Auckland OneRoof Property Report - June 2022

OneRoof.co.nz

Monday, June 13, 2022

THE PROPERTY RICH LIST

How they spent it Where the super-rich and the newly minted are buying property in New Zealand NZ’S MOST EXPENSIVE HOUSES | WHAT RICH!LISTERS WANT | THE LATEST SUBURB VALUES

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ALTOGETHER YOUR NEW BUILD

EXPERTS A selection of our latest New Build opportunities that are currently available on the market - please contact the relevant member of the Bayleys New Build team for more information on each property.

College & Mason, Stonefields – Developed by Templeton Group

Artist's impression

Alta Villas, Wanaka

Artist's impression

Mountview, Epsom

Contact: Ben Stephens 022 160 3552 ben.stephens@bayleys.co.nz

Scott McGoun 021 201 9029 scott.mcgoun@bayleys.co.nz

Contact: Paula Halford 021 705 199 paula.halford@bayleys.co.nz

Louise Stringer 021 628 839 louise.stringer@bayleys.co.nz

BAYLEYS REAL ESTATE LTD, AUCKLAND CENTRAL, LICENSED UNDER THE REA ACT 2008

MAT ANDREWS REAL ESTATE LTD, WANAKA LICENSED UNDER THE REA ACT 2008

BAYLEYS REAL ESTATE LTD, AUCKLAND CENTRAL, LICENSED UNDER THE REA ACT 2008

BAYLEYS REAL ESTATE LTD, AUCKLAND CENTRAL, LICENSED UNDER THE REA ACT 2008

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Artist's impression

Artist's impression

Jimmy’s Point, Hobsonville Point

Omana North, Milford

Contact: Kirsten Bishop 027 660 6446 kirsten.bishop@bayleys.co.nz

Cherry Kingsley-Smith 021 888 824 cherry.kingsley-smith@bayleys.co.nz

Contact: Joan Barton 021 273 9930 joan.barton@bayleys.co.nz

Kirsten Bishop 027 660 6446 kirsten.bishop@bayleys.co.nz

BAYLEYS REAL ESTATE LTD, AUCKLAND CENTRAL, LICENSED UNDER THE REA ACT 2008

BAYLEYS REAL ESTATE LTD, NORTHWEST LICENSED UNDER THE REA ACT 2008

BAYLEYS REAL ESTATE LTD, TAKAPUNA RESIDENTIAL, LICENSED UNDER THE REA ACT 2008

BAYLEYS REAL ESTATE LTD, AUCKLAND CENTRAL, LICENSED UNDER THE REA ACT 2008

Artist's impression

Ovation

Artist's impression

The CAB

Contact: Edwin Killick 021 292 0362 edwin.killick@bayleys.co.nz

Kirsten Bishop 027 660 6446 kirsten.bishop@bayleys.co.nz

Contact: Karim Garcia 021 346 012 karim.garcia@bayleys.co.nz

Suzie Paine 021 976 008 suzie.paine@bayleys.co.nz

BAYLEYS REAL ESTATE LTD, TAKAPUNA RESIDENTIAL, LICENSED UNDER THE REA ACT 2008

BAYLEYS REAL ESTATE LTD, AUCKLAND CENTRAL, LICENSED UNDER THE REA ACT 2008

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BAYLEYS REAL ESTATE LTD, PONSONBY, LICENSED UNDER THE REA ACT 2008

Residential / Commercial / Rural / Property Services

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ALTOGETHER YOUR NEW BUILD

EXPERTS

College & Mason, Stonefields – Developed by Templeton Group

Bayleys recognises the strong connection between dedicated

now you have access to a team of highly knowledgeable experts.

expertise and achieving the best result. That’s why we’ve

Let the Bayleys New Build Team help you successfully navigate

established the Bayleys New Build team, an elite group of salespeople specifically focused on the new build market.

If you’re looking to sell or purchase property off-the-plan,

this specialist market today.

0800 BAYLEYS | bayleys.co.nz LICENSED UNDER THE REA ACT 2008

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MARKET WATCH

From the editor

Refusal to accept reality could cost many sellers dearly The turning of the market has been brutal, writes TONY ALEXANDER

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game I often like to play with my family is: where would we live if money wasn’t a barrier? I can safely say that pre"y much every home featured in this year’s Property Report Rich List would make the cut.

Some are exercises in extravagance; others are incredible works of art. They all dazzle, and sadly in my case, without the aid of a Lo"o win, are all una"ainable. But for an increasing number of Kiwis, that’s not the case. In the last two years, the number of residential real estate sales at the top of the market (those of $5 million and above) tripled as the country’s wealthy and super-wealthy went on a multi-billion-dollar house-shopping spree. Agents report there is more big money in the game than ever before, and it’s all looking for a home. Expect records to tumble. Enjoy your trip through “Wonderland”!

Inside 6

Cover story: How they spent it

13 NZ’s most expensive homes 18 Paula Bennett Q&A 20 Super-prime movers 22 Rod Stewart’s in the house 24 Wealthy suburbs - rise and fall 26 Artists in residence 29 The big bucks in luxe 30 The grass is greener 32 Where the price tag is $500m 33 Rupert Gough 34 OneRoof-Valocity House Price Report 47 Ashley Church

Design and cover Beth Walsh │ Artwork Derek Watts Sub editor Akanisi Taumoepeau

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ousing markets move in cycles and although the cycles can sometimes be hard to pick, there are times when it seems clear that things are going to head back the other way.

That was the case over a year ago when in my commentaries and presentations I noted that we had entered the endgame for the boom in house prices regardless of which short, medium, or long-term cycle one was talking about. These were respectively the price boom from June 2020, the boom from 2012-2015 depending upon the region, and the boom from 1992 which has produced average nationwide price gains of 7% a year.

My expectation was that come the June quarter of this year we would see the market heading back in the other direction. But the turning point came six months earlier than I expected and the downward leg of the cycle is proving to be particularly fierce.

The main factor causing the market to turn from an Auckland price peak in November and peak elsewhere in February was the credit crunch. This came in the form of reduced ability for banks to undertake low deposit lending from November, then new rules for responsible lending effective from December. But other factors were already in play.

“REJECTED VENDORS CAN BE CAUGHT IN A DOWNWARD SPIRAL OF CUTTING THEIR ASKING PRICE, TURNING DOWN AN OFFER BELOW THAT, THEN CUTTING AGAIN.” Loan to Value Ratio rules returned in February 2021 and were strengthened in May. Tax rules affecting investors were toughened from the end of March. Fixed mortgage interest rates rose between 2% and 3% from early-2021 to late in the year.

More recently we have seen a rise in discussions of a brain drain from New Zealand, a soaring cost of living, higher energy prices due to the war in Europe, and concerns about completions of new dwellings amidst newly worsening supply chain disruptions and soaring materials prices.

The turning of the market has been brutal and comments from agents at the coalface tell us why annual turnover has already fallen from a peak of 100,000 sales in the middle of last year to 78,000 and look headed below 65,000. It is not just that buyers have stood back feeling that time is now firmly on their side. Vendors have shown a high reluctance to accept that the absurd prices of late2021 will not return.

That a"itude is costing many sellers dearly because in

a declining market the first offer is often the highest and if that gets rejected vendors can be caught in a downward spiral of cu"ing their asking price, turning down an offer below that, then cu"ing again. But this is where things get interesting.

As previously noted, this is not a downturn in the housing market associated with a wave of distressed sellers. The unemployment rate is at a record low and job security is very high. In fact, when I ask agents what buyers are worried about only 8% at the end of May said employment and incomes. In October that was 13%.

The main concern of buyers is rising interest rates observed by 83% of agents, followed by problems ge"ing finance seen by 74%. Only 7% say lack of listings is an issue, down from 66% in October.

Very few people who currently own a house will end up paying a mortgage rate higher than the test rate their bank used for assessing their ability to service their debt over an interest rate cycle. This comment might seem overly optimistic in light of the Reserve Bank’s recent bringing forward of the time when it sees interest rates peaking to mid-2023 from mid-2024 and lifting their predicted peak by 0.5%.

But the economy is already showing signs of the weakening they are seeking by raising interest rates. In particular, retail spending fell in the March quarter and my monthly survey of people’s spending plans shows a net 20% of us are planning to spend less in the next 3-6 months. Back in December this reading was a net 17% of us planning to spend more. The retailing outlook has turned on a dime and that is very positive for inflation coming down. The chances are good that mortgage rates will reach their peaks late this year and at levels not as high as implied by the Reserve Bank’s hawkish numbers.

There will be very few mortgagee sales. Those that do occur are likely to be mainly partially completed developments.

Again, as noted previously, one characteristic of this downturn will be the failure of many newer developers who lack the capital, finance, and experience to see themselves through a construction demand pullback and the biggest materials supplies shock on record. Feedback from the banking sector tells me that the large developers have good finance in place and the experience to handle the weakness. But the newer ones who have had to partially rely on second-tier finance will have issues and they are the ones most likely to face liquidation.

If we entered the endgame for the cyclical boom in early-2021, when will we enter the endgame for the bust? My current best guess is early-2023 with a prices plateau towards the middle of that year. As for when the next upturn starts, history suggest a few years of things being relatively flat usually arise before prices start jumping again.

• Tony Alexander is an independent economist.

Additional commentary from him can be found at www.tonyalexander.nz

Photos Fiona Goodall, NZ Herald, Getty Images

ALTOGETHER

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THE PROPERTY RICH LIST | COVER STORY

A $3.8B housing grab by the super wealthy In the last two years the number of $5m-plus sales in New Zealand tripled as the country’s superrich set out to bag a better trophy home.

CATHERINE MASTERS reports on a luxury housing market that seems to be immune to the price pressures being felt elsewhere.

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here is more wealth in the upper price bracket of the residential market than ever before in New Zealand, say those dealing in $10 millionplus sales.

Agents are seeing that wealth displayed across people with businesses which have done well out of the Covid pandemic to those who have seen massive equity gains in their existing properties as prices boomed over the last 24 months.

While the middle and bo!om are now struggling from pressures such as rising interest rates and inflation, the top of the market appears to be swimming along as people with that amount of wealth are largely immune.

What agents on the ground are seeing is backed up by new OneRoof statistics from its data partner Valocity which has tracked high-end transactions.

Between 2015 and 2019, the annual average number of residential properties selling for $5m and above was 100, while the annual average number of $10m-plus sales was 11. By 2020, the number of $5m-plus sales hit 211, 16 of which were in the $10m-plus bracket. The total value of sales in the $5m-plus bracket for 2020 was $1,413,846,992 – almost double the total amount spent on top-end properties in 2019.

The top end did even be!er in 2021, with the number of $5m-plus sales jumping 51% to 334 and the number of $10m-plus sales reaching 32. The amount spent in the top price bracket was a whopping $2,353,581,301, but still only 0.3% of Kiwis’ total spend on residential real estate in 2021.

The bulk of high-end sales were in Auckland, followed

by Queenstown, with others trending around coastal areas, such as Mt Maunganui and Papamoa in Tauranga.

OneRoof spoke to a range of people involved in the industry and key themes emerged, including: • The growing wealth divide between the top and the middle/bo!om.

• Suburbs and coastal locations favoured by the wealthy tend not to change as these areas are seen as a safe and solid investment.

• $10m does not buy as luxurious a home as it did a year or two ago, with entry level to some locations now si!ing at around the $5m mark.

• More top-end homes are going to auction.

• Many wealthy people are savvy business entrepreneurs but are not household names, preferring to fly under the radar, and the new wealth being seen includes a growing number of younger Kiwis.

Chris Farhi, head of insights at Bayleys, which has a partnership with global real estate business Knight Frank, says New Zealand was flagged in the latest

Knight Frank Wealth Report as having the highest expected rate of growth in the world for Ultra High Net Worth Individuals (UHNWI) – the standard definition of a UHNWI is $US30m, which is about $NZ45.7m.

“One of the big themes that popped out of the Wealth Report this year was that the wealthy have go!en even wealthier during Covid,” says Farhi.

Agents who spoke to OneRoof repeatedly expressed amazement at the amount of wealth in New Zealand.

They say while there are plenty of buyers out there in the $10m-plus category it’s a competitive market in part due to the lack of stock in this price range.

Growing wealth gap

Brad Olsen, a principal economist and director for Infometrics, worries about the growing wealth divide in this country as demonstrated by statistics such as OneRoof’s.

He thinks the wealth that is apparent in the residential real estate market is down in part to the redirection of money from those who have found themselves in a more affluent position.

The wealth itself is not a surprise as there has been a shift upwards at the top end given the sheer magnitude of money which moved into the housing market after the arrival of Covid, he says.

The Reserve Bank puts the total value of housing in this country at $1.5 trillion which even Olsen says is a number with so many zeroes it’s hard to get your head around.

“The fact there is such an apparent market of the $5 million to $10 million both surprises me and doesn’t at this point,” he says.

What it does highlight is how well some businesses and entities have done in recent times.

Olsen says the flight to property at the high end is unlikely to change anytime soon given the return on stocks and investments have been variable to downbeat.

The wealth gap is concerning, he says, especially with research showing 14% of parents are having to help their children into a home with most of those children unlikely to be able to pay them back.

“I guess it just reinforces the divide, certainly at a time when we see inflation at a generational high and we see the housing market turning around.”

Among agents seeing that divide in action is the Wall family from Wall Real Estate, which consists of father Graham and sons Andrew and Ollie, who are behind many of the country’s top end sales and who hold various price records – the $38.5m paid for former Hanover Finance director Mark Hotchin’s house in Orakei, Auckland in 2013 has yet to be beaten.

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GETTY IMAGES / BETH WALSH

“IT SEEMS EXTREME TRADING UP FROM A PROPERTY WORTH $5M TO $10M BUT IT REALLY IS THE SAME AS SOMEONE TRADING UP IN A LOWER VALUE LOCATION. IT’S JUST THAT THEY’VE GOT A FEW MORE ZEROES AT THE END.” – JAMES WILSON, VALOCITY DIRECTOR OF VALUATIONS

Wall Real Estate recently surpassed $1bn in sales for the last five years, and has had big recent sales, such as 21 Upland Road in Remuera which fetched $11.6m ($2m over CV) and 288 Remuera Road which sold for $29m, last year’s top residential price.

Andrew Wall says the offers keep coming, and these big prices are signs the wealthy believe property is the best place to invest their money, particularly in unstable times.

“You need to invest it in the dirt we’re standing on; it’s the only thing that’s solid.”

Wall talked about meeting the occasional Covid millionaire: “I met a guy who made a lot of money in face masks and another guy who made a lot of money in sanitisers.

“We meet the most amazing people from all sorts of industries.”

When spoken to, Wall was about to meet with someone in the film industry and then with someone who had a kitchen business, saying, “it amazes me how wealthy these guys have become.”

Buyers in T-shirts and stubbies

Paul Neshausen, a top agent for Barfoot & Thompson in Auckland’s St Heliers, says New Zealand has a growing number of tech and other millionaires.

“Given what I see on a day-to-day basis, I think the wealthy have got wealthier. I guess you could say because of Covid but if you drilled down on that it’s probably because they had a strategy for their business

during Covid.”

He has clients who have seen their wealth double, and some are younger, he says.

“The wealthy set has changed from 60s-plus to 40s-plus. You can’t judge a book by its cover, man.

“They look too young to be able to afford a house that I’m selling, whereas in fact they end up being the buyer.”

Michael Boulgaris, who sells to the wealthy mainly around the leafy Auckland suburbs of Epsom, Remuera, St Heliers, Kohimarama, Mission Bay, Orakei and Mt Eden, says while there are more $10m buyers than ever before, that amount of money does not necessarily buy a home with a tennis court, let alone an unimpeded water view.

“Your entry level for a decent house - just entry level on less than 1000sqm, is $6m now in a good location.”

To buy a fabulous view as well, people are paying well over the $10m mark, and $10m itself is no longer a “spooky” number to mention, he says.

“Two years ago it wouldn’t be the same conversation.

You’d still be looking for the elusive $10m buyer but not today.”

He has noticed a change in the wealthy, saying clients are a lot more accommodating and a!entive to advice than they were a year or two ago.

“They know that cash isn’t a thing so they don’t rule the market saying ‘I’m a $10m cash buyer’. They don’t have the power they used to have.”

Covid has also relaxed top-end buyers in other ways.

“People turn up today in stubbies and shorts and

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SPONSORED CONTENT

The finest countryside living in the Waikato In the world of real estate, connections sit at the heart of successful outcomes. Usually that means an agent’s connection with people - matching buyers with properties to find that dream home.

In the case of this Matamata lifestyle development however, connections delve far deeper. Highgrove reflects the culmination of years of planning and painstaking attention to detail preparing Highgrove to the standard that has been achieved. This development celebrates a chain of connections that led to a collaboration of likeminded people.

It began in 2019 when Auckland-based developer Roger Coutts received a call from his real estate niece in Matamata, with a piece of land she thought Roger might be interested in.

“My wife is from a Matamata family who have been farming in the area for over 100 years, with her brother Murray Wilson still farming there, so it was good to do a development in a familiar area.”

