We list some of the regional hotspots, whose property markets and local economies are giving them their time in the sun.
Nelson, Tasman and Marlborough are performing exceptionally well with solid sales growth across retail, car industries and housing. According to figures from the Real Estate Institute, Nelson has shown one of the largest increases in house sales over the 12 months to May 2018 – up 25.3%. The data also shows the median price in Nelson has increased by 5.4% compared with the same time last year. The Tasman region is up 16.2% year-on-year, taking the median house price to $612,000. This is the first time the median house price for Tasman has surpassed $600,000 – further highlighting how popular the region has become. Not to be left behind, Marlborough has also seen a 4.9% annual median house price increase, according to REINZ.
The Otago region continues to put on a strong showing, particularly buoyed by the upbeat performance of the job market over the past year. Data from REINZ shows Otago house prices have reached a record median value of $460,000, which is a substantial gain from the same time in 2017. The median price for Dunedin houses in April was just under the $400,000 mark, at $398,000. Sales in Dunedin were largely led by properties in the old Mosgiel-Taieri ward, which saw a 13.4% increase year-on-year, to $580,000.
The number of houses sold in May 2018 across New Zealand increased by 1.3% when compared to the same time last year. Hawke’s Bay substantially outperformed this with their highest sales count in 14 months, with a jump of 12.5%, from 248 to 279 houses sold. Another indication of this region’s buoyancy is the median house price, which is up 13.2% compared to May 2017. According to REINZ the median price now sits at $430,000, compared to $380,000 in May 2017. The Hawke’s Bay market remains one of the tightest in the country, as illustrated by the weeks to sell the total inventory figure, which sits at just 10 weeks against a national figure of 30.
Wellington’s May 2018 median house price reflected a rise of 8% over the past 12 months to $567,000, which is a record for the region. The days on the market figure in May this year was 29, showing that the market has accelerated compared with May 2017 when the figure stood at 31. Wellington is currently the tightest residential property market in the country, with a weeks to sell the total inventory figure of just eight weeks.
Northland was one of three regions to achieve record house prices in May, which resulted in a median price of $475,000, up 6.7% year-on-year. In terms of the number of houses sold in May 2018, however, the region saw a decrease, down 6.6% compared to the same time last year. However, monthly sales remain above the long-term average for the region. Northland’s weeks to sell the total inventory figure currently sits at just 26 weeks, compared with a long-term average of 95.