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Property prices rise in 30% of NZ suburbs since June

September 19, 2023

New Zealand’s property market has reached a turning point with a growing number of suburbs recording an increase in home values over the past three months.

According to CoreLogic NZ’s interactive Mapping the Market tool  269 of the 924 suburbs analysed nationally saw values rise over the three months to September, more than double the number of suburbs where values increased over the three months to June (114)[i].

Looking at the strongest markets, 29 suburbs have seen values rise by at least 2% since June, with 13 of those in Auckland and four in Wellington City. Christchurch is also showing signs of a new growth cycle, with 14 suburbs in the garden city up by at least 1% since June.

In Auckland, signs of growth are re-emerging with 76 suburbs seeing values rise in the past three months, led by Herald Island, Maraetai and Mellons Bay up 3% apiece.

In nearby Hamilton, median values increased in 11 of the 34 suburbs analysed, with Fitzroy the strongest performer with 1% quarterly growth. Values in Baverstock were unchanged over the past three months, while Rototuna was the weakest suburb (-1.7%). Harrowfield is Hamilton’s most expensive suburb ($1.07 million) and Bader the cheapest (roughly $578,000).

In Tauranga, six of the 14 suburbs analysed are recording either flat or rising values since June, led by Ohauiti at 0.6% growth. Mount Maunganui is the most expensive suburb with a median value of $1.33 million, and Parkvale is the most affordable at $640,050.

Of the 96 suburbs analysed in Wellington, values were flat or rising in 27 areas. Ten suburbs saw values rise by at least 1%, including Newlands and Maupuia by 2%, Southgate by 2.1% and Paparangi by almost 3%.

Christchurch is also showing signs of a turning point, with 50 suburbs flat or rising since June. Fourteen have risen in value by at least 1%, with Hillmorton up by nearly 3%.

Looking ahead, CoreLogic NZ Chief Property Economist Kelvin Davidson said while the latest data confirms the signs of a turning point are very evident in the past few months.

“An increasing number of suburbs are showing growth, consistent with a general peak for mortgage rates, high net migration, a strong labour market, and easing credit rules,” he said.

Keith Niederer, General Manager, NZ, Raine & Horne, stated, "With around 30% of New Zealand property markets experiences a notable upswing, it's clear that the tide is turning.

“As we approach next month’s General Election, this newfound momentum should serve as a source of optimism for vendors and buyers alike.

“The election's outcome can further bolster our property market, provided that the policies and strategies put in place align with the needs of our industry.”

If you’re considering selling your property, speak to a Raine & Horne agent today and find out what your property is worth.