Tauranga |Mount &Papamoa |Katikati |WaihiBeach |Waihi www.professionals.co.nz/nrgrealty WE’VE GOTYOU COVERED! WithfiveofficesspreadfromTheBaytoHauraki,filledwillaward winning, experienced,enthusiasticstaff –youknowyou’ll bein safehandswhenitcomesto sellingorrentingyourproperty. 075788887 NRGRealtyLtd Licensed agentREAA2008 PLUS: Housepricesin your suburb —havetheyresistedthedownturn? Monday,September12,2022 PROPERTY REPORT
Thereare someplacesandcaseswherethenewrules maynotapply,likeculturalandheritagesites,areaswith outstandingnaturalfeatureslikeMauao,orproperties withcovenantsthat restrictfurtherdevelopment.Existing legislationsuchastheBuildingActstillapplies.
Manyofthesechangeshavealreadybeendecidedbythe Government,especiallyforbuildingsofthreestoreysor less,butthereare somethingswecaninfluence,likewhat developmentsoffourstoreysormorewilllooklike,and wherethesedevelopmentsarelocated. Telluswhatyou think, submissions areopen until Friday 23 September 2022.
Usethemapviewerattauranga.govt.nz/housing-supplytofindoutwhich changeswillapplytoyourproperty,oranyotherpropertyinthecity. Thehousingrulesare changing.For us,thatmeans havingourown home,insteadof sharing ahouse. 2 OneRoof.co.nz
Ifyoudon’thave acomputer,headovertoyourlocal library to use one therefor free, or look through the printed informationwehaveavailable.
TheGovernmentismakingchangestohousingrulesthat willchangewhatyoucandoonyourproperty.Inanutshell, peoplewillbeabletobuildmoreontheir residential sections and in some cases, won’tneed resource consent fromcouncilorapprovalfromneighbours.
Italsomeanstherewillbemoremulti-storeybuildings poppinguparoundourneighbourhoodsandcity,over time –whichwillgraduallychangewhereandhowwelive andwhatourcitylookslike.
Mymonthly surveyofrealestateagentsundertaken alongsideREINZhas just shownthat45%ofinvestors lookingtomake apurchasearemotivatedbyhopesof finding abargain, upfrom30%inFebruary.The smallest netproportionofagentsare seeinginvestorsstanding backfromthe marketsinceSeptemberlastyear.
elcometothelatestOneRoofProperty ReportandourfirstOneRoofFirstHome BuyerGuide. We wanted to putour expertisetouseandhelpnervous first-homebuyers andpropertynovicesmakesenseofthebuying process.Inthefollowing pageswe’llprovidetipsthat will supportKiwis on theirpropertyjourneyandset out whatgrantstheycan drawonwhen makinga purchase.
MysurveywithREINZshowsthatworriesabout highinterestrates,accessto finance,andevenfalling prices,areallabating.Italsoshowsnumbersattending openhomesrisingfor thefirsttimesinceFebruary2021. Thehousingcyclehasnowenteredthepreparatory phaseforturningbackupward.
Whyholdingo untilpriceshavebottomedis thewrongchoicefor
othersideof thetransactiongivingyoutheabilityto pickandchoose.
So,arefirst-homebuyersinfactstartingtofocuson thenewopportunitytosecureahome?Maybe.My latestsurveyof realestateagentsshowsthatforthe firsttimesinceSeptemberlastyearmoreagentsare seeingincreasednumbersof first-homebuyersthan decreasednumbers.Lastmonth anet36%wereseeing fewer.Thingsmaybechangingveryquicklyamongst first-homebuyersandifyouhave amisplacedfocus ongettingyour first housingassetatthebottomofthe pricecycleratherthanyour firstownedhome,thenthe clockistickingagainstyou.
Whenwetalkedaboutgetting afootontheproperty ladderitwasinthecontextofstartingsmall,thenlater upgradingtoaccountformorechildrenand ahigher incomefurtheruptheworkladder.Thesedaysit seemsmoretorefertooutrightbuildingof afinancial wealthportfolioandavoidingmissingoutonwealth accumulationbeingenjoyedbyothers.
Ifyouareafirst-homebuyerandyourfocusison wealthgrowth,thenyou thinkyouareincentivisedto holdoff untilpriceshavebottomed.Thisis adangerous strategyeasilychallengedin twoways.
W
Second,ifyour focusiswhereitshouldbeon securing ahomeratherthan thefirsthousingassetfor yourportfolio,thenwherethemarketsitsrightnow, potentiallyeventhismonth,isasgoodasitisgoingto getfor averylongtime.
Butforthoseofuswhomadeour firstpurchase beforegovernmentstoldusweneededtobuildwealth for retirementbecausenationalsuperannuationmight notbeaffordableoneday,lifetimewealthaccumulation wasnot reallythemotivation.Ourfocuswason securing ahomeinwhichtoraise afamily. We wanted somethingnottoofarfromourworkplace,perhapswith someoutsidespaceforplaying,gardening,andhanging thewashing.
MARKET WATCH
Alsoinsideare thelatestsuburbvaluesforallof NewZealand,provided by ourdatapartner, Valocity, andinsightsand commentaryfromindependent economistTonyAlexander, propertycommentator AshleyChurchandmortgagebrokerRupertGough.
naverageeachyearinNewZealandabout 80,000housesareboughtandsoldaroundthe country.Thisisabout4.4%ofthetotalhousing stockandmeansthatforthevastmajorityof peoplethesometimeslargeupsanddownsofhouse pricesareirrelevant.Sowhydowepaysomuchattention towhatishappeninginthehousingmarket?
O
We’veaskedNZ’sleadingpropertyexpertsto explainwhythehousing markethas changedinsuch ashortspaceoftimeand whateffect inflationand interestratesare having on houseprices.
Thatis,you sellwhenmarketsareexceptionally frothyandthereisnotroublefinding abuyerwhosets noconditionsforthelesserqualityassetyoumight wanttosell.Youbuywhenthereare ahighnumberof sellers,youcanuseeachas abargainingchipagainst theothers,andyoucanpickandchoosethebestquality assetswithgreatestlong-termoryieldgrowthpotential.
Mainlyitisbecauseweconsidermorewealthtobe betterthanless.Ifhousepricesarerising,wefeelricher, potentiallymorecleverandpleasedwithourselves, happieraboutourabilitytofundour retirementby downsizingifnecessary,andperhapswelike areasonto justifyspendinguplargeon aholidayornewfurniture.
Youcanpickup apropertyforasmuchas15% -20% lessinAucklandthanyouwouldhavepaidlatelast year.InAucklandyouhave80%morehousestochoose fromthan ayearago,outsideofAucklandalmost 130%more. Vendorshavelikely reachedtheirpointof capitulationtomarket reality,with arecentASBsurvey showing anet31%ofpeopleexpectpricestofallfurther (28%inAuckland).Thissurveyisnot agoodpredictor ofwhatwillhappen, butitdoesinthisinstanceallow ustosayvendorshavealmostcertainly lostfaithinany beliefthatwaitingwillyield abetterprice.
Shouldyoutryandbecleverandholdoutforthe final5%ofpricedeclines?Considerthis.Haveyouever heardyourparentsorgrandparentsbemoanthefact theyboughttheir first housefor$65,000buthadthey waitedthreemonthscouldhavegotitfor$61,750?
•TonyAlexanderisanindependenteconomics commentator.Additionalcommentaryfromhimcanbe foundatwww.tonyalexander.nz
Theriskiest move afirst homebuyercan make
Forthosewho can’ttelltheirdeadlinesalesfrom theirtenders,andare terrifiedbyauctions,this isthe perfectguide.
ff
First,as anewbieintheinvestment fieldyouwon’t yethavelearnt akeylessontheexperiencedinvestors have.Don’ttryto pickthetopsandthebottoms.You’ll feelfarworsewaitingtoolongandmissingeitherthan takingadvantageofthelargenumberofpeopleonthe
Kiwis tryingto geta footonthe propertyladder,writes TONYALEXANDER “RIGHTNOW, POTENTIALLY EVENTHISMONTH,ISAS GOODASITISGOING TO GET FOR AVERYLONGTIME.” From theeditor 4 Coverstory:Beginner’sluck 9 OneRoofFirstHomeBuyerGuide 25 Moneymatters:RupertGough 26 OneRoof-ValocityHousePriceReport 38 Comment:AshleyChurch Inside Designandcover Beth Walsh │ Artwork Derek Watts Subeditor Akanisi Taumoepeau Photos FionaGoodall, TedBaghurst,PeterMeecham, GettyImages Design |Construction |Paving |Decks& Fencing |Gardening| TreeCare |ReadyLawn Mark Richards0211721515theoutdoorsmanltd@gmail.com NZHITO *AdvHorticulturist *AdvLandscaper *Agronomy
Thisis aproblemforcurrentfirst-homebuyersright thismomentbecauseofthestagewhichourhousing cyclehasjust reached.Currentlythereisa dominant focusonhowmuchfurtherpriceshavetofallafter alreadydeclining10.4%fromtheirnationwide peak lastNovember.Aucklandpricesaredown16%.The commonexpectationisthatpriceswilldeclinemaybe another5%.Afterthatitseemstheprevalentview isthingswillsit flatforanextendedperiodoftime. Actually,I expectrisesof5% -10%in2023.
Keep in theknow!
BEGINNER’S LUCK
Listings areup, pricesare down andcredit rulesare loosening. Can first home buyers getahead, when so muchhas beenstacked against them? CATHERINE MASTERS checks out the state of the market. ? FIRST HOME BUYERS | COVER STORY
PHOTO /T ED BAGHURST
4 OneRoof.co.nz
RupertGough, CEOandowner of the MortgageLab, says interest rates arethe really big problem in thefirst home buyer market because higher rates meanpeople lose asignificant amount of their buying power
“I think therewas alot of despair around ‘I can’t find a house’ ayear agoand nowit’s back to ‘I can’t affordthe house Iwant’. That’s ahuge change.”
“If you have half amillion dollars of debt,for every percent your mortgagerate goes up,that’s $5000 of additionalinterest.”
The rollercoaster housing market changes direction quicklyand not-if-but-when it flips back to asellers’ market firsthome buyers could again struggle to compete.
People arealso realising thereisnopoint stretching their budgets to the maximumoftheir loan approval, he says.
OneRoof.co.nz 5
Given house prices have dropped, this is still amore preferable scenario to being approved for $1m but not being able to snareahouse at all amid thebuying frenzy last year,Gough says.
If they were entering the market now,with the FOMO having dissipated, they may have decided not to uproot themselves, he says.
“If they could have afforded $1m last year for a mortgageitwould be about $850,000 this year”
CHANGING MINDSET
“As abroker Icalled all my firsthome buyers who couldn’t buylast year and told them themarket is changing; nowinvestors areout; now it’s your time to get in and buy.”
While high inflation has grabbed headlines with stories of people cutting back on their spending, Patterson says the untold story is whathappenswhen people refix their mortgages.
Forastart,thephonesareringingagain–but Kurukuntalasaysfirsthomebuyersarealsocomingback tothemarketfarmoreeducatedandmuchmoresensible.
But mortgage broker Solomon Kurukuntala,fromthe Loan Market, who works in firsthome buyer areas in Auckland’s south, says he’s noticed changes in the first home buyer psycheoflate.
Kurukuntala also thinks firsthome buyers arerelying on brokers morethan banks, and shoppingaround among brokers, to make surethey aregetting theright information andthe best deal.
James Wilson, head of valuations forOneRoof’sdata partner Valocity,saysfirst homebuyers who think they
Some have said next year is notsoon enough because the CCCFA, which has seen banks examining expenses on the bank statements of would-beborrowers with a magnifying glass, has stopped many firsthome buyers in their tracks.
Gough also sayspeople haven’t grasped the magnitude of geographical barriers being removed from the firsthome loan price caps, saying anyone earning less than$150,000 can access the first home loan scheme and withalow deposit.
“They realise they can’t keep spending theway they used to beforeand alsohave amortgage.”
MISSED OPPORTUNITIES
But even with the tweaks and the housing market having turned alittle in the favour of firsthome buyers, meaning they can take abit of time to look around and put in offers with conditions attached instead of trying to buyunconditionally at auction, many say new buyers should not taketoo long to make up their minds.
He says he bought when rates wereabout 5per cent but was alwayslooking at how he would cope if they were10per cent or more.
”If the unthinkable ever happened and they went to something like 12 or 15 percent would Ihaveaway to get through?”
“Theyknowverywellthewaythingsaregoingwith interestratesandothercostsiftheywanttospend$1mor morethenthatit’sgoingtoputalotofburdenonthem.”
“USUALLY, BEFORE YOUREALISE IT’S HAPPENING,YOU’RELOCKED OUT AGAINSODON’T FALL INTOTHE TRAP OF SITTING BACK AND WAITING.“ JAMESWILSON, VALOCITY HEADOFVALUATIONS
They aremoreaccepting of the higher interest rates whereas at the beginning of the year they wereshocked at how theyweresoaring: “Now they realise that is the reality and people do understand inflation and everything.”
Awin for first home buyers, though, was this year’s Budget announcement of the removal of first home loan caps nationwide and theincreasing of the price caps for first home grants.
Economist Benje Patterson, however,urges caution about buying far from home just for the sakeofgetting on the property ladder
Patterson also saysfirsthomebuyers shouldworkout their own mortgage repaymentbudget on very high interest rates, regardless of whatever thebanks’ shortterm stress test rates are, because anything canhappen.
Caveats to thegoodnews for firsthome buyers is not just high inflation and risinginterest rates but the fact banks aretesting people’s abilitytorepaymortgages on much higher rates.
suburbs and also other parts of the country
The relaxation of the stringent CCCFA(Credit Contracts andConsumer FinanceAct) lending rules banks have been applying around home loan applications has seen newbies being able to dip their toes in thewater again -and those rules aredue to befurther loosened, although the next wave of changes won’t take place until March.
“Some of that is not necessarily because of theallure of the place they’ve moved too, it’s morethat they think they need to have ahouse at all costs.”
Developers have become morerealistic, too, he says, which helps because they areselling property for afair price as opposed to wanting morethan what the house was worth in last year’s market
Patterson says he haspeers who are“not completely comfortable” with wherethey have ended up and some have found themselves stuck in aplace that doesn’t quite fit them and far from their social connections.
IRST HOME BUYERS areemergingfroman enforcedhouse buying slumber,although the road to home ownership is still noteasy. Tweaks to Government regulations and home loan schemes, however,have eased the pain abit after adifficult few years, say agentsand commentators.
“In 2020 and 2021 if peoplegot approved for $1m they wanted to buy ahouse for$1.2m but now the trend is if they’reapproved for $1m they arelookingathousesat $900,000.
INTEREST RATE PRESSURE
“That kind of salary gets you about $800,000 of borrowing. That’s anywhereinNew Zealand and $800,000insome parts of New Zealand buysalot –you could get afour-bedroom house in the provinces.”
That’s because they have to find alot moremoney to pay back theloan.
“Over recent years we’ve seenalot of people pushed in to places they don’t actually really want to live,both
And while the banks have dialleddown on the CCCFAstringency,Kurukuntala says the strictness over the firsthalf of the year contributed to achange in the cultureofhow first home buyers managetheir finances.
6 OneRoof.co.nz
TheASB’s chief economist,Nick Tuffley,says he sees two bigpositivesfor first home buyers at the moment one is house prices arelikely to keep falling into the early parts of next year,and the other is the disappearance of the FOMO factor
“You’vegotfirst-homebuyerswhoare expatscomingback,whohavebeenontheir OEforfiveorsixyearslookingtospend around$1m,andthenyou’vegototherpeople whoareenteringintothemarketatthelower levelofentryprice.
But he says even though house prices have fallen first home buyers shouldn’t be fooled intoexpecting the market to fall further,saying while that mayhappen the minute the market stops softening it could take off upwards again quickly
“Asinglepersonmightwanttobuyan apartmentclosertotownandbehappywith thatandifyouareacouplewiththreekids you’rewantingadifferentconcept.”
Martinsaysit’sagoodtimetobelooking inTaurangaastherearearoundthreetimes morepropertiesonthemarketthanthere wereayearago
THE TAURANGA first-homebuyermarketis asvariedas itsbudget,saysSimonMartin, branchmanageranddirectorofHarcourts Tauranga.
“Youcanbuyanywhereforthatsortof price,itjustdependsonwhatyou’regoingto get
Evenhighlysought-afterMtMaunganui couldbeanoptionforpeoplewith$600,000 up–it’sstillpossibletobuy astandalone houseinthepriceysuburb,hesays:“There’s alotofvaryingareasoftheMount,it’sa massivemarketplace.”
can’t affordtobuy ahomeshouldnot be swayed by advice from mum or dad or familybut should talktotheirbank or abroker
Ex-pats with $1m to spend are heading home
“Somebanksaregivingquitesubstantial cashincentivesandthingslikethat.”
Taurangaagentssaythere’sbeenarise inthenumberofpeopleturninguptoopen homesinthelastfewweekslargelyduetothe fineweatherandcertainpropertiessuchas entrylifestyleonesprovingextremelypopular OneonPanoramaDrive,inWelcomeBay, hadaconditionalcontractonitafteronlya weekonthemarket.Whilethepricecan’tbe revealedyet,thepropertywasseekingoffers over$990,000
But Tuffley pointsout therehave always been, and always willbe, cycles in prices and interest rates.
FIRST HOME BUYERS | COVER STORY
TAURANGA
Oncethebudgetisestablished,the Taurangamarketshouldhavesomethingto suit.Thelowerendofthemarketisinthe $600,000to$800,000range,hesays.
“They’reable to buy properties alot moreontheir own terms of howthey go about it and any potential conditions they put on the purchase.”
Martinwouldpointasinglepersonatalock and-leaveunitincentralTaurangacloseto amenities,andhewoulddirectyoungfamilies toanyofthesuburbsclosetotown.
“Go and find out the factsbecause you may be surprised, you could be alot closer to being able to buy than you think.”
Martinrecommendsasafirststeppeople gotoseeamortgagebrokerbecausethere arealsomanyoptionsnowavailablearound subsidiesanddifferentofferingsfrombanks.
Buyershavebeentusslingoverentry-level lifestylepropertiesintheregion.
“Usually,beforeyou realise it’s happening, you’re locked out again so don’t fall into thetrap of sitting back and waiting.”
With interest rates the way they aredebt servicing affordability is an issue as first home buyers generally start from lowdepositsbut want to borrow alot.
“Therearealsofirst-homebuyerswhoare buyingpropertywithotherpeoplesothey areabletoborrowmorebecausetheremight betwoorthreeofthemgoingtogetherina property.There’snoboxyoucanputthem into.
“IF YOUHAVEHALF A MILLIONDOLLARS OF DEBT, FOR EVERYPERCENT YOUR MORTGAGERATE GOES UP,THAT’S $5000OFADDITIONAL INTEREST.” ECONOMISTBENJEPATTERSON
PHOTO /G ET TY IMAGES
PHOTO /TED BAGHURST
OneRoof.co.nz 7
“We’ve gottotake that perspective that we get these periods whereinterest rates maybequitehigh and that can make life abit challenging for ayear or two butthey arenot always goingtoremain at those levels.”
8 OneRoof.co.nz
LovegrovesaidareassuchasHillcrest, WesternHeightsandŌwhataareallgood placesforfirst-homebuyerstolook.
youcangetmuchmorebangforyourbuck thanyoucaninHamiltonorTauranga.”
PrincipalandbusinessownerJacqueline O’Sullivansaidafirst-homebudget inRotoruaisbetween$450,000and $600,000andtheycouldbuyinsuburbs likeMangakakahi,WesternHeights, PukehangiandNgongotaha.
Hesaysthecurrentcropoffirsthome buyersismoreeducatedthantheir counterparts10yearsago.Butwhilebuyers knowwhattheywant,gettingfinance approvedisstillthehardpart.
“Nowifyourbudgetisinthe$500,000s let’ssayeven$500,000to$550,000, you’vegotafightingchanceoffinding something.Hey,itmaynotbeinthebest locationorbestcondition,butyouwillfind somethinginthatrangeandweareseeing moreofthosebuyerscomeoutofthe woodworkatthemoment.”
ProfessionalsMcDowellRealEstate principalSteveLovegrovesaidbuyinga houseinRotoruaforaround$500,000was unheardofsixmonthsago.
Theyshouldn’tmuckaroundbecausethe tideisalreadyturning,hethinks.
HarcourtsRotoruadirectorWayne Pammentsaidtherearemorefirst-home buyersthaninvestorslookingatthe momentandthere’splentyofstockto choosefrom.
Therewerearangeofoptionsforbuyers andalotmorestockavailable,sheadded.
Residential /Commercial /Rural /PropertyServices NORTHLAND,AUCKLAND,WAIKATOANDBAYOFPLENTY -2022 Unrivalledin reachand effectiveness,theintegrated View marketingpackageoffers youacomprehensivecampaign inaddition to standardproperty marketing,putting yourproperty infrontofasmanypotential buyersaspossible. 0800BAYLEYS bayleys.co.nz/view LICENSEDUNDERTHEREA ACT2008 ListwithBayleys’View. FEATURING 102 2022 placebyt Bayleys’g purchasing gionalview napshotofthepropertymarketin FIRSTHOMEBUYERS | COVERSTORY Beingabletobuy ahousefor $500k‘unheardofsixmonthsago’
“Ourinquiryhasjustgonethroughtheroof. Peoplecomingthroughthehousesisstarting toliftquitequicklynowandwe’reactually startingtogetAucklandinvestorslookingatit.
ThesouthsideofHamiltonis“about toexplode”withallthenewsubdivisions openingup,hesays.
ITBOASTSSEVERAL lakes,foresttracks, iscentrallylocatedanditshousepricesare thatlittlebitcheaperthanitsneighbours.
“InthelastfiveyearsIdon’tthinkthere wouldbeabettertimeforpurchaserstobe gettingoutthereandbuyingaproperty.”
“Generally,thesuburbscanbequitea wide-rangemix.Youcanhavemillion-dollar propertiesinŌwhataandyoucanhave $500,000propertiesinŌwhata–itjust dependsonwhatpartofŌwhatayouwant tobein.”
ROHAMILTON TORUA
PHOTO /F ELIXDESMARAIS
Forthatpriceitwouldmostlikelybe anolderthree-bedroom,one-bathroom propertythatmightrequireabitof“elbow grease”,hesaid.
PHOTO /FIONAGOODALL
Glenview,Melville,Dingwallprobablyoffer thebestbangforbuckforfirsthomebuyers, hethinks
“Ifwecompareagainstourneighbouring regionsandcities,it’sgotgoodvalueand goodjobprospects.Youwouldhavetosay
ThefactthatRotorua’shousesare cheaperhasevensurprisedthecity’s agencyheads,whobelieveitoffersalotof potentialespeciallywhenfirsthomescan besnappedupfrom$450,000.
Aslightdropinhousepricessince thebeginningoftheyearmeansthreebedroom,one-bathroomhomesina numberofitssuburbsarenowwithinreach.
“Iftheyareturninguptoopenhomes, theyareactuallyinthemarketandtheyare activeandthey’vedonetheirworkwitha mortgagebroker.”
ABIG MOTIVATOR forfirsthomebuyers intheHamiltonandwiderWaikatoregionis beingclosetofamily,saysMarkKeesom, principalforRayWhiteHamiltonCity. “Outsideofthat,itjustcomesdownto theirbudgets.”
Thesesuburbsarenearthehospitaland themajorityarefreeholdproperties.
TheSouthsideisalsocheaper–afirst homebuyercouldpickupa1970sthreebedroomhouseonafullsiteforbetween $650,000and$700,000,hesays.
“Thishappenedfouryearsagojustasthe firsthomebuyersstartedtogo‘maybewe shouldstartbuying’andthentheinvestors starttocomeinandstarttopickthegood propertiesoffandthentheystarttomissout.”
‘Itjustcomesdowntobudgets’
Andfirst-homebuyersseemtobewell awareofthisasagentsarenoticingan increaseinthenumberofpeopleattheir openhomesoverthepastfewweeksand manyofthemarepeoplewantingtogeton thepropertyladderforthefirsttime.
Keesomsaysfirsthomebuyerswouldbe thelargestpoolofbuyersandtheyfallina variedpricerange,from$500,000homes to$900,000.Notallareyoungsters.with Keesomsometimesseespeopleintheir40s tryingtogetinthemarketforthefirsttime.