Sitting on the outskirts of town, the site was perfect – flat land, amazing established trees, a quiet road – just far enough from town, yet handy to everything. Then the neighbouring property came up for sale – disappointingly snapped up by another buyer. Until Roger learned who the new owners were. As it turned out – local brothers Hayden and Shaun Begovich of Begovich Builders’ renown.

The connections continued when Roger discovered the new road into both blocks was to run down the shared boundary. Discussions were had, friendships were made

For more information on the initial release of Highgrove, have a chat to Peter or Rex at LJ Hooker Matamata today. www.highgrove-matamata.co.nz

and new trails blazed as a joint venture was formed.

“The stars aligned as we worked through the details and found both brothers had similar business ethics and the same vision to create the finest lifestyle development in Waikato.”

Highgrove’s concept was born. Taking its cue from the towering English trees already in place, a nursery was established to tend the vast number of trees that were bought as the land was developed. More than 500 were sourced around the North Island, mostly deciduous and all over three metres. As development progressed, more trees were purchased, including many in-ground trees over six metres that were shifted on to the site. There are now over 1000 trees, 3000 hedging plants and ground cover planted throughout the 16-hectare development.

It’s an impressive landscape; carefully positioned to frame each site, personalise cul-de-sacs and create a foundation for the distinction of homes that will follow. Meticulously planted and maintained, a full-time team has nurtured Highgrove to this point, ably led by Chris Frost a long time friend and business partner of Rogers. Two deep bores were established – initially to maintain the nursery, then to provide reticulated water to each lot.

Not all the trees are deciduous. While Highgrove derived its name from the existing English trees, the two new culde-sacs reflect their personal plantings. Orchard Place has apple, plum and citrus trees. Olive Place has significant olive plantings. The scale of plantings and underground service preparation far exceeds any normal development.

There are liquidambars, flowering cherries, oaks, London planes, copper beech, horse chestnuts, tupelos and magnolias. Spring will be ablaze with blossoms. Autumn will match Matamata’s magnificent rustic hues. Each resident will also be invited to plant their own trees – in keeping with the covenants and quest for Highgrove and its future. Eventually, Highgrove will become almost a private arboretum. Experience shows that property values benefit as trees mature and grounds become established.

“The vision that stonework and trees would be the main features, meant us going to various quarries to find the right rock initially, with no success,” says Hayden.

“Then our stonemason came up with Te Mata stone from Raglan. This has a stunning earth tone. Melded with the Hinuera stone place name inserts, the result is perfection.”

Shaun agrees.

“This level of detail extends to every aspect within the development.”

Having developed successful projects around New Zealand, Roger and his wife have a special affinity with Highgrove, thanks to their family connection. As builders and locals, Hayden and Shaun share this empathy. Both take pride in creating homes that cherish nature and are already looking ahead to building here.

The initial release is just six lots – marketed by Matamata LJ Hooker’s Peter Begovich and Rex Butterworth. As Peter just happens to be Hayden and Shaun’s father, the connections continue. Highgrove’s next chapter has already begun.

Peter Begovich Rural / Lifestyle Specialist & Auctioneer 07 888 5677 027 476 5787 peter.begovich@ljhooker.co.nz

Rex Butterworth Rural / Lifestyle Specialist 07 888 5677 021 348 276 rex.butterworth@ljhooker.co.nz

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THE PROPERTY RICH LIST | COVER STORY

T-shirts. Since Covid lockdown, the last two years, people don’t wear suits much anymore.

“These buyers with $10m or $20m turn up with jandals and shorts and they’re really cool. People have taken a real different outlook and perspective on life.”

James Wilson, head of valuation for Valocity, says properties that sell in the $5m and $10m price range are no longer top echelon homes in places like Remuera and Herne Bay. “I think it’s still quite surprising for people to get their head around, especially those that live outside of Auckland, just what sort of bang for your buck you get in some of those higher value suburbs.”

While still buying a nice home, he says, “they are not your clifftop mansion that once upon a time $5m properties would have been in New Zealand.

“They are not going to be wide water views at that price bracket - that world has well and truly changed.”

Analysis of the Valocity data shows buyers of $10m homes are generally people capitalising on equity gains who are trading up, Wilson says.

“It seems extreme trading up from a property worth $5m to $10m but it really is the same as someone trading up in a lower value location. It’s just that they’ve got a few more zeroes at the end.

“Covid did absolutely drive a surge of demand but it also unlocked the potential to do those kinds of tradeups for many people.”

Wilson says the data reveals no surprises in the top towns or the top streets - Victoria Avenue and Arney Road in Remuera and Argyle Street in Herne Bay, both of which are pricey Auckland suburbs.

“Where the high value stock typically sits is relatively consistent over time and that’s one of the reasons why high net buyers like that stock - it’s almost like an asset they can trade and transact relatively liquidly because it’s always going to be maintained by being in those locations.”

But Boulgaris says change is coming to wealthy suburbs and not from a market collapse at the top end.

Rather, the change is coming from the Government’s intensification plans, such as the allowing of apartment towers to be built near train and transport hubs, and also because of the controversial Housing Supply Bill, a Labour/National housing accord which paves the way for three homes of up to three storeys to be built on most sites without the need for resource consent.

This could result in the “rape of Remuera” and other suburbs, says Boulgaris.

“You imagine around Remuera Road or somewhere like that where there are expensive homes and big homes with a tennis court. There will be a lot of fear now.

“Could a development spring up next door? It’s going to almost be a buyer beware, or do your own homework, because there’s no guarantee of privacy or a high rise going up next door to you if you’ve got one of those beautiful big homes.”

Neighbourhoods under pressure Gary Wallace, a top agent with Bayleys Remuera, is also concerned about the impact of intensification.

He puts the entry point in Remuera at $5m now but says the suburb could become a bit more affordable over time if large character homes are allowed to be demolished to make way for development.

This would be an assault on people’s property rights, he says, with values affected by potentially ugly developments over the fence.

Wallace says he understands the need for affordable housing but objects to the lack of planning, and says buyers are voicing concern.

TED BAGHURST

The Covid factor

“YOUR ENTRY LEVEL FOR A DECENT HOUSE - JUST ENTRY LEVEL - ON LESS THAN 1000SQM, IS $6M NOW IN A GOOD LOCATION.” - MICHAEL BOULGARIS, BOULGARIS REALTY

“People will say, ‘it’s a lovely spot - that’s a nice home next door, what could be built there?’

“The face of our suburbs as we know and respect them today is changing, whether you like it or not.

“There are properties that will lose their value because of what is being built on their boundaries.”

Some buyers won’t even engage, he says: “They’ll go somewhere else. They’ll say ‘why would I want to live next door to that’.”In another change, as house prices have skyrocketed, more pricey homes are heading to auction rooms.

Murray Smith, auctioneer with Barfoot & Thompson, says 10 years ago $2m or $3m homes were considered high end and were not generally taken to auction, but that has changed.

“We might see something selling at auction over $5m once or twice a month these days.”

He expects $10m homes will be seen in auction rooms, too.

Smith sold a Maungakiekie Avenue property in Greenlane at auction for $9.9m a li!le over a year ago, a sum understood to still be the auction record for a residential home.

Another property, in Arney Road, Remuera, sold for $8m under the hammer in 2020, defying the $6m expectations.

Why wouldn’t you bring expensive properties to auction, Smith asks.

“Anything that’s premium is auctioned. You know, paintings, artwork, horses, so maybe it’s finally come to fruition in this price bracket.”

Bayleys national auction manager Connor Pa!on also says it’s no longer uncommon to see $5m-plus properties up for auction.

“There’s more confidence from agents and from owners that there is some genuine depth to the number of people willing and able to spend that sort of money.”

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THE PROPERTY RICH LIST | COVER STORY

“They don’t want windy, draughty, three-storey villas up a steep hill any more. There are a lot of hills, a lot of sloping gardens, a lot of stairs and a lot of highmaintenance old wooden houses.”

Brown also says Wellington’s big buyers are not flashy people: “When they come and sit in your auction rooms you know who they are and they’re si!ing there in their corduroys and their woolly jersey and they own half of Wellington.”

She thinks rather than put all their money into a great big home, wealthy Wellingtonians are more likely to buy another home in Martinborough as well, or on the Kapiti Coast, or Queenstown.

International interest

FIONA GOODALL

“THE FACE OF OUR SUBURBS AS WE KNOW AND RESPECT THEM TODAY IS CHANGING, WHETHER YOU LIKE IT OR NOT. THERE ARE PROPERTIES THAT WILL LOSE THEIR VALUE BECAUSE OF WHAT IS BEING BUILT ON THEIR BOUNDARIES.” – GARY WALLACE, BAYLEYS

The market outside Auckland Outside of Auckland, Queenstown is the main hub for wealthy buyers, although more $5m sales are being seen in Tauranga.

Stephen Shale, who auctions for Bayleys in the Bay of Plenty, Waikato and Taranaki, says there aren’t wealthy suburbs in these locations so much as the rule that the nearer to water a property, the higher the price.

In the Waikato, that means near the river, or Raglan and the Coromandel beaches.

In the Bay of Plenty, it’s Mt Maunganui and Papamoa or the inner Tauranga Harbour, and in Rotorua it’s by the lakes.

“We don’t have a Remuera as such in Hamilton because you can be in one suburb on the water at the river and you could be 200 metres back in the same suburb but your price is dramatically different.”

In Wellington, $5m sales have increased in suburbs like Mt Victoria, Kelburn, Wadestown, Roseneath and Oriental Bay, but there aren’t many properties for sale at that price in the Capital, says Antonia Brown, sales manager of Harcourts Wellington City.

She wasn’t sure why there weren’t more $10m homes in Wellington, saying there are people who can afford them, but she thinks perhaps the steep topography could be part of the reason.

A new trend in Wellington is the emergence of luxury apartments around the inner-harbour which can fetch $4m and $5m and are popular with older people who have money.

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In Christchurch, Cameron Bailey, a top agent with Harcourts Papanui, says $10m sales are non-existent, though there are properties of that ilk out there.

High end starts at about $4m in suburbs like Fendalton and Merivale and sales are usually to local buyers, he says.

Fendalton is the “Remuera of Christchurch” because of its larger land parcels: “It all starts with the land and the land we’re selling in Christchurch at the moment in the good areas is over $2000 a square metre.”

Queenstown, with its snow-capped mountains and stunning lakes, continues to a!ract big spenders with Mark Harris, of New Zealand Sotheby’s International Realty, reporting sales of $15m and $23m to Kiwis and Australians.

“I think we did five of the top 10 last year and probably half of them were Aussies; Sydney and Melbourne.”

Ross Hawkins, a top salesperson for Ray White, Black Group Realty Ltd, also sells in Queenstown and elsewhere, and expects to see more Australians with the country opening back up.

They want to get away from bush fires and 40-degree heat, he says, and he expects wealthy Australians may be among those a!racted to a new form of shared ownership called fractional ownership, something he says has been seen more in Europe and other parts of the world than New Zealand.

Unlike timeshares, fractional ownership gives buyers a share of a luxury property as a transferable title which they can sell.

Hawkins is working with a developer on a $30m off the plan property, Parore, offering eight shares for $3.75m each and he says there’s plenty of inquiry.

He thinks fractional ownership will be popular because in Queenstown there are many expensive homes that sit empty for most of the year.

“A lot of these wealthy people are pre!y smart with their money,” he says.

“You’d be be!er to have shares in four different houses in different parts of the world rather than having it all in one house in one place.”

As the agent who has conducted many of the Shore's top sales, including the highest ever sales in Cheltenham and Stanley Point, Victoria is the person you will want to talk to if you are thinking of selling your home. The Bidwells' continue to be leaders in the North Shore waterfront and luxury market.

If you are thinking of selling and would like expert advice about achieving the best result in this market, please call Victoria.

Victoria Bidwell

Residential and Waterfront Specialist

Number One Agent Bayleys Takapuna for 17 years "Top Achiever" for Bayleys New Zealand wide for 15 years International Property Awards - Best Residential Marketing Winner, Bayleys National Waterfront Marketing Award

021 947 080 I victoria.bidwell@bayleys.co.nz BAYLEYS REAL ESTATE LTD, TAKAPUNA, LICENSED UNDER THE REA ACT 2008

A LT O G E T H E R B E T T E R

Residential / Commercial / Rura l / P rop e rt y S er vices

OneRoof.co.nz

Auckland’s waterfro ont and premium home speccialist

PEN N E MILNE + 64 21 919 940 • pene.milne@ @nzsir.com

J U ST L I ST E D

Sub-Penthouse XXXII Shelly Beach Set for Spring 2022 completion, this building of 10 apartments is designed by Paul Brown Architects for elegant living in a premium location. 3B has 158 sq m of living and 35 sq m outdoor terrace, surround balconies maximising sun and views to the north and west across the harbour, bridge, and city Featuring Poggenpohl & Miele kitchen with oversized scullery, three bedrooms, main ensuite and WIR, two car garaging, wide plank timber flooring, and finished in beautiful natural tones and central ducted heating.

Walk to and from Herne Bay and Ponsonby Villages, Westhaven and Downtown for a highly desirable lifestyle. Call to view onsite and see in person the views and position ahead of completion.

P E N E M I L N E + 64 21 919 940 pene.milne@nzsir.com Each Office Is Independently Owned and Operated. Browns Real Estate Limited (licensed under the REAA 2008) MREINZ.

3 2 S H E L LY B E AC H R OA D, ST M A R YS B AY 3

2

2

Floor Area: 193 sq m (approx.)

View: 32shellybeach.co.nz Call to View.

Price: $5,495,000

11

12

OneRoof.co.nz

J U ST L I ST E D

The Penthouse - Follow the Sun

1 1 0 1 / 7 0 DA L DY ST R E E T, W Y N YA R D Q U A R T E R 3

Astounding panoramic 270 degree views embrace this magnificent 11th floor sub-penthouse projecting out to Auckland’s waterfront and the Gulf. Accessed by private entry, the ultra-luxurious, bespoke three bedroom apartment with two bathrooms is one of Auckland’s finest. Voluminous living and dining areas are complemented by a media room and the master suite is lavish. Offering a walkable lifestyle with eateries, the ASB Theatre and the CBD so close. For a no-compromise waterfront lifestyle with the best views in the world. Don’t wait.

2

2

Floor Area: 225 sq m (approx.)

View: nzsothebysrealty.com/NZE11543 Call to View.

Set Date Sale: 4:00 p.m. Tuesday 28 June 2022 (unless sold prior)

J U ST L I ST E D

Prime North East Corner

Heartland Herne Bay

3 9 0 3 / 1 0 C O M M E R C E ST R E E T, A U C K L A N D C E N T R A L

7/ 9 7 J E R VO I S R OA D, H E R N E B AY

3

2

1

Floor Area: 125 sq m (approx.)

3

2

2

Floor Area: 294 sq m (approx.)

View: nzsothebysrealty.com/NZE11542

View: nzsothebysrealty.com/NZE11528

Call to View.

Call to View.

Price: $2,850,000

Price: $5,150,000

Wake each day to a spectacular harbour view and cityscape. This apartment holds an incredible position in the award-winning Pacifica and you will experience the quality of city living in Britomart with an easy walk to the waterfront, Viaduct precincts and catch the ferry to Waiheke for the weekend escape. Enjoying a prized north-east corner position, the home has all new timber flooring, creating a larger open living area to the views.

The panoramic 270 degree views are amongst the best in Auckland that you will never tire of from the Shangri-La Apartments in the heart of Herne Bay. From here, the walkable lifestyle includes the convenience of the Village, Ponsonby and the CBD. After a significant upgrade of the grounds, play a game of tennis or relax by the pool.

OneRoof.co.nz

13

THE PROPERTY RICH LIST | TOP SALES

New Zealand’s most expensive homes The tables that follow list the highest settled residential sales in New Zealand. For each entry we have given the sale price, the date of sale and the rateable value at the time of the sale. We have also included the median sale price of the property’s suburb at the time of purchase and the national median sale price - showing what typical buyers were paying for homes at the time. For privacy reasons, we are publishing the street address of the properties only, and not the street number.

