Latest report shows Auckland negative annual value growth for the first time in six years
Nationwide residential property values for October increased by only 3.9% year-on-year, which is the slowest annual rate since June 2012, the latest QV House Price Index shows.
Values rose by 0.9% over the past three months, leaving the nationwide average value at $646,807 – this is 56.1% above the previous market peak of late 2007. When adjusted for inflation the nationwide annual increase dropped slightly to 2.0% and values are 30.3% above the 2007 peak.
QV National Spokesperson Andrea Rush said: “Nationwide annual value growth has slowed further to 3.9% in the year to the end of October and the housing market continues to stabilise with the lowest rate of growth seen in five years.
“In Auckland, Tauranga, Hamilton and Christchurch some areas have seen some growth, while other areas are flat or down slightly while values still continue to rise moderately in all parts of Wellington, and Dunedin,” she said.
Rush said Nelson and the Hawkes Bay continue to see the strongest percentage growth of the other main urban areas.
In the provinces, the strongest growth has been seen in South Wairarapa and also in some that have been slower to see recent values hikes including the Far North, Stratford, Ruapehu, Otorohanga and Southland.
Rush said: “In general, there appears to be a trend of slowing in the rate of growth with the frenzy induced by high numbers of investors in the market subsiding and a return to more normal levels of activity in housing market around the country.”
Related stories:
Home listings down 50%
Home consent dips in September
Values rose by 0.9% over the past three months, leaving the nationwide average value at $646,807 – this is 56.1% above the previous market peak of late 2007. When adjusted for inflation the nationwide annual increase dropped slightly to 2.0% and values are 30.3% above the 2007 peak.
QV National Spokesperson Andrea Rush said: “Nationwide annual value growth has slowed further to 3.9% in the year to the end of October and the housing market continues to stabilise with the lowest rate of growth seen in five years.
“In Auckland, Tauranga, Hamilton and Christchurch some areas have seen some growth, while other areas are flat or down slightly while values still continue to rise moderately in all parts of Wellington, and Dunedin,” she said.
Rush said Nelson and the Hawkes Bay continue to see the strongest percentage growth of the other main urban areas.
In the provinces, the strongest growth has been seen in South Wairarapa and also in some that have been slower to see recent values hikes including the Far North, Stratford, Ruapehu, Otorohanga and Southland.
Rush said: “In general, there appears to be a trend of slowing in the rate of growth with the frenzy induced by high numbers of investors in the market subsiding and a return to more normal levels of activity in housing market around the country.”
Related stories:
Home listings down 50%
Home consent dips in September