“Glenviewisthetraditionalsuburband thoseothersuburbsarestartingtogrow quiterapidlyaroundit.Alltheroadinghas beendonethroughHamiltonandthey’re goingovertotheSouthsideofHamilton now,sothenorthhasdoneallitsgrowthand everyoneisgoingSouth.”
PammentsaidRotoruaisafantasticarea forfirst-homebuyers.
“That’sjustthebighurdleatthemoment. Peoplewanttobuyhouses,theywanttogo anddothingsbutthebanks-it’sabigwallto climbatthemomentforthem.”
Theyusuallyhavebetween$450,000 and$700,000tospend,whichcouldget themreasonablytidythree-andfourbedroomhomesinmostsuburbswith theexceptionofthemoreexclusiveareas suchasSpringfield,Otonga,Lynmoreand Glenholme.
Tohelpthelargenumberoffirst-home buyersinthemarket,RayWhiteRotorua decidedtorunseminarsforthemonhowto secureamortgage.
“Whetherornotthey’vecomebackfrom overseasI’mnottoosurebutcertainlymid20sintoaboutthe30sisprobablythevast majorityofthem.”
That’sashamebecause“onehundredper cent”it’sthebesttimeforafirsthomebuyer tobelooking,Keesomsays.
BY DIANACLEMENTguide to The
W
Findouthowmuchdeposityou need,howto qualifyfor amortgage, thedifferentsalesmethods,buying new,andthelegalprocess. We cover allthemainquestions andissuesthat first-homebuyerswillencounteron thejourney.
OneRoof buying your firsthome
Discoverwheretostartandhowto buywith OneRoof’scomprehensive guide.
Buying your first homeis abig step. Butevery yearthousandsofNew Zealandersmanagetodo it and becomehomeowners.
ithproperty pricesfalling, moreand morefirsthome buyers willachieve theirdreamoverthenext 12 to24 months,picking upthekeys totheir veryownhome.It’sdo-able withthe rightknowledgeandattitude.
We’vecmpiled aseriesofarticles coveringthehome-buyingjourney fromdreamto reality.Thisguide coverseverythingfrom:howtosave for adeposit,tosettlementday,when thehomebecomesyours.
Often, first-home buyerswill seek to supplement their income to helpcover therepayments:
Makesureyou calculatethe upfront costs of buyingahomesuch as lawyers’ fees and LIMs, and alsonew ongoing costs such as council rates, body corporatefees andhouseinsurance.
● Youwon’t be tempted to dipinto your savings for everyday spending
Tocalculatehowmuchyouhave foradeposit,adduphowmuchyou havesavedalreadyinKiwiSaver,other investmentsandinthebank.Youmaybe abletoborrowmoneyfromthebankof mumanddad,or,ifyou’relucky,receive agiftthathelpsyougathersufficient deposittobuy
● Good an additional 3%, although some employers use a“total remuneration” clause in the employmentagreement to avoid paying this.
How much you canborrow fora mortgage comes down tohow much the bank believes you can repay comfortably
Whatyou canaffordnow mightchange in thefuture
Ifyoucanafford to,it’sworth budgetingforhigher repaymentsora shorterloanterm(25 or15years).
Whatare the upfront costs and legalfees?
Ahome-buyingbudgettakesintoaccount howmuchyouearn,howmuchdeposit youhave,thecostsofbuying,andwhat yourone-offandongoingexpenseswillbe afteryoumovein.
10 OneRoof.co.nz
When banks assess whether they will lend to you, they use atest rate which is several percentage points higher than the actual interest rate. This helps ensureyou can affordthe mortgage if interest rates goup. It is still agood ideato create apersonal budget based on your actualexpenses.
Mostfirst-home buyerstakeouta 30-yearmortgage becausethe repaymentsare lowerthanshorter mortgageterms However,thelonger themortgageterm themoreinterestyou willpayintotalover thelifetimeofthe loan.
When buying your first home, it’scritical to set arealistic budget.It’s thefirst step in working outhow much youcan affordand how much thebank is likelytolendyou
● $1000 to $1500 forconveyancing/legal fees
Saving for ahousedeposit requires that you spend lessthan you earn. Most firsthome buyers save with KiwiSaver.There aremany advantages to this:
You’ll need to learn some of thejargon:
● CreditContracts and Consumer Finance Act (CCCFA): alaw thatrequireslenderstoact responsibly.Itcan, however, restrict how muchhome buyers can borrow because banksare required by lawtoensurethe loan is affordable forthe home buyer
● Buying as asingle or acouple: Buying with two incomes is usually
easier than one. If you are applying for ajoint mortgage (with apartner,family member or friend) the bank will calculate how much it will lendyou based on your joint income and expenses. If the mortgage is 100% in your name the amount you can borrow will be based solely on your income and expenses
● Having atenant, flatmate or boarder: If youplantolivewith aflatmate in yournew home,you mightbeable to count some of the rent as income in the mortgage calculation. Be aware that lenders won’t count theentirerent paid to youasincome.
Paymorethan theminimum repaymentif youcan
Thingstoconsider
1 FIRST HOME BUYERS GUIDE
Most buyers need 20% of thehome’s purchase price as adeposit in order to borrow therest as amortgage.With a brand-new home,the deposit is 10%.If youqualify for schemes such as Kāinga Ora’s FirstHome Loan andFirst Home Partner,itispossibletobuy with a5% depositprovidedyou meet certain income and propertyprice thresholds.
Thetotal amount of money you need to buy ahome is more than just the deposit. Upfront expenses forbuying ahome include:
● At least $400 for each building inspection
Most banks have affordability calculators, which crunch your income andspendingtodetermine how much youcan comfortably payeach fortnight or month.
● You’ll receive the annual government contribution of up to $521.
● SETTING A BUDGET
The first step in working out howmuch you can affordand how much the bank is likely to lend you is to crunch the numbers to determine howmuch you can affordtospend on ahome. This helps you focus on the right housesin your price range.
Once you’ve worked out how much deposityou have, youwill have an indication of how much youcan afford to payfor ahome.Itisimportant to understand howmuch homes are sellingfor in theareayou areinterested in moving to.Youcan find sale prices for recently sold houses, estimates based on sales in the area and alsouse our house prices report updated monthly on OneRoof.co.nz.
Using KiwiSaver
● Youmay also qualify for aFirst Home Grant. The grantranges from $3000 to $20,000 depending on the number of yearsyou’ve been saving,whether the home is existingorbrand-new,and if you’reasingle or acouple, buying.
Supplementing income to affordrepayments
● Debt-to-income ratios (DTIs): some banks will onlylend you a certainmultiple of your income, such as six timesyour salary
How much canIborrow?
Speak to thebank or a mortgageadviser Yourbank’smobilemortgage manageroranindependent mortgageadviser(broker)canhelp youdothenumbers.Theservice isusuallyfree.Yourmanager oradviserwillgothroughyour financesandadviseonissuessuch asconsumerdebt,andsuggestways toincreasetheavailablesurplus youhaveformortgagerepayments.
● Loan-to-value ratios (LVRs): the percentage of theloan that the bankiswilling to lend. It adds up to 100%. So if the LVRis80%,you needa20% deposit.
Yourmortgagealsocan have hiddencosts suchaslendersmortgage insurance (LMI)/LowEquity Premiums(LEP)ifyourdepositis lessthan20%.
The costofbuying ahomedoesn’t stop withmovingin. Youmayneedto budgetfor renovationcosts.
OneRoof.co.nz 11
Additional costs
Ongoing expensesincludefortnightly ormonthlymortgage repayments, utilitiesbills,councilrates,home insurance,andmaintenance.Inmany apartmentcomplexesyouwillhave body corporatefeesto pay, which do atleastcoveryourmaintenanceand insurance.
● Around $300foreachLIM(Land InformationMemorandum)
If ahousepurchasefalls through andyou havetostartagain,you mayhavetopaymorethanoncefor buildinginspectionsandlegalfees.It’s unfortunate,howeveryourbuilding inspectorand/or lawyercansaveyou frombuying alemon.
Movinginalsocostsmoney.Thereare removaltruckcostsifneeded,utility connection feesandyouwill needtobuy furniture andfurnishings(unlessyou alreadyownthese).
Using Kiwisaver
The banks may be able to split your pay into various accounts as it comes in, which makes saving easier
SAVING FORA DEPOSIT
● What the home willcost
Budgeting is essential for anyone who is serious about saving for afirst home. It will help you prioritise spending in order to reach your goal faster
higher deposit, you will sometimes get alower interest rate.Also, because you’reborrowing less, your regular interest payments will be lower.They’recalculated on the outstanding mortgage balance.
How to createabudget
Start by searchingOneRoof to get an ideaofhow much you’ll pay for a home in yourcriteria.
Next, compareyour expenses with your earnings.
Thereare many budget apps on GooglePlay and theApp Store. Make surethe one you choose works for New Zealand. Some budgeting apps such as Booster’s mybudgetpal (free) and PocketSmith (paid) download your bank transactions automatically,which makes budgeting quicker
Earning moremoney makessaving for adeposit easier.Italso increasesthe amount you can borrow
Trygaming yourself to spend less and savemore. That might encourage you to thinkbeforespending unnecessarily If youwantyour budget to succeed, always makesureyou give yourself afixedsum of “fun”moneyeachpay packet to spend on whateveryou want, then manage the rest carefully
● Ask parents forhelp. Some parents areinthe financial position to help
12 OneRoof.co.nz
● Increase your KiwiSaver contributions. If you’re already saving all you can, great. If you needsome encouragement, you could increase your KiwiSaver contributions because it comes out of yourpay before you receive it.You can choosecontributionsrates of 3%, 4%, 6%,8% or 10%. Then just adjust yourbudget aroundyour newnet pay.Ifyou can’t committoputting away moreinKiwiSaver because you might need it in emergencies, at least set up automatic payments from your bank accountintosavings.
Saving for ahouse deposit is not easy, but the sooner you have adeposit, the sooner youcan buy
All the banks have mortgage calculators, which give you an indication of how much your mortgage will cost each fortnight or month. Sorted.org.nz also has amortgage calculator.Some banks have goal planners.
Budget apps and spreadsheets are available on the Internet. Sorted has a simple budgeting tool. Most banks also have tools to help you budget.
Theverybestplaceto keepyourfirst-home savingsisinKiwiSaver becauseofthebenefits forfirst-homebuyers. You’llneedtosavefor atleastthreeyearsin KiwiSaverbeforeyou canuseittobuyyour firsthome.Togetthe mostoutofKiwiSaver youneedtosaveforfive yearsormore.
AllKiwiSavers receiveagovernment contributionofupto $521.43eachyearon thefirst$1042.86saved. Ifyou’reemployed,you shouldalsoreceivea contributionfromyour employerequalto3% ofyourgrossincome Anotheradvantageof savingforahomeloan withKiwiSaverisyou can’tbetemptedtodip intoyoursavings.
Work outhow much youneed to save
2 FIRST HOME BUYERS GUIDE
Toolstohelp yousave
● If you have asurplus income each month: this is agood place to be, but you might still need to reduce your outgoings to reach your savings goal.
With abrand-new home, thedeposit is usually 10%. Those who qualify for schemessuchas Kāinga Ora’sFirst Home Loan it could be 5% if youmeet certain incomeand propertyprice thresholds.With First Home Partner, the deposit will vary according to how much aparticipating lender is willing to lend to you andthe percentage contributionKāinga Ora will make towards purchasing the homewith you.
If your first home is likely to cost $600,000, a5%depositis$30,000, a10% deposit is $60,000, and 20% is $120,000. For an $800,000 house, that’s $40,000, $80,000 and $160,000. You’ll probably need another$5000 to $10,000 for your purchase and moving costs.
● If you break even each month: you may have enough income to cover mortgage repayments.
How long will it take?
First, download your bank account, credit cardand loan statements for the past three months and then categorise the spending under headings such as: food, utilities, rent, giving, saving, and fun money
Topsavingstips
If you’ve decided to buy yourfirst home, you’ll need to save fora depositand the sooner youstart the better.Hereare some practical tipstohelp you startsaving
How long it will take you to save for a deposit on your first home will depend on:
Decreasingwhatyou spend now can pay off.Ifyou’relike most New Zealanders, you’ll spend morethan you needto, and smallexpenses addupvery quickly
● If you arespending morethan you earn: you will need to cut costs.
To set your savings target for the deposit, work out approximately what you expect your first hometo cost at the time when you’reready to buy.With that figureyou can work out howmuch your 5%, 10% or 20% deposit will be in dollar terms
If you can, savingmorethan the minimum deposit makes sense. With a
● How much deposit you willneed, and
● Payoff consumer debt. If you’re paying interest on storecards, credit cards, hire purchase, or otherdebts, it’s slowingdown your savings. Pay off thehighest interest debtfirst if you can. Paying downconsumer debtisimportant if you’regetting ready to buy.Any debt youstill have, including student loans and buy now pay later, willreduce the amount you can borrow because youhaveless spare money to payyour mortgage. If youcan’t increase payments on the existing debt as wellassave for a deposit,then at least stoptaking out new debt. If youcan’t trust yourself, cut up your credit andstorecards.
Afterthreeyears youcanwithdrawallof yoursavings,except for$1000,tobuyyour firsthome.Saverswho qualifycanalsogeta FirstHomeGrantofup to$5000perperson foranexistinghome,or $10,000forabrand-new home.That’sdoubled iftwopeoplesuchas acouplearebuying together
Once you know how much deposit you need, dividethat by the sum you plantosave weekly or monthly,and from this you canworkout how many years it will taketoget your deposit together
● How much disposable income you have to save after necessitiesare paid for
● Learnhow to savemoneyon groceries. Oneofthe bigexpenses whereweconfusewantsandneeds isoursupermarkettrolley.Planyour meals,learnto cook,andaskyourselfif everyiteminyour trolleyisa necessity. Manyaren’t.Comparepricesbetween mainstreamsupermarketsandother suppliers.Youmay havea Chineseor Indian supermarketnearyou, acheap fruitandvegetableshop,or afarmers market.Savingscanbeconsiderable.
OneRoof.co.nz 13
andmaybeabletolendorgiftyou someofthedeposit.
● Find an additionalsourceofincome. Somesaversget asecondjob,or aside hustle to makeextramoney.Youmight alsowanttoselloff someunwanted belongings.Doingsocouldadd afew thousanddollars to yoursavings,but alsoteachyounot to confuseneeds andwantsinthefuture.
adepositcouldbeeasierifyoumove backhome,takeinflatmates,orget acheaper rental.It’snotforeverand canspeedupyourhomepurchase considerably.
● Reduce yourday-to-day expenses. Makingsavings is easierthanyou think. Take areallyhardlookatyour bankandcreditcardstatements.Most peoplehavemoreentriesforlunches, coffees,takeaways,and restaurants thanthey think.Take alonghardlook atyoursubscriptionsfromsoftware toNetflix.Cutthemout,orlimitthe numbertomakethem atreat.
● Shoparound forbetterdealson
yourpower, broadband andmobile
● Watch living costs. Renteatsupa huge chunkof yourincome.Saving for
if y. n
SALE
$ $
Ifyou haven’t done this for 12
phone. Ifyouhaven’tdonethisfor12 monthsmostlikelyyou’reonan old plan,whichcostsmorethanthelatest onebeingofferedto newcustomers.
● Getapay riseorswitch jobs.You canincreaseyourincomebyseeking apromotion,orswitchingemployers. Earningmoreatworkisn’talways easy.Lookatyourskillsetthentalk toyourbossorhuman resources departmentabouthowyoucanmove upintheorganisation.Ifthereare nopossibilitieswithinyourexisting organisation,itmay be timetomove.
● Speaktoanaccountant,mortgage adviser(broker)orfinancialadviser earlyon.Theycangiveusefuladvice.
Youcould delay your purchase. That allows you to build up abiggerdeposit and/orincrease your income, both of which allow you to borrow more.
Thegeneralruleis thatyouwillneedto earnsufficientmoney tocoverrepayments afteryourexpenses.
Howmuch shouldyou beearningto payoffyour mortgage?
If you’reunsure about which home loan options arebest foryou,your mortgage adviser or manager can help identify the most appropriate for your financial circumstances.
Thehome loan application process
As well as choosing the most appropriate type of home loan for your circumstances, you also need to consider floating versus fixed interest rates.
● Proof of address.
Mortgage calculatorscan give you an indication of how much you may be eligible to borrow
Afloating(variable) interest rate can rise or fall at any time, affecting your repayments.Afixedinterest rate(for anywherebetween one andfive years) ensures that the interest rate youpay on your loan is fixedfor theentirety of that period.Your repaymentsdon’t change until thefixed-rate period expires.
Areducing loan is similar,but has higher repayments at the beginning because you’repaying moreofthe capital than a table loan.As the amount outstanding to the bank goes down, so too does the
Home loan eligibilitycriteria Whenbanksassessyourloan,they wanttodetermineifyouareagood risktolendto.UndertheCredit ContractsandConsumerFinance Act(CCCFA),banksandother lendersmustlendresponsibly Cuttingbackyourspendingsix monthspriortoapplyingfora mortgagecanhelpyourapplication considerably Ingeneral,yourhomeloan eligibilitywillbeassessedonthe following: ● Income ● Expenses(bothessentialand non-essential) ● Consumerdebt(including studentloans) ● Yourcreditrecord ● Whetheryou’reacasualor permanentemployee,orselfemployed Consumerdebt,includingstudent loans,reducestheamountyoucan borrowbecauseanyrepayments aredeductedfromyouravailable income.Youshouldalwaysbe upfrontwithyourmortgageadviser (broker)orbankmortgagemanager aboutyourdebtswhenyou’re applyingforamortgage
Starting out
How much you canborrow forahome loan depends on the size of your deposit. If you’rebuying an existing property, you’ll usually need a20% deposit. For abrand-new home, that percentage drops to 10%. Buyers who qualify for the government’s First Home Loan scheme only need a5%deposit.
qualifyto borrowfrom
Applying foramortgage
● Evidence of yourdeposit
● Bank statements from thelast six months
● Acopy of your photo ID, and
Evenifitlookslike youcanaffordto borrow,sometimes thebanksdecline That’sbecausethey determineaffordability usinga“testrate”, whichisseveralpercent higherthantheactual interestrateyou’llpay. Thereasonforthisis thatthelenderwants tostress-testyour financestoensureyou canstillaffordtopayif mortgageratesrise.
14 OneRoof.co.nz
Arevolving credit home loan is like a giant overdraft.Yousave interest when your wages gointo the account each month becauseit reduces the outstanding balance.Youneed to be very disciplined for thissort of home loan to work, but it’s an option forthose who arefinancially prudent.
Asmall proportion of buyers who can’t borrow from thebank anddon’t want to wait borrow instead through “non-bank lenders” such as building societies and finance companies.Amortgage adviser can arrange this. But the trade-off is that usually you’llpay ahigherinterest rate for loansfromnon-bank lenders.
The first hurdletopassfor buyers is thebank’s affordabilitytest, which considers whether the surplusleftover onceyour expenses arededucted from your incomeissufficient to cover mortgagerepayments.
Whenassessing yourabilitytopay, thebankwilltakeinto accountexpenses thatyoudidn’thave beforebuying.They includecouncilrates, maintenanceandhome insurance,whichis compulsoryifyouhave amortgage.
With table loans, you pay afixedamount each fortnight or month. In the beginning, most of the payment is interest, but as the balance slowly reduces, agreater portion of your payments goesto pay off the capital.
Tableloans
Beforeyou applyfor ahome loan, you’ll need to getsome documentationtogether Regardless of whether you’regoing direct to abank as your lender orgoing through amortgage adviser you’regoing to need the following:
interest payments component.
It costs the same to completethe application witha mortgageadviser or thebank’s mobilelendingmanager as doing it online. They can give you a clear pictureofwhattoexpect from your lender beforeyou sign the mortgage documentation
Revolving credit home loan
GETTING A HOME LOAN
If going directly to thebank rather than via amortgage adviser,make sure you ask thebank aboutthe interest rate, its
Mortgage /income calculatortools
Thereare different types of homeloans. The most common ones are:
● Arecordofoutgoings and debts
3 FIRST HOME BUYERS GUIDE
Most people needtoborrowtobuy ahome. The mortgage (also known as ahome loan)combined withyourdeposit make up the purchase price of the property.Inmost casesyou’ll need to have 20% of the purchase price of the house saved as adeposit beforethe home loan application process starts.
Floating versus fixed interest rates
Reducing balance loans
● Proof of income
There’snomagicsum youneedtoearntobe eligibleforamortgage It’slessabouthow muchyouearnand moreaboutbeing prudentwithyour finances.
Differenttypes of homeloans
Acommon tactic for homebuyersis to split amortgage overmorethan one fixed-rateterm, and to keepaportion on afloating rate, which allows extra repayments, paying down the home loan faster
If youdon’t abank or can’tget as much as you need,there areother options.
Thingstokeep in mind when ahgetting ome loan
Typicallyyouneed14daystothree weeksforthebanktoassessand approveyourhomeloanapplication. Makecontactwiththebankormortgage advisermuchearlierthanthat.
Homebuyersoften applyto getpreapprovedby abanktogetanideaof theirpotentialbuyingpowerandprice range. Thisgivesyou more confidence toshoparoundforaproperty.Itshows to realestateagentsand vendorsthat youareaseriousbuyer.
Gettingpreapproval homforyour eloan
Mortgageadvisersalsosaveon legworkbecausetheyknoweach bank’scriteria,andtheycan argue yourcaseif yourloan is borderline.Theycan alsonegotiateconditions suchasguarantees.If youhaveconsumer debtthat’sstandingin yourwayofgettinga mortgage,mortgage adviserscanhelp restructure thatdebt orgiveadviceabout payingitoff faster.
FIXED RATE
KiwiSaverFirst Home Grantconsiderations
● Youcanonlyborrowasmuchasyour depositandincome/expenseswill allowyou
As aself-employedhomeloanapplicant, you’regoingtoneedthefollowing ontopofthestandardsupporting documentation:
● Proofofincome(suchasyour balancesheet profitandloss,orcash flowstatements)
%
Gettingpre-approvalcostsnothing. Nor doesitlockyou intothelender.
Ifyoualreadyhave apropertylined up,thenit’s agoodideatogetyour KiwiSaverwithdrawalandFirstHome Grantapplicationsinatthistime. As aruleofthumb,FirstHome Withdrawal andFirstHome Grants cantake anywherebetween 20 days andfourweekstosortout.Sogetthe paperwork togetheratthesametime aschoosing alender.Ifyou’reunsure abouttheapplications requiredforyou to accessyourKiwiSaverfundsfor buyingyour firsthome,orifyou have questionsaboutyour owneligibility, OneRoof has aKiwiSaver firsthome buyer’sguide.
Itcansometimesbehardertoget amortgageifyou’reself-employed becausethestandardeligibilitycriteria ismoresuitedto employees.Ifyou don’tqualifyforahomeloan froma bank,mortgageadviserscan placeyour business withalternativelenders.That usuallycomesatthecostof ahigher interestrate.
● Makesure youbudgetin expenses such as councilrates,maintenanceand insurance
fees,yourabilitytomakechangesto your mortgageonceset up,andwhat happens if youbreak afixed-rateterm. Youare not limitedto borrowingfrom your ownbank.Shop around.When competitionis highbetweenbanks, youcanoftennegotiatetheinterestrate downor getthe loanapplicationfees reduced.
Mortgageadvisersare ago-between, workingonyourbehalf.Theycan adviseyouonhowtoimproveyour abilitytoborrow,shoparoundfor you,andnegotiatewiththebanksand otherlenders.Theserviceisfreeifyour mortgageisplacedwith abank.Ifyou don’tfitthebankcriteriaandborrowfrom anon-banklender,youwillneedtopaya feeforthis.
● Self-employedapplicants need additionaldocumentationandmay havetoconsideralternativelenders
Mortgage adviserscanworkwithyou topickthemostappropriatealternative lenderforyourpurchase.
Pre-approvalisanindication
First-homebuyers canfindthepurchase process daunting. Having amortgage adviserinyourcorner takes someofthe uncertainty out. They’reexpertsintheirfieldand workfor you.
How long does applying fora home loan take?