HURIARO PLACE, ORAKEI, AUCKLAND $38,500,000

FIONA GOODALL

14

OneRoof.co.nz

THE PROPERTY RICH LIST | TOP SALES

Sale price

Street address

Sale date

Rateable value at time of sale

Difference between sale price and RV at time of purchase

$38,500,000

18/07/13

$30,000,000

28%

$1,176,000

$365,000

30/06/16

$33,000,000

-2%

$1,750,000

$445,000

$29,000,000

Huriaro Place, Orakei, Auckland Mahoenui Valley Road, Coatesville, Auckland Remuera Road, Remuera, Auckland

1/11/21

$19,000,000

53%

$2,950,000

$900,000

$28,888,000

O'Neills Avenue, Takapuna, Auckland

4/07/17

$15,405,000

88%

$950,000

$475,000

$27,500,000

Cremorne Street, Herne Bay, Auckland

6/03/18

$22,500,000

22%

$1,670,000

$525,000

$26,000,000

Remuera Road, Remuera, Auckland

21/12/17

$22,500,000

16%

$1,760,000

$515,000

$32,500,000

Median sale price of suburb at time of purchase

Nationwide median sale price at time of purchase

$24,000,000

Sentinel Road, Herne Bay, Auckland

5/10/15

$16,000,000

50%

$2,075,000

$415,000

$24,000,000

28/05/20

$19,400,000

24%

$2,325,000

$649,000

28/02/17

$16,000,000

47%

$1,665,000

$470,000

$23,500,000

Rawene Avenue, Westmere, Auckland Saint Stephens Avenue, Parnell, Auckland Marine Parade, Herne Bay, Auckland

21/09/20

$17,000,000

38%

$2,800,000

$670,000

$23,500,000

Marine Parade, Herne Bay, Auckland

21/09/20

$17,000,000

38%

$4,500,000

$680,999

$23,500,000

Gordons Road, Waiheke Island, Auckland

2/12/21

$14,500,000

62%

$4,400,000

$885,000

$22,000,000

Clifton Road, Hauraki, Auckland

19/04/16

$16,500,000

33%

$1,135,000

$449,000

$22,000,000

Argyle Street, Herne Bay, Auckland

28/06/21

$18,000,000

22%

$3,675,000

$811,500

$20,250,000

Waimarie Street, St Heliers, Auckland

8/11/17

$8,800,000

130%

$1,720,000

$510,000

$19,750,000

Avenue Road, Remuera, Auckland

1/12/21

$11,500,000

72%

$2,350,000

$885,000

$18,900,000

Gordons Road, Waiheke Island, Auckland

26/05/17

$14,500,000

30%

$6,200,000

$470,000

$18,500,000

Victoria Avenue, Remuera, Auckland

11/11/15

$11,000,000

68%

$1,650,000

$430,000

$18,500,000

18/11/16

$13,500,000

37%

$2,100,000

$477,000

21/08/21

$7,160,000

155%

$4,450,000

$850,000

$18,000,000

Burwood Crescent, Remuera, Auckland Mooney Road, Speargrass Flat, Queenstown-Lakes Burwood Crescent, Remuera, Auckland

10/03/16

$11,000,000

64%

$1,628,000

$455,000

$17,680,000

Rawene Avenue, Westmere, Auckland

31/07/20

$12,750,000

39%

$1,945,000

$649,000

$17,600,000

2/11/18

$15,000,000

17%

$1,440,000

$540,000

9/09/21

$8,600,000

103%

$1,000,000

$779,740

$17,360,000

Cliff Road, St Heliers, Auckland Wyuna Rise, Glenorchy, Queenstown-Lakes Lake View Road, Takapuna, Auckland

5/08/20

$10,860,000

60%

$1,370,000

$651,270

$17,360,000

Lake View Road, Takapuna, Auckland

5/08/20

$10,860,000

60%

$1,411,000

$665,000

$17,250,000

Bella Vista Road, Herne Bay, Auckland

24/10/16

$8,400,000

105%

$2,625,000

$461,700

$16,550,000

14/09/18

$11,500,000

44%

$1,740,000

$521,000

25/05/21

$6,050,000

166%

$15,600,000

Victoria Avenue, Remuera, Auckland Forestlines Rise, Ben Lomond, Queenstown-Lakes Victoria Avenue, Remuera, Auckland

10/06/21

$16,000,000

-3%

$2,500,000

$811,500

$15,500,000

Aldred Road, Remuera, Auckland

2/08/20

$15,100,000

3%

$2,038,000

$651,270

$15,500,000

2/08/20

$9,000,000

72%

$2,235,000

30/11/21

$7,650,000

97%

$15,000,000

Aldred Road, Remuera, Auckland Mount Alfred Ridge, Glenorchy, Queenstown-Lakes O’Neills Avenue, Takapuna, Auckland

30/11/12

$13,800,000

9%

$1,399,000

$15,000,000

Selwyn Avenue, Mission Bay, Auckland

7/03/16

$9,200,000

63%

$1,300,000

$455,000

$15,000,000

Victoria Avenue, Remuera, Auckland

11/11/16

$15,500,000

-3%

$2,100,000

$477,000

$15,000,000

Dairy Flat Highway, Dairy Flat, Auckland

26/05/17

$3,425,000

338%

$2,297,000

$470,000

$14,600,000

Pine Valley Road, Dairy Flat, Auckland

30/09/16

$4,975,000

193%

$2,200,000

$457,000

$14,600,000

3/11/17

$13,750,000

6%

$1,775,000

$510,000

14/07/21

$11,500,000

26%

12/08/21

$5,660,000

156%

24/10/19

$9,150,000

58%

$14,400,000

Lucerne Road, Remuera, Auckland Manawaora Road, Parekura Bay, Far North Wilding Road, Lake Hayes, Queenstown-Lakes Jackson Crescent, Mahurangi East, Auckland Arney Road, Remuera, Auckland

17/02/20

$13,700,000

5%

$1,804,000

$625,000

$14,250,000

Matapana Road, Palm Beach, Auckland

14/08/14

$8,800,000

62%

$289,000

$395,000

$14,150,000

18/11/20

$12,250,000

16%

$2,300,000

$743,000

14/08/06

$15,500,000

-9%

$239,800

$285,000

$14,020,000

Arney Road, Remuera, Auckland Wyndham Street, Auckland Central, Auckland Batty Road, Karaka, Auckland

5/09/17

$9,950,000

41%

$1,045,000

$485,000

$14,000,000

Arney Crescent, Remuera, Auckland

12/06/18

$11,000,000

27%

$1,870,000

$520,000

$13,990,000

Victoria Avenue, Remuera, Auckland

7/07/15

$10,000,000

40%

$1,435,000

$420,000

$13,850,000

Matapana Road, Palm Beach, Auckland

9/11/05

$5,200,000

166%

$1,600,000

$275,000

$13,800,000

Argyle Street, Herne Bay, Auckland

15/02/19

$14,000,000

-1%

$1,852,000

$535,000

$13,500,000

Arney Road, Remuera, Auckland

25/05/21

$11,000,000

23%

$1,995,000

$810,000

$13,320,000

The Parade, St Heliers, Auckland

27/04/21

$1,775,000

650%

$2,005,000

$800,000

$13,300,000

Long Drive, St Heliers, Auckland

20/06/18

$9,000,000

48%

$1,970,000

$520,000

$13,250,000

Minnehaha Avenue, Takapuna, Auckland

16/08/21

$11,800,000

12%

$1,060,000

$850,000

$23,500,000

$18,250,000

$17,500,000

$16,100,000

$15,100,000

$14,500,000 $14,500,000 $14,495,000

$14,100,000

$810,000

$665,000 $900,000 $353,000

$827,000 $1,255,000

$850,000 $582,000

$13,225,800

Whakaroa Road, Kinloch, Taupo

30/06/05

$5,000,000

165%

$205,000

$260,000

$13,215,184

Thomas Road, Flat Bush, Auckland

22/01/07

$6,300,000

110%

$465,000

$305,000

$13,000,000

State Highway, Kumeu, Auckland

20/12/18

$10,200,000

27%

$926,000

$525,000

$13,000,000

Marine Parade, Herne Bay, Auckland

29/10/21

$7,800,000

67%

$4,650,000

$880,000

$12,800,000

Burwood Crescent, Remuera, Auckland

16/06/18

$12,500,000

2%

$1,870,000

$520,000

$12,680,000

Minnehaha Avenue, Takapuna, Auckland

23/01/15

$8,800,000

44%

$1,180,000

$387,500

$12,500,000

31/10/09

$13,400,000

-7%

$1,612,500

$335,000

18/05/18

$7,200,000

74%

$1,400,000

$520,000

13/04/21

$8,400,000

49%

$3,230,000

$800,000

2/09/12

$4,075,000

202%

$1,150,000

$354,000

$12,280,000

Cremorne Street, Herne Bay, Auckland Bay View Road, Kelvin Heights, Queenstown Lakes Karori Crescent, Orakei, Auckland Coatesville-Riverhead Highway, Coatesville, Auckland Hayfield Way, Karaka, Auckland

25/02/14

$5,100,000

141%

$835,000

$391,000

$12,250,000

Rarere Road, Hauraki, Auckland

2/02/20

$12,250,000

0%

$1,625,000

$625,000

$12,250,000

Rarere Road, Hauraki, Auckland

2/02/20

$12,250,000

0%

$1,625,000

$645,000

$12,200,000

Argyle Street, Herne Bay, Auckland

29/06/18

$14,000,000

-13%

$3,860,000

$520,000

$12,150,000

Arney Road, Remuera, Auckland

1/10/17

$8,400,000

45%

$1,985,000

$491,000

$12,500,000 $12,500,000 $12,300,000

REMUERA ROAD, REMUERA, AUCKLAND $29,000,000

ARGYLE STREET, HERNE BAY, AUCKLAND $22,000,000

VICTORIA AVENUE, REMUERA, AUCKLAND $19,750,000

OneRoof.co.nz

FORESTLINES RISE, BEN LOMOND, QUEENSTOWN-LAKES $16,100,000

Sale price

Nationwide median sale price at time of purchase

Garden Road, Remuera, Auckland

4/05/07

$5,640,000

115%

$1,070,000

$320,000

$12,000,000

Kerikeri Inlet Road, Kerikeri, Far North

23/06/08

$4,800,000

150%

$500,000

$324,000

$12,000,000

Step Island, Motukawaiti, Far North

8/07/10

$3,635,000

230%

$480,000

$332,500

$12,000,000

Arney Crescent, Remuera, Auckland

2/08/14

$7,600,000

58%

$1,261,000

$395,000

$12,000,000

Argyle Street, Herne Bay, Auckland

9/12/17

$1,875,000

540%

$2,650,000

$515,000

$12,000,000

22/11/18

$9,500,000

26%

$3,800,000

$540,000

7/03/19

$5,450,000

120%

$435,000

$550,000

$12,000,000

Marine Parade, Herne Bay, Auckland Omaha Block Access Road, Leigh, Auckland Victoria Avenue, Remuera, Auckland

18/12/20

$10,500,000

14%

$2,100,000

$758,000

$12,000,000

Hamilton Road, Herne Bay, Auckland

5/10/21

$7,800,000

54%

$4,650,000

$880,000

$11,750,000

Benson Road, Remuera, Auckland

16/04/19

$10,500,000

12%

$1,400,000

$559,000

$11,750,000

Park Avenue, Takapuna, Auckland

3/12/19

$9,000,000

31%

$1,372,000

$605,000

$11,700,000

Seaview Road, Remuera, Auckland

4/11/19

$12,100,000

-3%

$1,600,000

$605,000

$11,500,000

Paritai Drive, Orakei, Auckland

21/05/07

$8,680,000

32%

$782,500

$320,000

$11,500,000

Linwood Road, Karaka, Auckland

11/01/16

$2,800,000

311%

$887,000

$395,000

$11,500,000

Burwood Crescent, Remuera, Auckland

23/09/17

$12,500,000

-8%

$1,710,000

$485,000

$11,500,000

Lucerne Road, Remuera, Auckland

11/05/20

$7,600,000

51%

$1,645,000

$610,000

$11,500,000

Lucerne Road, Remuera, Auckland

11/05/20

$7,600,000

51%

$1,645,000

$630,000

$11,500,000

Upland Road, Remuera, Auckland

13/10/20

$9,750,000

18%

$1,865,000

$720,000

$11,500,000

Waiata Avenue, Remuera, Auckland

2/06/21

$9,750,000

18%

$2,500,000

$811,500

$11,250,000

9/08/11

$7,910,000

42%

$952,000

$330,000

22/02/16

$3,360,000

235%

$568,495

$430,000

$11,200,000

Arney Road, Remuera, Auckland Frankton Ladies Mile, Lake Hayes Estate, Queenstown Lakes Argyle Street, Herne Bay, Auckland

20/09/18

$8,200,000

37%

$2,910,000

$521,000

$11,150,000

Arthur Street, Freemans Bay, Auckland

29/03/18

$7,600,000

47%

$1,390,000

$525,000

$11,028,000

Victoria Avenue, Remuera, Auckland

28/05/21

$10,750,000

3%

$1,995,000

$810,000

$11,000,000

The Rise, St Heliers, Auckland

26/04/10

$9,570,000

15%

$830,000

$341,000

$11,000,000

Marine Parade, Herne Bay, Auckland

5/10/15

$7,500,000

47%

$2,075,000

$415,000

$11,000,000

The Rise, St Heliers, Auckland

19/02/16

$9,300,000

18%

$1,465,000

$430,000

$11,000,000

Upton Street, Herne Bay, Auckland

1/03/16

$5,800,000

90%

$3,001,000

$455,000

$11,000,000

Bella Vista Road, Herne Bay, Auckland

24/10/16

$5,900,000

86%

$2,625,000

$461,700

$11,000,000

Orakei Road, Remuera, Auckland

26/02/21

$7,400,000

49%

$2,200,000

$781,600

$11,000,000

Remuera Road, Remuera, Auckland

26/03/21

$8,800,000

25%

$2,755,000

$786,000

$11,000,000

Godden Crescent, Mission Bay, Auckland

19/04/21

$8,400,000

31%

$2,225,000

$800,000

$11,000,000

Hamilton Road, Herne Bay, Auckland

28/06/21

$7,800,000

41%

$3,675,000

$811,500

$11,000,000

Stack Street, Herne Bay, Auckland

24/09/21

$8,400,000

31%

$2,900,000

$779,740

$11,000,000

Wood Lane, Fendalton, Christchurch

30/03/22

$5,750,000

91%

$1,230,000

$829,000

$10,870,000

Arney Road, Remuera, Auckland

21/02/18

$8,600,000

26%

$1,750,000

$505,000 $368,500

$11,250,000

$10,800,000

The Rise, St Heliers, Auckland

29/03/13

$7,700,000

40%

$910,000

$10,800,000

Benson Road, Remuera, Auckland

15/09/16

$7,800,000

38%

$1,870,000

$457,000

$10,800,000

Paritai Drive, Orakei, Auckland

24/09/20

$7,000,000

54%

$2,125,000

$670,000

$10,800,000

Paritai Drive, Orakei, Auckland

24/09/20

$7,000,000

54%

$2,106,000

$680,999

$10,782,900

Fitzgerald Road, Drury, Auckland

19/10/16

$4,650,000

132%

$911,000

$461,700

$10,750,000

Wairangi Street, Herne Bay, Auckland

10/10/13

$11,500,000

-7%

$1,775,000

$385,000

$10,700,000

Remuera Road, Remuera, Auckland

10/04/18

$10,750,000

0%

$1,730,000

$520,000

$10,700,000

Arney Road, Remuera, Auckland

28/09/19

$9,750,000

10%

$1,978,477

$565,000

$10,700,000

Victoria Avenue, Remuera, Auckland

18/03/21

$11,000,000

-3%

$2,755,000

$786,000

$10,500,000

Kohimarama Road, St Heliers, Auckland

31/07/02

$9,100,000

15%

$495,000

$173,000

$10,500,000

27/11/09

$7,500,000

40%

$766,000

$340,000

7/12/16

$9,500,000

11%

$2,000,000

$472,500

$10,500,000

Paritai Drive, Orakei, Auckland Saint Stephens Avenue, Parnell, Auckland Mangatawhiri Road, Omaha, Auckland

28/01/17

$5,450,000

93%

$2,175,000

$430,000

$10,500,000

Hanene Street, St Heliers, Auckland

10/04/19

$12,250,000

-14%

$1,255,000

$559,000

$10,500,000

17/08/19

$8,400,000

25%

$2,000,000

$558,000

12/08/20

$4,360,000

141%

$1,450,000

$651,270

12/08/20

$4,360,000

141%

$2,350,000

$665,000

$10,500,000

Bassett Road, Remuera, Auckland Arrowtown-Lake Hayes Road, Arrowtown, Queenstown Lakes Arrowtown-Lake Hayes Road, Arrowtown, Queenstown-Lakes Arney Crescent, Remuera, Auckland

11/09/20

$8,400,000

25%

$2,560,000

$680,999

$10,250,000

Cremorne Street, Herne Bay, Auckland

22/08/17

$11,000,000

-7%

$2,560,000

$485,000

$10,250,000

Marine Parade, Herne Bay, Auckland

17/10/18

$5,600,000

83%

$1,278,000

$535,000

$10,250,000

Lucerne Road, Remuera

12/08/20

$6,100,000

68%

$2,038,000

$651,270

$10,250,000

Lucerne Road, Remuera, Auckland

12/08/20

$6,100,000

68%

$2,235,000

$665,000

$10,250,000

Alan Murray Lane, Oneroa, Auckland

17/06/21

$6,000,000

71%

$1,300,000

$811,500

$10,250,000

Ocean View Road, Oneroa, Auckland

2/11/21

$5,800,000

77%

$1,535,000

$900,000

$10,200,000

Cliff Road, St Heliers, Auckland

20/12/13

$9,000,000

13%

$860,000

$396,000

$10,200,000

3/04/19

$10,500,000

-3%

$1,255,000

$559,000

24/12/21

$6,380,000

60%

$1,240,750

$885,000

21/12/07

N/A

N/A

$102,750

$325,000

22/02/21

$7,400,000

36%

$2,200,000

$781,600

13/12/21

$9,725,000

4%

$900,000

$885,000

6/10/15

$9,200,000

10%

$1,061,000

$415,000

$10,050,000

Aumoe Avenue, St Heliers, Auckland Maunganui Road, Mount Maunganui, Tauranga Centre Bush Otapiri Road, Kauana, Southland Remuera Road, Remuera, Auckland Takatu Road, Tawharanui Peninsula, Auckland Saint Stephens Avenue, Parnell, Auckland Taurarua Terrace, Parnell, Auckland

