About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds Other Sites:   tmmonline.nz  |   landlords.co.nz
Last Article Uploaded: Sunday, July 21st, 8:44PM
rss
Latest Headlines

Mixed post peak value bag - REINZ

National property values continue to fall with the rate of annual growth dropping from 3.8% in June 2018 to 1.7% in June 2019, the latest REINZ House Price Index reveals.

Wednesday, July 10th 2019, 12:48PM 1 Comment

by The Landlord

However, the index also shows that values remain in positive territory and some regions are still seeing strong value growth, with Southland leading the charge in June.

The Southland region had the strongest value growth in the country, with a 20.2% increase to a new record high index level of 3,049.

That’s as compared to the annual increase of 10.5% seen by the region in June 2018.

It was followed by the Manawatu/Wanganui region with an annual growth rate of 18.3% to 3,089, up from the 9.8% increase it saw in June 2018, and the Gisborne/Hawke’s Bay region with a 9.1% annual increase to 2,738.

REINZ chief executive Bindi Norwell says Southland was clearly the shining star in June and that, over the last two years, there’s only been two months where the region hasn’t experienced double-digit year-on-year growth.

“With such strong level of growth for so long now, this is certainly an area to watch over the coming months."

Looking around the country, 11 out of 12 regions saw an annual increase in their index level – although the index levels in most are down from their peak.

[Take a look at the REINZ House Price Index table here.]

Regions that saw strong results were Otago (+8.3%) and Waikato (+5.2%) which were up to new record index level highs of 2,932 and 2,949 respectively as compared to June last year.

The only region not to experience an increase was Auckland, which saw an annual decrease of -3.5% to 2,784.

Norwell says the annual figure shows a fall of -3.5% in the value of Auckland’s market, but the last two months have shown an uplift of +0.3% from April to May and +0.1% from May to June.

While it’s too early to call this a trend, it is certainly the first signs of some renewed confidence returning to the market, she says.

“What makes this growth in Auckland more interesting is that it’s in winter, when traditionally values are a little more subdued. Clarity around the capital gains tax being off the table and record low interest rates are a key influence here.

“We look forward to seeing what happens in the coming months as we get closer to spring and more confidence returns to the market.”

This month REINZ has released the latest instalment of its House Price Index separately to its other data on median prices, sales volumes, and days to sell. The remaining data will be released later this week.

Tags: Auckland house prices property investment property values REINZ value growth

« Prices under pressure

Special Offers

Comments from our readers

On 11 July 2019 at 3:36 pm Winka said:
Or could it be the old "Dead Cat Bounce?"

First the biggest growth areas fall, then moving down the 'ranks' to Southland & co.

Would we not need to really look into why Auckland is said to be enjoying this "bounce?"

Compliance factors need to be assessed to see if they may have been 'contributing' because someone said that compliance in the guise of new scaffold and white plastic wrapped buildings have given the impression of a booming economy.
If that suggestion is correct, what do we expect when this seemingly 'over-compliance' work is completed?

Australia is said to be set for it's big 'correction' very soon, and the signs are certainly there to support that.
Again, are we supposed to be immune from that when it happens, we are after all, only 2 or 3 hours flight away?

A sneeze becoming us with pneumonia?

Sign In to add your comment

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
Subscribe Now

Mortgage Rates Newsletter

Daily Weekly

Previous News

MORE NEWS»

Most Commented On
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
ANZ 5.69 4.35 4.35 4.55
ANZ Special - 3.85 3.85 4.05
ASB Bank 5.70 4.29 4.35 4.55
ASB Bank Special - 3.89 3.85 4.05
BNZ - Classic - 3.85 3.85 4.05
BNZ - Mortgage One 6.40 - - -
BNZ - Rapid Repay 5.85 - - -
BNZ - Std, FlyBuys 5.80 4.69 4.59 4.79
BNZ - TotalMoney 5.80 - - -
Credit Union Auckland 5.95 - - -
Credit Union Baywide 6.15 4.95 4.95 -
Lender Flt 1yr 2yr 3yr
Credit Union North 6.45 - - -
Credit Union South 6.45 - - -
Finance Direct - - - -
First Credit Union 5.85 - - -
Heartland 6.70 7.00 7.25 7.85
Heartland Bank - Online - - - -
Heretaunga Building Society 5.75 4.60 4.75 -
Housing NZ Corp 5.80 4.69 4.49 4.45
HSBC Premier 5.89 3.79 3.79 3.89
HSBC Premier LVR > 80% - - - -
HSBC Special - - - -
Lender Flt 1yr 2yr 3yr
ICBC 5.65 3.85 3.95 3.89
Kiwibank 5.80 4.60 ▼4.60 ▼4.74
Kiwibank - Capped - - - -
Kiwibank - Offset 5.65 - - -
Kiwibank Special - 3.85 ▼3.85 ▼3.99
Liberty 5.69 - - -
Napier Building Society - - - -
Nelson Building Society 6.10 ▼4.69 ▼4.79 -
Resimac 5.30 4.86 4.14 4.19
RESIMAC Special - - - -
SBS Bank 5.79 4.85 5.05 5.49
Lender Flt 1yr 2yr 3yr
SBS Bank Special - 3.85 3.85 3.99
Sovereign 5.80 4.29 4.35 4.55
Sovereign Special - 3.89 3.85 4.05
The Co-operative Bank - Owner Occ 5.65 3.89 3.89 4.05
The Co-operative Bank - Standard 5.65 4.39 4.39 4.55
TSB Bank 5.69 4.45 4.35 4.55
TSB Special - 3.95 3.85 4.05
Wairarapa Building Society 5.70 4.85 4.99 -
Westpac 5.79 4.69 4.79 5.19
Westpac - Offset 5.79 - - -
Westpac Special - 3.85 3.85 4.05
Median 5.80 4.35 4.35 4.19

Last updated: 19 July 2019 10:59am

News Quiz

The maximum remuneration model for Australian life insurance advisers is to be set at what?

Upfront 40% + trail 20%

Upfront 50% + trail 10%

Upfront 50% + trail 20%

Upfront 60% + trail 10%

Upfront 60% + trail 20%

MORE QUIZZES »

About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox
 
Site by Web Developer and eyelovedesign.com