● Banks’mortgagemanagersand independentmortgageadviserscan helpyou navigatetheprocess
Contact amortgageadviseror your lenderofchoiceanddiscussyour circumstanceswith them.Theywillbe abletoassessyourmortgageeligibility and tellyouwhatthey’rewillingto lend yousubjecttoconditions.
● IRDdocuments (GSTandIR4 returns).
OneRoof.co.nz 15
ofwhatyoucan borrowifthe bank approvesof thepropertyyouwantto buy.Ifinterestratesrise,loan-to-value ratios(LVRs)andother ruleschange, oryoudon’tmanagetosettlewithin thepre-approval period, youwillmost likely need to reapplyfor pre-approval. Thisis somethingtobevery waryofif buyingatauction,goingunconditional onanyproperty,orbuyingoff-the-plan whenthebuildcouldtakelongerthan expected.
● Pre-approvalisn’t aguaranteethat youcanborrow.It’s anindicationand expiresafteraperiodoftime
Theadvantages of usinga mortgagebroker
F l O a t i n
Applying fora home loan whileyou’reself-employed
If you have any questions about the First Home Grant, speak to amortgage adviser (broker) or amobile mortgage manager, who can help younavigate the application process.
What youwanttobuy must fallunder the purchaseprice capfor theregion you live into be eligible forthe First Home Grant.Thosecapswill also vary dependingonwhetheryou’re buying an existinghome or anew home Make sureyou apply early to ensure your grant is approved in time. The First Home Grant is paid out either as a deposit or at settlement.
● Other supporting documentation relevant to your purchase.
FIRSTHOME BUYERGRANTS ANDKIWISAVER
● Proof of income
Getalawyerinvolvedassoonaspossible New-buildcontractsveryoftenhave clausesthatstandardsaleandpurchase agreementsforexistinghomeswillnot have.Itisbesttogetalegalopinionon thesaleandpurchaseagreementbefore yousubmityourFirstHomeGrant application.
● Supply the plans for building work or relocation related to thelandthat you arebuying
TheGovernment contributes50cforevery $1yousaveeachyearupto $1042.86.Thatmeansup to$521.43offreemoney, whichthencompoundsand growsovertime,boosting yourdeposit.Theannual cut-offdateforKiwiSaver contributionsisJune30.
Yoursavingsand employer/government contributionsareinvested byyourfundproviderand growovertime.Typically,the returnishigherthanyou’d getinatermdepositand youpaylesstaxthanyou wouldonastandardsavings account,meaningyour moneygrowsfaster
To be eligible youneed to:
Purchaseprice caps
KiwiSaverisagreatplace tosaveforyourfirsthome AsaKiwiSavermember youcancontribute3%, 4%,6%,8%or10%of yourbefore-taxpaytoa providerandfundofyour choice.Youremployer shouldcontribute3%as well.Youcanalsomake regularorone-offvoluntary contributionstoKiwiSaver. Ifyou’reunemployedorself employed,youcanmake voluntarycontributions.
● Chooseahomethatfallsunder thecurrentpurchasepricecapfor thearea
16 OneRoof.co.nz
Thereare two ways to apply foryour First Home Grant:
● Submit yourapplication online at least four weeks beforesettlement
The KiwiSaver rules allow first-home buyers, or those in asimilar position, to withdraw all but $1000 from their KiwiSaver to buy afirst home.Youmay also qualify for aFirst Home Grant
Buying anew build withthe FirstHome Grant involves afew more steps.For example, for aproperty to qualify asa new-build,itmust have received itsCode Compliance Certificate (CCC) within six monthsof the date of yourFirstHome Grant application.
● Apply once you findaproperty and have asigned sale and purchase agreement.
If you’rebuying aproperty where you have to make progress payments at specificpoints during the build, then any funds that you’reeligible for under the First Home Grant must be held in trust or escrow by an independent organisation and not the developer
Buying afirst homeisn’t easy. KiwiSaver andother government schemes canhelp.The earlier youlearn aboutthem, thebetterprepared youcan be to use them.
Schemesthatcan contribute toward your deposit
● Acopy of the agreement or asigned sale and purchase agreement or a contract fora new build
To qualify for the First Home Grant on land you need to apply and getpre approval. Make sureyou:
How does theFirst Home Grantwork?
of up to $10,000 for asingleordouble that for twoormorepeople buying, providing you meet the eligibility criteria.
The FirstHome Grant is overseen by Kāinga Ora and provides up to $10,000 per coupletowards the purchase of an existing first home or $20,000 fora brand-new home.
● Earn less than $95,000for asingle or $150,000for twobuyers or an individualbuyerwithone or more dependants
Using your FirstHome Granttobuy land
● Have afixedprice building contract showing the cost of construction and estimated start and finish dates
Theapplication process
● Apply for pre-approval beforeyou decide on aproperty to giveyou adegree of certainty about your eligibility; or
● Include asigned sale and purchase agreement
● Havesaved at least 3% of your total income into your KiwiSaver for a minimum of threeyears
The applicationprocessstarts online via Kāinga Ora’s KiwiSaver portal. For preapproval you will need thefollowing documents to hand:
● Photo ID
Find out how theKiwiSaver First Home Withdrawal andFirst Home Grant schemes can boostthe deposit and makeit easier for youtobuy your first home.
It’salsopossibleforfirst-homebuyers tousetheirKiwiSaverFirstHomeGrant topurchaselandtobuildapermanent house.Buyersneedtoliveinthehome foratleastsixmonthsfromtheissueof theCCCforthehouse.TheFirstHome Grantisthesameasforanew-build.The FirstHomeGrantruleshaveacapon themaximumcostofthelandandhome combined.
4 FIRST HOME BUYERS GUIDE
BecauseKiwiSaveris lockedin,it’sagreatwayto stopyoufromdippinginto savingswheneveryou’re tempted.
Youcan only receive the First HomeGrant once. That includesits predecessors, HomeStartgrantor KiwiSaver deposit subsidy
Additional considerations forfirst-timebuyersof new-builds
Using your FirstHome Grantonanew-build
● Asettlement date or adate when the money is needed to pay the deposit, which is at least four weeks away
Both First Home Withdrawal and First HomeGrant schemes can boost your deposit providingyou have been saving into KiwiSaver for at least three years andpreferably five or more.
● KiwiSaver contributionstatements
Using your Kiwisaver
If youhavefound ahometobuy already, you willalsoneed:
Underthe First Home Grant, firsthome buyerslooking to purchase an existing home areeach eligible to receiveup to $1000 peryearfromtheir three-year savings mark,capped at $5000. Thoselooking to buyanew home or landwillqualify for $2000per yearupto$10,000 each.Where two people arebuying the house andboth qualify,the grant is doubled.
Ifyou’reeligibletomake aKiwiSaver withdrawaltowardsyourfirsthome purchasethen you’ll beabletowithdraw
● KiwiSavercontributionsyou’vemade personally
Whatdoyouneed to make aKiwiSaverFirst Home Withdrawal?
Yourmortgagebrokerormobile mortgagemanager willconfirmthe amountthatyou needtowithdraw. Once youhaveapplied,yourscheme providerwillliaise withyourlawyer. Themoneyispaidbytheproviderinto your lawyer’strustaccount.
● Governmentcontributionstoyour KiwiSaveraccount,and
Beforeyouapplywithyourscheme providerfor aKiwiSaverFirstHome Withdrawal,youwillneedthefollowing readytogo:
Discoverthousands ofproperty listingsright acrossthe countryand FREE estimated valuesbasedonthe very latest sales figures. Download theOneRoofapptoday.
● Certified proofofaddress
● FirstHome Partner is another governmentschemethatallows qualifyingbuyerstoshareownership of abrand-newhomewithKāinga Ora.KāingaOrabuysupto25%ofthe propertythatyou’reinterestedin, and becomesaco-owner on thetitle.Over time,thehomeowner willeventually buyout Kainga Ora’sshare.
What it’s worth.
Additional optionsfor first homebuyers
KiwiSaverFirst Home Withdrawal scheme
● KiwiBuild. Thisis aprogramme toencouragedevelopers,iwiand councilstocreateaffordablehomes withinpricecaps.KiwiBuild homes aretypicallycheaperthanequivalent homesonthe openmarketandare verypopular.Allnormal KiwiSaver criteriaapplyforthe FirstHome Withdrawal andFirstHome Grant schemeson aKiwiBuild home.Tobuy one, youneedtobechosen by ballot. Moreinformationcanbefoundat www.kiwibuild.govt.nz
● Yoursolicitor’strust accountdetails
● Acopyofthesaleandpurchase agreement foryour property
● Thegrowthyou’veearnedonyour KiwiSaverfunds
TheeligibilitycriteriaforFirstHome Withdrawalisthesameas theFirstHome Grant,except there arenoincomeorhouse pricecaps.
● KiwiSavercontributionsyour employerhasmade
What’s forsale.
TheFirstHomeWithdrawalschemeenables first-homebuyersand othersin asimilar financialpositiontowithdrawallbutthe last $1000ofKiwiSaverfundsfor thedeposit ortowardssettlementontopof anyFirst HomeGrantentitlement.
Aswellasanexistinghome,theFirst HomeWithdrawalcanbeusedtobuyanewbuild,landyouintendtobuildon,ortobuild ahomeonmultiple-ownedMāoriland.
● FirstHomeLoan. TheFirst Home Loanscheme runbyKāingaOra enablesqualifyingbuyersto purchase ahomewitha5% deposit.KāingaOra doesn’tprovidethedeposit.Instead, itprovidesaguarantee,enabling your banktolendmoretoyouthan itsnormallendingstandards would otherwise allow. LiketheKiwiSaver FirstHomeGrant,thereisan income capandaregional housepricecap.
Theyinclude:
● Certified photoID
● Anyfeesubsidiesyou’ve received
TheKiwiSaverFirstHomeGrantis justoneofthemanyoptionsfirst-home buyerscanaccesstohelppurchase theirfirsthome.Thereare anumber ofotherschemesforfinancingpartof thepurchasepriceorprovidingmore affordablehomes.
Applying fora First Home Withdrawalgrant
● KāingaWhenuaLoan Scheme. The KāingaWhenuaLoanSchemerun byKāingaOra and Kiwibankhelps Māoribuildor relocatehomesonto ancestralland.Ifyou’reeligiblefora KiwiSaverFirstHome Withdrawal, youcan alsoputanyfundsobtained that waytowardsthepurchaseofa KaingaWhenuaproperty.
thefollowingprovidingyouleavebehind $1000inyourKiwiSaver savings account:
Someprevioushomeownersina similarpositiontofirst-homebuyers mayalsoqualifyfortheFirstHomeGrant andFirstHomeWithdrawalschemes.
OneRoof.co.nz 17
Whatcan youwithdraw from yourKiwiSaver?
You’ll almostcertainly need to make compromises and start your journey with amoremodest home. That might be an apartment or terrace house to begin with beforeyou can trade up the property ladder to astandalonehome in your suburb of choice.
Leasehold: is where you own the building, butnot theland.Youpay annual ground rent to the landowner Leasehold is common overseas,but apart from someapartment buildings isn’t oftenseen in New Zealand. The lease may be fora fixed number of years, such as 100,after which youno longerhave theright to havea home on it.Orthe lease can be in perpetuity The shorter the lease and the higher the groundrent, thelowerprice thehome will fetch when sold.
FREE STANDING HOMES arethemostcommon stylesofhomesinNew Zealand.Theyare detachedandsiton theirownsection. TOWNHOUSES arehomesthathave theirownexittooutside, butareusuallyconnectedto theneighbouringproperty. Usuallyit’saterraceof townhouses.
Ask yourself questions such as:
Workingout prices
All owners in unit title developments, suchas apartment buildings, automatically become members of thebody corporate.
● Brand-newhomes come with a guarantee against defects,and usually they won’tneedmuch in the wayofmaintenance for thefirst sevento10years.Thiscan be abonus in theearly years when mortgage repayments can be adrain on finances.
Buying your first home is abig step in life. It will take time to find the right propertyinthe right suburbata price you can afford.
Whatare bodycorps?
Gettingstarted
The average property value varies according to suburb. Some suburbs wherethereare alot of large expensive homes with water views have ahigher average property value, while others on city fringes or dominated by apartments have alower average property value. But most suburbs have arange of properties within them,which means that even the most popular and expensive suburbs have options for first-home buyers.
Finding thebest suburb foryou
● 10% Deposit. You’ll typically only pay a10% deposit on anew home instead of 20% requiredfor existing homes under the ReserveBankof New Zealand’s loan-to-value ratio (LVR) rules.
The different typesof property
Cross lease: This is aform of home ownership whereeach home on a cross-lease section owns ashare of the underlying land. Historically these came about whensomeone subdivided their section into two or three. Instead of eachowner buying theland beneath their home, they took ashareinthe entirelandand alease for thebuilding Some New Zealanders arehesitant to buy cross leased properties because the ownershipstructurerestricts them from alteringorextendingtheirhome,
● Which schools areinzone?
5 FIRST HOME BUYERS GUIDE
Freehold,leasehold or crosslease?
Before you gettoo far into your house-hunting journey,find out how much you canaffordtopay for ahome and how much you canborrow by checking with your bank or mortgage adviser(broker).They will look at your savings, salary,spending,and the variouscosts associated with buying homes such as lawyers’ fees and moving costs. Banksalso have useful calculators on their websites thatcan give you ageneral indication of how much you mightbeapproved to borrow
● Whereare the nearest parks, beaches or other recreational areas?
Youmay have grown up dreaming of owning astandalone home on aquarter acresection, but to get on the property ladder you may need to begin with an apartment, or terrace home, that is joined to neighbouring properties.
● What is the proximity to public transport or main highways?
Buying off the plan means you sign up to buy ahomewhen it’saplan only and isn’t built.Yousign asale and purchase agreement upfront and pay adeposit to securethe property,but don’t settleuntil the home is built.
FINDING THE RIGHT PROPERTY
With many apartments you needtobudget for annual body corporate levies, which cover the building management, upkeep of shared areas and lifts, insurance and maintenance costsofthe building.
Freehold: Most traditional homes in New Zealand arefreehold whereyou own the house and the land it sits on.
Think of howyou could compromise. Forexample, you mightbe able to movefurther out of town where homes arecheaper if thereisgood public transport.
Consider what’s important to you in a suburb. Depending on yourstage of life and priorities,different amenities might be important to you.
This hassomeadvantages forfirst-home buyers.
● Some homes bought off the plan can be alteredduring the build.
Buying off theplan
FLATS AND APARTMENTS areusuallyhomesin multi-unitblocks orhighrise buildings.
18 OneRoof.co.nz
Your lender will take into account the body corporate fees when assessing how much youcan afford to borrow.Don’t letbodycorporate fees putyou off buying.You’d needtospend moneyeachyear on maintenance of ahome,somay find the cost of owning is little different whether thereisabodycorporate or not
● What about local shops, cafes and night life?
and may even limit things likepet ownershiporpaint colours
To get an indication of what a property is worth, searchfor it on OneRoof.co.nz. TheAVM(automated valuationmodel) will giveyou agood indication of what the property is worth, while recent sales information will tell you what propertiesare selling for in individual suburbs.
Therearethreemain propertytypesin NewZealand: Freestandinghomesare generallythemostsought afterinNewZealandand sitonlargerpiecesof land,whichmeansthey costmore.Thesmallerthe sectionthelowertheprice, whichiswhytownhouses willusuallybecheaper thanastandalonehome andapartmentsandflats thecheapest
We’d all like to liveinabeautiful home in aperfectlocation.Your firsthomeis not your forever home, however
● “Materialdifferencesclauses”are usedtomakechangestoproposed
● The homeissmallerthanitappeared inthe “renders”onthemarketing material,oritis poorqualitywhen built.
● Otherissuessuchasfailuretogeta
10-year-guaranteeon thework Averyspecificriskforfirst-home buyersusingKiwiSaveristhatthe costtobuildincreases(thanksto“cost adjustments”clauses)anditexceedsthe pricecapsfortheFirstHomeGrant.This couldspelldisastersobecareful.
CanyouuseKiwiSaver to builda house?
● KiwiBuild: Youcangointo aballotto buy aKiwiBuildhomeoff theplan. Theyaretypicallypricedlessthanan equivalent homebeingsoldonthe openmarket.
Youcan useKiwiSaverFirstHome WithdrawalorFirstHomeGrant to paythe deposit,andorwithdraw at settlement.TheKiwiSavermoney mustbeheldintrustorescrowby the developeruntilthecertificate of titleand theCodeCompliance Certificate(CCC)
● Typically it’s cheaper to buy ahome off the planthanonce it’s complete. Thisisbecausedevelopersneedto secureapercentageofpre-salestoget theirfinancetobuild.They’reoften willingtosellslightlymorecheaply tothefirstbuyerswhosignsaleand purchasecontracts.
Buyingoff theplan ismoreriskythan buying aturnkey (completed)home.
Ifit’s astandalonehome you mightbeabletochangethedesign orarrangeforcosmeticorappliance upgradesatyourcost.
Building ahouse as afirst-home buyer
NewZealandhasalongstanding traditionofgetting ahouse builttoyour ownspecifications.Youeitherbuya houseand landpackage wherethehome isbuilttoyourliking,oryoubuy the landseparatelyand employanarchitect andbuilder, orchoose agroupbuild home.
● A“sunsetclause” is invokedbecause thebuildhastaken toolong,and thedevelopercancelsthesaleand purchaseagreement.Itmaybe considerablymoreexpensivebythen tobuyanotherhome
● Therecouldbebudgetblowouts
● Thedevelopergoesbustanddoesn’t completethe build
● Thebuildermightdopoor workmanship,or
Getting amortgage
Typically,youwillpay a10%deposit andthenprogresspaymentsasthebuild progresses.Banksoffer construction loansdesignedtopayforthebuildin stages.It’sa goodideatoseekadvice from amortgageadviserorbank’s mortgage managertoensureyou understand howtheseloansworkand getthemostappropriateoneforyour situation.
Someofthoserisks are:
● Thebuildisdelayedandyourpreapprovalforfinance runsout
OneRoof.co.nz 19
● The projectmaybedelayedandyour pre-approval runout
Theadvantageofbuildingisthatyou get ahomethat’suniquely yoursinthe locationofyourchoice.Butthereare risks:
floororcarparkplans,thedeveloper usesthe‘specificationslist’to substituteitemsthatarenotalways like-for-like
Therearepotential downsides to buying offtheplan
Whencalculatingthe costof buying ado-up house, makesure youfactorinthecostof renovating.
Building reports andLIMs
Residential /Commercial /Rural /PropertyServices NORTHLAND,AUCKLAND,WAIKATOANDBAYOFPLENTY -2022
Thetwomainadvantagesoffixer-uppers arethattheycanbepricedconsiderably cheaperthansimilarhomes,andyou cangrowyourequityinthehomeby doing renovations.Onthedownside, youwillfindthatdoingup ahomeis nowherenearaseasyasitappearson TV renovationprogrammes.Renovators oftenunderestimatethecostandtheir ownskills.Bylawmanyjobs requirea licensedbuildingpractitioner(LBP)such as abuilderorelectrician.Theycanbe expensive.
Valuations
● ALandInformationMemorandum (LIM) is afile heldbylocalcouncils thatsummarisestheinformation heldonthatproperty. Itcontains arangeofinformationsuchas rates information,stormwaterand seweragepipeson theproperty, consents, andpotentialerosion, subsidence, slippageorflooding, andthepossiblepresenceof hazardousmaterials.
Unrivalledin reachand effectiveness,theintegrated View marketingpackageoffers youacomprehensivecampaign inaddition to standardproperty marketing,putting yourproperty infrontofasmanypotential buyersaspossible.
calledthegovernmentvaluation(GV) orconfusinglybecauseofitsacronym, theratingvaluation(RV),areproduced forratingspurposes.Theydon’tgive anaccurateindicationofhowmucha propertymightsellfor.Youcanalsoget insurancevaluations,whichtellyouthe costto replacethehomeifit’sdestroyed. Realestateagentscan giveyouan estimateof what ahouse mightsellfor. Registered valuations(RV)are betterto relyon.Theyoftencost around$1000, but willgive amoreaccurate valuationofthe home. Valuersare trainedtoassess the marketworthof apropertybasedonan inspectionandcomparablesales.
izeandconditionofa tslayout,elevation,views,and
Yourhomeis averybiginvestment. It’s agoodideatoget reportsdoneto ensureit’singoodorderandthereare nosurprises.
Whatisahousevaluation?
WhydoI needone?
Homescanbevaluedfordifferent purposesandit’s importantto understandwhattheymean.Thecou valuation(CV),whichcanalsobe
Youcanonlyborrow topayfor renovations ifyou’renot already stretchedtothelimit.Bankswill runyourapplication throughan affordabilitycalculator andifyou don’thavesufficientequityand/ or income to make repaymentsyou won’tbe abletoborrowmore.
areissued.Oncethathappensthe saleis settledandthebuyercanmovein.
Manyfirst-homebuyersoftenbuyfixeruppersas awayofgettingontheproperty ladderat alowerprice.
Aregistered valuationwillhelp ensure youa)don’tpay toomuchfor ahomeand b)don’toffertoolittleandloseoutifyou
● Apre-purchase report(AKA building report) canidentify defectsin ahome.It’sbesttoget yourownand notrely on one providedbytheseller.Aprepurchaseinspectionby abuilder willhelpyou avoid expensive mistakesbybuying aproperty with expensiveproblemssuchas rot,leaky roofs,oldwiring, and wornoutpipes.Itcanalsogiveyou negotiatingpowerwhenbuying, or helpyouchoose betweentwo properties.It’spainfultopayfor apre-purchaseinspectionbecause itcouldcost$1000or more,justto missout,and need anotherone on the nextproperty.
Buying to renovate
hansimply
Banksoftenrequirearegistered valuationbeforetheywilllendona property. That’stoensurethatshouldyou defaultonyourmortgage, theycansell thepropertyand recouptheirmoney. If you arebuyingthehouseformorethan thevaluationit’sunlikelyyou’llbeloaned asmuch moneyas youexpect.
● Theproperty file contains all thedocuments that relatetoa LIM reportsuchas building and resourceconsents,and correspondence withthecouncil aboutthe property. Be aware thatbuildingworkdonewithout consentisn’tincluded in thefile.
be sold hardto se n? ouncil b) yo couldaffordmore. Whathappens at ahouse valuation? When aregisteredvaluervisitsthe propertytheydoalotmorethansimply compareittonearbyhomes.They willlookatthesizeandconditionofa property,itslayout,elevation,views,and surroundings. hers very e ng. u ou 20 OneRoof.co.nz
Pros and cons
ManyhomesinNewZealand aresold without apriceonthembyauction, tenderordeadlinetreaty.Itcanbeha knowwhattobidorofferinthatcase.
0800BAYLEYS bayleys.co.nz/view LICENSEDUNDERTHEREA ACT2008 ListwithBayleys’View. FEATURING 102 2022 placebyt Bayleys’g purchasing gionalview napshotofthepropertymarketin FIRSTHOMEBUYERSGUIDE
Thecost of renovatingdepends onthe scopeofthework.Some renovationsareaestheticandothers arestructural.Thelattercanbevery expensiveindeed.
How much does it cost to renovate?
Letyourbach PAYFOR YOUR SUMMER HOLIDAY Getintouch foryour income appraisal 0800 42 22 42 newowners.bachcare.co.nz Bachcare takescareofyourholidayhomerentalbookings,guests and cleaning so youdon’t have to.Plus, by listing withBachcare youare automatically advertisingwithover20partner sites including Airbnb,Bookabach and Booking.com.Let your bach today, andhaveitpay foryoursummer holiday. OneRoof.co.nz 21
Offers aremade to the vendor via the real estate agent who is selling the property.The offer is made on asale and purchase agreement document, noting any conditions, such as subject to finance, building reports, LIM (land information memorandum), or due diligence (investigation). The seller can either accept your offer,ormake a counter offer Buyer and seller continue to negotiate in this wayuntil an agreement is reached. If you areinamulti-offer situation wherethereare other potential buyers you might need to put your best offer on thetable early
Buying at auction
Typesofoffers youcan make Unconditional and conditional offers
Whathappens after youmakeanoffer?
Your offer canbeunconditional, or conditional. Some of the common conditions include:
Buyers should notmake offers on multiple properties at the same time, because they areduty-boundtobuy both properties if theoffers areaccepted.