10/11/21

$4,350,000

131%

$1,555,000

$900,000

$10,020,000

Gibbons Road, Takapuna, Auckland

14/12/12

$11,550,000

-13%

$1,050,000

$365,000

$10,000,000

Crescent Road, Epsom, Auckland

12/01/07

$2,550,000

292%

$638,000

$305,000

$10,000,000

Crescent Road, Epsom, Auckland

7/06/07

$2,920,000

242%

$880,000

$325,000

$10,000,000

Godden Crescent, Mission Bay, Auckland

30/08/10

$6,840,000

46%

$815,000

$328,900

$10,500,000

$10,500,000 $10,500,000

$10,200,000 $10,100,000 $10,100,000 $10,100,000 $10,088,000

MINNEHAHA AVENUE, TAKAPUNA, AUCKLAND $13,250,000

Sale date

Median sale price of suburb at time of purchase

$12,100,000

$12,000,000

ARNEY ROAD, REMUERA, AUCKLAND $15,500,000

Street address

Rateable value at time of sale

Difference between sale price and RV at time of purchase

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THE PROPERTY RICH LIST | TOP SALES

Difference between sale price and RV at time of purchase

Median sale price of suburb at time of purchase

Nationwide median sale price at time of purchase

Street address

Sale date

Rateable value at time of sale

$10,000,000

Arney Road, Remuera, Auckland

23/09/10

$7,450,000

34%

$1,090,000

$330,000

$10,000,000

Winscombe Street, Belmont, Auckland

12/05/16

$7,350,000

36%

$1,270,000

$450,000

$10,000,000

Paritai Drive, Orakei, Auckland

8/11/16

$8,200,000

22%

$1,410,000

$477,000

$10,000,000

Upland Road, Remuera, Auckland

20/06/17

$9,750,000

3%

$1,830,000

$485,000

$10,000,000

Rata Road, Devonport, Auckland

12/10/17

$2,600,000

285%

$1,661,000

$491,000

$10,000,000

Rata Road, Devonport, Auckland

31/10/18

$8,450,000

18%

$1,140,000

$535,000

$10,000,000

Selwyn Avenue, Mission Bay, Auckland

14/12/18

$8,000,000

25%

$1,270,000

$525,000

$10,000,000

Argyle Street, Herne Bay, Auckland

12/04/19

$9,850,000

2%

$750,000

$559,000

$10,000,000

Victoria Avenue, Remuera, Auckland

22/09/20

$9,250,000

8%

$2,539,000

$670,000

$10,000,000

Victoria Avenue, Remuera, Auckland

22/09/20

$9,250,000

8%

$2,560,000

$680,999

$10,000,000

Tohunga Crescent, Parnell, Auckland

18/11/20

$7,800,000

28%

$1,600,000

$743,000

Sale price

MARINE PARADE, HERNE BAY, AUCKLAND $12,000,000

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OneRoof.co.nz

THE PROPERTY RICH LIST | THE ONEROOF INTERVIEW

Paula Bennett

ON DEALING WITH NZ’S ULTRA!HIGH NET WORTH BUYERS The former deputy Prime Minister facilitates property deals for some the country’s richest people.

She talked to CATHERINE MASTERS about her new life as a real estate agent

Q: You have quite the title — what do you do?

I mainly work in the commercial real estate sector but now I do also crossover into residential for the ultra-high net worth, or that private wealth, as well, which is really interesting and something that I love doing.

I work with Knight Frank [a global real estate consultancy which partners with Bayleys] across the world. I’m on fortnightly calls with them.

I help clients not so much navigate but look at what they’re wanting to do, what they’re projecting to do over the next 12 months and then making sure that I’m connecting them into the right part of Bayleys to ensure they get the level of service they need and deserve.

Q: The Knight Frank Wealth Report 2022 predicts New Zealand will have the highest growth in Ultra High Net Worth Individuals (defined as people with net assets of US$30m or more) for the 10 years to 2026 – why is that?

I think it’s a combination of things. I think there’s been a lot of opportunities in New Zealand for those that have got money that can go quickly, that are able to then generate funding around the sort of property transactions that they want to do.

Most of who I work with are New Zealanders. Most of them are in property development, or they’ve made money elsewhere and have go!en involved in property.

That can cross from anything really, from hotels to big land and housing developments to commercial buildings in the city centres.

Paula Bennett says there are some ultra-high net worth people “who have the luxury of having some quite nice eccentric views”. PHOTO / GEORGE NOVAK

Q: Can you say anything about the ultra-high net worth people you deal with?

and in general that means that it gives them privacy, it gives them the level of high standard that they are No, not really. From my Government background I looking for and that they expect. can tell you that they are smart and they are literally That might be both a combination of their main home designing our landscapes. It feels to me that too often we and then looking at other parts of New Zealand that they as the public give them a hard time. I think the risks they would be interested in living in as well. Equally, they might take and the passion and the interest they bring to what be looking at homes overseas. That’s quite real for people. they are trying to create in their cities and their towns is I think in these tumultuous geopolitical times it’s pre!y extraordinary. quite interesting that people are going ‘well, actually, They are often years ahead of what we think we we do think we live in the best country in the world but need and where we’re going so they have to be deeply if we can afford it should we be looking at purchasing connected throughout the world and what the trends property overseas as well. are and where it’s going. They think a lot about whatWe’ve just been through the strangest of times with the does-the-future-of-workplace look like. They understand pandemic and some of them are kind of thinking ‘well, design and how that’s going to work.

Many, those that are really thriving at the moment, have been incredibly “THEY ARE VERY, VERY CONCERNED THAT smart usually for decades and so they know where to act and how THERE ARE NEW ZEALANDERS THAT HAVE to, but also they are pu!ing at times BEEN LEFT BEHIND AND THAT IN GENERAL tens of millions and even hundreds of millions on the line on a project.

IS NOT THE COUNTRY THEY GREW UP IN.” I don’t think they are given the consideration for that, and they get on if something happened is there somewhere else in the and do it and I think we are be!er off for it. world that might equally be safe and be somewhere to If you look at the bigger developers in Auckland, in bolt-hole. And, of course, that happens in the reverse, particular, they have a portfolio, they have a plan, they that we’ve obviously got people who want to live in know what they are looking at over particularly the next New Zealand because they see us as that safe option and 12 to 24 months. They know what they will act on quickly wanting to have other options if something did happen. and what they won’t, so if a piece of land, for example, or I’ve also discovered that there are some people of a particular building that’s in a particular spot, comes up they are generally able to transact that because they’ve got ultra-high net worth who have the luxury of having some quite nice eccentric views, shall we put it that way. the funding, or access to the funding, and can literally be They’ve got the luxury of being able to think of every making decisions within a couple of weeks. scenario and perhaps being able to adapt to it.

Q: What are they looking for in their residential properties?

Discretion is obviously really important to them. What they are looking for is something that’s a bit exceptional

Q: What are their main concerns?

They’re actively engaged in the politics of the world and what’s going on. They understand the significance of our

own trade relationships, what’s happening with China, where the US is at, obviously what’s going on in Ukraine at the moment, and then they’re usually very actively involved in what’s happening politically in New Zealand as well.

Of course, they always want to talk to me about New Zealand politics as you can imagine, just because of my own background. They are all interested in how we make sure that all New Zealanders are doing well. The sort of rhetoric, that they’ve got money, that they’re only interested in protecting and doing well for themselves, I find the complete and u!er opposite.

What they probably speak to me more about is what can we be supporting that keeps kids at school, or, is there something that can genuinely get in there before some of these young people start commi!ing crimes.

They are usually very frustrated with Government across the board, and that can mean any political party.

I do spend quite a lot of my time trying to explain how Government works because I don’t think that outside of Wellington, people really understand the sort of complexities of decision-making and how money is spent, and that disconnect is really real. For them, often it’s that frustration level of how they can get change faster and what they can do to help that happen.

Q: So they are concerned about inequality?

They are very, very concerned that there are New Zealanders that have been left behind and that in general is not the country they grew up in. I shouldn’t speak for them but I would argue that they are sort of saying, “Well, how do we pull others up.” You know, like, “We’re not the enemy here, how do we pull people up?”.

There are ways of doing that and they are genuinely engaged, and, I tell you what, most of them are giving philanthropically a lot of money.

• Paula Benne! is National Director of Customer Engagement and Advisory for Bayleys Real Estate.

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THE PROPERTY RICH LIST | SELLING

SUPER PRIME MOVERS

T

here’s a short list of agents who sell prime real estate in New Zealand. They mingle with the country’s elite, and are often indistinguishable from their clients, enjoying the same pursuits, wearing the same style of clothing and driving the same luxury cars.

They are the ultimate middlemen and middlewomen. They know just what to say and who to say it to, and without them, deals fall apart and expensive houses lie unsold or fail to reach their full market potential.

They’ll keep in contact with clients they’ve previously housed, sometimes decades back, just in case there’s an itch to move. They know the number of luxury homes in New Zealand is relatively small compared to the rest of the market, and that for their clients, there is a small window of opportunity to get the be!er house or be!er location. More often than not, the job is about anticipating needs.

Mark Harris, managing director of New Zealand Sotheby’s International Realty, says discretion is important for many of his vendors. “Quite often people in that category don’t want to make a big fuss. They want a discreet, private approach,” he says.

Many of the deals Harris’ agents broker are under the radar, with buyers found through personal contacts or the company’s database of local and international prospects.

Ray White principal Heather Walton, who sells prestige homes in Auckland and in the wealthy beach enclave of Omaha, to the north of the city, says top-end clients need agents who are connected.

“You become the one they go to because they know you’ve got the connections, you’ve got the database,” she says.

“You’ve got to walk amongst them. You can’t be an outsider.”

What wealthy buyers want

Walton says her son’s 13 years at Kings’ prep and King’s College has made her all sorts of connections, which she cultivates by giving back to the school through sponsorship of things like the rugby teams. “Giving back helps bring people together. People know me as Harrison’s mum,” she said.

Precision agent Di Balich, who also sells in Omaha, agrees that relationships are important. “Buyers approach me to go in my black book when certain properties come up, while with sellers it’s more about relationships. I’ve dealt with them before, they’ll come back to me,” she says.

“Often the really big deals have non-disclosure clauses from buyers and sellers so you can’t even talk about them.”

“YOU’VE GOT TO WALK AMONGST THEM. YOU CAN’T BE AN OUTSIDER.”

These agents have been selling houses to the very rich for decades. So how do they convince rich-listers to sign on the dotted line?

DIANA CLEMENT and CATHERINE SMITH find out

Discretion is important, especially when a listing is the result of a relationship split. Divorce is an awkward issue, regardless of how much money is in a client’s bank account, (although access to top lawyers can stymie the process).

“You’ve got to be very clear in your communication to both parties and make sure that you understand what the rules are in terms of the dynamic between the couple,” Harris says.

“If it’s a nasty divorce, it can get complicated. But we’ve been doing this a long time, and we’ve seen most situations, so we know how to handle these ma!ers.”

Barfoot & Thompson agent Leila MacDonald, who has been selling in Auckland’s blue chip Remuera for decades, says that while some clients would like to sell on the quiet, in reality only 1% to 2% of her deals are done off-market.

“You’ve got to open up to the most people so that vendors will get the best price. The more people who know the be!er,” she says.

MacDonald is not averse to knocking on the doors of “once-in-a-lifetime” houses that would-be buyers whisper they would like - “I know who they are anyway”.

She also knows what her clients are looking for in a home. “I’ve got a property coming up in the $8m to $12m range, and there are already two people who want it,” she says.

“Sometimes you might not have a house on a particular street and then all of a sudden, a whole lot come on.”

Timing is everything

Bayleys Takapuna agent Victoria Bidwell, who sells to the top end on Auckland’s North Shore, says that in many ways wealthy buyers are like most people in the market.

“All buyers have certain budgets that they don’t want to go over. And all buyers have the same set of emotions.

It’s just the same thing on a different scale. You just write bigger numbers on the sale and purchase agreement,” she says.

However, she adds: “Everyone thinks it’s all about money, but it’s not. It’s about finding the right property.

[Buyers] are usually quite comfortable where they are already, so it’s about being able to satisfy a particular desire they’ve got. That could be space around them, views, waterfront, privacy.”

Like price, the décor or condition of the property isn’t critical either. “I’ve sold a house for $10m, which was immediately knocked down because the opportunity to buy there on that piece of land wasn’t going to come around again in a hurry.”

Like many agents operating at the top end of the

OneRoof.co.nz

“WE LOOK AT EVERY ATTRIBUTE AND FEATURE OF THE PROPERTY. HOW MUCH LAND DOES IT HAVE? WHICH WAY DOES IT FACE? DOES IT HAVE ROAD FRONTAGE AND STREET APPEAL? SUNSHINE? HOW WAS IT RENOVATED? WHO WAS THE ARCHITECT? WHO DID THE WORK? WHAT ERA IS THE HOME? WHAT’S THE STORY BEHIND IT?” - MARK HARRIS, NEW ZEALAND SOTHEBY’S INTERNATIONAL REALTY market, Auckland-based Ross Tierney has a strong overseas network and he will often pitch properties to international buyers. “We work with a publishing house based in Sydney that has lots of access to real estate magazines in Asia, Singapore Hong Kong, America and the UK,” says the Ray White Parnell agent.

“Looking outside the local market is going to become more crucial. We’re in a changing market and it may not be as easy to get those very high sale prices.”

Tierney says it pays not to rush at the top of the market. “A longer timeframe gives us the opportunity to advertise.”

Bidwell agrees that timing is important. “A vendor could say, ‘We want to sell in March of next year’, but there simply might not be a buyer there in that price range in March. Often vendors start talking to us quite early in the process.”

It’s definitely not the same as listing a three-bedroom home in Glenfield, Lower Hu! or Riccarton, and auctioning it three weeks later. “You’re going to find the buyer in the $3m range over a month-long campaign, but you’re not necessarily going to find a $10m buyer in that timeframe,” says Bidwell.

Harris says in Queenstown it can really pay to wait.

“In Queenstown you might say, ‘Well, let’s wait until June or July until the ski season’,” he says.

“We look at every a!ribute and feature of the property.

How much land does it have? Which way does it face?

Does it have road frontage and street appeal? Sunshine?

How was it renovated? Who was the architect? Who did the work? What era is the home? What’s the story behind

it? We look at the points of difference there as well.

“As a team we discuss the market, and the market timing, which is very important. But the most important timing is the family and the circumstances of when it suits them to kick off the campaign.”

Personalised service

Many luxury homes look perfectly staged 24/7, 365 days a year. More often than not the owners already have beautiful artwork hung strategically in the home, says Harris. “So, it’s just a ma!er of ge!ing the property as clean as possible and declu!ering.”

Owning a $10m-plus property is no absolute guarantee of good taste, however, and like with any home furnishings can age along with the owners or simply not meet current trends. Sometimes a property will need upgrading or fixing, says Harris. “It’s worth doing before you take a property like that to market. You want to give it the absolute best shot for the campaign.”

All high-end agents will have staging consultants and interior designers to hand when needed. Suggesting their use requires a level of discretion, says Harris. “People generally love their homes and we’re very careful about how we do things.”

Agents virtually never hold open homes for luxury properties. It’s strictly private viewing only. Sometimes if it’s an overseas buyer Bidwell will pick them up and drive them around properties. She has been known to let a rental property short term to buyers coming in from overseas.

In many cases, the buyer is looking for a New Zealand base or a second home. In Queenstown, for example,

many of the luxury properties that hit the market are bought as second homes, says Harris. And Bidwell’s clients often have other homes in places like Hong Kong and France. “Initially, when I take people to a couple of houses, I get a feel of what kind of pushes their bu!ons, what they like,” she says. That personalised service can often lead to a sale.

Once a property is ready for sale and on the market, agents get ready to negotiate. “At this end of the market you don’t chuck a for-sale sign up and call an auction in three weeks,” Tierney says.

“Good old-fashioned negotiation has become increasingly rare over the last 10 years.”

The listing agent isn’t always the person who brings in the buyer. Most agencies are big machines, and agents from across the network will also market other agent’s listings to their clients. Competing agencies may bring in a buyer in order to get a share of the commission.

Tierney says his high-end sales are all open book.

Likewise, Bidwell welcomes all agents and will share commission. Sometimes, she says buyers might have personal or family relationships with agents in other parts of the city. “Most top-end agents do what I do. I hold the key to my property; I a!end every single appointment.

My colleague will ring me, and we will come over with the buyer. But I’m still there representing the vendor and giving them all the information about the property.”

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THE PROPERTY RICH LIST | HISTORY

Rod Stewart is in the house CATHERINE SMITH looks at the houses that broke price records in New Zealand.

W

hat do Rod Stewart, Colin Giltrap, the Sultan of Brunei and Mark Hotchin all have in common? They are all connected, in some way, to New Zealand’s biggest real estate sales.

