.’’
Housing stock in Te Kuiti was old. There were many brick homes built in the 1960s and 1970s mixed in with more modern properties.
There were also many weatherboard homes, 100 years or more old, but McKellar said these types of properties were in great demand from Aucklanders who wanted to renovate and live in them.
It was difficult to price a property now because the market was commanding higher prices than initial valuations, he said.
‘‘It’s definitely a sellers’ market now.’’
The Real Estate Institute of New Zealand’s monthly report for March showed the median price for a property in the Waitomo district was
$349,000, compared to $335,000 for the same month a year ago.
Website realeaste.co.nz had a 1910, three-bedroom villa listed for just
$290,000 in Te Kuiti, for those keen to put in some work in to return the house to ‘‘its former glory’’.
Another listing in Te Kuiti was for a 1960s, three-bedroom brick house, for $349,500.
Robertson said he met with Kainga Ora to see how the district could attract Government investment to build new homes.
‘‘We are build-ready. We have land available that is already connected to services like water, wastewater, we just need the houses to be built.
‘‘A lot of the other urban areas the Government is looking to build in, do not have connections to infrastructure like we already have.’’
Robertson said there were also land-locked Ma¯ ori properties which the council was keen to assist in to new housing projects.
‘‘Providing more homes for people will help us reverse those declining population forecasts. It will bring in more families, help our schools and our retail centres.’’
Rates could lower, possibly, when more houses were built because there would be a wider rating base for the council to draw funds from.
Robertson said he thought the ‘‘Covid factor’’ was encouraging people to move out of cities.