Legalfeesand paperwork
Buying ahomeis abigcommitment and thereisquiteabit thatcould go wrong. Alawyer works for you and checks the sale and purchase agreement, the title, the LIM, and does the transfer of the property on settlement day.It’sbest to choosea specialistproperty lawyer to do this work.
● Asunset clause which voids the agreement afteracertain period of time
Sellers tend to prefer unconditional offers or at leastas few conditions as possible. As aresult, your offer is more likelytobe accepted if it has fewer conditions.
● Alonger than normalsettlement period
Whenbuyingatauctionyouare usuallybuyingunconditionally,so youcannotbackout.Sometimes thesellerwillagreetoavariation ofagreementinadvance,suchas alowerdepositamount,orthe settlementdate.
Some properties aresold at tender or by deadline sales (also called “treaties”). With atender youmake writtenoffers by acertain date, which areconsidered by the seller.Adeadline sale is similarwithbuyers able tomake an offer any timeuptothe deadline.
Sold at tender or ‘bydeadline’
Ifyouwinatauction,youwillneed topaythedeposit,usually10%,on thesameday.Youwillalsohaveto signthesaleandpurchaseagreement.
have worrying clausesthat alawyer will spot
Whether you’rebidding at auction or making an offer,you’ll need your ducks in arow to win that dreamhome
Iftheauctiondoesn’treachits reserve,itwillveryoftensellshortly after,bynegotiationwiththehighest bidder.Sometimesconditional buyerswhoneedtimetogetfinance willbeconsiderediftheauctionfails toresultinasale.
● Securing finance
If the house isfor sale by negotiation, you offer an amount you areprepared to pay.Usually you don’t makeyour best offer immediately
Othermethods of sale
Anofferby negotiationor tenderisnotlegally bindinguntilitis acceptedandboth thebuyerandseller signthesaleand purchaseagreement (contract).
Biddingatauctionisoneofthemost commonwaystobuypropertyinNew Zealand.Atauctionyoubidagainst otherstobuythehome.Theauction isrunbyanauctioneerwhoopensthe biddingatafigurethatisusuallyless thanthereserve,thepricetheselleris willingtoaccept.Eachbidneedstobe higherthanthepreviousbid.
● Getting asatisfactory building report
THE BUYING PROCESS
An offer by negotiation or tender is not legally bindinguntil it is accepted and both the buyer and sellersign the saleand purchase agreement (contract).
6 FIRST HOME BUYERS GUIDE
How to make an offer on ahouse
● Early access to do renovations prior to settlement
Beforemaking your starting offer,it’s averygood idea to get your lawyer to check the contract and property records of title (showing ownership and other information).Your lawyer will also check the title for any defects.
22 OneRoof.co.nz
Sold by negotiation
When ahouse is sold by negotiation, buyers make offers whichsellers
You’ve fallenin lovewith aproperty and want to buy it.You’ll need to have your ducks linedup. That includes your mortgage, your KiwiSaver withdrawal, FirstHomeGrant if you qualify,aproperty inspectorto write a pre-purchasereport, anda lawyer (or conveyancer) to handlethe salefor you.
can accept or negotiate on(called countersign or counter offer).
Trynot to become too attached. If you’rebidding at auction, youmay not win. Propertysales fall through for other reasons as well, such as the vendor asking too much, or hidden issues that the property inspector or lawyer discovers.
Most existing homes in New Zealand aresold using thestandardADLS/ REINZ Sale Purchase of Real Estate Agreement. Eventhen, therecan be different clausesused.
Sale and purchase agreements for new-builds areoften bespoke and could
Once both buyer andseller have signed, thecontract is “unconditional”. This meansyou can’t back out evenif you change your mind. Buyers willneed to paythe deposit as soon as thecontract is signed.
For tenders and deadline sales you usuallyonly getone shot at making an offer,soneed to make it your best first time. The seller chooses between the offers presented.
Getting started
Afewdayspriortothehome becomingyours,youwilltodoa pre-settlementinspectiontoensurethe houseis intheconditionitwaswhenyou agreedtobuy.
Settlementdayiswhentheproperty transferstoyou and it’sofficiallyyours. Itcanbe along nerve-wrackingday in which alot happensbehindthescenes. Thebuyer’slawyerneedsto arrangeforpaymenttobetransferred totheseller’slawyerandin return thetitle transferiscompletedand
thekeys released.Thatsounds straightforward,buttakestime becauseofthenumberofsteps needed.Ifonesideisnot ready tosettle,theycanbecharged penalties.
Oncesettlementiscompleteyoupick upthekeysandcanmovein.Sometimes itpaystobook removalvansfortheday aftersettlement,justincasethings go wrongonsettlementdayandyouwaste yourmoney.
What’s forsale.
What it’s worth.
What happens at settlement?
Thevastmajorityof purchasesgothroughwithout problem,butsometimes thingscango wrong,suchas thesellerortenantsfailing tomoveout, rubbishleft behind,newdamagetothe property, ormissingkeys.In circumstancessuchasthesethelawyers willnegotiateto reach asatisfactory resolutionbeforethesettlementgoes through.
Discoverthousands ofproperty listingsright acrossthe countryand FREE estimated valuesbasedonthe very latest sales figures. Download theOneRoofapptoday.
Thecostof conveyancing istypically $1000to $1500. OneRoof.co.nz 23
Thecostofconveyancing istypically$1000to$1500. Somelawyersoffer acheaper service,butmaychargeextra for‘disbursements’suchasLand InformationNewZealand(LINZ) feesandotherexpenses.
24 OneRoof.co.nz
Finally,it’stimetofindouthowmuchmoneyyoucan borrow.Youcanchattoyourbankortalktoanadviser
Nowthatyo control,it’sti helpfromKā not;checkth parents,forexample,canhaveearnedupto$150,000in thelast12monthstoqualifyfortheFirstHomeLoan.This wouldmeantheyonlyrequirea5%deposittopurchasea house.IsuspectthousandsofpeopleacrossNewZealand qualifyforoneoftheKāingaOraschemesthatcouldget themintoahouseanddon’trealiseit.Thesepotentialhome buyerswillbescramblingtogethera10%or20%deposit whentheycouldbeintheirhomenow
Whileresearchinggovernmentbenefits,gettoknow commontermsinthemortgageandpropertyindustry.The mostcommontermsareLoantoValueRatios,servicing rates(alsoknownasstress-testrates)andthedifference betweenfixedversusfloating
Itdoesn’tmatterwhereyouareonyourhome-buying journey;checkingyourbudgetisagoodidea.Ifyou’re startingout,controllingyourspendingwillmeanyour depositgrowsfaster.Ifyou’realmostreadytoapply,a goodbudgetwillmeanyoucanborrowmore.Removing a$10,000creditcardlimitcanincreaseyourmortgage
Butifyou’reconsideringbuyingahome,myadviceisto startbyreviewingyourincome.Yourhouseholdincome (andexpenses)willdictatehowmuchyoucanborrowfrom thebank,whichwilldictatehowmuchdeposityouneed Therefore,beforeanythingelse,thefirstthingtodoistoget yourbudgetinorder.Knowexactlyhowmuchhascomein andgoneoutofyouraccountoverthepastthreemonths. Thebankwilltakeyourspendingintoaccountinyour application.Makesureyouknowwhatyou’respending yourmoneyon.
sometimesitcanbeassimpleastheydon’thaveenough moneytolendoutthisweek.Ifyouknowwhyyouwere declined,youknowwhatitwilltaketofixit Nothingisstoppingyoufromapplyingwithmultiple lenders,butitmaymeantheybrushyourapplicationaway morequickly.Ifabankcanseeasmallissuewithyour applicationandtheyaretheonlylenderyouaretalkingto, theymayworkwithyoutoapprovetheapplication.Ifthey knowtheyareoneofmanylendersyouareworkingwith, chancesaretheywilldeclinetheapplicationandmoveon tothenextone.Gotothebestlenderfirstandapproach othersifrequiredtoafterthat
A‘NO’ATONE BANK ISN’T A‘NO’ATALL BANKS
Some aremoreconservative than others when it comes to mor and if your application is declined, always ask the reason, writes OneRoof.co.nz 25
M
aybeyou’vejustdecidedtostartsavingfor ahouseorhavebeensavingforawhile Whicheveritis,youwillwanttoknowhowto takethefirststeptowardshomeownership. Herearethefundamentalsofwhatyouneedtoknow Gettingamortgagecomesdowntotwothings.Your incomeandyourdeposit.Inotherwords,doyouhave enoughincometopayforyourfuturemortgage?Anddo youhaveenoughsavingstomeetthebankcriteria? Itseemsintuitivetostartwithyourdepositbecausethere issuchaclearlineinthesand.Youcan’tbuyahouseifyou don’thaveacertainpercentageofthepurchasepriceasa deposit.Formostpeople,theminimumdepositis10%.A 20%depositmakesgettingamortgageeasier-youarea saferbetforthebanks-butdon’twriteoffhomeownership ifyouonlyhave10%.Evena5%depositispossibleifyou meettheKāingaOraFirstHomeLoancriteria.
affordability spendby$50 abilityby$30 quicklyaddu Onceyouha lookingatyo andhirepur thatallowsy moneyyouw creditcardlimi howmuchyo unusedcards meagreamo worththeeff
•RupertGoughisthefounderandCEOofMortgageLab andauthorofTheSuccessfulFirstHomeBuyer
08 00 TH UR ST ON |0 27 945 7997 |T HURSTO NDEVELOPMENT S.CO NZ DRAINAGEEARTHWORKS RETAINING LANDSCAPING MONEY MATTERS
26 OneRoof.co.nz
James Wilson,head of valuations at Valocity, OneRoof's datapartner,said: "Almost half of thevalue gains made in the last 12 months have been wipedout by the slump, with the nationwide average propertyvalue down 5% -$55,000 -since peaking in February
Shum saidthe decline was in line with declining sales andrising interest rates. "Beforeweentered the Delta lockdown the market was stillpumping.Itwasn't until thewhole Delta lockdown was hanging aroundthat peoplestarted having doubts, especially inAuckland."
Only West Coast, NewZealand's market, managed to escape thed average property value up 2.5%( quarterto$403,000.
"Worse still, thelastsix months have wipedout more than40% of the$350,000valuegains Wellingtonians made during thepost-Covidboom. Those whobought around market peak with aminimumdeposit maynow find themselves in negative equity,and runthe risk of incurring real losses if forced to sellinthe current market environment."
The total number of newmortgages registrationsincluding first-home buyers, investors andmovers -had droppedfrom26,000 in the threemonthstothe endof June to 21,000 in thethree months to the end of July
Forty-sevensuburbs with 20 or more settled sales in the last 12 months have an averagepropertyvalue of $2m and above -down from 53 threemonths ago.Ofthe current crop of $2m-plus suburbs, just foursaw value growth over thequarter, and only eight areinabetter position now thanthey weresix monthsago.Values in six $2m-plus suburbs -all of which areinAuckland -are down year on year
GreaterWellington was also the down year on year,but it won't regions follow suit.
MOST EXPENSIVE: Herne Bay,inAuckland. Photo /Fiona Goodall
At $1.043 million, New Zealand’s average property value is 4.7% ($47,000) aheadof whereitwas this time last year, but the downturn is eating away at the gains made late
NZ’S CHEAPEST
Nationwide, moversmadeup 16.5% of new mortgage registrations in thethree months to theend of July, while investorsmade up 25.6%, and thosere-entering the market made up 2.9%.
"It'sabig drop from the10,500 mortgagesregisteredto first-home buyers 12 months ago,whenthe buyergroup represented 39.9%ofall newmortgages."
olumestumbled from 98,450 in the Julyto95,455 in the12months he 2605suburbscovered in 20 or moresettled salesover onth period, while 597 had one or none.
THE BIGGEST WINNERS, BIGGEST LOSERS
Suffering the country's biggest Wellington. Theregion'saverag 9.1% over thequarter,ending its $1m club
last year and early this year, with $40,000 lost inthe last ontinued decline at current pace could magic $1mmark beforethe end of
Thenumberofsettled sales in the last quarter was13% down on the quarterprior and 31%down on thesame quarterlast year."Moretelling is thefact thatsales were 24% down on the same quarter five years ago," Wilson said. "Auckland, which accounts for the bulk of sales activity in the country, recorded almost 8% fewersales last quarterthan it didduring the same three-month [period] in 2017, whenthe city's housing market was in the midst of aslump."
Thecapital’s average propertyvalue dropped11%
"Wellington’s newest homeowners arelooking particularly vulnerable. Forthe second month in arow, housevaluesinthe region weredownyear on year,with the 5.6% drop recorded in the 12 months to the endof August the region's biggestyear-on-yeardecline since.
ONEROOF VALOCITY HOUSE VALUE INDEX
With an average property value of $3.9m, Herne Bay is New Zealand’s most expensive residential suburb, but the downturn has madehouses thereless expensive. The wealthy enclave has in the last three monthslost its status as NZ’s $4msuburb, withits average property value dropping 5.7% ($236,000) overthe quarter,and 6.91% ($290,000)in the last sixmonths.Year on yeargrowth for the suburb was4.4%,so those who bought lastSeptember have stillcome out$164,000 ahead.
"Some 7600, or 38.5%,ofall new mortgagesissued between Mayand July this year weretofirst-home buyers, compared with 7800, or 36.9%, in theprevious three-month period.
Almost half of the value gains made in the last 12 monthshavebeenwipedout by the slump.
Nelson's average propertyvalu biggest quarterly drop after Greater followedbyHawke'sBay (down (down4.4%).
Thefigurescited belowonly cover suburbs with 20plus settled sales in thelast 12 months.
($151,000) over the quarter to $1.137m, and is down 6.3% ($76,000)year on year. The valuedecline in Tauranga over thequarter was 5.6%, andjust over 4% in Dunedin House values in Hamiltonand Christchurchdropped2% and1.1%respectively
Wayne Shum, head of research at Valocity,said that the volume of mortgage registrations wasfalling fast.
dgrowth in thethree months est Coast (up 2.5%,to$403,000). dfromsix months agowhen and onlyAucklandwas on the .The region taking the biggest average propertyvalue verthe quarterto$992,000 -the low $1m since May 2021 rritorial local authorities,14 the threemonths to theend of wereinWest Coastand Otago, bury, and Waikatodistrict, in fthe rankings forthe second growth of 13.2% and7.3% was at the bottom of the heap, valuedown11.7% ($151,000) otherTAs also suffered doubleand Otorohanga,bothin
Runanga, in Grey,retains its crown as New Zealand's cheapest placetobuy,withthe town's average property value sitting at $233,000. Value growth over the quarter was 1.7%, adding another $4000 to the price of atypical home there. While the property boom hasn’tadded hundreds of thousandsof dollars to the value of Runanga homes, residents who bought in the town post-lockdown, when the average property value was $165,000,aresitting on atidy $68,000 gain. Just four other towns andsuburbs have an average property value of less than$300,000: Mataura, in Gore($242,000);Cobden, in Grey ($252,000); Blaketown, alsoinGrey($270,000) andKaitangata, in Clutha ($286,000).
Wilson said hesitancyamong buyers, drivenbyrising interest rates, an inflation rate of morethan 7% and fears about the wider economy,was resultinginfewer sales, which in turn was putting downwards pressureon propertyvalues.
Wilson said: "Fifty eight out of 72 territoriallocal authorities were in negative growth territory over the quarterand propertyvalues in five weredown year on year.Properties in Lowerand Upper Hutt, Porirua, Wellington and Palmerston North areworthless now than whatthey were ayearago."
Themost expensivesuburboutside ofAuckland is Queenstown-Lakes' KelvinHeights(down2.2% over the quarterto$2.6m)
NZ’S MOSTEXPENSIVE
HE HOUSING market decline has accelerated and across the country New Zeala valuedropped months to $1. activity collaps Figuresfro ValocityHouse drops in 15 of with significant in Wellington andAuckland.
Auckland’s average property value was down 4.3% over the threemonths to theend ofAugust -its sixth successive quarterly decline since theend of March -and is up just 2.3% year on year
HOUSING MARKET'S WINTER FREEZE
Of the country's seven majormetros, only one, Queenstown-Lakes, avoided thewinter chill. Itsaverage propertyvaluegrew1.8% ($33,000) in the last three months to $1.878m.
KaikouraFlat,inKaikoura,Canterbury,recordedthe strongestgrowthoverthequarter,withthesuburb’s averagepropertyvalueup11.7%to$870,000.Growthwas alsostrongin MeremereandPukekawa,bothin Waikato district,buttheoverallnumberofgrowthsuburbs droppedfrom223inthethreemonthstotheendofJuly to 157inthethree monthstotheendofJuly.
Whatthemaptells
INDEMAND
you Themapshowsthecurrentaverageproperty valueforeach region,andgivesthethree-month change.Thedifferentcoloursonthemapexpress thechangeinhousevaluesineachlocation. All NZ -3.7% $1.043m OneRoof.co.nz 27
FALLINGFAST
LakeHayes,in Queenstown-Lakes,enjoyedthe biggestdollar gainoverthequarter,withitsaverage propertyvaluerising $147,000to$2.48m.
OutsideofQueenstown-LakesandChristchurch, heatinthemajormetrosisbecomingharderto find.No suburbinDunedin, Taurangaor Wellington recorded valuegrowth overthequarter,whilethenumberof growthsuburbsinAucklandandHamiltonwasthree andone respectively.
Ofthe71suburbswithanaveragepropertyvalueof lessthan$500,000,49experiencedvaluedeclinesover thequarter.Thedownturnhasalsowidenedthepoolof “cheap”suburbsinthecountry’smostexpensivecity, withthenumberofAucklandsuburbswithanaverage propertyvalueoflessthan$1mupfrom17sixmonths agoto24now.
Northland,inWellington,isthehousingmarket’s weakestlink.Thesuburb’saveragepropertyvaluefell 15%($220,000)to$1.24m in thethreemonthsto theendofAugust,andisdown5.6% year on year.Another64suburbs, mostlyinGreater Wellington,sawdouble-digit declinesoverthe quarter,up from52inthethreemonthstothe endofJuly.Thesuburb thatlostthemostdollars was TotaraPark,inAuckland'sManukaudistrict, withitsaverageproperty valuedropping$299,000 overthequarterto$2.47m.Allup768suburbs lostacombined$44moverthethree-month period,withvaluesdropsof$100,000-plus recorded in131suburbs.
Northland $893,000 -2.9% Auckland $1.452m -4.3% Waikato $981,000 -0.6% BayofPlenty $1.040m -4.4% Gisborne $706,000 -3.2% Hawke’sBay $869,000 -5.2% Taranaki $723,000 -1.0% ManawatuWhanganui $659,000 -4.1% TasmanWellington $994,000 -2.0% Marlborough $795,000 -1.4% Nelson $869,000 -5.9% WestCoast $403,000 +2.5% Canterbury $786,000 -1.1% Otago $952,000 -0.4% Southland $520,000 -2.3% $992,000 -9.1%
2%+ 1%+ 0%+ -1% -2% -3% -4% -5% -6% -9%
Theaveragepropertyvaluein 158suburbsislowernowthan whatitwas ayearago, withRoseneath,in Wellington,suffering thebiggestdollar dropyearonyear -adeclineof $216,000to $1.71m.
AHIPARA $666,000$674,000$538,000 1.2%23.8%28
KINGSLAND $1,556,000$1,658,000$1,562,000 6.2% 0.4%70
LOCATION
NORTHLAND
PARUA BAY $1,235,000$1,290,000$1,094,000 4.3%12.9%42
GREATER AUCKLAND’S averagepropertyvaluefell4.3%($66,000)to$1.45minthe lastthreemonths.Housevaluesinthecityare8% belowwheretheywereat thestart oftheyearandonly2.3%abovewheretheywereinSeptember2021.
KERIKERI $1,129,000$1,156,000$985,000 2.3%14.6%331
LYNFIELD $1,481,000$1,568,000$1,423,000 5.5%4.1%50
$1,452,000 2.3% AVERAGEPROPERTY VALUEYEARON YEARCHANGE 28 OneRoof.co.nz
Draggingthe regiondownisWhangarei,wheretheaveragepropertyvaluedropped 4.4%($43,000)overthequarterto$934,000.Ofthe28suburbsinthe TAthathad20or moresettledsalesoverthepast12months,onlyone, Tutukaka, registeredvaluegrowth inthethreemonthstotheendofAugust -a healthy3.2%lift to $1.49m -but 11 suburbs fellharderthanthe TAaverage.
GREAT BARRIERIS. (AOTEAISLAND) $842,000$833,000$715,0001.1%17.8%49 GREENLANE $2,032,000$2,163,000$2,083,000 6.1% 2.4%88
NORTHLAND’S average property valuefell 2.9%to$893,000inthelastthreemonths. That's still$103,000 upon ayearago(and$271,000abovetheAugust2020figure),but thepaceofdeclinehasincreased sincetheregionfirst slippedintonegative growth territoryinApril.
GREATER AUCKLAND$1,452,000$1,518,000$1,419,000 4.3%2.3%29475 AUCKLANDCITY$1,647,000$1,711,000$1,632,000 -3.7%0.9%7188 AUCKLANDCENTRAL $622,000$635,000$651,000 2.0% 4.5%884 AVONDALE $1,107,000$1,141,000$1,156,000 3.0% 4.2%296 BLOCKHOUSE BAY $1,290,000$1,347,000$1,290,000 4.2%0.0%190 EDENTERRACE $863,000$900,000$878,000 4.1% 1.7%108 ELLERSLIE $1,420,000$1,461,000$1,474,000 2.8% 3.7%153 EPSOM $2,387,000$2,531,000$2,335,000 5.7%2.2%247 FREEMANS BAY $1,837,000$1,892,000$1,810,000 2.9%1.5%89 GLENINNES $1,300,000$1,430,000$1,322,000 9.1%
WAIPAPA $1,130,000$1,117,000$934,0001.2%21.0%65
Theslumpcanalsobeseeninthedrop-off insalesactivity.Settledsalesinthe 12monthstotheendofAugustnumbered29,475 -downfromthe34,694inthe12 monthstotheendofMarch.
TAIPA $767,000$768,000$627,000 0.1%22.3%24
TAMATERAU $1,261,000$1,310,000$1,111,000 3.7%13.5%23
MOUNT ROSKILL $1,312,000$1,331,000$1,276,000 1.4%2.8%311
KAEO $834,000$843,000$668,000 1.1%24.9%42
KAWAKAWA $503,000$511,000$445,000 1.6%13.0%33
WAIPU $1,274,000$1,334,000$1,114,000 4.5%14.4%103
KAIPARA$983,000$1,007,000$863,000 2.4%13.9%657
PAIHIA $814,000$827,000$711,000 1.6%14.5%65
HERNE BAY $3,904,000$4,140,000$3,740,000 5.7%4.4%71
PUKENUI $791,000$761,000$633,0003.9%25.0%20
HARURU $865,000$874,000$739,000 1.0%17.1%45
WHANGAREIHEADS $1,221,000$1,261,000$1,071,000 3.2%14.0%38
Northland'sstarperformersoverthe quarterwere Waipapa(up1.2%to$1.13m), Kaitaia(up2.9%to$468,000)andPukenui(up3.9%to$791,000).
Allsevenof theregion'sformerlocalgovernmentareas recordednegativegrowth overthequarter,withManukau andtheNorthShoretakingthebiggesthits;their averagepropertyvaluesfell5.5%and5.4% respectivelyoverthe quarter,fuelled byquietersalesactivityintheirhighervaluesuburbs.Thevaluefallsinthefour remainingAucklanddistrictswerebetween 2.6%and3.9%.
The region'smostexpensivesuburbisLangsBeach(averagepropertyvalueof $2.39m)anditscheapestisKaikohe(averagepropertyvalueof$385,000).
RUSSELL $1,496,000$1,544,000$1,299,000 3.1%15.2%47
GREYLYNN $2,021,000$2,136,000$1,986,000 5.4%1.8%222
RAUMANGA $571,000$602,000$512,000 5.1%11.5%64
GREATER AUCKLAND
WHAUVALLEY $765,000$808,000$713,000 5.3%7.3%51
KOHIMARAMA $2,417,000$2,578,000$2,382,000 6.2%1.5%70
Kaipara'saveragepropertyvaluewasdown2.4%overthequarter,with Te Kopuru leadingthe TA'sslumpwith avaluefallof8.1%.MangawhaiHeadsnarrowlyescaped thewintercoldspell,withitsaveragepropertyvaluedownonly0.7%overthequarter.