With the number of Kiwi homes selling for $10 million or more doubling since 2019, and the number of $5m-plus sales tripling over the same time period, OneRoof decided to look back at the houses that broke price barriers and made headlines.

We talked to the agents that brokered the landmark deals and found out what made these homes special and what it took to sell them.

Most of the homes covered have a colourful history and links to some extremely wealthy and famous individuals.

One even has a connection to the muddy football pitches of Glasgow.

What stands out from the research is that houses selling for crazy money are not a recent phenomenon and that some of these price records have held firm for a very long time.

In fact, New Zealand’s biggest real estate sale was brokered nine years ago, and nothing has go"en close since.

The first house to sell for $5m

New Zealand’s first $5m sale was way back in May 1988 when well-known Kiwi car dealer Colin Giltrap bought a Frank Lloyd Wrightstyle waterfront house on Wairangi Street, in Auckland’s Herne Bay. Giltrap, who made headlines recently with his $10.2m sale of a luxury penthouse apartment in Tauranga, bought the Herne Bay home just before Auckland property prices had felt the full impact of the 1987 crash.

The 780sqm property, known as Monterey, was lavished with masterful detail when it was built in 1985. Architect Pete Bossley designed light fi"ings, door handles, the stonework and sculptural timber framing screen in the entry way. Schist stone was used on the entry, fireplaces and walls surrounding the long narrow house. The built-in furniture was customised for the property, which also included an infinity pool, conservatory with pool, a billiard room, gym with spa and sauna, intercom system and a staff apartment above the four-car garage.

Giltrap sold the home for $7.2m in 2003, when the property market was still recovering from the 2000 crash. It was then bought for $10.75m in 2013 by National party donors and former shareholders of Kim Dotcom’s Mega, Hong Kongbased Zhao Wu Shen and Susan Chou, who sold it in 2015 for $9.25m.

Soljan in 1987. In 1989 he had brought the property to auction twice, but both times the deals fell through. He finally found a buyer in 1990, when Murray, who was on the lookout for a New Zealand base after acquiring retailer Bond & Bond, signed on the do"ed line for $3.18m.

Murray, one of Scotland’s richest men, was well connected and counted many celebrities as friends, including rock star and fellow soccer fan Rod Stewart, whom he let stay at Waimanu when he was in town in 1992 (Stewart at the time was married to Kiwi model Rachel Hunter).

Rainbow remembers Waimanu well. He commissioned a glossy sales brochure to promote it; the brochure, which included a photo of a young woman in swimwear relaxing on a lilo in the pool, highlighted the property’s luxury features: a billiards room, a

“The old ‘brick’, I think it was an Audivox. It was a suitcase that clicked into my car in the boot. When people called from the landline, they were charged like a toll call,” Rainbow says.

Rainbow also had a computer database to help him keep track of clients. Then, like now, selling top-end properties started with discreet phone calls to people he thought might be interested in buying, and he knew everything about them.

Rainbow can still reel off the names of the rich and famous who were buying real estate in New Zealand during the period. They were a mixture of new money merchant bankers or developers in their 30s and 40s, or older clients from solid manufacturing families.

“To some extent we were ahead of America or Australia in our marketing. Without LIMs, or AML, it was a shake of the hand and ‘let’s get on with it’,” he says, adding that although a lot of deals were done in Auckland’s then top “TO SOME EXTENT restaurants, including Antoine’s and WE WERE AHEAD Clichy, that wasn’t his scene.

OF AMERICA OR The first to break $10m Rainbow is also connected to AUSTRALIA IN OUR another record, the sale of a house on a 5000sqm MARKETING. IT WAS 2345sqm plot on Kohimarama Road, in St Heliers, Auckland, for $10.5m in July A SHAKE OF THE 2002.

The buyer was Chinese and the deal HAND AND ‘LET’S was brokered through Chinese agents.

GET ON WITH IT’.” The sale didn’t make headlines or news BAYLEYS

Rainbow, right, celebrates making a deal with Scottish rich-lister David Murray, centre, in the 90s.

PHOTO / SUPPLIED BY DAVID RAINBOW

The first house to break $5m

The sale that really rocked the record books was seven years later when David Murray, owner of the Glasgow Rangers FC in Scotland, sold the sprawling five-bedroom resort-style home of Waimanu, on Argyle Street in Herne Bay, for $6.75m in March 1995 in a private deal to agents snapping up properties along the street for the Sultan of Brunei, who was in town for the Commonwealth heads of government meeting in Auckland.

The sale was brokered by Bayleys agent David Rainbow, who also secured the earlier $5m deal for Wairangi Street. It was the second time Rainbow had sold the property, which was built by developer Graham

reports as it was “completely under the radar”, says Rainbow.

And while he had nothing to do with the $10.5m sale, he had worked closely with the vendor, rich-lister Paul Huljich, and helped him grow the size of the property.

Huljich had bought the original 2520sqm plot in 1988, which came with the prep already done for a champion-sized tennis court and concepts for a mansion. Rainbow helped Huljich acquire neighbouring plots to the holding before the mansion was built in 1993.

Rainbow still has the typed and spiral-bound booklets, complete with carefully glued colour photos, of the three-storeyed six-bedroom Mediterranean-style mansion. The description of features alone runs for 18 pages.

The property, known as Wentworth House, included multiple living rooms, a billiard room, cinema, 100-bo"le wine room, gym, steam room, spa, both indoor and outdoor pools, squash court, tennis court, croquet lawn and pavilion. Luxury touches included piped music, a walk-in catering chiller and self-contained staff quarters.

For many of Rainbow’s buyers, St Heliers was too far out. “They wanted to buy in Remuera or Herne Bay,” he says. “It was a bit like Riddell Road, Glendowie. But once Graham Hart started building there, they were like bees to a honey pot.”

– DAVID RAINBOW,

Graham Wall with his sons Andrew, left and ollie outside the $38.5m "Hotchin" mansion. PHOTO / FIONA GOODALL

music and entertaining area, a sunken pool with bridge, a commercial-sized gymnasium with squash courts, and a “state-of-the-art” electronics suite (in the late 1980s that meant a computer terminal, fax line and a 30-extension phone system, with a satellite television and 84 speakers indoors and out).

Rainbow’s brochure also carried a fax number and, rare for the time, a mobile phone number.

New Zealand’s most expensive

It took another three years for a property to break the above record. A Taupo estate claimed the title of New Zealand’s most expensive home when it sold for $13.225m in June 2005, but it didn’t hold the record very long, with a house on Waiheke Island selling for $13.85m five months later. Over the next seven and a half years, another 17 homes sold for $10m or more, then in June 2013 a mansion built by financier and director

OneRoof.co.nz

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THE PROPERTY RICH LIST | HISTORY

Headlines from the past 30 years highlight our obsession with high-end real estate while stills from sales brochures show how luxury homes were marketed in the 1990s. Rod Stewart in 1991 with his then partner Rachel Hunter. The singer got to use “Waimanu” mansion, in Herne Bay, when he was in town. PHOTOS / GETTY IMAGES, SUPPLIED BY DAVID RAINBOW

of failed Hanover Group Mark Hotchin blew away the competition and set a record that is yet to be beaten.

Hotchin’s grand home in Auckland’s Orakei had been making headlines long before it sold, with the lengthy construction process a source of fascination for Aucklanders. But Graham Wall and his sons Ollie and Andrew managed to get the biggest headline of all when they sold the house to a Chinese-born business tycoon for $38.5m.

Wall says the property was never on the open market but “circumstances dictated it be sold”.

The house was three-to-six months away from completion when the company began selling, Wall says. At that point the Lawrence Sumich-designed mansion, on three pieces of land for which Hotchin had paid $12m, had been under construction since 2009, with various pauses for planning issues to be resolved.

Reports began circulating as early as 2010 that the property was up for sale at a price then rumoured to be $30m. Wall, who made his name with the sale of the Sultan of Brunei’s Auckland properties, says Hotchin asked his company to submit a plan for selling the property.

“We said we wouldn’t run a single ad, that we knew the buyers. We only showed two people the home and they both wanted it. Then it was a ma!er of price,” Wall says.

The buyer was Deyi “Stone” Shi, the founder and chairman of the Oravida Group of Companies, which exports New Zealand foods to China. He has seen his purchase grow in value to almost $60m (it’s 2021 CV was $58m).

Wall and his sons have been involved in scores of big deals since, the latest being a $29m sale of a mansion in Auckland’s Remuera. “We have sold over $1 billion of

high value homes in Auckland in the last five years, and only one of those priced over $20m was advertised,” he says.

“We know who is in the market, we know who is looking. Often the buyer has waited years for the home to become available.

“As long as the price is in the realms of what is sensible, the numbers are a li!le bit irrelevant, people will pay full price in order to have no competition.

“They’re sophisticated enough to know there are only 20 great houses on the market, and once they sell they won’t be back on for another 30 years.

“And with all due respect, you’ll be dead by then.”

Wall says the company has a line-up of buyers ready to snap up “the 20 best houses in Auckland, none of which are for sale”, about half local and the rest from overseas.

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OneRoof.co.nz

THE PROPERTY RICH LIST | INSIGHTS

THE MOST EXPENSIVE SUBURBS IN

1997

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Data tracking property prices over the past 25 years shows where homeowners hit the multi-million-dollar jackpot - and where their luck ran out. KELVIN DAVIDSON investigates

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n most housing market data, analysis and commentary, there’s a focus on average or median property values (or selling prices) – telling you what’s happening for a “typical” property in each city, town, or suburb. But what about when we hone in on only the most valuable dwellings? What’s happened over the past 25 years for property values in the upper echelons of the market?

To look at this question, I’ve lifted data from CoreLogic automated valuations model for every residential property in the country (house, apartment, flat, lifestyle improved) at fiveyearly intervals since 1997, ranked them by value, and picked out the upper quartile for each suburb. If you can imagine 100 properties ranked by value from top to bo!om, the upper quartile would be the 25th property in that list, and is a wellaccepted statistical measure of the top end of any distribution.

We stress that this is every residential property in the country, not just those that have recent sales or a “bank grade” estimated value. This kind of data covering every property and all the way back to 1997 gives us some very powerful insights. Note that although we’ve included every property in the raw dataset, to make it meaningful for an article such as this, we’ve only used suburbs that have at least 200 dwellings, and the tables show only the top 10 suburbs for upper quartile property values at each point in time.

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1997

Twenty-five years ago, Leo and Kate were boarding the Titanic, Bic Runga was in the charts, Jim Bolger was Prime Minister and the suburb with the highest upper quartile property value was Oriental Bay in Wellington, at $869,388.

Clearly, by today’s standards, that seems like an absolute steal for a top-end property in that part of the country. In fact, five of the 10 top-end suburbs actually had an upper quartile property value of less than $700,000. Auckland’s pre-eminence was also clear 25 years ago too, with nine of the top 10 in our largest city.

2002

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Despite some major global set-backs over the five years to 2002 (e.g. 9/11, Afghanistan), the New Zealand property market chugged along and top-end property and suburbs were certainly part of the upwards drift. Auckland’s dominance faded just a li!le in the five years to 2002, with Whangapoua, in Thames-Coromandel, and Lowry Bay, in Lower Hu!, climbing into the top 10.

But the stayers saw solid growth, with Oriental Bay and Herne Bay’s upper quartile property value climbing above the $1 million mark.

2007

The five years to 2007 were certainly what you’d call a boom. By now, each of the top 10 suburbs had an upper quartile property value of around $1.4m or more, and Oriental Bay and Whitford had both topped $2.1m. Wainui, in Gisborne, and Langs Beach, in Whangarei, had reached the top 10 for upper quartile values at this point in time, highlighting that beachside locations were seemingly quite popular at that stage. Meanwhile, the presence of areas such as Karaka and Dairy Flat on the top 10 list reflects their tilt towards lifestyle properties – 82% of the stock in Karaka, 84% in Dairy Flat at the time.

OneRoof.co.nz

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BAY – $5,370, 00 ERNE

2012

The huge growth from 2002 to 2007 wasn’t repeated in the five years to 2012, which isn’t surprising given the GFC and Christchurch earthquakes. The top 10 suburbs for upper quartile values stayed reasonably consistent over this five-year period, with Auckland still dominating. Over this period, Herne Bay’s upper quartile value rose by about 15%, taking it above $2.1m, and to the top of the list. Oriental Bay’s value declined in the five years to 2012, but Christchurch made its first appearance in this time period (Scarborough making No.10).

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THE MOST EXPENSIVE SUBURBS IN

2022 The dollar figure is the upper quartile and indicates what wealthy buyers would expect or expected to pay for top-end home in each suburb.

2017

The five years to 2017 encompassed a significant property upswing around the country, especially in Auckland earlier in that period, and other parts of the country later. By now, even the 10th suburb on the top 10 list had an upper quartile value of more than $2.5m, and Auckland had eight of the 10. Herne Bay held the No.1 spot again, with a 58% rise in its upper quartile value from $2.15m in 2012 to $3.4m in 2017. Waiheke Island and Remuera also recorded big increases in the five years to 2017. Queenstown made its first appearance, with Lake Hayes making No.10.

2022

Clearly this was another five-year period where property values have increased strongly, and our top suburb for upper quartile property values remains Herne Bay, now well in excess of $5m. Keep in mind this is the upper quartile too – meaning 25% of residential properties in Herne Bay have an estimated value greater than $5.37m. Lake Hayes has got closer to the top of the list in recent years, while Oriental Bay has also held on too. Even No.10, Omaha, now has an upper quartile property value of about $3.5m.

CO

Who’s buying and why?

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Overall, the “usual suspects” certainly make regular appearances in these lists at each time period – Herne Bay, Saint Marys Bay, Remuera, Waiheke Island, Oriental Bay, as examples. The dominance of Auckland VI LL in terms of New Zealand’s top-end real estate is pre!y easy to see, with E– some appearances for other areas, e.g. Wellington, Queenstown and Thames $ 4, 98 0,87 Coromandel.

3 So what might be the key drivers for these top-value suburbs? In the end, it’s hard to draw out just one or two factors, as they can differ so markedly from suburb to suburb – although one thing’s for sure, there is a prestige appeal which buyers are prepared to pay for.

But we do know who’s active in these upper-end areas, even if the driving forces aren’t always clear. Take Herne Bay, for example. In the 2021 calendar year, 37% of property purchases were made by movers, or existing owneroccupiers who were relocating. That’s a high proportion and seems logical.

After all, the popular perception would be that posh suburbs don’t really fit the economics of property investment (e.g. high prices, low yields), tending to be be!er for owner-occupiers with significant equity behind them.

However, 42% of purchases in Herne Bay last year were actually made by multiple property owners (MPOs), some with cash, some with a mortgage.

Of course, when we think of multiple property owners, we normally think of investors, perhaps of the Mum and Dad ilk, who have just purchased their first rental or maybe already have a small portfolio. But although we 00 can never be sure exactly what every property is being used for (as 0 ,0 3 opposed to ownership, which we do know), a typical Herne Bay 4 ,5 standalone dwelling purchased by somebody who also owns –$ other property elsewhere probably isn’t a standard rental.

Indeed, they may well be trading up to live in Herne Bay, but retaining their other property too.

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How might the top end of the market fare over the next year or two, amidst a wider property slowdown? On one hand, to the extent that cash/equity plays a bigger role in top-end suburbs, higher mortgage rates and reduced credit availability may not be expected to be too much of a hindrance. Indeed, even if there are fewer buyers circling around, would-be sellers can probably also sit tight and just wait out the weak patch – meaning that a downturn takes the form of reduced sales activity rather than sharp declines in price on achieved deals.

However, upper-end property has certainly gone through soft patches before, e.g. 2007 to 2012, which was also a period of economic uncertainty and reduced credit availability, much like we’re experiencing at present. In a nutshell, there are certainly some eye-watering property values when you start to get into the upper tiers of the market. But a slowing economy and subdued business confidence can affect anyone and everyone, so it seems fair to assume that the next six to 12 months at least could also be a testing time for the top end of New Zealand’s property market. Indeed, a mortgage secured against a property valued at $3.5m or more is probably going to be a pre!y large mortgage!

• Kevin Davidson is chief economist at CoreLogic

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OneRoof.co.nz

THE PROPERTY RICH LIST | NEW HOMES

Artists in residence What do wealthy Kiwis want in a home? Architects and interior designers tell all to CATHERINE SMITH

N

ew Zealand’s rich and famous don’t just want the most luxurious, expensive home on the block; they want work of art.

Architect Daniel Marshall says the shift in client needs and a"itudes started two decades ago.

“Before then, people wanted to do things cheaply. The idea of a more finely crafted house with bigger budgets didn’t come in until the early 2000s,” he says.

“Now people want bespoke solutions on special pieces of land. We joke in the office now that there are just the tricky sites left.”

Architect Francis Whitaker, who is known for his work around Queenstown, says the homes he builds are “simple houses in a beautiful environment”.

“If you don’t have the environment, then it will not work, and we have the most stupendously beautiful physical environments,” he says.

His clients are well-travelled and well-educated “aesthetes of life”. They don’t give what he calls “a greedy brief”, but focus on what gives them personal enjoyment.

“They are interested in beauty, lifestyle, health and wellbeing, their families; they are wonderful valuable people who contribute to their communities. They know they should pay for something that is really special, and they do their research thoroughly,” he says.

“They understand what you’re saying. It’s enormously satisfying to analyse the site with them so they understand climatic issues in New Zealand.”

Marshall said his clients often have very specific requirements not just for specialist rooms such as home offices, cinema-quality media rooms or self-contained guest quarters, but also for air quality, sound proofing and ventilation, special landscaping and sustainability.

Little black book

“There’s been a seismic shift in New Zealand and the world about healthy environments, comfort and performance. We’re talking resilience too – having their own solar arrays and ba"eries, water supply and so on,” he says.

But bespoke works of art don’t come cheap.

Marshall says buyers would be looking at costs of at least $8000 to $10,000 per sqm for things like exposed wood, beautiful craftsmanship, not counting engineering, earthworks or landscaping.

Covid-induced supply chain problems haven’t helped. “We’ve had to make decisions about the supply chain in our designs, what things cost and what can we substitute. For a recent project, we used a German aerated clay block and imported European triple-glazed joinery directly,” he says.

One city beachside project of over 1500sqm is likely to cost over $12 million, and includes a warehousebasement for the owners’ 10 cars.

Interior designer James Doole, who has worked with rich-lister Diane Foreman on many of her house renovations, says projects can take as li"le as three months, but others can last as long as three years.

“The interiors of the new Victoria Lane apartments [in Auckland’s Remuera], we put that together with developer Richard Kroon and Leuschke architects over two to three years,” he says, adding that interior budgets can run to millions dollars.

Doole relies on a black book of New Zealand crafts people for custom-made furniture, lighting and fixtures and importers of fine antique furniture from Europe.

“They can do anything. Sometimes with international clients we’ll shop off-shore, but we try to keep it local,” he says.

It’s not always about creating super-modern glass and concrete buildings, though.

Auckland real estate agents Terry and Diana King set up their agency, Remuera Register, to feed their passion for interior design, and now they help buyers see the potential for modernising – but not too much – the grand old mansions they sell.

Hidden from view

“When people do their due diligence, they bring in their architect. The thing I’m plagued with is that I can see what the house should be like, and love it when it comes out exactly as I saw it,” he says, reeling off a list of the city’s must-have architects and designers.

Many of them declined to participate in OneRoof’s article, citing client confidentiality. They rarely enter awards, their work is not seen in magazines, and some of their projects never feature on their websites.

“THERE ARE PLACES IN THE BAY OF ISLANDS, MATAKANA AND WAIHEKE - BIG HOUSES YOU WOULDN’T KNOW ABOUT. THEY CAN BE 1200SQM TO 2000SQM IN SIZE, TO ACCOMMODATE THE ART, CAR AND FURNITURE COLLECTIONS.” – JASON BONHAM Jason Bonham, who runs a design practice with offices in New Zealand and Los Angeles, says most people have no idea of the number of high-end projects in New Zealand. “There’s a lot of misunderstanding, people only see the mid-level projects in magazines, but the top end is unbelievable,” he says.

“We’ve done a $10m refurbishment for architecture and interiors, not including the art. In the last five years we’ve brokered $20m of art through a New York art gallery for our clients.”

Like his colleagues, Bonham is bound by confidentiality for his private clients, but says there are clients with budgets of $10m to $20m for their New Zealand homes.

“There is a lot of wealth here. It’s very quiet and very different, a mix of self-made and old money,” he says.

“The international clients get very involved in their local communities. They could be bringing in $40m to $50m into the community.”

Bonham says each project is different. “There is no budget. We can never repeat anything, as these people are connected in social circles and do a lot of entertaining

at home, so we keep an inventory so we don’t repeat the same thing on their friends’ houses.”

Bonham says he is often called back every four or five years by clients to refresh an interior or rework their furniture and colour schemes. “Because of Covid, people were living in the house a lot more - they weren’t travelling or on the boat - so they wanted to be surrounded by more comfort and great art.”

But the public will rarely see that comfort or art.

Bonham says most luxury homes are well hidden for good reason. “The owners want lifestyle acreage, privacy and a real sense of security. There is a lot of very high-tech security - hidden cameras and microphones etc. – in their homes.

“There are places in the Bay of Islands, Matakana and Waiheke - big houses you wouldn’t know about. They can be 1200sqm to 2000sqm in size, to accommodate the art, car and furniture collections.”

Build it, they will come

Whitaker says his Australian clients love houses that make the most of the benign climate, while Americans love being in a safe haven on the furthest corner of the world. Many Americans, he says, love that New Zealand mountain communities are still relatively egalitarian compared to the stratified resorts back home.

It doesn’t hurt that luxury homes also appreciate faster than regular real estate, Whitaker says.

“They’re smart investors, they know the equities market. They can sell [a house] for more than they paid for it,” he says, pointing to the early planned luxury community of Millbrook, outside Arrowtown, where houses that originally sold for $1.3m now fetch $5m.

Barfoot & Thomson agent Paul Neshausen knows there is a huge demand for designer homes completed to a “Vogue” standard; he regularly hears from clients who have $10m-$15m to spend on those very homes.

The problem is there are not many homes like this in existence, Neshausen says. “I keep saying to developers, just build it and they will come.”

He says some developers are reluctant to build these sorts of big, expensive homes because, at the moment, there is too much wrestling with councils for consents, followed by more wrestling for hard to come by building supplies.

“What was a perhaps an 18-month build for a palatial $12 million mansion has no end date in sight,” he says.

PayPal billionaire and New Zealand passport holder Peter Thiel knows that pain point all too well. His mega house near Wanaka was recently given the thumbs down by Queenstown Lakes District Council planners “due to adverse landscape outcomes”.

The 330m-long, grass-roofed complex, with 10 guest accommodation units over a basement floor of 1165sqm, a private 565sqm owner’s pod, a meditation building, and other management buildings was deemed too big for the rural zone and outstanding natural landscape.

The ultra-modernist house, tucked beneath the earth with floor-to-ceiling glass walls was designed

by Japanese firm Kengo Kuma & Associates that also designed the 68,000-seat Japan National Stadium for the 2020 Olympics. Time will tell if it goes ahead.

OneRoof.co.nz

Architect Daniel Marshall says his clients often have very specific requirements.

PHOTO / GUY COOMBES

LEFT: A Queenstown home designed by Francis Whitaker's practice Mason & Wales.

BELOW: Interior designer James Doole brought 'wow factor' to this conservatory. PHOTOS / SUPPLIED

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Courtney

Real Estate Straight Talker Courtney prides herself on clear, direct communication. She will do whatever it takes to protect the value of your home, and get results. Courtney is a creative thinker which gives her clients the edge over the competition by backing high-quality modern marketing with excellent sales and negotiating skills.

With years of experience, and huge success in the industry, Courtney has developed a multi-million dollar boutique business. The team at Courtney & Co give clients an authentic and straight to the point approach. We care about the work and we care about the people we work with.

Call Northwest property specialist Courtney Wood & the team 027 688 0818 / 09 412 9903. Visit us courtneyandco.co.nz 1047 Coatesville-Riverhead Hwy, Riverhead & 9 Factory Rd, Waimauku

S T R A I G H T TA L K I N G R E A L E S TAT E

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THE PROPERTY RICH LIST | DEVELOPERS

Big bucks in luxe DIANA CLEMENT and CATHERINE SMITH talk to the developers who have a firm eye on the luxury market

A

ndrew McIntosh didn’t set out to be a developer. The Auckland-born entrepreneur was looking for accommodation in Queenstown but he couldn’t find anything interesting so he decided to build something himself.

His company, B Group, is busy finishing Waimarino Lodge, a multimillion-dollar collection of luxury villas at Bob’s Cove, 12 minutes’ drive from downtown Queenstown.

“When I lived in Queenstown in the 1990s people from visiting from overseas would go, ‘Wow, this place is incredible, isn’t it?’, and I’d would always say, ‘Yeah, nah, it’s good’, because that’s what we Kiwis do; we take what we have here for granted,” McIntosh says.

“I now live in Australia and I look at Queenstown with overseas eyes.”

Waimarino Lodge, McIntosh says, is different. “I don’t think Queenstown needs more schist stone fireplaces. Blanket Bay and Matakauri Lodge are stunning, but their décor is probably more targeted at my parents than me. I personally prefer a very modern, minimal aesthetic and I couldn’t find it. That was really the catalyst for building Waimarino.”

The development offers 24 high-end villas accompanied by two ultimate “owner residences”, a yoga studio, day spa, gourmet restaurant, distillery and more.

“We end up selling everything within a couple of weeks over Instagram. We could have sold the top-end owner residences 10 times over,” McIntosh says.

“It’s clear there is real demand for premium homes in New Zealand. The cheapest villa was $1.2m and the most expensive property was $12.8m. I realise now we sold too cheap. But that’s not a bad problem to have.”

McIntosh, whose next big development in New Zealand will be Kitea, a hotel in Wanaka, laments the cost of building here compared to Australia. “I’d be the first one to say that the housing market has been very generous to us in New Zealand.

But the build costs are just obscene.

What’s costing us $12,000 to $14,000 a square metre to build in New Zealand is probably 30 to 40% cheaper in Australia.”

Customer service

The rewards from a luxury development are tempting. Last month, OneRoof revealed that a penthouse apartment in one of Auckland’s newest glamour blocks sold for $17 million – before the development was officially on the market.

Victoria Lane, a boutique development near the corner of Remuera Road and Victoria Avenue, in Remuera, is the brainchild of veteran developer Richard Kroon, who is known for the Pinnacle apartment block in Remuera.

He says the development, which boasts a top-of-the-line design by Leuschke Group Architects and interiors by James

Doole, was a"racting locals playing “musical chairs”.

A smaller 175sqm apartment on the same floor has sold for $5.7m, while a third 264sqm penthouse has an asking price of $11.35m.

“A lot of our buyers are people looking for a replacement for the large family home. They want to stay in the area and they want something big. Our average apartment size is 250sqm,” Kroon says.

OneRoof understands the penthouse of another high-end development in the same neighbourhood sold for a similar price last year.

The 529sqm top floor of Elm Remuera, on Orakei Road, was combined into a single home for a price believed to be close to $30,000 per sqm, or nearly $16m.

OneRoof records show the penthouse now has a CV of $19m.

Elm Remuera is being developed by Martin Cooper and Mike Sullivan, who are also spearheading the luxury One Saint Stephens development next to Holy Trinity Cathedral in neighbouring Parnell.

Cooper says One Saint Stephens will be his best development yet. Construction work is yet to start but several of the apartments have already sold off the plan. “Over the last five to seven years we have noticed that people want biggersized apartments and more luxurious developments,” Cooper says.

“We’ve spent a lot of time analysing how people might live in these apartments, and we talk to residents about what they like about their apartment and about the development.”

That process led, for example, to full-

“WE END UP SELLING EVERYTHING WITHIN A COUPLE OF WEEKS OVER INSTAGRAM. WE COULD HAVE SOLD THE TOP-END OWNER RESIDENCES 10 TIMES OVER.” - ANDREW MCINTOSH sized walk-in laundries becoming part of the design at One Saint Stephens.

Customer service is key, says Cooper.

“You’ve got to really differentiate yourself and provide the level of care that a lot of these people are used to when they’re buying other high-end luxury goods.”

Understanding buyers

Developers Martin Cooper, top, and Kurt Gibbons.

PHOTOS / MICHAEL CRAIG, FIONA GOODALL

Rich-lister Kurt Gibbons is no stranger to luxury living. Three-quarters of his Gibbons Co developments have been aimed at the upper end of the market. “In most of our townhouses we use things like oak staircases, glass balustrades, oak flooring, granite bench tops, [and] high studs,” he says.

Asked what he gets out of these types of projects personally, as opposed to financially, he says doing these developments allows people to live in locations they might not have been able to afford if they were buying a standalone home.

Selling below valuation has won fans.

“If we have a valuation of $1.6m, we’re not going to try and get $1.6m for it. We price it slightly below. Because of that we get a huge number of referrals ... and a good name.”

Next up for Gibbons is a high-end buildto-let development in Auckland. “It’s still waiting for resource to come through.

We’ve partnered with a listed fund who will acquire the entire asset and manage it,” he says.

Gibbons also has plans for an apartment building in Auckland’s medical mile, next door to the luxury St Marks development, in Remuera.

Suzie Wigglesworth, national director of project for Bayleys Real Estate, is seeing more and more luxury apartment developments from Kiwi developers around Auckland CBD, as well as further out in the suburbs. “A really good example of that would be the boutique apartments Winton are doing in Hobsonville Point.”

Wigglesworth says Winton work with one of the country’s top designers, Stewart Harris from Macintosh Harris, which shows they understand their target market.

“Successful developers understand, for example, that someone who wants to spend $10 million on an apartment has a lot of artwork that they need to put on the walls, and therefore they provide spaces in which people can achieve that.

The best luxury developments are almost always waterfront or with water views, and designed by well-known architectural firms and top designers.”

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THE PROPERTY RICH LIST | LUXURY PURSUITS

Where the grass is greener High-end properties next to top-of-the-range golf courses are highly prized, writes CATHERINE SMITH

F

or an increasing number of wealthy Kiwis, the Clubhouse, which was carefully sited by course designer perfect home has a luxury finish, a great view Tom Doak, who calls it “the nicest place to hang out in all and 18 holes. Access to an exclusive golf club is of golf, whether you play golf or not”. an important factor for buyers who prefer their Rohrstaff laughs at the local legend that most golfers downtime to be spent on the fairway. Even for those who helicopter in for their game (only a small percentage do aren’t on the driving range seven days a week, the idea that, he says), adding that the surrounding Mangawhai of buying a holiday or retirement home close to a top community has benefited from the development. course, most of which are to be found in the most scenic “We employ a lot of people, and they all need homes,” corners of the country, is compelling. Indeed, some want he says. “This is such a good spot and what we’re doing to live right on the course. is not high density, so there’s not a big impact. It’s a great The “golf home” trend kicked off in New Zealand in the environment.”

1990s when the Japanese Ishii family created Millbrook, Greg Hunt is familiar with the trajectory of luxury golf on the edge of Queenstown. The five-star development resorts since he returned to New Zealand from America offered Kiwis the chance to build or buy a home within in 1993 to head design and development at Millbrook resort grounds. Since opening, Millbrook has grown in Resort, 20 minutes out of Queenstown, where the first size and reputation; it is home to more than 100 residents property had started selling a few years earlier. and properties can sell for more than $5 million.

Hunt is now chief executive of a luxury resort and nineMillbrook’s price and quality points were raised hole golf course being built at Gibbston Valley, another 15 when Ric Kayne and Jim Rohrstaff developed Tara Iti minutes away. “Millbrook set the benchmark, it was one golf course. The nearly 1400ha estate spans an 11km of of the triggers for what happened here [Queenstown and coastline just south of Mangawhai, in Northland, and Central Lakes] as a destination,” he says. was modelled on California’s famous Pebble Beach He quotes the rule of thumb for golfing destinations, 17-Mile Drive, which spans eight golf courses, seven of that for critical mass an area needs at least five golf courses them PGA or championship courses. so that holidaymakers can play a new course every day.

Tara Iti was decades in the making before the course In Queenstown, that means Millbrook, The Hills opened in 2015 and it will be joined in October this year (jeweller Michael Hills’ course next to Millbrook), Jacks by the first of two public courses on its southern boundary Point, the Kelvin Heights Queenstown course on a at Te Arai – be"er known picturesque peninsula on for the best surf on the lake and Arrowtown, a Auckland’s east coast, li"le rural gem that makes with a second course the New Zealand Top 100 opening October 2023. courses list.

The flagship private But Hunt is clear that since club Tara Iti (ve"ed its conception in 2007 (the members only, capped GFC put plans on hold for at 300, with a rumoured a bit), Gibbston Valley golf joining fee of around will be just one component $400,000) debuted at of a raft of lifestyle amenities No. 6 on Golf Digest’s that include a working ranking of the World’s winery, scenic vineyards, 100 Greatest Golf cycle trails, spa, farmers Courses, the highest-ever market and restaurants. The debut.

400ha resort will have 100 Members’ accommodation at Tara Iti, in Northland.

The club famously gives visitor accommodation units, PHOTO / MICHAEL CRAIG non-members a once-inopening August 2023, and a-lifetime chance to play.

150 gated residential units.

They must stay at least one night, at a cost of thousands The whole resort will not be completed until 2028. of dollars, and cannot repeat the experience, unless they “A nine-hole golf course is for people who enjoy become a member. the good things in life – good wine, good food, good Famous golfers who’ve played at Tara Iti include living,” Hunt says. “We’re clear it’s not a golf course President Barack Obama, with former Prime Minister resort. Golf is just an amenity we have along with all John Key, but Rohrstaff declines to name who else plays sorts of other things. It’s a great golf course, but it’s not there (“we don’t get into the name-dropping thing”) your whole day.” nor who has bought the 125 exclusive sections for sale That good life positioning has clearly resonated around the course that were sold from 2014. with buyers. Within a day of going on the market in Agents estimate rich-listers paid between $3m and December 2020, the development sold its first release of $5m for lots ranging from 4000sqm to 4ha, some of properties, helped by high-profile buyers like Key and which are already sporting houses, the rest still under cricket coach Brendon McCullum. Hunt says 90% of construction. Again, he won’t name names, but Rohrstaff buyers were from Auckland, but he expects Australian says the owners are mostly New Zealanders. interest to pick up now the borders are opening.