ONERAHI $701,000$720,000$653,000 2.6%7.4%140
PARAHAKI $850,000$881,000$757,000 3.5%12.3%27
OPONONI $567,000$586,000$484,000 3.2%17.1%30
CURRENT AVERAGE PROPERTY VALUE MONTHS
MANGONUI $833,000$839,000$692,000 0.7%20.4%48
RIVERSIDE $812,000$869,000$758,000 6.6%7.1%23
MISSION BAY $2,437,000$2,626,000$2,352,000 7.2%3.6%86
BAYLYS BEACH $702,000$725,000$609,000 3.2%15.3%20 DARGAVILLE $563,000$587,000$515,000 4.1%9.3%112 KAIWAKA $1,036,000$1,070,000$881,000 3.2%17.6%69 MANGAWHAI $1,421,000$1,477,000$1,225,000 3.8%16.0%140 MANGAWHAIHEADS $1,492,000$1,502,000$1,305,000 0.7%14.3%108 MAUNGATUROTO $786,000$816,000$684,000 3.7%14.9%40 TE KOPURU $512,000$557,000$473,000 8.1%8.2%20 WHANGAREI $934,000$977,000$846,000 -4.4%10.4%2116 AVENUES $603,000$653,000$591,000 7.7%2.0%37 GLENBERVIE $1,354,000$1,411,000$1,170,000 4.0%15.7%23 HIKURANGI $667,000$694,000$600,000 3.9%11.2%40 HORAHORA $734,000$775,000$699,000 5.3%5.0%27 KAMO $842,000$864,000$752,000 2.5%12.0%274 KAURI $1,289,000$1,339,000$1,054,000 3.7%22.3%23 KENSINGTON $716,000$749,000$622,000 4.4%15.1%107 LANGS BEACH $2,394,000$2,422,000$2,068,000 1.2%15.8%29 MAUNGATAPERE $1,189,000$1,253,000$1,099,000 5.1%8.2%35 MAUNU $1,116,000$1,141,000$967,000 2.2%15.4%87 MORNINGSIDE $636,000$672,000$581,000 5.4%9.5%47 NGUNGURU $1,165,000$1,215,000$1,031,000 4.1%13.0%35 ONETREEPOINT $1,224,000$1,228,000$1,079,000 0.3%13.4%161 LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS
RUAKAKA $1,045,000$1,077,000$899,000 3.0%16.2%95
MOUNTALBERT $1,529,000$1,593,000$1,508,000 4.0%1.4%242
MOUNTWELLINGTON $1,113,000$1,150,000$1,088,000 3.2%2.3%375
MOUNTEDEN $2,005,000$2,086,000$1,896,000 3.9%5.7%354
REGENT $763,000$815,000$698,000 6.4%9.3%38
WOODHILL $648,000$704,000$617,000 8.0%5.0%38 1.7%147 GLENDOWIE $2,544,000$2,707,000$2,487,000 6.0%2.3%115 GRAFTON $711,000$761,000$768,000 6.6% 7.4%70
MORNINGSIDE $1,428,000$1,539,000$1,444,000 7.2% 1.1%68
CABLE BAY $860,000$866,000$716,000 0.7%20.1%60
ONEROOF VALOCITYHOUSE VALUEINDEX
KARIKARIPENINSULA $812,000$807,000$633,0000.6%28.3%88
FARNORTH $797,000$803,000$675,000 0.7%18.1%1435
TIKIPUNGA $683,000$704,000$626,000 3.0%9.1%196
TUTUKAKA $1,497,000$1,451,000$1,223,0003.2%22.4%50
MEADOWBANK $1,849,000$1,936,000$1,843,000 4.5%0.3%73
KAIKOHE $385,000$390,000$336,000 1.3%14.6%66
AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS
AVERAGEPROPERTY VALUEYEARON YEARCHANGE
Propertyvaluesin41suburbsarelowernowthantheywere inSeptemberlastyear, withManurewaEastdownthemostyearonyear(-9.7%to$798,000).
KAITAIA $468,000$455,000$376,0002.9%24.5%136
Of theAucklandsuburbsthatrecorded20ormoresettledsales in thelast12 months,three -GreatBarrierIsland(AoteaIsland),CoatesvilleandPollok -sawvalue growthoverthequarterwhile TotaraParksufferedthebiggestquarterlydrop,10.8% to$2.47m.
COOPERSBEACH $920,000$919,000$737,0000.1%24.8%28
NORTHLAND $893,000$920,000$790,000 2.9%13.0%4208
HILLSBOROUGH $1,454,000$1,541,000$1,441,000 5.6%0.9%89
RUATANGATAWEST $1,116,000$1,172,000$984,000 4.8%13.4%21
NEWWINDSOR $1,405,000$1,501,000$1,343,000 6.4%4.6%58
$893,000 13%%
OKAIHAU $785,000$785,000$655,0000.0%19.8%31
THREE
$1,637,000$1,698,000$1,430,000
OTEHA $1,230,000$1,278,000$1,230,000 3.8%0.0%89
ROTHESAY BAY $1,693,000$1,868,000$1,798,000 9.4% 5.8%47
ALBANYHEIGHTS $1,488,000$1,554,000$1,422,000 4.2%4.6%111
WATERVIEW $1,154,000$1,273,000$1,128,000 9.3%2.3%40
BAYVIEW $1,117,000$1,200,000$1,090,000 6.9%2.5%113
NORTHCROSS $1,402,000$1,491,000$1,418,000 6.0% 1.1%54
SUNNYNOOK $1,334,000$1,398,000$1,339,000 4.6% 0.4%77
PONSONBY
WESTMERE $2,743,000$2,955,000$2,655,000 7.2%3.3%67
PAREMOREMO $2,027,000$2,226,000$1,929,000 8.9%5.1%28
HILLCREST $1,365,000$1,426,000$1,376,000 4.3% 0.8%162
UNSWORTHHEIGHTS $1,263,000$1,385,000$1,263,000
GLENBROOK
HILLPARK $1,023,000$1,109,000$1,033,000
COATESVILLE $3,743,000$3,704,000$3,269,0001.1%14.5%51 $2,485,000$2,555,000$2,349,000 2.7%5.8%71 GULFHARBOUR $1,216,000$1,244,000$1,079,000
PALMBEACH $2,155,000$2,230,000$1,893,000 3.4%13.8%20
PAKURANGAHEIGHTS $1,312,000$1,369,000$1,261,000 4.2%4.0%141
DEVONPORT $2,287,000$2,461,000$2,325,000 7.1% 1.6%109
GREENHITHE $1,877,000$2,012,000$1,826,000 6.7%2.8%122 HAURAKI $2,209,000$2,382,000$2,110,000 7.3%4.7%89
SAINTJOHNS
COCKLE BAY $1,738,000$1,879,000$1,689,000 7.5%2.9%87
SALES LAST12 MONTHS OneRoof.co.nz 29
WAIAKE $1,692,000$1,873,000$1,743,000
WAIHEKEISLAND $3,600,000$3,869,000$3,245,000 7.0%10.9%31
NORTHCOTE $1,380,000$1,434,000$1,348,000 3.8%2.4%139
SUNNYHILLS $1,848,000$1,949,000$1,775,000 5.2%4.1%55
OTAHUHU $877,000$944,000$840,000 7.1%4.4%186
2.3%12.7%192
WEYMOUTH $891,000$945,000$870,000 5.7%2.4%211
WINDSOR PARK $1,515,000$1,564,000$1,494,000 3.1%1.4%24 PAPAKURA $1,136,000$1,176,000$1,061,000 3.4%7.1%2154 CONIFERGROVE $1,131,000$1,227,000$1,092,000 7.8%3.6%87 DRURY $1,515,000$1,594,000$1,311,000 5.0%15.6%28 KARAKA $1,874,000$1,974,000$1,745,000 5.1%7.4%252 OPAHEKE $1,197,000$1,259,000$1,095,000 4.9%9.3%137 PAHUREHURE $1,109,000$1,199,000$1,068,000 7.5%3.8%88 PAPAKURA $944,000$963,000$865,000 2.0%9.1%961 REDHILL $924,000$989,000$826,000 6.6%11.9%66 ROSEHILL $1,027,000$1,099,000$930,000 6.6%10.4%89 TAKANINI $1,034,000$1,062,000$971,000 2.6%6.5%438 RODNEY$1,523,000$1,580,000$1,441,000 3.6%5.7%3285 ALGIES BAY $1,480,000$1,545,000$1,423,000
ONETANGI $2,137,000$2,290,000$1,921,000 6.7%11.2%40
HALFMOON BAY $1,773,000$1,831,000$1,664,000 3.2%6.6%105 7.3%1.0%76 7.8% 1.0%78 5.7%1.0%242 4.6%9.4%170
BEACHLANDS $1,722,000$1,812,000$1,636,000 5.0%5.3%152 BOTANYDOWNS $1,389,000$1,474,000$1,363,000 5.8%1.9%110
HIGHLAND PARK $1,266,000$1,365,000$1,254,000
$1,595,000$1,659,000$1,509,000 3.9%5.7%65
SANDRINGHAM $1,589,000$1,650,000$1,541,000 3.7%3.1%195
TOTARA PARK $2,477,000$2,776,000$2,197,000 10.8%12.7%34
WHITFORD $3,654,000$3,728,000$3,466,000 2.0%5.4%41 WIRI $754,000$817,000$773,000 7.7% 2.5%43
ORAKEI $2,637,000$2,689,000$2,516,000 1.9%4.8%80
MILFORD $1,935,000$2,087,000$1,878,000 7.3%3.0%146
STONEFIELDS
NORTHSHORE $1,570,000$1,660,000$1,568,000 5.4%0.1%4237
CASTOR BAY $2,046,000$2,225,000$2,092,000 8.0% 2.2%72
SURFDALE $1,573,000$1,676,000$1,392,000 6.1%13.0%48
NARROW NECK $2,141,000$2,297,000$2,102,000 6.8%1.9%32
MURRAYSBAY $1,858,000$1,996,000$1,893,000 6.9% 1.8%68
CAMPBELLS BAY $2,452,000$2,642,000$2,512,000 7.2% 2.4%50
GOLFLANDS 7.2% 3.3%43
CLENDONPARK $803,000$881,000$792,000 8.9%1.4%176
FORRESTHILL $1,506,000$1,593,000$1,562,000 5.5% 3.6%135
FARMCOVE $1,886,000$2,057,000$1,841,000 8.3%2.4%28
ARMY BAY
EAST TAMAKIHEIGHTS $1,885,000$2,032,000$1,855,000 7.2%1.6%64
$2,619,000$2,761,000$2,512,000 5.1%4.3%92
DANNEMORA $1,740,000$1,876,000$1,785,000 7.2% 2.5%35
FAVONA $951,000$1,000,000$895,000 4.9%6.3%70
$1,205,000$1,310,000$1,168,000
$1,287,000$1,367,000$1,311,000 5.9% 1.8%45
BAYSWATER $1,874,000$2,032,000$1,844,000 7.8%1.6%39
SETTLED
PAKURANGA $1,323,000$1,391,000$1,304,000 4.9%1.5%152
BUCKLANDSBEACH $1,860,000$1,966,000$1,766,000 5.4%5.3%169
4.7%9.9%47 PATUMAHOE $1,403,000$1,473,000$1,249,000 4.8%12.3%34 POLLOK $1,183,000$1,161,000$1,006,0001.9%17.6%22 PUKEKOHE $1,025,000$1,058,000$953,000 3.1%7.6%651 RAMARAMA $1,844,000$1,985,000$1,702,000
THE GARDENS $1,411,000$1,512,000$1,351,000 6.7%4.4%48
SCHNAPPER ROCK $1,724,000$1,821,000$1,716,000 5.3%0.5%54
MAIRANGI BAY $1,878,000$1,999,000$1,910,000 6.1% 1.7%100
BELMONT $1,728,000$1,814,000$1,635,000 4.7%5.7%49
BIRKDALE $1,050,000$1,101,000$1,065,000 4.6% 1.4%184
POINTCHEVALIER $2,112,000$2,232,000$2,122,000 5.4% 0.5%144
SOMERVILLE $1,622,000$1,736,000$1,613,000 6.6%0.6%50
TOTARA HEIGHTS $1,126,000$1,219,000$1,121,000 7.6%0.4%33
SHELLYPARK $1,693,000$1,852,000$1,658,000 8.6%2.1%32
BIRKENHEAD $1,445,000$1,508,000$1,419,000 4.2%1.8%189
RANDWICK PARK $837,000$920,000$850,000 9.0% 1.5%98
POINTENGLAND $1,240,000$1,312,000$1,268,000 5.5% 2.2%52
MANUKAU (EAST ANDSOUTH) $1,307,000$1,383,000$1,265,000 5.5%3.3%6314
ONETREEHILL $1,504,000$1,578,000$1,486,000 4.7%1.2%69
EASTERN BEACH $2,045,000$2,172,000$2,043,000 5.8%0.1%23
NORTHCOTEPOINT $1,813,000$1,957,000$1,820,000 7.4% 0.4%46
OSTEND $1,576,000$1,677,000$1,425,000 6.0%10.6%53
GOODWOODHEIGHTS 8.0%3.2%59
ROYALOAK
TORBAY $1,358,000$1,412,000$1,350,000 3.8%0.6%281 VALE $1,129,000$1,191,000$1,118,000 5.2%1.0%100 8.8%0.0%72 9.7% 2.9%27 4.2%4.0%22 $1,243,000$1,338,000$1,234,000 7.1%0.7%28
ONEROA $2,382,000$2,546,000$2,168,000 6.4%9.9%80
BROWNS BAY $1,368,000$1,416,000$1,304,000 3.4%4.9%243
SAINTMARYS BAY $3,184,000$3,319,000$2,984,000 4.1%6.7%40
$1,734,000$1,785,000$1,686,000 2.9%2.8%84
$1,396,000$1,505,000$1,444,000
WATTLEDOWNS $1,170,000$1,235,000$1,088,000 5.3%7.5%139
CLEVEDON $2,278,000$2,343,000$2,113,000 2.8%7.8%44
WESLEY $1,267,000$1,369,000$1,284,000 7.5% 1.3%33
MANGERE $1,012,000$1,061,000$925,000
CLOVER PARK $939,000$1,012,000$897,000 7.2%4.7%97
BEACHHAVEN $1,176,000$1,250,000$1,207,000 5.9% 2.6%223
FAIRVIEWHEIGHTS $1,706,000$1,783,000$1,704,000 4.3%0.1%47
GLENFIELD $1,164,000$1,206,000$1,130,000 3.5%3.0%290
PARNELL $2,237,000$2,336,000$2,211,000 4.2%1.2%168
ALBANY $1,222,000$1,293,000$1,165,000 5.5%4.9%184
OTARA $872,000$938,000$829,000 7.0%5.2%128
MANGEREBRIDGE $1,407,000$1,497,000$1,282,000 6.0%9.8%137 MANGEREEAST $986,000$1,044,000$925,000 5.6%6.6%255 MANUKAU $678,000$714,000$712,000 5.0% 4.8%89 MANUREWA $907,000$951,000$905,000 4.6%0.2%748 MANUREWA EAST $798,000$886,000$884,000 9.9% 9.7%112 MARAETAI $1,657,000$1,810,000$1,608,000 8.5%3.0%41 MELLONS BAY $2,262,000$2,457,000$2,256,000 7.9%0.3%47 NORTHPARK $1,546,000$1,665,000$1,563,000 7.1% 1.1%56 LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE
EAST TAMAKI $1,225,000$1,266,000$1,184,000 3.2%3.5%101
PANMURE $1,153,000$1,225,000$1,151,000 5.9%0.2%112
DAIRYFLAT
$1,678,000$1,768,000$1,638,000 5.1%2.4%103
CHATSWOOD $1,611,000$1,720,000$1,602,000 6.3%0.6%46
PAPATOETOE $926,000$986,000$911,000 6.1%1.6%800
HOWICK $1,325,000$1,405,000$1,312,000
FLAT BUSH $1,484,000$1,524,000$1,427,000 2.6%4.0%819
REMUERA $2,987,000$3,018,000$2,809,000 1.0%6.3%433
NEWMARKET $989,000$1,005,000$1,020,000 1.6% 3.0%39
ST HELIERS $2,523,000$2,656,000$2,462,000 5.0%2.5%244
TAKAPUNA $2,392,000$2,529,000$2,337,000 5.4%2.4%168
WAIHEKEISLAND $2,106,000$2,249,000$1,900,000 6.4%10.8%292
OMIHA $1,207,000$1,347,000$1,179,000 10.4%2.4%20
$1,349,000$1,393,000$1,205,000
THREEKINGS
TOTARA
PINEHILL $1,788,000$1,892,000$1,798,000 5.5% 0.6%57
LONG BAY $1,767,000$1,874,000$1,757,000 5.7%0.6%110
WAIOTAIKI BAY $1,681,000$1,853,000$1,665,000 9.3%1.0%30
FRANKLIN $1,201,000$1,233,000$1,091,000 2.6%10.1%1348 BOMBAY $1,842,000$1,951,000$1,591,000 5.6%15.8%24 CLARKSBEACH 3.2%12.0%51 $1,343,000$1,423,000$1,221,000 5.6%10.0%72 HUNUA 3.6%14.5%31 PAERATA $1,486,000$1,559,000$1,352,000 7.1%8.3%49 WAIUKU $1,013,000$1,030,000$904,000 1.7%12.1%274
ONEHUNGA $1,266,000$1,270,000$1,289,000 0.3% 1.8%289
KELSTON $1,032,000$1,105,000$1,001,000 6.6%3.1%70
HAMILTONCENTRAL $816,000$831,000$782,000 1.8%4.3%59
MAEROA $777,000$793,000$741,000 2.0%4.9%56
TE ATATUSOUTH $1,099,000$1,135,000$1,100,000 3.2% 0.1%259
KAIPARAFLATS $1,516,000$1,572,000$1,369,000 3.6%10.7%23
RANUI $976,000$1,031,000$961,000 5.3%1.6%220
FAIRVIEWDOWNS $771,000$797,000$745,000 3.3%3.5%44
SILVERDALE $784,000$847,000$758,000 7.4%3.4%31
HELENSVILLE $1,305,000$1,340,000$1,233,000 2.6%5.8%121
SNELLSBEACH
WARKWORTH $1,312,000$1,329,000$1,198,000 1.3%9.5%212
WHITIORA $714,000$720,000$661,000 0.8%8.0%39
STILLWATER $1,706,000$1,789,000$1,598,000 4.6%6.8%34
PARAKAI $875,000$900,000$841,000 2.8%4.0%27
$1,192,000$1,245,000$1,119,000 4.3%6.5%97
OREWA $1,364,000$1,401,000$1,271,000 2.6%7.3%389
PIHA $1,511,000$1,574,000$1,318,000 4.0%14.6%20
SILVERDALE
SWANSON $1,306,000$1,375,000$1,220,000 5.0%7.0%110
DINSDALE $770,000$801,000$737,000 3.9%4.5%201
TE ATATUPENINSULA $1,301,000$1,376,000$1,289,000 5.5%0.9%290
FLAGSTAFF $1,230,000$1,227,000$1,138,0000.2%8.1%254
BEERESCOURT $1,071,000$1,071,000$971,0000.0%10.3%56
LEIGH $1,620,000$1,645,000$1,360,000 1.5%19.1%20
GRANDVIEWHEIGHTS $956,000$1,014,000$915,000 5.7%4.5%25
GLENDENE $1,084,000$1,168,000$1,044,000 7.2%3.8%92
HAMILTONLAKE $975,000$1,030,000$984,000 5.3% 0.9%48
HILLCREST $828,000$881,000$825,000 6.0%0.4%134
WESTGATE $1,078,000$1,137,000$1,074,000 5.2%0.4%75 8.4%2.1%159
MANLY $1,356,000$1,444,000$1,338,000 6.1%1.3%121
PUKETE $873,000$921,000$847,000 5.2%3.1%98
FAIRFIELD $834,000$859,000$784,000 2.9%6.4%158
RIVERLEA $926,000$988,000$891,000 6.3%3.9%22
QUEENWOOD $1,107,000$1,110,000$994,000 0.3%11.4%65
OMAHA $2,753,000$2,812,000$2,506,000 2.1%9.9%29
HATFIELDSBEACH
$1,528,000$1,543,000$1,457,000 1.0%4.9%52
$1,719,000$1,733,000$1,520,000 0.8%13.1%20
NEW LYNN $975,000$986,000$991,000 1.1% 1.6%374
SUNNYVALE $1,016,000$1,089,000$991,000 6.7%2.5%106
off inSeptember2020.Theslowrateofdeclinemeansthosepost-Covidgainsaresafe fornow,butweaknessesareevidentinthe region'sdiversehousingmarket -someof whichcouldbeseasonallydriven.
$1,152,000$1,222,000$1,120,000 5.7%2.9%46
CHEDWORTH $989,000$1,017,000$913,000 2.8%8.3%26
PUHOI
ENDERLEY $647,000$670,000$631,000 3.4%2.5%79
WAITAKERE $1,640,000$1,682,000$1,430,000 2.5%14.7%33
Deanwell,inHamilton'ssouth-west,wasthecity'sbiggestwinterloser,withits averagepropertyvaluedown7.6%($55,000)to$672,000overthequarteranddown 1.3%yearonyear.
MAKARAU $1,321,000$1,387,000$1,235,000 4.8%7.0%27
POINTWELLS
WAITOKI $2,169,000$2,231,000$2,080,000 2.8%4.3%24
GLENEDEN $1,013,000$1,054,000$989,000 3.9%2.4%412
STANMORE BAY $1,225,000$1,275,000$1,150,000 3.9%6.5%271
ORATIA $1,761,000$1,771,000$1,627,000 0.6%8.2%20
WELLSFORD $901,000$944,000$844,000 4.6%6.8%66
TINDALLSBEACH $1,704,000$1,887,000$1,671,000 9.7%2.0%20
HAMILTONEAST $772,000$785,000$756,000 1.7%2.1%282
HENDERSON $1,086,000$1,133,000$1,051,000 4.1%3.3%661
CHARTWELL $918,000$923,000$850,000 0.5%8.0%252
MURIWAI $1,589,000$1,732,000$1,580,000 8.3%0.6%28
LAINGHOLM
FITZROY $845,000$874,000$801,000 3.3%5.5%41
OKURABUSH $2,757,000$3,033,000$2,861,000 9.1% 3.6%21
WAINUI $1,652,000$1,769,000$1,635,000 6.6%1.0%179
HUNTINGTON $1,147,000$1,155,000$1,069,000 0.7%7.3%145
KAUKAPAKAPA
TITIRANGI $1,376,000$1,426,000$1,347,000 3.5%2.2%254
HOBSONVILLE $1,264,000$1,303,000$1,190,000 3.0%6.2%583
WHENUAPAI $1,421,000$1,552,000$1,392,000
NAWTON $706,000$735,000$689,000 3.9%2.5%233
ROTOTUNA $1,073,000$1,092,000$1,012,000 1.7%6.0%69
Waikato'sbestperformingsuburbinthreemonthstotheendofAugustwas Meremere,in Waikato.Itsaveragepropertyvaluejumped10.9%to$531,000 -again of$52,000.TheweakestwasNgatea,inHauraki,withitsaveragepropertyvalue down12.9%($110,000)overthequarter,althoughstillup12.6%yearonyear.