“We did have demand from overseas buyers, but demand stopped in October 2018 when they changed the Award-winning facilities overseas investment rules,” he says.

New Zealand Sotheby’s International Realty managing director Mark Harris says exclusive resorts like Tara Iti ‘Millbrook set the benchmark’ and Cape Kidnappers, in Hawke’s Bay, and Kauri Cliffs, The new Te Arai courses will have visitor accommodation in the Bay of Islands, have raised the bar. and restaurants – around 20 buildings all together – “The thing with Queenstown is that golfers love to have designed by architect John Irving. Award-winning access to more courses, and quite often you can play all architect Pip Cheshire was responsible for the Tara Iti winter, too,” he says. “A great day is 10 ski runs in the

morning, and a great game of golf in the afternoon.”

And while a limited number of properties right on the golf course are available – Jack's Point The Reserve has 36 homes right on the fairways – home buyers are happy just to be within driving distance of the courses, Harris says.

Facilities help create the right experience: The Hills clubhouse has won architecture awards, and has a much talked about sculpture collection do"ing the course; Millbrook has three world-class restaurants, but golfers also liked adding hiking the trails and riding bikes to their outdoorsy agenda.

This year Ray White agent Ross Hawkins brokered a $25.75m deal for a luxury four-bedroom home being built in a gated community on Forest Line Rise that shares amenities with the Waimarino Lodge in Bob’s Cove.

While the lodge property will have numerous luxury amenities, including an on-site gin distillery, Hawkins says buyers aren’t necessarily looking for houses on the course as long as there are good courses within driving distance.

The swift off-market sale of the 125 properties around the exclusive Tara Iti golf course shows there is room for more. Houses on nearby gated community Tern Point have sold for upwards of $3m.

“There is a definite value-add for homes that are part of a well-designed and thought-out golf course development. Looking over a stunning manicured fairway or green sets a property apart from just a home on a section,” Hawkins says, adding that buyers also look for other luxury amenities such as day spas, yoga rooms and gym facilities and on-site chefs.

"These facilities set a community apart and give that point of difference from city-living environments.”

Lifting overall property values

Mark Macky, owner and manager of Bayleys franchise Macky Real Estate, which covers all of Northland and the northern-most fringes of Auckland, says Tara Iti has lifted overall property values in neighbouring towns and coastal villages.

“It certainly had a flow-on effect on Mangawhai and Omaha. Fifteen years ago, Mangawhai was a quiet backwater. Even five years ago, top properties were $1m-plus, now they’re $3m. That’s from both capital appreciation and because now more special properties are being built,” he says.

Macky says that post-Covid, many of his buyers have been specifically looking for properties close to the golf course, or at the boutique beaches of Langs Beach and Bream Bay. Even those who live in Omaha, further south, are keen to make the switch to Mangawhai.

Bayleys agent John Greenwood says Gulf Harbour golf course has had a similar impact on property values in the Whangaparoa Peninsula. The course changed the dynamic of the area when it launched in 1996 with around 100 homes next to it.

Today, these golf homes fetch upwards of $2m.

“Originally they did set design rules for building, but that was too radical and failed. But the golf course has added value to the neighbourhood,” Greenwood says.

Just out of Taupo, in the central North Island, are two world-class golf courses: the Wairakei Golf + Sanctuary, owned by businessman Gary Lane, and Kinloch, owned by another rich lister, John Sax. Wairakei was established by the Government-owned Tourist Hotel Corporation in 1970 and as New Zealand’s first internationally recognised golf course, was part of an early strategy to draw golf travellers (it kicked off again in 2013 when Tourism New Zealand began a concerted golf promotion programme).

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“THE THING WITH QUEENSTOWN IS THAT GOLFERS LOVE TO HAVE ACCESS TO MORE COURSES, AND QUITE OFTEN YOU CAN PLAY ALL WINTER, TOO. A GREAT DAY IS 10 SKI RUNS IN THE MORNING, AND A GREAT GAME OF GOLF IN THE AFTERNOON.” - MARK HARRIS

Sax picked up Kinloch in 2011 and opened on the ground a luxury manor that boasts interiors by famed designed Virginia Fisher and a world-class restaurant run by Brazilian-born Michelin-star holder Marcello Tully. He has plans to expand the resort and told OneRoof that he was about to launch a development of 173 homes on the course.

New developments are also set to spring up next to the Bob Charles-designed Formosa Golf Course in east

Auckland. The course has had a chequered history since it was built in the 1990s and hosted the New Zealand Open in 1996, but the 2020 relaunch by the Rydges hotel group of 50 refurbished villas and a restaurant helped restore its reputation.

Last month, developers announced they were cu!ing the 18-hole course to a nine-hole and building up to 3000 apartments on the 255ha site as part of a 15-to-20-year plan for apartments, commercial, hospitality and retail.

Players enjoy a round at Millbrook, in Queenstown. PHOTO / BRETT PHIBBS.

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OneRoof.co.nz

THE PROPERTY RICH LIST | GLOBAL MARKET

Where asking prices hit $500m How do NZ’s trophy homes stack up next to the mansions and luxury pads of London, New York and Sydney? CATHERINE MASTERS finds out

N

ew Zealand is no different to other parts of the globe, which have also seen an injection of wealth at the top end of their residential property markets.

According to the Knight Frank Wealth Report, as of last year New Zealand had an estimated 390,258 High Net Worth Individuals - those worth US$1m (NZ$1.5m) or more - and more than 3000 Ultra High Net Worth Individuals – those worth US$30m (NZ$46.7m) or more.

Across the ditch, there are more than 2.5 million High Net Worth Individuals and close to 21,000 Ultra High Net Worth Individuals.

Globally, Ultra High Net Worth buyers like to purchase in the United States, the United Kingdom, Australia, Spain and France, while New Zealand’s Ultra High Net Worth buyers like to buy in New Zealand, Australia, the United Kingdom, Italy and France.

Chris Farhi, head of insights for Knight Frank’s New Zealand partner, Bayleys, says last year’s global economic rebound “supercharged” wealth creation.

“Worldwide, the number of Ultra High Net Worth individuals rose 9.3% over the year, creating an additional 52,000 very wealthy people compared with just 12 months earlier.”

Like other parts of the globe, New Zealand’s wealthiest homeowners follow a certain pa"ern as to where they want to live.

They favour Auckland the most in New Zealand, and over in Australia they like Sydney the most, but they might also have homes in other locations at home or abroad, or both.

Russian money

In the United Kingdom, the very rich like to buy in London, a market influenced by Russian oligarchs, who poured money into several prime European markets in the early 2000s.

The global sanctions imposed on Russia as a result of its invasion of Ukraine will make it harder, if not impossible, for Russia’s billionaires to purchase real estate in the West (some are now seeking luxury properties in Dubai). However, Knight Frank’s global head of research, Liam Bailey, says the prime real estate market is unlikely to feel their absence.

The plunge in the Ruble’s value in 2014, following Russia’s annexation of Crimea, reduced oligarchs’ buying power and led to a drop in Russian activity in most prime markets.

“If Russian demand falls lower due to the current crisis, [it] is unlikely to have a substantial impact on market performance,” Bailey says.

But the Ukraine crisis has enhanced a greater focus on transparency of asset ownership, Bailey says.

“The UK Government, for example, has long promised the introduction of legislation which would introduce a register of the ultimate owners of overseas companies that control land and property, a development which would be welcomed by the real estate industry. Expect similar moves in other countries.”

New Zealand and, to an extent, Australia are not impacted much by oligarch money given the foreignbuyer ban. And while New Zealand’s prestige market has a lot in common with prestige markets overseas, the similarities end when it comes to price.

Last year’s top sale in New Zealand was NZ$29 million for a property on Remuera Road in Auckland,

and the overall record for the top price paid for a residential home is NZ$38.5m, for a property in neighbouring Orakei bought in 2013.

Both are a mere snip compared to overseas prices.

Last year, fashion tycoon Serge Azria sold his Malibu beachside home for US$177m (NZ$280m) while Donald Trump’s former Palm Beach estate sold for US$122.7m.

Other big sales include the US$101m paid for a home in the Hamptons, in the US, that was once owned by the Ford family and the US$82.2m paid for a deluxe apartment in Hong Kong’s Peak neighbourhood. In London, a property in Knightsbridge overlooking Hyde Park sold for US$147m.

Record prices

Vying to break the record for world’s most expensive property is Villa Aurora, a 16th century Roman palace that had been valued at €471m (NZ$777m) and goes to auction at the end of June. Included in the sale is a fresco

by Caravaggio but the priceless work of art may not be enough to hook a buyer. The property has already passed in twice this year, and the price tag has been reduced to €301m – bargain buy for any Kiwi with a spare NZ$500m to spend.

Farhi says home ownership in a lot of countries is less restricted than it is in New Zealand, and that London and New York, for example, are well connected to a lot of other cities whereas New Zealand is harder to get to.

“Notwithstanding that, you’ve still got a lot of very wealthy New Zealanders or New Zealand residents who are obviously happy to invest some pre"y serious funds into their primary house,” he says.

Nerida Conisbee, chief economist for Ray White Group in Australia and New Zealand, says Australia’s luxury market was very strong last year. “Many people became far more wealthy, and as a result had more money to spend on residential property, so luxury property did incredibly well.”

Many of those who have done well are in the tech industry, she says, and have been making big purchases.

“In previous cycles we tended to see people who were involved in the property industry being major purchasers of luxury property,” she says.

The top sales included A$72m for a two-storey apartment at One Barangaroo tower in Sydney. The property was bought off-the-plan by James Packer four years ago but only se"led at the end of last year. Other Australian properties fetching high prices were a historic mansion in Sydney’s Woollahra, which sold for A$45m, and a beach pad in the city’s Palm Beach, which sold for A$20m. According to The Sydney Morning Herald, the

“MANY PEOPLE BECAME FAR WEALTHIER, AND AS A RESULT HAD MORE MONEY TO SPEND ON RESIDENTIAL PROPERTY, SO LUXURY PROPERTY DID INCREDIBLY WELL.” NERIDA CONISBEE, CHIEF ECONOMIST FOR RAY WHITE country’s top 20 property sales in 2021 hit A$700m.

Conisbee says a shortage of ultra-luxury properties and FOMO helped drive prices, but not every Australian city saw the same lift. Price points differ too. “Melbourne has luxury market but it’s certainly nowhere near as expensive as what we see in Sydney,” she says.

From top, Donald Trump’s former home in Palm Beach, in Florida, which sold last year for US$122.7m; One Barangaroo tower, in Sydney, Australia, where tycoon James Packer snapped up an apartment for A$72m; Packer with his former partner Mariah Carey; on the market with an asking price of €301m, Villa Aurora, in Rome, Italy, comes with this fresco. PHOTOS / SUPPLIED, GETTY IMAGES

OneRoof.co.nz

MONEY MATTERS

THE YE AR THE

HOUSING MARKET FLIPPED In the last 12 months we’ve gone from ‘can’t get a home’ to ‘can’t hold onto a home’, with FOMO and cheap credit giving way to rising interest rates and rising inflation, writes RUPERT GOUGH

T

o say that the process for applying for a mortgage has changed in the past 12 months is a vast understatement. Close to 50% of all bank’s mortgage-lending policies have been changed at some point, a massive difference from the past few years when one or two minor policy tweaks are made every quarter or so. Some policies have even changed several times as banks find their feet in the new world of lending.

These policies range from the more well-known like the mortgage servicing rate - the rate that banks stress test your ability to afford your mortgage at (previously as low as ~6.5% and currently at around ~7.3% - 7.5%) through to how banks treat rental income in light of the new tax-deductibility rules on interest for investment properties. And then right through to the less well-known policies such as what purchase price constitutes a “luxury” property.

These alterations to the lending policies are almost all a direct result of three significant changes for lenders: • Rising interest rates which began their upward trend in August/September 2021; • The Credit Contracts and Consumer Act (CCCFA), which began on December 1, 2021; and, to a lesser extent • The new Financial Services Legislation Act which started on March 15, 2021.

Then throw in the mix loan-to-value ratios (LVRs), which were adjusted on November 1, 2021, meaning low deposit lending (greater than 80% borrowing) on owner-occupied properties could only make up a maximum of 10% of all borrowing from any given bank - down from the previous threshold of 20%.

As we approach the anniversaries of these changes, it is

clear that the property market has dramatically shifted in a!itude. Although it often didn’t feel it at the time, mortgages were comparatively much easier to get, particularly pre-December 2021.

Results from a recent OneRoof survey indicate that the reduction in mortgage lending comes not from mortgages being too hard to apply for but from the 73% of people who think it’s too hard to get a mortgage and don’t bother to apply. The feeling is that everyone is being declined, so let’s not bother to apply at all.

In the olden days (before June 2021), a mortgage application introductory note went something along the lines of, “we, the customer, acknowledge that we spend a bit too much on dining out, but we can stop all that once we have a mortgage”. And 99.99% of new homeowners did precisely that.

But with the CCCFA now in place, the message to banks must be, “here is how we have lived frugally over the past three months, and this is how we expect to live going forward”. I can’t stress enough that until the CCCFA regulations are changed (due sometime soon), you must show you can live on a budget. If you take three months to rein in your spending, you will find that ge!ing a mortgage is relatively low stress, and you’ll be a step ahead of 73% of the market that thinks it’s all too hard.

As the Official Cash Rate - now at 2% - and, therefore, mortgage interest rates have risen, buyers have been noticeably more hesitant about where interest rates could be in the near to medium term. Mortgage interest rates have gone up by around 2.5% (practically doubling since a year ago), and the concern is if they keep going up at such a fast rate.

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The banks don’t seem to be forecasting continued rapid growth with, as noted above, their stress rate si!ing in the mid 7%. This level indicates that the bank’s worstcase scenario is that mortgage rates will hit 7% in the next few years. The banks are, obviously, keen on ge!ing this right; under-shooting this rate could mean borrowers are suddenly unable to afford their mortgage.

If you are new to mortgages, it is worth taking an hour to ask yourself what you would need to change in your day-to-day living expenses to be able to pay 7% per annum on your mortgage?

Once you have that budget planned out, even if it will take you a year or so to achieve, try your best to implement it - pay your mortgage off as though the interest rates were 7% - and give yourself some comfort in case interest rates start heading up again.

The best advice I can give potential home buyers is to shift how they think about applying to the bank from the old way, which was “show the bank I could theoretically afford a mortgage of 7%”, to the new way, “I have been living for at least three months as though I can afford a mortgage of 7%”.

For current homeowners, the best advice is to start planning for the worst-case scenario. The irony is that if enough people reduce spending, inflation will likely come back down, and the interest rates won’t get as high as 7%.

• Rupert Gough is the founder and CEO of Mortgage Lab and author of The Successful First Home Buyer

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OneRoof.co.nz

ONEROOF-VALOCITY HOUSE VALUE INDEX

GREATER WELLINGTON JOINS AUCKLAND IN NEGATIVE TERRITORY Property values have fallen hard in Hamilton and Dunedin too, with house prices in some towns and suburbs lower now than they were six months ago.

PROPERTY VALUES are tumbling across the country, with house prices in most of New Zealand’s major cities suffering sharp falls.

The latest figures from the OneRoof-Valocity House Value Index show steep declines in Auckland, Dunedin, Hamilton, Tauranga and Wellington.

Nationwide, the average property value slid 0.9% ($10,000) to $1.087 million, as rising interest rates, cost of living pressures and tighter credit conditions kept buyers out of the market.

Auckland’s average property value fell 2.2% ($34,000) in the three months to the end of May to $1.53m - the city’s third consecutive quarter-on-quarter decline.

Greater Wellington fell harder over the same period.

The 2.9% drop in the region’s average property value, to $1.104m, pushed house prices back to November levels.

Four other regions — Manawatu-Whanganui, Hawke’s Bay, Nelson and Waikato - suffered declines in their average property value over the last three months but homeowners across the rest of the country saw li"le in the way of value growth.

The country’s best-performing region was Canterbury, but quarterly growth of 1.9% was well below the 2.9% it recorded in the three months to the end of April and the 3.2% recorded in the three months to the end of March.

The slowdown was also evident in Northland, which had been, for much of this year, thew country’s strongest housing market. Value growth in the region dropped from 5.8% in the three months to the end of April to 1.4% in the three months to the end of May. Of New Zealand’s seven major metros, just two - Christchurch and Queenstown - recorded value growth over the quarter. Hamilton suffered the steepest decline, with its average property value falling 4.1% ($38,000) to just below $900,000 in the three months to the end of May.

SPECTRE OF NEGATIVE EQUITY

All but two of the city’s suburbs with 20 or more se"led sales in the last 12 months suffered value drops. More worrying is the fact that house prices in three Hamilton suburbs - Flagstaff, Rototuna North, Hamilton East - are now below November levels.