HENDERSON VALLEY $1,494,000$1,612,000$1,351,000 7.3%10.6%44
MASSEY $1,108,000$1,128,000$1,083,000 1.8%2.3%538
REDBEACH
WAIMAUKU $1,761,000$1,851,000$1,655,000 4.9%6.4%73
WESTHARBOUR $1,456,000$1,537,000$1,367,000 5.3%6.5%164
MATAKANA $2,071,000$2,150,000$1,796,000 3.7%15.3%44
DEANWELL $672,000$727,000$681,000 7.6% 1.3%24
MELVILLE $696,000$731,000$676,000 4.8%3.0%119
30 OneRoof.co.nz
CLAUDELANDS $820,000$841,000$777,000 2.5%5.5%63
FRANKTON $698,000$723,000$691,000 3.5%1.0%164
WAITAKERE $1,169,000$1,216,000$1,138,000 3.9%2.7%4648
GLENVIEW $809,000$845,000$786,000 4.3%2.9%137
ONEROOF VALOCITYHOUSE VALUEINDEX
FORESTLAKE $799,000$818,000$745,000 2.3%7.2%67
GREEN BAY $1,353,000$1,437,000$1,292,000 5.8%4.7%60
HUAPAI $1,404,000$1,470,000$1,306,000 4.5%7.5%74
$2,344,000$2,435,000$2,058,000 3.7%13.9%34
$1,507,000$1,589,000$1,428,000 5.2%5.5%202
WAIKATO$981,000$987,000$894,000 0.6%9.7%10689 HAMILTON$879,000$897,000$846,000 2.0%3.9%3398 BADER $624,000$651,000$625,000 4.1% 0.2%43
$1,344,000$1,420,000$1,271,000 5.4%5.7%131
KUMEU $1,758,000$1,876,000$1,695,000 6.3%3.7%181
$1,194,000$1,307,000$1,184,000 8.6%0.8%28
RIVERHEAD $2,042,000$2,059,000$1,811,000 0.8%12.8%114
HAURAKI $792,000$880,000$640,000 10.0%23.8%413 KEREPEHI $594,000$630,000$446,000 5.7%33.2%20 NGATEA $741,000$851,000$658,000 12.9%12.6%39 PAEROA $624,000$664,000$527,000 6.0%18.4%97 WAIHI $781,000$841,000$637,000 7.1%22.6%165 MATAMATA PIAKO$881,000$878,000$739,0000.3%19.2%674 MATAMATA $889,000$875,000$771,0001.6%15.3%243 MORRINSVILLE $879,000$888,000$758,000 1.0%16.0%241 TEAROHA $774,000$770,000$604,0000.5%28.1%98 OTOROHANGA$670,000$756,000$664,000 11.4%0.9%148 KAWHIA $582,000$668,000$570,000 12.9%2.1%24 OTOROHANGA $642,000$718,000$620,000 10.6%3.5%93 SOUTH WAIKATO$546,000$564,000$489,000 3.2%11.7%498 PUTARURU $586,000$604,000$506,000 3.0%15.8%109 TIRAU $701,000$736,000$655,000 4.8%7.0%56 TOKOROA $463,000$478,000$379,000 3.1%22.2%301 TAUPO $962,000$1,001,000$859,000 3.9%12.0%1175 ACACIABAY $1,501,000$1,528,000$1,251,000 1.8%20.0%57 HILLTOP $967,000$1,008,000$858,000 4.1%12.7%67 KINLOCH $1,395,000$1,439,000$1,188,000 3.1%17.4%79 KURATAU $910,000$919,000$814,000 1.0%11.8%22 MANGAKINO $551,000$540,000$453,0002.0%21.6%45 MOTUOAPA $818,000$849,000$742,000 3.7%10.2%36 NUKUHAU $949,000$964,000$835,000 1.6%13.7%113 OMORI $845,000$853,000$743,000 0.9%13.7%22 LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS WAIKATO'S AVERAGE propertyvalueslipped0.6%($6000)to$981,000inthelast threemonths,withstrongvaluegrowthin Waikato TAoffsettingthe10%-plusdrops inHaurakiandOtorohanga. Housevaluesinthe regionarestill9.7%($87,000)abovewheretheywereayear ago,and42%($293,000)abovewheretheywerejustbeforethehousingmarkettook WAIKATO $981,000 9.7% AVERAGEPROPERTY VALUEYEARON YEARCHANGE
Hamilton'saveragepropertyvalueismorethan$60,000belowwhereitwasat thestartoftheyear,andonly$33,000aheadofSeptember2021levels.Thetrend linesuggestspropertyvaluesinthecitywillcomeunderfurtherpressure.Aquarter ofthecity's41suburbs recordedfewerthan20settledsalesinthelast12months andonlyone,Flagstaff,registeredvaluegrowthinthelastthreemonths -quitea turnaroundfromthe first quarteroftheyearwheneverysuburb recordedgrowth.
ROTOTUNANORTH $1,111,000$1,170,000$1,110,000 5.0%0.1%153
SAINTANDREWS $902,000$941,000$861,000 4.1%4.8%140
OpotikiwastheonlyTAtoseevaluegrowthoverthequarter -amodest0.3%,but stillgrowthina slowingmarket.ThebiggestfalleroverthequarterwasTauranga, withitsaveragepropertyvaluedropping5.6%($69,000)to $1.172m.Noneofthecity's suburbs recordedvaluegrowthovertheperiod. Poikesufferedtheworstdrop,both inthecityand Waikatoas awhole.Itsaveragepropertyvaluefell9.1%($72,000) to $723,000.The leastaffected TaurangasuburbwasPyesPa,whichdroppedonly1.9% overthesameperiod.
THEDECLINE inBayofPlenty'saveragepropertyvalueacceleratedoverwinter.In thelastthreemonthsitdropped4.4%($48,000)to$1.04m,althoughitisstillup7.3% ($71,000)yearonyear,whichsuggestsnewhomeownerswillbeabletoholdonto valuegainsforlonger.
THAMES
BUCKLAND $1,494,000$1,408,000$1,369,0006.1%9.1%34
NGARUAWAHIA $822,000$796,000$774,0003.3%6.2%206
COOKSBEACH $1,470,000$1,498,000$1,349,000 1.9%9.0%29 $933,000$917,000$831,0001.7%12.3%40
COROMANDEL
PAUANUI
COROMANDEL$1,290,000$1,280,000$1,151,0000.8%12.1%1137
PORTWAIKATO $667,000$633,000$681,0005.4% 2.1%22
MATANGI $1,861,000$1,789,000$1,674,0004.0%11.2%39
TAMAHERE $2,235,000$2,049,000$1,965,0009.1%13.7%81
TAUPIRI $1,208,000$1,133,000$1,103,0006.6%9.5%41
TUAKAU $912,000$888,000$833,0002.7%9.5%173
$1,761,000$1,808,000$1,540,000
$1,040,000 7.3%
WHANGAMATA 1.5%11.4%192
WAIPAHIHI $1,130,000$1,188,000$1,038,000 4.9%8.9%36
WHITIANGA
FentonParkinRotoruaenjoyedthe region'sbiggestvaluelift.Itsaverageproperty valuejumped3.5%to$604,000.However,thedownturndidpull Lynmoreoutof Rotorua's$1mclub,withtheprizedsuburb'saveragepropertyvaluedropping1.9% to $991,000.
OneRoof.co.nz 31
RANGATIRAPARK
$1,526,000$1,549,000$1,370,000
RAGLAN $1,286,000$1,207,000$1,176,0006.5%9.4%157
MEREMERE $531,000$479,000$530,00010.9%0.2%29
WAIPA$1,103,000$1,138,000$989,000 3.1%11.5%1409 CAMBRIDGE $1,273,000$1,284,000$1,156,000 0.9%10.1%326 KARAPIRO $1,611,000$1,668,000$1,335,000 3.4%20.7%24 KIHIKIHI $831,000$856,000$726,000 2.9%14.5%126 LEAMINGTON $1,036,000$1,044,000$920,000 0.8%12.6%259 NGAHINAPOURI $1,527,000$1,543,000$1,260,000 1.0%21.2%55 OHAUPO $1,399,000$1,428,000$1,189,000 2.0%17.7%45 PIRONGIA $1,106,000$1,166,000$993,000 5.1%11.4%41 TE AWAMUTU $856,000$872,000$747,000 1.8%14.6%412 TEMIRO $1,453,000$1,510,000$1,228,000 3.8%18.3%24 WAITOMO $462,000$480,000$374,000 3.8%23.5%183 TE KUITI $464,000$491,000$385,000 5.5%20.5%119 BAYOFPLENTY$1,040,000$1,088,000$969,000 -4.4%7.3%6076 KAWERAU $441,000$443,000$400,000 0.5%10.3%140 OPOTIKI $617,000$615,000$607,0000.3%1.6%101 OPOTIKI $467,000$467,000$466,0000.0%0.2%59 WAIOTAHE $989,000$1,010,000$976,000 2.1%1.3%21 ROTORUA $792,000$799,000$744,000 0.9%6.5%1120 FAIRYSPRINGS $617,000$611,000$582,0001.0%6.0%37 FENTON PARK $604,000$584,000$572,0003.4%5.6%21 FORDLANDS $407,000$412,000$392,000 1.2%3.8%24 GLENHOLME $706,000$719,000$684,000 1.8%3.2%95 HAMURANA $1,362,000$1,338,000$1,188,0001.8%14.6%27 HILLCREST $653,000$674,000$628,000 3.1%4.0%27 KAWAHAPOINT $834,000$848,000$795,000 1.7%4.9%46 KOUTU $545,000$560,000$538,000 2.7%1.3%21 LYNMORE $991,000$1,010,000$926,000 1.9%7.0%67 MAMAKU $604,000$591,000$558,0002.2%8.2%27 MANGAKAKAHI $574,000$570,000$549,0000.7%4.6%55 NGONGOTAHA $756,000$755,000$694,0000.1%8.9%85 OWHATA $718,000$731,000$671,000 1.8%7.0%106 POMARE $776,000$808,000$745,000 4.0%4.2%25 PUKEHANGI $675,000$679,000$647,000 0.6%4.3%82 SPRINGFIELD $847,000$871,000$818,000 2.8%3.5%64 SUNNYBROOK $764,000$789,000$727,000 3.2%5.1%34 VICTORIA $575,000$574,000$562,0000.2%2.3%39 WESTERNHEIGHTS $557,000$565,000$544,000 1.4%2.4%57 TAURANGA$1,172,000$1,241,000$1,112,000 5.6%5.4%3161 BELLEVUE $853,000$928,000$808,000 8.1%5.6%74 BETHLEHEM $1,241,000$1,313,000$1,127,000 5.5%10.1%164 BROOKFIELD $860,000$925,000$814,000 7.0%5.7%130 GATE PA $731,000$768,000$690,000 4.8%5.9%133 GREERTON $788,000$842,000$746,000 6.4%5.6%70 HAIRINI $847,000$919,000$805,000 7.8%5.2%45 JUDEA $797,000$857,000$766,000 7.0%4.0%64 MATUA $1,291,000$1,383,000$1,207,000 6.7%7.0%91 MAUNGATAPU $983,000$1,050,000$935,000 6.4%5.1%60 MOUNTMAUNGANUI $1,604,000$1,678,000$1,480,000 4.4%8.4%462 OHAUITI $1,194,000$1,255,000$1,112,000 4.9%7.4%136 OTUMOETAI $1,144,000$1,194,000$1,081,000 4.2%5.8%149 PAPAMOA $1,023,000$1,108,000$947,000 7.7%8.0%118 PAPAMOABEACH $1,199,000$1,256,000$1,129,000 4.5%6.2%666 PARKVALE $709,000$768,000$676,000 7.7%4.9%63HousesinHamilton.Thecity'saverageproperty valuedropped2% in thelastthreemonths. Photo/ FionaGoodall LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS
AVERAGEPROPERTY VALUEYEARON YEARCHANGE
$1,197,000$1,229,000$1,085,000
RICHMONDHEIGHTS $836,000$876,000$763,000 4.6%9.6%61
TAUHARA $631,000$649,000$577,000 2.8%9.4%31
POKENO
MANGATAWHIRI
$1,177,000$1,083,000$1,046,0008.7%12.5%193
$1,172,000$1,151,000$991,0001.8%18.3%259 WAIKATO$1,178,000$1,098,000$1,088,0007.3%8.3%1654
PUKEKAWA $1,239,000$1,117,000$1,159,00010.9%6.9%24
TWOMILEBAY $971,000$1,028,000$906,000 5.5%7.2%29
TURANGI $509,000$529,000$468,000 3.8%8.8%104
$1,627,000$1,587,000$1,367,0002.5%19.0%106
TE KOWHAI $1,448,000$1,353,000$1,332,0007.0%8.7%33
$1,083,000$1,110,000$944,000 2.4%14.7%45
WAIRAKEI $1,168,000$1,183,000$967,000 1.3%20.8%27
TAUPO $796,000$796,000$709,0000.0%12.3%211
TAIRUA $1,266,000$1,241,000$1,080,0002.0%17.2%72
THAMES 1.6%11.0%112
$1,438,000$1,308,000$1,292,0009.9%11.3%24
HAHEI 2.6%14.4%20
BAYOF PLENTY
$800,000$813,000$721,000
TE KAUWHATA $912,000$851,000$835,0007.2%9.2%123
WHAREWAKA $1,414,000$1,480,000$1,255,000 4.5%12.7%106
HUNTLY $595,000$570,000$554,0004.4%7.4%152
WHATAWHATA $1,349,000$1,271,000$1,244,0006.1%8.4%33
MATARANGI 2.6%10.3%76
PUKEHINA $1,314,000$1,374,000$1,099,000 4.4%19.6%46
BLUFFHILL $1,151,000$1,236,000$1,105,000 6.9%4.2%53
PIRIMAI $694,000$761,000$712,000 8.8% 2.5%70
MAHORA $775,000$841,000$766,000 7.8%1.2%75
KATIKATI $880,000$889,000$770,000 1.0%14.3%154
TAMATEA $692,000$748,000$705,000 7.5% 1.8%90
NAPIER
OMOKOROA
ONEKAWA $660,000$714,000$682,000 7.6% 3.2%105
HAVELOCKNORTH $1,334,000$1,381,000$1,222,000 3.4%9.2%288
CLIVE $978,000$1,059,000$924,000 7.6%5.8%38 $1,393,000$1,525,000$1,321,000 8.7%5.5%23
$1,694,000$1,771,000$1,471,000 4.3%15.2%27
AKINA $679,000$727,000$672,000 6.6%1.0%81
MARAENUI $542,000$605,000$554,000 10.4% 2.2%53
WAIROA$463,000$499,000$388,000 7.2%19.3%122 MAHIA $841,000$910,000$726,000 7.6%15.8%25 WAIROA $339,000$360,000$272,000 5.8%24.6%72 MANAWATU WHANGANUI$659,000$687,000$646,000 4.1%2.0%4965 HOROWHENUA $685,000$724,000$671,000 -5.4%2.1%840 FOXTON $556,000$594,000$543,000 6.4%2.4%79 FOXTONBEACH $682,000$732,000$654,000 6.8%4.3%69 LEVIN $663,000$700,000$645,000 5.3%2.8%462 OHAU $1,072,000$1,130,000$969,000 5.1%10.6%44 SHANNON $554,000$591,000$540,000 6.3%2.6%50 TOKOMARU $763,000$799,000$725,000 4.5%5.2%20 WAITAREREBEACH $728,000$797,000$706,000 8.7%3.1%43 MANAWATU $732,000$745,000$712,000 1.7%2.8%628 FEILDING $709,000$723,000$695,000 1.9%2.0%428 HALCOMBE $836,000$849,000$755,000 1.5%10.7%35 HIMATANGIBEACH $555,000$576,000$538,000 3.6%3.2%24 RONGOTEA $736,000$750,000$694,000 1.9%6.1%32 PALMERSTONNORTH$747,000$792,000$750,000 5.7% 0.4%1587 AOKAUTERE $1,238,000$1,275,000$1,119,000 2.9%10.6%25 ASHHURST $764,000$818,000$763,000 6.6%0.1%73 AWAPUNI $698,000$725,000$697,000 3.7%0.1%156 BUNNYTHORPE $978,000$996,000$896,000 1.8%9.2%37 CLOVERLEA $611,000$677,000$641,000 9.7% 4.7%31 FITZHERBERT $1,037,000$1,088,000$1,033,000 4.7%0.4%96 HIGHBURY $593,000$624,000$586,000 5.0%1.2%107 HOKOWHITU $892,000$930,000$868,000 4.1%2.8%176 KELVINGROVE $880,000$918,000$873,000 4.1%0.8%167 MILSON $696,000$736,000$690,000 5.4%0.9%131 PALMERSTONNORTH $706,000$740,000$691,000 4.6%2.2%128 GISBORNE $706,000$729,000$672,000 3.2%5.1%665 ELGIN $525,000$538,000$495,000 2.4%6.1%31 GISBORNE $586,000$602,000$573,000 2.7%2.3%35 INNER KAITI $734,000$785,000$731,000 6.5%0.4%34 KAITI $530,000$540,000$486,000 1.9%9.1%38 LYTTONWEST $915,000$968,000$909,000 5.5%0.7%31 MAKAURI $1,500,000$1,478,000$1,341,0001.5%11.9%21 MANGAPAPA $676,000$699,000$640,000 3.3%5.6%93 OUTER KAITI $525,000$519,000$471,0001.2%11.5%52 RIVERDALE $817,000$854,000$807,000 4.3%1.2%25 TEHAPARA $613,000$640,000$587,000 4.2%4.4%101 LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS
TEPUKE $896,000$923,000$788,000 2.9%13.7%183
POIKE
WESTERNBAYOFPLENTY$1,282,000$1,337,000$1,134,000 4.1%13.1%1008
PAENGAROA
TARADALE $934,000$977,000$920,000 4.4%1.5%230
WELCOMEBAY $993,000$1,028,000$890,000 3.4%11.6%211
GREENMEADOWS $905,000$975,000$879,000 7.2%3.0%125
$1,547,000$1,617,000$1,350,000 4.3%14.6%34
TEPUNA $2,019,000$2,123,000$1,756,000 4.9%15.0%23
RAUREKA $685,000$737,000$688,000 7.1% 0.4%67
The7.2%fallin Wairoa'saveragepropertyvalueoverthequarteris abrutal turnaroundforthe TA,whichhadenjoyed a5.3%valuesurgeinthethreemonthsto theendofMay -moreevidenceoftheinstabilitythatgoeswith alow-salesmarkets.
Taranakifinallyjoinedthe restoftheNorthIslandinnegativegrowthterritory,with itsaveragepropertydown1%($7000)over thequarter.NewPlymouthhadthegentlest fall,withitsaveragepropertyvaluedown0.7%($6000) to $798,000.
ESKDALE
CENTRAL NORTH ISLAND
NAPIER SOUTH $762,000$807,000$756,000 5.6%0.8%101
ONEROOF VALOCITYHOUSE VALUEINDEX
$1,691,000$1,790,000$1,499,000
PYESPA $1,218,000$1,242,000$1,154,000 1.9%5.5%316
WESTSHORE $1,194,000$1,230,000$1,168,000 2.9%2.2%31
MAREWA $629,000$705,000$669,000 10.8% 6.0%78
$1,787,000$1,882,000$1,562,000 5.0%14.4%31
PARKVALE $730,000$775,000$729,000 5.8%0.1%79
SAINTLEONARDS $667,000$732,000$682,000 8.9% 2.2%45
MAYFAIR $664,000$710,000$655,000 6.5%1.4%80
TE AWA $901,000$958,000$876,000 5.9%2.9%24
WHAKATANE $807,000$824,000$749,000 2.1%7.7%546 COASTLANDS $1,034,000$1,059,000$974,000 2.4%6.2%36 EDGECUMBE $669,000$659,000$621,0001.5%7.7%42 MATATA $878,000$891,000$812,000 1.5%8.1%31 OHOPE $1,231,000$1,335,000$1,209,000 7.8%1.8%95 WHAKATANE $729,000$726,000$664,0000.4%9.8%247 WAINUI $1,509,000$1,607,000$1,476,000 6.1%2.2%23 WHATAUPOKO $895,000$934,000$867,000 4.2%3.2%74 HAWKE'SBAY$869,000$917,000$836,000 -5.2%3.9%2903 CENTRALHAWKE'SBAY$720,000$756,000$621,000 4.8%15.9%371 OTANE $846,000$894,000$740,000 5.4%14.3%52 TAKAPAU $532,000$532,000$423,0000.0%25.8%20 WAIPAWA $706,000$725,000$601,000 2.6%17.5%86 WAIPUKURAU $699,000$729,000$592,000 4.1%18.1%138
OMANAWA
AWATOTO $1,042,000$1,091,000$961,000 4.5%8.4%33
BAYVIEW $1,160,000$1,228,000$1,103,000 5.5%5.2%36
MINDEN
WHAKAMARAMA 5.5%12.8%47
Gisborne,Hawke'sBay,Manawatu-Whanganuiand Taranakiallsuffereddropsintheir averagepropertyvalueoverthequarter,withHawke'sBaysufferingthesteepestdecline. Itsaveragepropertyvaluefell5.2%($48,000)to$869,000onthebackofweakmarket conditionsintheregion'stwobiggestcentres,NapierandHastings.Salesvolumesare downintheregion,puttingdownwardspressureonprices.All28NapierandHastings suburbsthatrecorded20ormoresettledsalesinthelast12monthsareinaworse positionnowthantheywereatthestartoftheyear,andpropertyvaluesinsevenare downbyasmuchas6%yearonyear.
WAIHIBEACH $1,557,000$1,608,000$1,331,000 3.2%17.0%62
FLAXMERE $497,000$529,000$491,000 6.0%1.2%126
$1,385,000$1,426,000$1,198,000 2.9%15.6%34
AHURIRI $1,154,000$1,258,000$1,093,000 8.3%5.6%35
TAHAWAI
HASTINGS$942,000$988,000$903,000 4.7%4.3%1237
HOSPITALHILL $1,126,000$1,195,000$1,046,000 5.8%7.6%44
Valuedropsofmorethan5%inHorowhenuaandPalmerstonNorthdragged Manawatu-Whanganui'soverallaveragepropertyvaluedown4.1%($28,000)overthe quarterto$659,000.OnlyRuapehusawvaluegrowth,butagain,lowsalescouldbe maskinggreaterweaknessesin thatmarket.
32 OneRoof.co.nz
PORAITI $1,379,000$1,440,000$1,271,000 4.2%8.5%54
ATHENREE $1,135,000$1,201,000$1,033,000 5.5%9.9%34
HASTINGS $669,000 $700,000 $642,000 4.4% 4.2% 69
$1,154,000$1,181,000$1,001,000 2.3%15.3%34
GISBORNE,HAWKE'SBAY,MANAWATU-WHANGANUIANDTARANAKI
TAURANGA $1,122,000$1,194,000$1,051,000 6.0%6.8%53
OROPI
FRIMLEY $963,000$1,030,000$906,000 6.5%6.3%76
$878,000$933,000$872,000 5.9%0.7%1173
TAURANGASOUTH $1,027,000$1,071,000$919,000 4.1%11.8%112
AONGATETE $1,418,000$1,493,000$1,223,000 5.0%15.9%31
$1,199,000$1,248,000$1,086,000 3.9%10.4%207
$723,000$795,000$706,000 9.1%2.4%28
GREATER WELLINGTON
WAIKANAE
MOTUROA $797,000$779,000$684,0002.3%16.5%52
Shrinkingsalesvolumesarealso acauseforconcern,withthenumberofsettled salesinthe regionfallingfrom9083in the12monthstothe endofMarchto8215in the12monthstothe endofAugust.Theturnaroundinthecapital'sfortuneshasbeen severe.In thethreemonthstoMarch,justthreesuburbs recordeddeclinesintheir averagepropertyvalueandeverysuburbwasupyearonyear.Now,nosuburbis recordingquarterlygrowth,andhousepricesin47outofthecapital's56suburbsare lowerthantheywereayearago,withthepricedropsrangingfromaslittleas $6000 inKhandallah to asmuchas$228,000inOrientalBay.Somesuburbsarelooking particularlyvulnerable:propertyvaluesinPipitea, WellingtonCentral,Mount Victoria, TeAro,OrientalBayandMountCookarelessthan20%aheadofwheretheywerein September 2020.Thecrunchhas reducedPipitea'stwo-yearvaluegaintojust$26,000.
$992,000 5.9%
ROSLYN $612,000$661,000$616,000 7.4% 0.6%107 TAKARO $617,000$649,000$619,000 4.9% 0.3%108 TERRACEEND $706,000$758,000$707,000 6.9% 0.1%102 WESTEND $671,000$723,000$681,000 7.2% 1.5%80 WESTBROOK $624,000$675,000$627,000 7.6% 0.5%41 RANGITIKEI $554,000$564,000$508,000 1.8%9.1%293 BULLS $606,000$631,000$562,000 4.0%7.8%49 MARTON $603,000$615,000$528,000 2.0%14.2%154 TAIHAPE $414,000$415,000$391,000 0.2%5.9%45 RUAPEHU $462,000$458,000$425,0000.9%8.7%287 OHAKUNE $571,000$583,000$531,000 2.1%7.5%94 RAETIHI $414,000$405,000$363,0002.2%14.0%25 TAUMARUNUI $375,000$378,000$352,000 0.8%6.5%65 TARARUA $528,000$545,000$505,000 -3.1%4.6%435 DANNEVIRKE $525,000$540,000$483,000 2.8%8.7%164 EKETAHUNA $492,000$505,000$453,000 2.6%8.6%33 PAHIATUA $544,000$564,000$526,000 3.5%3.4%105 WOODVILLE $489,000$497,000$472,000 1.6%3.6%72 WHANGANUI $578,000$604,000$563,000 4.3%2.7%895 ARAMOHO $512,000$539,000$475,000 5.0%7.8%83 CASTLECLIFF $447,000$482,000$427,000 7.3%4.7%121 DURIEHILL $643,000$675,000$626,000 4.7%2.7%34 GONVILLE $449,000$487,000$448,000 7.8%0.2%121 OTAMATEA $931,000$984,000$892,000 5.4%4.4%25 SAINTJOHNSHILL $726,000$764,000$713,000 5.0%1.8%28 SPRINGVALE $632,000$653,000$601,000 3.2%5.2%90 TAWHERO $557,000$591,000$556,000 5.8%0.2%58 WESTMERE $1,078,000$1,102,000$986,000 2.2%9.3%21 WHANGANUI $421,000$450,000$424,000 6.4% 0.7%95 WHANGANUI EAST $484,000$505,000$482,000 4.2%0.4%119 TARANAKI $723,000$730,000$642,000 1.0%12.6%2411 NEWPLYMOUTH $798,000$804,000$714,000 0.7%11.8%1600 BELLBLOCK $781,000$786,000$672,000 0.6%16.2%132 BLAGDON $600,000$621,000$553,000 3.4%8.5%32
MERRILANDS $822,000$830,000$732,000 1.0%12.3%66
OneRoof.co.nz 33
AVERAGEPROPERTY VALUEYEARON YEARCHANGE
TEHOROBEACH
HURWORTH $1,220,000$1,197,000$1,034,0001.9%18.0%29
PARK
THESLUMP hashitGreater Wellingtonhard.Notonlydidtheregionsufferthe country'sbiggest valuedropoverthelastthree months,butGreater Wellingtonproperty valuesarenow5.9%($62,000) belowwheretheywereinSeptember2021, with therapid gainsmadeattheendoflastyearand startofthisyearallgone.
BOULCOTT
Thecapitalsufferedthe region'ssteepestdecline,withtheaveragepropertyvaluein thecityfalling 11.7%($151,000)inthelastthreemonthsto$1.137m.Alsofallinghard overthequarterwereUpperHutt(-9%to$874,000);LowerHutt(-8.5%to$888,000) andPorirua(-8.3%to$947,000).Propertyvaluesinallfour TAsweredownyearon yearbyasmuchas 8%, whichwillprovidemoreaffordableopportunitiestofirst-home buyersandinvestorsinthe region,butalsoleavemanyhomeownerswhoboughtat theheightofthemarketatriskofnegativeequity.
FITZROY
NEWPLYMOUTH $887,000$935,000$798,000 5.1%11.2%100
EASTBOURNE
HIGHLANDS PARK $964,000$984,000$850,000 2.0%13.4%42 HURDON $827,000$833,000$737,000 0.7%12.2%20
14.7% 12.1%44 HUTTCENTRAL $1,235,000$1,349,000$1,282,000 8.5% 3.7%43 KELSON $914,000$1,024,000$999,000 10.7% 8.5%43 MAUNGARAKI $975,000$1,140,000$1,060,000 14.5% 8.0%41 NAENAE $712,000$794,000$779,000 10.3% 8.6%110 NORMANDALE $1,004,000$1,100,000$1,064,000 8.7% 5.6%22 PETONE $982,000$1,056,000$1,047,000 7.0% 6.2%124 STOKES VALLEY $725,000$801,000$784,000 9.5% 7.5%157 TAITA $702,000$780,000$776,000 10.0% 9.5%88 WAINUIOMATA $719,000$777,000$777,000 7.5% 7.5%337 WAIWHETU $854,000$966,000$952,000 11.6% 10.3%73 WATERLOO $960,000$1,097,000$1,060,000 12.5% 9.4%67 WOBURN $1,345,000$1,472,000$1,419,000 8.6% 5.2%46 MASTERTON $768,000$789,000$726,000 2.7%5.8%637 KURIPUNI $632,000$654,000$609,000 3.4%3.8%57 LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS
FAIRFIELD
FERNDALE $822,000$823,000$726,000 0.1%13.2%21 $958,000$967,000$873,000 0.9%9.7%38
LYNMOUTH $703,000$734,000$643,000 4.2%9.3%26 MARFELL $477,000$478,000$425,000 0.2%12.2%45
LOWERHUTT$888,000$970,000$975,000 8.5% 8.9%1578 ALICETOWN $918,000$1,014,000$1,026,000 9.5% 10.5%35 AVALON $832,000$918,000$895,000 9.4% 7.0%72 BELMONT $1,042,000$1,164,000$1,096,000 10.5% 4.9%48 $977,000$1,106,000$1,111,000 11.7% 12.1%36 $1,240,000$1,414,000$1,334,000 12.3% 7.0%52 $904,000$1,017,000$997,000 11.1% 9.3%41 $855,000$1,002,000$973,000
OKATO $701,000$673,000$602,0004.2%16.4%33
SPOTSWOOD $588,000$580,000$528,0001.4%11.4%43 $1,002,000$1,059,000$993,000 5.4%0.9%82 SOUTH $994,000$1,069,000$1,012,000 7.0% 1.8%79 $930,000$978,000$914,000 4.9%1.8%21 $1,049,000$1,085,000$1,018,000 3.3%3.0%218 WAIKANAEBEACH $1,083,000$1,153,000$1,118,000 6.1% 3.1%78
RAUMATI
EPUNI
LOWER VOGELTOWN $748,000$759,000$667,000 1.4%12.1%41
OAKURA $1,315,000$1,363,000$1,164,000 3.5%13.0%23
INGLEWOOD $677,000$657,000$592,0003.0%14.4%105
FRANKLEIGH $744,000$747,000$657,000 0.4%13.2%57 GLEN AVON $804,000$802,000$713,0000.2%12.8%22
STRANDON $1,013,000$1,010,000$903,0000.3%12.2%52 UPPER VOGELTOWN $710,000$720,000$642,000 1.4%10.6%28 VOGELTOWN $655,000$667,000$599,000 1.8%9.3%45 WAITARA $514,000$508,000$456,0001.2%12.7%108 WAIWHAKAIHO $1,154,000$1,151,000$996,0000.3%15.9%24 WELBOURN $723,000$756,000$681,000 4.4%6.2%35 WESTOWN $665,000$663,000$603,0000.3%10.3%121 WHALERS GATE $799,000$818,000$701,000 2.3%14.0%54 SOUTH TARANAKI $515,000$525,000$441,000 1.9%16.8%588 ELTHAM $446,000$458,000$392,000 2.6%13.8%36 HAWERA $569,000$568,000$488,0000.2%16.6%301 MANAIA $399,000$403,000$320,000 1.0%24.7%27 NORMANBY $531,000$559,000$451,000 5.0%17.7%27 OPUNAKE $507,000$525,000$442,000 3.4%14.7%59 PATEA $332,000$348,000$258,000 4.6%28.7%29 WAVERLEY $444,000$440,000$349,0000.9%27.2%35 STRATFORD $574,000$584,000$517,000 1.7%11.0%223 STRATFORD $548,000$555,000$489,000 1.3%12.1%170 GREATERWELLINGTON$992,000$1,091,000$1,054,000 9.1% 5.9%8215 CARTERTON $850,000$877,000$803,000 3.1%5.9%252 CARTERTON $726,000$769,000$704,000 5.6%3.1%168 KAPITICOAST $1,003,000$1,039,000$996,000 3.5%0.7%1121 HAUTERE $1,509,000$1,536,000$1,372,000 1.8%10.0%21 OTAKI $815,000$855,000$784,000 4.7%4.0%136 OTAKIBEACH $729,000$776,000$723,000 6.1%0.8%63 PAEKAKARIKI $1,092,000$1,124,000$1,089,000 2.8%0.3%24 PARAPARAUMU $904,000$948,000$911,000 4.6% 0.8%167 PARAPARAUMUBEACH $991,000$1,031,000$967,000 3.9%2.5%179 RAUMATIBEACH
GRENADAVILLAGE $1,135,000$1,306,000$1,188,000 13.1% 4.5%40 HATAITAI $1,313,000$1,513,000$1,394,000 13.2% 5.8%88
TEARO $796,000$871,000$810,000 8.6% 1.7%242 THORNDON $1,127,000$1,251,000$1,181,000 9.9% 4.6%74 WADESTOWN $1,412,000$1,636,000$1,543,000 13.7% 8.5%44 WELLINGTONCENTRAL $627,000$668,000$634,000 6.1% 1.1%64 WILTON $1,097,000$1,286,000$1,129,000 14.7% 2.8%33 WOODRIDGE $1,045,000$1,206,000$1,110,000 13.3% 5.9%25 LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS
UPPER SOUTH ISLAND
UPPERHUTT
NELSON SOUTH $812,000$867,000$771,000 6.3%5.3%75
WestCoastwasthesole regionto registergrowthinthelastthreemonths.Its averagepropertyvaluewasup2.5%($10,000)to$403,000,drivenby arelatively strongshowingby Westland(up4.2%)andGrey(2.6%).ThefactthatNewZealand's cheapesthousingmarketisstillgrowingwhilethe restofthecountryisin aslumpis telling,butlowsalesactivity(the region recorded 1107settledsalesinthe12months totheendofAugust,downfrom1365inthe12monthstotheendofMarch)makesit hardtodrawtoomanyhardconclusionsaboutpriceandaffordability.
PORIRUA $947,000$1,033,000$997,000 8.3% 5.0%748
TASMAN $994,000$1,014,000$924,000 2.0%7.6%1190 APPLEBY $1,221,000$1,230,000$1,212,000 0.7%0.7%60 BRIGHTWATER $1,029,000$1,044,000$933,000 1.4%10.3%61 HOPE $1,396,000$1,392,000$1,215,0000.3%14.9%24 KAITERITERI $1,463,000$1,490,000$1,318,000 1.8%11.0%28 MAPUA $1,169,000$1,187,000$1,056,000 3.3%6.1%216 $707,000$736,000$669,000 3.9%5.7%154
CAMBORNE $1,008,000$1,120,000$1,067,000 10.0% 5.5%29
WHITBY $1,091,000$1,139,000$1,116,000 4.2% 2.2%215
CLOUSTONPARK $741,000$854,000$837,000 13.2% 11.5%32
RIVERSDALE $584,000$599,000$587,000 2.5% 0.5%30
NELSON $1,179,000$1,269,000$1,107,000 7.1%6.5%26
ELDERSLEA $810,000$908,000$897,000 10.8% 9.7%36
TOTARA PARK $749,000$848,000$838,000 11.7% 10.6%36
KHANDALLAH $1,518,000$1,661,000$1,524,000 8.6% 0.4%119
MELROSE $1,165,000$1,357,000$1,300,000 14.1% 10.4%27
PUKERUABAY $967,000$1,112,000$1,054,000 13.0% 8.3%22
34 OneRoof.co.nz
KENEPURU $936,000$1,056,000$1,004,000 11.4% 6.8%39
PLIMMERTON $1,148,000$1,259,000$1,167,000 8.8% 1.6%27
BRITANNIAHEIGHTS $1,551,000$1,682,000$1,469,000 7.8%5.6%20
SOLWAY
STEPNEYVILLE $1,246,000$1,358,000$1,241,000 8.2%0.4%21
HAVELOCK $722,000$723,000$630,000 0.1%14.6%30
CANNONSCREEK $603,000$698,000$642,000 13.6% 6.1%31
RANUI
ENNERGLYNN $942,000$994,000$870,000 5.2%8.3%30
WASHINGTONVALLEY $645,000$702,000$653,000 8.1% 1.2%44
MAYFIELD $605,000$614,000$605,000 1.5%0.0%31
BROWNOWL $844,000$982,000$953,000 14.1% 11.4%27
BROADMEADOWS $1,012,000$1,152,000$1,070,000 12.2% 5.4%21
AOTEA $1,357,000$1,465,000$1,381,000 7.4% 1.7%92
MARLBOROUGH $795,000$806,000$751,000 1.4%5.9%1182
$1,164,000$1,292,000$1,193,000 9.9% 2.4%31
CROFTONDOWNS $1,179,000$1,363,000$1,204,000 13.5% 2.1%28
NEWLANDS $956,000$1,072,000$993,000 10.8% 3.7%105
TAKAPUWAHIA $679,000$770,000$725,000 11.8% 6.3%21
1.5%10.7%36 MOTUEKA $800,000$815,000$753,000 1.8%6.2%141 REDWOOD VALLEY $1,673,000$1,641,000$1,454,0002.0%15.1%30 RICHMOND $910,000$939,000$849,000 3.1%7.2%446 RUBYBAY $1,566,000$1,561,000$1,402,0000.3%11.7%26 TAKAKA $711,000$746,000$678,000 4.7%4.9%34 UPPERMOUTERE $1,351,000$1,346,000$1,196,0000.4%13.0%32 WAKEFIELD $970,000$990,000$878,000 2.0%10.5%66 WESTCOAST $403,000$393,000$355,0002.5%13.5%1107 BULLER $375,000$371,000$329,0001.1%14.0%365 KARAMEA $412,000$393,000$336,0004.8%22.6%21 REEFTON $324,000$306,000$262,0005.9%23.7%29 WESTPORT $371,000$381,000$329,000 2.6%12.8%179 LANSDOWNE $734,000$760,000$692,000 3.4%6.1%107 MASTERTON $645,000$667,000$608,000
Propertyvaluesintherestof theupperSouthIslandstruggledoverthequarter. Nelson's averagepropertyvaluefell5.9%($53,000)to$850,000asbuyerscontinued their retreat,but theseverefloodingthathaswreakedhavocacrossthe regionislikely tohave abiggerimpactonvaluesinthemonthsahead.
ASCOT PARK $727,000$809,000$787,000 10.1% 7.6%29
MARLBOROUGH,NELSON, TASMANANDWESTCOAST
ThequarterlydeclinesinMarlboroughand Tasmanwererelativelygentler -1.4% and2% respectively -buttheslumphaseatenupmuchofthegainsmadeatthestartof theyear.
EBDENTOWN $756,000$848,000$844,000 10.8% 10.4%54
LYALLBAY $1,118,000$1,291,000$1,179,000 13.4% 5.2%43
WELLINGTON$1,137,000$1,288,000$1,213,000 11.7% 6.3%2796 AROVALLEY $1,110,000$1,295,000$1,202,000
PAPARANGI $953,000$1,101,000$1,003,000 13.4% 5.0%40 11.2%21 8.1% 2.6%195
ROSENEATH $1,714,000$1,947,000$1,930,000 12.0%
TRENTHAM $774,000$870,000$827,000 11.0% 6.4%142
THEBROOK $758,000$806,000$708,000 6.0%7.1%27
PICTON $676,000$688,000$642,000 1.7%5.3%89
BERHAMPORE
THE WOOD $834,000$905,000$818,000 7.8%2.0%63
JOHNSONVILLE $956,000$1,036,000$999,000 7.7% 4.3%163
BLENHEIM $638,000$640,000$619,000 0.3%3.1%178
NORTHLAND $1,247,000$1,467,000$1,321,000 15.0% 5.6%59
BISHOPDALE $794,000$831,000$739,000 4.5%7.4%33
BURLEIGH $1,068,000$1,089,000$979,000 1.9%9.1%21
SILVERSTREAM $1,004,000$1,086,000$1,034,000 7.6% 2.9%60
CHURTONPARK $1,186,000$1,351,000$1,259,000 12.2% 5.8%106
MOUNTVICTORIA $1,386,000$1,610,000$1,470,000 13.9% 5.7%64
NEWTOWN $1,091,000$1,260,000$1,157,000 13.4% 5.7%91 NGAIO $1,246,000$1,392,000$1,268,000 10.5% 1.7%74
KELBURN $1,672,000$1,930,000$1,773,000 13.4% 5.7%42
REDWOODTOWN $625,000$642,000$610,000 2.6%2.5%142
SEATOUN $2,007,000$2,267,000$1,979,000 11.5%1.4%45 STRATHMORE PARK $1,190,000$1,375,000$1,172,000 13.5%1.5%39 TAWA $985,000$1,072,000$1,011,000
TOITOI $568,000$625,000$565,000 9.1%0.5%45 WAKATU $771,000$810,000$722,000 4.8%6.8%20
MARTINBOROUGH $1,175,000$1,191,000$1,078,000 1.3%9.0%64
ISLANDBAY $1,326,000$1,455,000$1,355,000 8.9% 2.1%90
PINEHAVEN $853,000$952,000$910,000 10.4% 6.3%32
WAIKAWA $967,000$983,000$877,000 1.6%10.3%39
MONACO $722,000$785,000$713,000 8.0%1.3%23
RIVERSTONETERRACES
$874,000$960,000$948,000 9.0% 7.8%747
KILBIRNIE $1,021,000$1,183,000$1,092,000 13.7% 6.5%41
MARYBANK $974,000$1,001,000$911,000 2.7%6.9%21
TAHUNANUI $749,000$789,000$682,000 5.1%9.8%88
MIRAMAR $1,177,000$1,328,000$1,203,000 11.4% 2.2%112
MOUNTCOOK $894,000$1,007,000$963,000 11.2% 7.2%55
KARORI $1,301,000$1,385,000$1,332,000 6.1% 2.3%210
WITHERLEA $794,000$816,000$750,000 2.7%5.9%150
MAORIBANK $691,000$806,000$786,000 14.3% 12.1%24
WALLACEVILLE $833,000$927,000$912,000 10.1% 8.7%100 14.3% 7.7%38 $962,000$1,097,000$1,053,000 12.3% 8.6%62
BROOKLYN $1,241,000$1,380,000$1,267,000 10.1% 2.1%88
BIRCHVILLE $784,000$896,000$869,000 12.5% 9.8%41
FEATHERSTON $692,000$743,000$690,000 6.9%0.3%77
MAUPUIA $1,085,000$1,190,000$1,081,000 8.8%0.4%24
PAREMATA $1,075,000$1,204,000$1,123,000 10.7% 4.3%32
RENWICK $790,000$811,000$753,000 2.6%4.9%46
SOUTH WAIRARAPA$1,022,000$1,049,000$958,000 2.6%6.7%336
NELSON $850,000$903,000$823,000 -5.9%3.3%960 ATAWHAI $973,000$1,024,000$936,000 5.0%4.0%57
SPRINGLANDS $870,000$893,000$805,000 2.6%8.1%139
PAPAKOWHAI $980,000$1,116,000$1,080,000 12.2% 9.3%37
TIMBERLEA $843,000$973,000$932,000 13.4% 9.5%43
ONEROOF VALOCITYHOUSE VALUEINDEX
$712,000$794,000$734,000 10.3% 3.0%45
TITAHIBAY $794,000$889,000$873,000 10.7% 9.0%92
STOKE $801,000$823,000$755,000 2.7%6.1%306
GREYTOWN $1,104,000$1,154,000$1,016,000 4.3%8.7%103
MOUNTPLEASANT $1,167,000$1,141,000$963,0002.3%21.2%67
LYTTELTON $768,000$777,000$663,000 1.2%15.8%29
SOCKBURN $659,000$663,000$566,000 0.6%16.4%74
HOONHAY $701,000$699,000$583,0000.3%20.2%115
NORTHNEWBRIGHTON $569,000$559,000$478,0001.8%19.0%91
UPPERRICCARTON $705,000$731,000$631,000 3.6%11.7%93
BRYNDWR $805,000$798,000$709,0000.9%13.5%117
NEWBRIGHTON $540,000$542,000$461,000 0.4%17.1%148
SAINTMARTINS $747,000$767,000$645,000 2.6%15.8%48
SOUTHNEWBRIGHTON $613,000$596,000$516,0002.9%18.8%43
MAIREHAU $642,000$647,000$550,000 0.8%16.7%169
PHILLIPSTOWN $454,000$463,000$395,000 1.9%14.9%111
HUNTSBURY $1,139,000$1,139,000$991,0000.0%14.9%57
BROMLEY $532,000$525,000$444,0001.3%19.8%50
RICHMOND $554,000$570,000$483,000 2.8%14.7%88
OPAWA $786,000$776,000$680,0001.3%15.6%20
RUSSLEY $728,000$735,000$639,000 1.0%13.9%61
ST ALBANS $873,000$894,000$786,000 2.3%11.1%389
CANTERBURY
SHIRLEY $662,000$668,000$566,000 0.9%17.0%104
$786,000 15.4% AVERAGEPROPERTY VALUEYEARON YEARCHANGE OneRoof.co.nz 35
WALTHAM $508,000$518,000$433,000 1.9%17.3%93 WESTMORLAND $1,172,000$1,149,000$968,0002.0%21.1%27 WIGRAM $906,000$911,000$737,000 0.5%22.9%77 WOOLSTON $547,000$558,000$474,000 2.0%15.4%250 YALDHURST $1,091,000$1,081,000$928,0000.9%17.6%34 HURUNUI $665,000$679,000$585,000 2.1%13.7%407 AMBERLEY $701,000$717,000$613,000 2.2%14.4%119 HANMERSPRINGS $746,000$777,000$671,000 4.0%11.2%100 LEITHFIELD $661,000$672,000$567,000 1.6%16.6%40 KAIKOURA$761,000$672,000$642,00013.2%18.5%116 KAIKOURA $699,000$631,000$596,00010.8%17.3%56 KAIKOURAFLAT $870,000$779,000$727,00011.7%19.7%32 LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS
SYDENHAM $569,000$578,000$512,000 1.6%11.1%154
HAREWOOD $1,125,000$1,116,000$941,0000.8%19.6%39
BURNSIDE $902,000$900,000$775,0000.2%16.4%198
REDWOOD $683,000$689,000$572,000 0.9%19.4%178
MERIVALE $1,582,000$1,534,000$1,357,0003.1%16.6%125
CANTERBURY'S AVERAGE propertyvalueslipped1.1%($9000)overthequarterto $786,000,butisstillup15%($105,000)yearonyear.Canterburyhasbeenoneofthelast regionstofeelthefullimpactoftheslump,althoughvaluegrowthinthefirsthalfofthe yearwasacrawlcomparedtothe9.3%surgeenjoyedinthelastthreemonthsof2021. Butwhiletheregion'shousingmarketisunlikelytoseethesuper-chargedgrowthrates of2021again,it'sequallyunlikelytoexperiencethesteepdeclinesseeninotherpartsof thecountry,withtheregion'smaincentresstillseenasaffordableanddesirablebybuyers rightnow.
NORTHCOTE $599,000$604,000$519,000 0.8%15.4%62
ISLINGTON $587,000$583,000$499,0000.7%17.6%23
WAIMAIRIBEACH $952,000$964,000$827,000 1.2%15.1%24
BURWOOD $686,000$677,000$568,0001.3%20.8%163
SUMNER $1,145,000$1,156,000$1,006,000 1.0%13.8%30
GREY$397,000$387,000$349,0002.6%13.8%413 BLAKETOWN $270,000$279,000$235,000 3.2%14.9%27 COBDEN $252,000$259,000$221,000 2.7%14.0%58 GREYMOUTH $388,000$387,000$339,0000.3%14.5%98 KARORO $510,000$494,000$455,0003.2%12.1%23 MARSDEN $658,000$636,000$586,0003.5%12.3%21 PAROA $614,000$586,000$548,0004.8%12.0%27 RUNANGA $233,000$229,000$202,0001.7%15.3%25 WESTLAND $449,000$431,000$399,0004.2%12.5%329 ARAHURAVALLEY $604,000$577,000$550,0004.7%9.8%25 FRANZJOSEFGLACIER $490,000$468,000$439,0004.7%11.6%30 HOKITIKA $397,000$396,000$361,0000.3%10.0%97 RUATAPU $547,000$541,000$477,0001.1%14.7%21 CANTERBURY$786,000$795,000$681,000 1.1%15.4%13867 ASHBURTON $609,000$610,000$533,000 0.2%14.3%921 ALLENTON $623,000$622,000$536,0000.2%16.2%214 ASHBURTON $508,000$498,000$441,0002.0%15.2%119 HAMPSTEAD $441,000$441,000$378,0000.0%16.7%86 HUNTINGDON $1,047,000$1,039,000$958,0000.8%9.3%48 METHVEN $684,000$676,000$585,0001.2%16.9%113 NETHERBY $542,000$549,000$471,000 1.3%15.1%60 RAKAIA $558,000$545,000$476,0002.4%17.2%68 TINWALD $599,000$597,000$533,0000.3%12.4%130 CHRISTCHURCH $790,000$799,000$687,000 1.1%15.0%7212 ADDINGTON $556,000$559,000$473,000 0.5%17.5%113 AIDANFIELD $958,000$942,000$802,0001.7%19.5%34 AKAROA $945,000$1,018,000$881,000 7.2%7.3%21 ARANUI $465,000$470,000$401,000 1.1%16.0%91 AVONDALE $543,000$536,000$457,0001.3%18.8%72 AVONHEAD $839,000$830,000$728,0001.1%15.2%204 AVONSIDE $545,000$533,000$470,0002.3%16.0%28 BECKENHAM $838,000$875,000$756,000 4.2%10.8%31 BELFAST $697,000$708,000$609,000 1.6%14.4%80 BISHOPDALE $695,000$694,000$588,0000.1%18.2%164
DALLINGTON $573,000$581,000$514,000 1.4%11.5%35
SPREYDON $654,000$667,000$569,000 1.9%14.9%166
HILLSBOROUGH $814,000$833,000$693,000 2.3%17.5%46
WAINONI $491,000$492,000$439,000 0.2%11.8%58
FENDALTON $1,845,000$1,820,000$1,620,0001.4%13.9%103
PARKLANDS $759,000$747,000$647,0001.6%17.3%178
RICCARTON $764,000$768,000$668,000 0.5%14.4%207
BROOMFIELD $711,000$722,000$627,000 1.5%13.4%31
CASEBROOK $846,000$831,000$700,0001.8%20.9%92
HALSWELL $894,000$907,000$747,000 1.4%19.7%210
HILLMORTON $701,000$700,000$597,0000.1%17.4%50
STROWAN $1,300,000$1,299,000$1,070,0000.1%21.5%73
PAPANUI $777,000$794,000$667,000 2.1%16.5%137
KAINGA $548,000$543,000$472,0000.9%16.1%29
REDCLIFFS $1,155,000$1,204,000$1,038,000 4.1%11.3%45
TEMPLETON $864,000$836,000$699,0003.3%23.6%33
NORTHWOOD $1,145,000$1,157,000$945,000 1.0%21.2%111
EDGEWARE $558,000$557,000$483,0000.2%15.5%105
ThreeofCanterbury'snine TAswerestillenjoyinggrowth overthequarter: Kaikoura'saveragepropertyvaluewasup13.2%to$761,000;Mackenzie'swasup4% to$801,000and Waimatewasup1.8%$515,000.Homeowners in thosedistrictsshould avoid readingtoomuchinto thesefiguresaslowsales volumesinallthreecouldbe leadingtovolatilityinthemarket.Selwyn, theregion'smostexpensive TA,sufferedthe biggestdrop,at3.7%,whileChristchurch'sdeclinewas arelativelysmall1.1%.
At asuburblevel,thebiggestdropwasinAkaroa,ontheoutskirtsofChristchurch. Theholidaytown'saveragepropertyvaluefell 7.2%($73,000)to$945,000.Thenext biggestdropswereinSelwyn'sSpringston(down6.8%)andDunsandel(6.6%).South NewBrighton wasChristchurch'sbiggestrise -itsaveragepropertyvaluewasup2.9% to$613,000 -but of theregion'sbiggestwinners overthequarterwereKaikouraFlat,in Kaikoura(up 11.7%to$870,000),andBenOhau,inMackenzie(up9.5%to$1.09m).
CHRISTCHURCHCENTRAL $716,000$722,000$614,000 0.8%16.6%243
MARSHLAND $1,126,000$1,117,000$904,0000.8%24.6%86
SOUTHSHORE $710,000$692,000$592,0002.6%19.9%21
HEIHEI $610,000$617,000$521,000 1.1%17.1%51
ILAM $966,000$982,000$863,000 1.6%11.9%191
LINWOOD $491,000$494,000$423,000 0.6%16.1%225
CASHMERE $1,144,000$1,146,000$950,000 0.2%20.4%94
SOMERFIELD $759,000$778,000$645,000 2.4%17.7%110
HORNBY $614,000$610,000$509,0000.7%20.6%92
HEATHCOTE VALLEY $813,000$841,000$700,000 3.3%16.1%26
AnaerialviewofLakeTekapo,in Mackenzie,Canterbury. Thetown'saverageproperty valuejumped4%inthelastthreemonths to $1.131m. Photo /GettyImages
LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS 36 OneRoof.co.nz
MACKENZIE $801,000$770,000$720,0004.0%11.3%234 BENOHAU $1,095,000$1,000,000$927,0009.5%18.1%22 FAIRLIE $545,000$520,000$478,0004.8%14.0%37 LAKETEKAPO $1,131,000$1,087,000$1,057,0004.0%7.0%50 TWIZEL $749,000$727,000$673,0003.0%11.3%102 SELWYN$988,000$1,026,000$846,000 3.7%16.8%2108 DARFIELD $857,000$875,000$699,000 2.1%22.6%127 DUNSANDEL $849,000$909,000$716,000 6.6%18.6%27 KIRWEE $1,085,000$1,087,000$844,000 0.2%28.6%40 LEESTON $793,000$821,000$657,000 3.4%20.7%86 LINCOLN $1,045,000$1,060,000$863,000 1.4%21.1%353 PREBBLETON $1,337,000$1,378,000$1,104,000 3.0%21.1%124 ROLLESTON $893,000$926,000$783,000 3.6%14.0%983 SOUTHBRIDGE $666,000$696,000$564,000 4.3%18.1%35 SPRINGSTON $1,042,000$1,118,000$864,000 6.8%20.6%58 TAITAPU $1,513,000$1,568,000$1,229,000 3.5%23.1%37 WESTMELTON $1,419,000$1,431,000$1,138,000 0.8%24.7%104 WINDWHISTLE $741,000$766,000$608,000 3.3%21.9%26 TIMARU $582,000$584,000$519,000 0.3%12.1%1096 GERALDINE $581,000$582,000$513,000 0.2%13.3%100 GLENITI $799,000$808,000$716,000 1.1%11.6%79 GLENWOOD $550,000$539,000$488,0002.0%12.7%49 HIGHFIELD $606,000$598,000$528,0001.3%14.8%96 KENSINGTON $459,000$452,000$405,0001.5%13.3%31 MAORIHILL $575,000$575,000$534,0000.0%7.7%31 MARCHWIEL $526,000$525,000$462,0000.2%13.9%75 OCEANVIEW $632,000$631,000$556,0000.2%13.7%23 PARKSIDE $447,000$447,000$413,0000.0%8.2%74 PLEASANTPOINT $588,000$577,000$510,0001.9%15.3%37 SEAVIEW $468,000$472,000$431,000 0.8%8.6%60 TEMUKA $498,000$491,000$437,0001.4%14.0%123 WAIMATAITAI $514,000$508,000$451,0001.2%14.0%47 WATLINGTON $460,000$467,000$420,000 1.5%9.5%32 WESTEND $492,000$491,000$438,0000.2%12.3%67 WAIMAKARIRI $838,000$846,000$718,000 0.9%16.7%1598 ASHLEY $986,000$991,000$822,000 0.5%20.0%20 BURNTHILL $923,000$907,000$786,0001.8%17.4%26 CUST $1,099,000$1,072,000$903,0002.5%21.7%20 EYREWELL $1,038,000$1,033,000$860,0000.5%20.7%26 FERNSIDE $1,258,000$1,269,000$1,076,000 0.9%16.9%32 KAIAPOI $686,000$694,000$586,000 1.2%17.1%302 LOBURN $1,119,000$1,103,000$916,0001.5%22.2%49 OHOKA $1,465,000$1,448,000$1,200,0001.2%22.1%33 OXFORD $691,000$705,000$591,000 2.0%16.9%81 PEGASUS $854,000$867,000$702,000 1.5%21.7%198 RANGIORA $723,000$725,000$623,000 0.3%16.1%447 SEFTON $1,003,000$984,000$819,0001.9%22.5%20 SWANNANOA $1,238,000$1,237,000$1,030,0000.1%20.2%46 WAIKUKUBEACH $659,000$669,000$580,000 1.5%13.6%31 WOODEND $749,000$772,000$640,000 3.0%17.0%176 WAIMATE $515,000$506,000$432,0001.8%19.2%175 WAIMATE $496,000$488,000$410,0001.6%21.0%142
KAIKORAI $625,000$651,000$628,000 4.0% 0.5%38 KARITANE $747,000$773,000$652,000 3.4%14.6%22 KENMURE $651,000$700,000$659,000 7.0% 1.2%42 MAORIHILL $1,139,000$1,155,000$1,060,000 1.4%7.5%48 MORNINGTON $610,000$641,000$630,000 4.8% 3.2%58 MOSGIEL $766,000$774,000$747,000 1.0%2.5%320 MUSSELBURGH $689,000$718,000$682,000 4.0%1.0%37 NORTHDUNEDIN $792,000$818,000$795,000 3.2% 0.4%45 NORTH EAST VALLEY $580,000$594,000$580,000 2.4%0.0%77 OPOHO $753,000$775,000$726,000 2.8%3.7%20 RAVENSBOURNE $568,000$582,000$555,000 2.4%2.3%21 ROSLYN $940,000$972,000$919,000 3.3%2.3%41 SAINTCLAIR $966,000$1,004,000$904,000 3.8%6.9%52 SAINTKILDA $530,000$553,000$532,000 4.2% 0.4%120 SAWYERSBAY $711,000$732,000$656,000 2.9%8.4%34 SHIELHILL $832,000$891,000$830,000 6.6%0.2%22
4.7%5.9%22 HEIDELBERG
ALBERTTOWN $1,497,000$1,435,000$1,234,0004.3%21.3%68
$754,000$795,000$745,000
OneRoof.co.nz 37
$677,000$712,000$664,000
0.7%10.2%86 RICHMOND $497,000$524,000$467,000 5.2%6.4%64 ROSEDALE $738,000$742,000$658,000 0.5%12.2%30 SEAWARDBUSH $959,000$956,000$851,0000.3%12.7%21 STRATHERN $378,000$397,000$357,000 4.8%5.9%90 TURNBULLTHOMSON PARK $386,000$402,000$370,000 4.0%4.3%20 WAIKIWI $627,000$630,000$570,000 0.5%10.0%80 WAVERLEY $575,000$591,000$527,000 2.7%9.1%44 WINDSOR $590,000$593,000$555,000 0.5%6.3%106 SOUTHLAND $566,000$572,000$494,000 1.0%14.6%614 LUMSDEN $359,000$367,000$308,000 2.2%16.6%26 MAKAREWA $730,000$733,000$658,000 0.4%10.9%26 MANAPOURI $631,000$625,000$559,0001.0%12.9%20 RIVERSDALE $498,000$507,000$424,000 1.8%17.5%20 RIVERTON $644,000$651,000$561,000 1.1%14.8%61 TEANAU $712,000$711,000$645,0000.1%10.4%152 WINTON $599,000$610,000$530,000 1.8%13.0%92 LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS LOCATION CURRENT AVERAGE PROPERTY VALUE THREE MONTHS AGO 12 MONTHS AGO QoQ CHANGE YoY CHANGE SETTLED SALES LAST12 MONTHS
SOUTHDUNEDIN $433,000$450,000$448,000 3.8% 3.3%92
DraggingSouthlanddownwasthe3%valuedeclineinits biggestcentre, Invercargill.TheslideinSouthlandandGoredistrictswassmaller(1%and0.2% respectively) butboth TAsare low-salesenvironmentsand haven'tseentherapid growthseeninthelikesof Wellington.
LOWER SOUTH ISLAND
WAITAKI $571,000$561,000$489,0001.8%16.8%583
OTAGO$952,000$956,000$860,000 0.4%10.7%5290 CENTRAL OTAGO$908,000$888,000$783,0002.3%16.0%624 ALEXANDRA $756,000$753,000$685,0000.4%10.4%134 BRIDGEHILL $908,000$905,000$804,0000.3%12.9%38 CLYDE $977,000$939,000$787,0004.0%24.1%35 CROMWELL $963,000$939,000$835,0002.6%15.3%207 MOUNTPISA $1,369,000$1,310,000$1,095,0004.5%25.0%27 CLUTHA $445,000$454,000$405,000 2.0%9.9%360 BALCLUTHA $446,000$456,000$410,000 2.2%8.8%100 KAITANGATA $286,000$289,000$245,000 1.0%16.7%20 MILTON $447,000$460,000$410,000 2.8%9.0%65 WAIHOLA $666,000$688,000$628,000 3.2%6.1%20 DUNEDIN $707,000$737,000$704,000 4.1%0.4%2265 ABBOTSFORD $655,000$704,000$674,000 7.0% 2.8%33 ANDERSONSBAY $719,000$771,000$731,000 6.7% 1.6%44 BELLEKNOWES $852,000$887,000$823,000 3.9%3.5%37 BROCKVILLE $533,000$567,000$544,000 6.0% 2.0%21 CALTONHILL $503,000$525,000$511,000 4.2% 1.6%32 CAVERSHAM $479,000$514,000$484,000 6.8% 1.0%46 CONCORD $620,000$642,000$622,000 3.4% 0.3%28 CORSTORPHINE $650,000$684,000$624,000 5.0%4.2%32 DUNEDINCENTRAL $751,000$785,000$736,000 4.3%2.0%73 FAIRFIELD $805,000$831,000$773,000 3.1%4.1%42 FORBURY $484,000$506,000$498,000 4.3% 2.8%26 GREENISLAND $625,000$657,000$642,000 4.9% 2.6%68
HELENSBURGH 5.2%1.2%26
WANAKA $1,993,000$2,032,000$1,661,000 1.9%20.0%393
SOUTHHILL $555,000$547,000$474,0001.5%17.1%76 WESTON $771,000$742,000$602,0003.9%28.1%31 $484,000$508,000$457,000 $421,000$426,000$386,000 1.2%9.1%60 $403,000$420,000$379,000 4.0%6.3%59 $443,000$458,000$425,000 3.3%4.2%56 $759,000$764,000$689,000
Otago'saveragepropertyvaluedropped0.4%($4000)to$952,000inthelastthree months,whileSouthland'sfell2.3%($3000)to $520,000overthesameperiod.Property valuesinboth regionsarestill more than30%abovewhere they were atthe startofpostCovidboom,but thegainsmadeinthelatter halfoflastyearwillslowlybeeatenaway bythe slump.
FRANKTON $1,151,000$1,189,000$1,088,000 3.2%5.8%89
QUEENSTOWN $1,611,000$1,577,000$1,415,0002.2%13.9%149
QUEENSTOWN-LAKES$1,878,000$1,845,000$1,597,0001.8%17.6%1458
JACKSPOINT $1,908,000$1,865,000$1,548,0002.3%23.3%169
OAMARU $471,000$457,000$404,0003.1%16.6%71
OAMARUNORTH $507,000$502,000$438,0001.0%15.8%140
FERNHILL $1,238,000$1,268,000$1,169,000 2.4%5.9%52
PALMERSTON $443,000$437,000$395,0001.4%12.2%42
HOLMESHILL $616,000$595,000$518,0003.5%18.9%42
KINGSTON $787,000$795,000$682,000 1.0%15.4%37
ARTHURSPOINT $1,589,000$1,525,000$1,405,0004.2%13.1%30
KELVINHEIGHTS $2,602,000$2,660,000$2,224,000 2.2%17.0%22
KINGSWELL
OTAGOAND SOUTHLAND
ARROWTOWN $2,443,000$2,388,000$1,983,0002.3%23.2%99
LAKEHAWEA $1,219,000$1,226,000$957,000 0.6%27.4%50
HAMPDEN $463,000$461,000$401,0000.4%15.5%26
KAKANUI $643,000$630,000$541,0002.1%18.9%26
WAVERLEY $827,000$886,000$834,000 6.7% 0.8%38
Otago'smostexpensivehousingmarket,Queenstown-Lakes,hasn'tsuccumbed tothemarketdownturnyet,withitsaveragepropertyvalueup1.8%($33,000)over thequarterto$1.87m.The region'sbiggesthousingmarketontheother handhasfelt thewinterchill.Dunedin'saveragepropertyvaluefell4.1%($30,000)overthesame periodto$707,000,andisjust0.4%up yearonyear,withhousepricesin13ofthecity's suburbslowerthanthey were inSeptember2021.
WAKARI $639,000$671,000$648,000 4.8% 1.4%43
OTEMATATA $588,000$562,000$502,0004.6%17.1%22
LAKEHAYES $2,481,000$2,334,000$1,933,0006.3%28.3%68
GLENORCHY $1,405,000$1,359,000$1,127,0003.4%24.7%26
OTATARA
SOUTHLAND $520,000$532,000$477,000 2.3%9.0%2265 GORE $456,000$457,000$417,000 -0.2%9.4%277 EAST GORE $399,000$381,000$336,0004.7%18.8%30 GORE $473,000$470,000$437,0000.6%8.2%174 MATAURA $242,000$254,000$224,000 4.7%8.0%47 INVERCARGILL $513,000$529,000$483,000 3.0%6.2%1374 APPLEBY $327,000$353,000$319,000 7.4%2.5%92 AVENAL $509,000$526,000$468,000 3.2%8.8%26 BLUFF $326,000$350,000$313,000 6.9%4.2%62 CLIFTON $379,000$402,000$365,000 5.7%3.8%38 GEORGETOWN $388,000$397,000$354,000 2.3%9.6%45 GLADSTONE $643,000$660,000$587,000 2.6%9.5%56 GLENGARRY $436,000$454,000$416,000 4.0%4.8%88 GRASMERE $478,000$493,000$448,000 3.0%6.7%70 HARGEST $542,000$550,000$487,000 1.5%11.3%25 HAWTHORNDALE
HALFWAYBUSH 4.9%2.0%33
WAIKOUAITI $531,000$546,000$515,000 2.7%3.1%37
NEWFIELD
LOWERSHOTOVER $1,623,000$1,643,000$1,373,000 1.2%18.2%81
TAINUI $645,000$676,000$650,000 4.6% 0.8%24
2
time,testthemarketto seewhetherthatplaceyoulove reallyisoutofyourpricerange.Ifyou’rereadytobuy, theheadlines areirrelevant.It’sallaboutwhatgoeson betweenyouandthe vendor.
Ialreadyknowyouranswertothisquestion –it’s‘no’. Ofcourseyouexpectyourincometoincreaseovertime–andthe sameistrueofprettymucheveryotheraspectof yourlife.Lifeisaboutchangeandchallenges –somewill begood, somemaybenotsogood –butmostofus come throughthetoughtimesstrongerfortheexperience. Nothinginlifeiscertain–butowningyour ownhome willgiveyou adegreeofindependenceandstability whichwillmakeitthatbiteasiertofacethechallenges thatmight comeuponyou.
1
Bestofluck,whateveryouchoosetodo.
aresomequestionsthatmighthelp youtodecidewhetherwaitingis reallytherightchoiceforyou:
I
Buyingnowdoesn’tmeanyoucan’tmake agreat purchase.Oneoftheadvantagesof aflatmarketisthat everythingisupfornegotiation.Ifyouhavetheluxuryof
COMMENT
•AshleyChurchisapropertycommentatorfor OneRoof.co.nznzandarealestatebusinessowner. EmailhimatAshley@nzmemail.com
4Do youexpecttobeearningwhatyou’re earningnowin20years?
ASHLEYCHURCH’S adviceforthosewhoareholding back because of house priceandinterest rateworries. "HOME OWNERSHIP TRANSFORMSOUR RELATIONSHIPWITH SOCIETY.ITENHANCESOUR SENSEOFCIVICRESPONSIBILITY AND,OVER TIME,INCREASES OURWEALTH." 38 OneRoof.co.nz
Once you’ve bought ahome,isityour intention to ownone forthe rest of yourlife?
DownloadtheOneRoofapp today.
Discoverthousandsofproperty listingsrightacrossthecountry and FREE estimated valuesbased onthe very latest sales figures.
Why?Becausehome-ownershiptransformsour relationshipwithsociety.Itenhancesoursenseofcivic responsibility,amplifiesourcontributiontotheeconomy, givesmeaningtoourparticipationinsocialdemocracy and,overtime,increasesourwealth.
Did youpredictthatthe propertymarket would peakin Novemberoflastyear?
Iftheanswertothisquestionisyes –ifyourplanisto remain ahomeownerineitheryourfirstorsubsequent homes –thenthetimetobuyisnow.Why?Because themediumtolong-termtrajectoryofhouseprices isupwhichmeansthatwhateveryoupaytodaywill beeclipsedbywhatyourhouse is worthin10,15or 20years. Ioncehaggledoverthe last$5000in ahouse purchasewhereIeventuallypaid$371,500.Eighteen yearslaterthathouseisnowwortharound$1.8million. Therateofgrowthmaynotbeatquitethatpacegoing forward,butitillustratestheimportanceofkeepingthe biggerpictureinmind.
Whyright nowisstill thebesttimetobuy
’vehadthevery real privilegeof mentoring manypeopleintheirpropertyjourney overthe years –butby far themostsatisfyingofthese relationships arethosewhich haveinvolvedhelping people getintotheir firsthome.Thereare few things asfulfillingasknowing thatyou’veplayed apartin helpingtoget someoneontothepropertyladderand, asI’vestatedmanytimesbefore,if Ihadmy way,firsthomeownership wouldbeoneoftheprimarypolicy aspirationsof anygovernment.
Ifyou’reapotentialfirst-homebuyer andhave read thisfaryouprobablyalreadyknowallofthis –but youmayalsobeholdingbackfrom acting basedon uncertaintyabouthouse pricesorinterestrates,orin thebeliefthatyoumightbeable tosnap up abargainby waiting abitlonger.
Thesethoughtsareneitherunreasonable,nornew–infacteverygenerationoffirst-homebuyersthatwent beforeyouhavegrappledwiththesameissues–sohere
What’sfor sale. Whatit’sworth.
Infact,NewZealandhousepricesalmostexactly doubledinvalue,onaverage,ineverydecadebetween 1980and2010–anddoubledagaininthe12years between2010and2022–withthatgrowthinhousevalues givingusthefreedomtotravel,investinbusinesses, assetsandideas,improveourlivesandprepareforour retirement.It’sprimarilyforthisreasonthatIstrongly believethatthere’sno‘bad’timetobuyandthatthe righttimetogetintothemarketisassoonasyou’reina positiontodoso.
3Areyouhoping to get abargain?
Ifyoudidn’tseethesuddenturninthe marketcominglastyear,you’reingoodcompany. Noonedid.Foralloftheheadlines, hyperbole –notoneeconomistor commentatorsawthe peak comingandtheywereallcaughtoffguard.My point?Thesameistruewithpickingthebottomofthe market.Everyonethinkstheycandoit,butnoone really can –andwhenitturns,it canturnquickly.
Notavailableeverywhere.Oneligiblebroadbandplans. Compatiblesoftware/device required.Spark andpartnertermsapply.Visitwww.spark.co.nz/myspark/myinternet/movehousetolearnmore. Sparkcanhelpsetup yourbroadband. OneRoof.co.nz 39
TAURANGA:075788887MTMAUNGANUI |PAPAMOA:075759428KATIKATI:075490531 WAIHIBEACH:078634464 WAIHI: 078638864 1st,2ndor15thhome –wecanhelp HereatProfessionalsNRGwelovehelpingbuyersinto anewhome. Ifyou’re afirsthomebuyer,weknowthatcan bean exciting,scaryand confusingtime –butwe’reheretohelp.” We canguideandhelpensureyou’vegotallyourducksinarow. Then,whenit’stimemovetoyour2ndor15thhome, we are expertsat gettingyousold. Ifyouarelookingtotakeyournextstep onthepropertyladderandneedan experiencedsalespersontohelpyou withyourjourney,giveus acall. Tauranga | Mount | Papamoa Katikati | Waihi | WaihiBeach