Dunedin’s average property value didn’t fall as hard - it was down 2.5% ($19,000) to $738,000 - but the figures showed no suburb there with 20 or more se"led sales in the last 12 months recorded value growth in last three months, pu"ing recent purchases at risk of falling into negative equity.

The capital’s average property value fell 2.4% ($32,000) to $1.288m, with prices in 26 of the city’s suburbs lower now than they were three months ago. Tauranga’s average property dipped 0.2% ($2000) over the quarter to $1.237m, with 10 of the city’s suburbs suffering negative growth over the period.

Twenty-eight of the country’s 72 territorial local authorities suffered value declines over the quarter, with the biggest drops in Kaikoura and Upper Hu" the average property value in both fell 6%. Eleven TAs were also worse off now than they were six months ago, although New Zealand’s average property value is still up 13.8% on this time last year and almost 40% up on June 2020.

James Wilson, head of valuations at OneRoof’s data partner, Valocity, said: “Weaker market conditions are now evident across much of the country and across

Meadowbank, in Auckland. Photo / Fiona Goodall

many property types. FOMO is most definitely gone, replaced by FOOP – fear of overpaying.

“Interest rates again are playing a key role in value movements. The cut to interest rates and removal of credit barriers drove a lot of house price growth in the months after the first Covid lockdown. Now rising interest rates and a credit squeeze have pushed values the other way.

“What’s clear now, though, is the growing influence of interest rates on the market, with credit rules less of a factor in people’s buying decisions. Throughout the summer period buyers were frustrated by how much they were allowed to borrow as a result of the CCCFA, but they are now more likely to be worried about their ability to pay back their debt on higher interest rates.

It’s likely, in this environment, that the flagged reversal on the CCCFA changes will have a much lower impact on buying activity.”

MORTGAGE REGISTRATION CRUNCH

Wilson said it was important to put the value declines in context. “Many of the areas in trouble now experienced significant growth over the past 12 to 18 months, and even with prices falling are likely to be still well ahead of where they were two years ago.”

Of the 984 suburbs and towns that registered 20 or more sales in the last 12 months, 488 suffered declines in their average property value, with total lost over the last three months coming in at $15.5m. The biggest drop was in Chatswood, in Auckland’s North Shore. The suburb’s average property value fell 8.1% ($153,000) to $1.725m over the quarter and 2.65% over the last six months.

House prices in a further 123 suburbs were below November levels, while house prices in four suburbs — Auckland Central, Meremere, Oriental Bay, Newmarket — were cheaper now than they were 12 months ago.

OneRoof editor Owen Vaughan said the figures pointed to further declines. “The biggest concern for those who bought at market peak is whether or not their property is worth less than what they paid for it,” he said.

“For those who plan to be in their home for a long period and can repay their mortgage, negative equity won’t be a pressing issue, but rising interest rates and cost of living pressures will put the squeeze on homeowners and the safety valve of being able to sell in a rising market is no longer there.”

Mortgage registration volumes have failed to recover from the double blow of rising interest rates and tighter lending conditions. First-home buyers’ share of the market has fallen from 39% in the last quarter of 2021 to 37% in the first quarter of this year. The outlook for the second quarter looks grim, with the actual number of registrations for April and May just over 3000, compared to the more than 7000 in the first three months of this year and the more than 10,000 in the last three months of 2021.

Investors’ share of purchases has hovered around the 24% mark, but actual numbers reflect an overall withdrawal from the market, with total investor mortgage registrations so far this quarter just over 2000, compared to 5000 in the first quarter and more than 6000 in the final quarter of 2021.

Wayne Shum, head of research at Valocity, said the registration figures pointed to further challenges in the market. “Refinancing rose in 2020 and 2021 as homeowners took advantage of record-low mortgage rates. But approximately 60% of mortgages will see their rates adjusted in the next 12 months, which will be a shock for those coming off record-low rates.”

Shum added that sales volumes were also under pressure. “The number of se"led sales hit a peak of 125,851 in 2020, but numbers fell to 108,149 in 2021, mostly due to lower stock levels but rising mortgage rates, the credit squeeze and changes to tax policy for investors have had an impact, and these factors are likely to push sales volumes down further in 2022.”

HOUSING MARKET AT A GLANCE

New Zealand’s average property value grew 13.9% ($132,000), in the last 12 months to $1.087m, but in the three months to the end of May it dropped 0.9% ($10,000). Canterbury was the ho"est region over the quarter, with growth of 1.9% ($15,000) pu"ing its average property value within spi"ing distance of $800,000. Hauraki, in Waikato, was the country’s bestperforming territorial local authority over the quarter, with its average property value up 8.7% to $878,000.

MOST EXPENSIVE

With an average property value of $4.135m, Herne Bay, in Auckland, is still New Zealand’s most expensive residential suburb. While homes in the waterfront enclave are, on average, $433,000 more expensive now than they were 12 months ago, the market slowdown has had an impact on recent activity, with Herne Bay’s average property value down 1.4% ($59,000) in the last three months. Its nearest competition is nearby Waiheke Island (up 2.7% over the quarter to $3.882m), while the most expensive suburb outside of Auckland is Queenstown-Lakes’ Kawarau Falls (up 6.5% to $3.423m).

Fifty-nine suburbs with 20 or more se"led sales in the last 12 months have an average property value of $2m-plus, down from 65 in the 12 months to the end of April and 71 in the 12 months to the end of March. Among those falling out of the $2m club are Roseneath, in Wellington (down 3.4% to $1.947m), and Meadowbank, in Auckland, (down 4.6% to $1.942m).

OneRoof.co.nz

All NZ $1.087m

-0.9%

Northland $919,000

+1.4%

What the map tells you

The map shows the current average property value for each region, and gives the three-month change. The different colours on the map express the change in house values in each location.

CHEAPEST

The map shows the average property value for each region on April 1, 2022, and gives the three-month change. The different colours on the map express the All NZ changes in house values in each $1.098m location.

-0.9%

Auckland $1.530m

5%+ 4%+ 3%+ 2%+ 1%+ 0%+ −1% -2%

−2.2%

Bay of Plenty $1.085m

Waikato $986,000

7% +

With an average property value of $229,000, Runanga, in Grey, is the best place to bag a bargain, and is likely to remain so, with house prices in the rural town falling 1.7% ($4000) in the last three months. The cheapest major metro suburb is South Dunedin, in Dunedin, where the average property value is $451,000, almost $200,000 below the average property value of Auckland’s cheapest suburb, Auckland Central ($637,000). Wellington’s cheapest suburb is Wellington Central ($668,000), while Christchurch’s is Phillipstown ($462,000) and Hamilton’s is Bader ($650,000). Entry-level in Tauranga and Queenstown is considerably higher, with Tauranga’s cheapest suburb of Parkvale with an average property value of $769,000, and Queenstown-Lakes’ cheapest suburb, Kingston, which has an average property value of $795,000.

The percentage of suburbs with an average property value of less than $500,000, and less than $1m, has remained steady over the last three months.

What the map tells you

+1.1%

-0.2%

6% +

Gisborne $729,000

5% +

+0.3%

4% + 3% + 2% + 1% +

Taranaki $726,000

Hawke’s Bay $921,000

+1.7%

-1.0%

-1% +

ManawatuWhanganui $690,000

-1.3%

Nelson $905,000

IN DEMAND

-0.5%

The beach community of Mahia, in Wairoa, Hawke’s Wellington Bay, recorded the country’s biggest three-month Tasman Marlborough $1.104m value growth. Its average property value rose 12.9% $1.012m $805,000 ($104,000) to $910,000. Just five suburbs saw their average property value grow by more than 10% in the last three months, down from 15 suburbs in the three months to the end of April and 31 in the three months to the end of March. Of the major metros, Christchurch Central, in Christchurch, West Coast enjoyed the strongest three-month growth, with $393,000 its average property value up 7% ($47,000) to $723,000. The strongest performers in the other major metros were: • Auckland - Waiuku, up 5.3% to $1.032m • Dunedin - Sawyers Bay, up 0% to $731,000 BIGGEST The mostly rural fringe suburb saw its average property • Hamilton - Fairfield, up 1.1% to $858,000 WINNERS value plunge $183,000 to $3.035m. Of the 984 suburbs • Queenstown-Lakes - Lake Hayes, up 6.8% Kawarau Falls, in with 20 or more se!led sales in the last 12 months, Canterbury to $2.335m Queenstown-Lakes, just over 50% (498) saw zero or negative growth in $792,000 • Tauranga - Papamoa, up 4.9% to gained the most, the three months to the end of May. More worrying dollar-wise, in the $1.111m for some homeowners is the fact that property values last three months.

• Wellington - Maupuia, up 4.2% in 124 suburbs are lower now than they were six Its average property to $1.191m months ago. And homeowners who bought 12 months value jumped $208,000 (6.5%) to ago in Oriental Bay, Auckland Central, Meremere $3.423m. Nine more suburbs, mostly and Newmarket, are likely to be in a negative equity in high-value, waterfront locations, saw situation, with the average property value in all four their average property value grow by more now between 1% and 2.9% lower than in than $100,000 in the last three months, down May 2021. from 29 in the three months to the end of The biggest metro fallers, in dollar terms, over the April and 94 in the three months to the end quarter were: of March. The biggest quarterly gains in the • Auckland - Okura Bush, down $183,000 to $3.035m other major metros were: • Christchurch - Kennedys Bush, down $32,000 to Otago • Auckland - Coatesville, up $151,000 to $3.707m. $1.814m $962,000 • Christchurch - Cashmere, up $75,000 to • Dunedin - Roslyn, down $36,000 to $973,000 $1.071m • Hamilton - Hamilton Lake, down $80,000 to $1.031m • Dunedin - Sawyers Bay, up $0 to $731,000 • Queenstown-Lakes - Wanaka, down $54,000 to $2.04m Southland • Hamilton - Fairfield, up $9000 to $858,000 • Tauranga - Otumoetai, down $39,000 to $1.188m $533,000 • Tauranga - Papamoa, up $52,000 to $1.111m • Wellington - Roseneath, down $69,000 to $1.947m • Wellington - Seatoun, up $51,000 to $2.275m Low sales volumes are contributing to the value slide: in the 12 months to the end of May, the total number of se!led BIGGEST LOSERS sales was 108,238, down from 112,836 in the 12 months to The suburb that has suffered the most over the last the end of April. Just 984 suburbs recorded 20 or more sales three months is Chatswood, on Auckland’s North during the period, down from 990 in the 12 months to the Shore. Its average property value dropped 8.1% end of April, and 320 suburbs had no sales at all. ($153,000) to $1.725m. The suburb that lost the most, in * Figures only cover suburbs with 20-plus se!led sales in dollars, is Okura Bush, in Auckland’s Rodney district. the last 12 months.

+0.7%

0%

+1.9%

+0.3%

+0.9%

+1.4%

-2.9%

35

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OneRoof.co.nz

ONEROOF-VALOCITY HOUSE VALUE INDEX

NORTHLAND $919,000 AVERAGE VALUE

LOCATION

22.4%%

YEAR ON YEAR CHANGE

NORTHLAND’S average property value has grown nearly 10% in the last six months and 22% in the last 12 months. The numbers look good at TA level, too. The last six months has added another $87,000 to the average property value in Whangarei, and more than $1m to the average property value in Kaipara. Even in the Far North, house values are $62,000 higher now than they were six months ago. But the value lift since November has been front-loaded, with all three TAs and the region as a whole recording declining growth levels in the last three months, and it is possible Northland’s housing market will join the rest of the country in negative territory come July or August.

The downturn is likely to put the brakes on Whangarei’s entry to the $1m club, with the last three months adding only $16,000 to the TA’s average property value, which now sits at a tantalisingly close $976,000.

Of the 56 Northland suburbs that saw 20 or more sales in the last 12 months, 47 enjoyed house value growth in the three months to the end of May. The biggest jumps were in the Whangarei suburbs of Langs Beach (+8.3% to $2.422m), Tutukaka (+8% to $1.45m), Ngunguru (+7.4% to $1.211m) and Ruakaka (+7.2% to $1.078m). The biggest quarterly falls were all in Whangarei as well, but at the other end of the price spectrum: Horahora (-1.6% to $775,000), Avenues (-1.5% to $653,000) and Onerahi (-1.5% to $721,000).

JUNE 2022

MARCH 2021

JUNE 2021

QoQ CHANGE

YoY CHANGE

AHIPARA

$671,000

$673,000

$528,000

-0.3%

27.1%

CABLE BAY

$866,000

$846,000

$699,000

2.4%

23.9%

COOPERS BEACH

$917,000

$894,000

$730,000

2.6%

25.6%

HARURU

$873,000

$869,000

$720,000

0.5%

21.3%

KAEO

$847,000

$823,000

$659,000

2.9%

28.5%

KAIKOHE

$389,000

$390,000

$315,000

-0.3%

23.5%

KAITAIA

$453,000

$433,000

$368,000

4.6%

23.1%

KARIKARI PENINSULA

$806,000

$766,000

$622,000

5.2%

29.6%

KAWAKAWA

$510,000

$506,000

$438,000

0.8%

16.4%

$1,152,000

$1,141,000

$913,000

1.0%

26.2%

MANGONUI

$835,000

$817,000

$667,000

2.2%

25.2%

OKAIHAU

$785,000

$764,000

$636,000

2.7%

23.4%

OPONONI

$586,000

$571,000

$479,000

2.6%

22.3%

OPUA

$988,000

$967,000

$814,000

2.2%

21.4%

PAIHIA

$829,000

$830,000

$704,000

-0.1%

17.8%

LOCATION

FAR NORTH

KERIKERI

PUKENUI

$759,000

$742,000

$626,000

2.3%

21.2%

RUSSELL

$1,553,000

$1,542,000

$1,327,000

0.7%

17.0%

$767,000

$751,000

$617,000

2.1%

24.3%

$1,118,000

$1,117,000

$905,000

0.1%

23.5%

TAIPA WAIPAPA KAIPARA DARGAVILLE

$593,000

$584,000

$483,000

1.5%

22.8%

KAIWAKA

$1,069,000

$1,024,000

$825,000

4.4%

29.6%

MANGAWHAI

$1,484,000

$1,395,000

$1,137,000

6.4%

30.5%

MANGAWHAI HEADS

$1,497,000

$1,436,000

$1,226,000

4.2%

22.1%

MAUNGATUROTO

$816,000

$783,000

$632,000

4.2%

29.1%

PAPAROA

$804,000

$778,000

$632,000

3.3%

27.2%

RUAWAI

$519,000

$500,000

$433,000

3.8%

19.9%

TE KOPURU

$557,000

$545,000

$453,000

2.2%

23.0%

$653,000 $694,000 $775,000 $864,000 $1,340,000 $748,000 $2,422,000 $1,029,000 $1,257,000 $1,142,000 $672,000 $1,211,000 $1,230,000 $721,000

$663,000 $656,000 $788,000 $824,000 $1,281,000 $742,000 $2,237,000 $990,000 $1,254,000 $1,114,000 $647,000 $1,128,000 $1,189,000 $732,000

$566,000 $558,000 $659,000 $720,000 $1,000,000 $622,000 $1,939,000 $811,000 $1,014,000 $951,000 $563,000 $977,000 $1,053,000 $639,000

-1.5% 5.8% -1.6% 4.9% 4.6% 0.8% 8.3% 3.9% 0.2% 2.5% 3.9% 7.4% 3.4% -1.5%

15.4% 24.4% 17.6% 20.0% 34.0% 20.3% 24.9% 26.9% 24.0% 20.1% 19.4% 24.0% 16.8% 12.8%

WHANGAREI AVENUES HIKURANGI HORAHORA KAMO KAURI KENSINGTON LANGS BEACH MAUNGAKARAMEA MAUNGATAPERE MAUNU MORNINGSIDE NGUNGURU ONE TREE POINT ONERAHI

PARAHAKI PARUA BAY RAUMANGA REGENT RIVERSIDE RUAKAKA RUATANGATA WEST TAMATERAU TIKIPUNGA TUTUKAKA WAIPU WHANGAREI HEADS WHAREORA WHAU VALLEY WOODHILL

JUNE 2022

MARCH 2021

JUNE 2021

QoQ CHANGE

YoY CHANGE

$871,000 $1,284,000 $603,000 $815,000 $872,000 $1,078,000 $1,176,000 $1,310,000 $704,000 $1,450,000 $1,326,000 $1,260,000 $1,250,000 $807,000 $705,000

$874,000 $1,249,000 $580,000 $816,000 $834,000 $1,006,000 $1,151,000 $1,295,000 $705,000 $1,343,000 $1,278,000 $1,231,000 $1,191,000 $790,000 $694,000

$728,000 $1,056,000 $499,000 $665,000 $733,000 $827,000 $938,000 $1,010,000 $594,000 $1,180,000 $1,076,000 $1,010,000 $989,000 $679,000 $582,000

-0.3% 2.8% 4.0% -0.1% 4.6% 7.2% 2.2% 1.2% -0.1% 8.0% 3.8% 2.4% 5.0% 2.2% 1.6%

19.6% 21.6% 20.8% 22.6% 19.0% 30.4% 25.4% 29.7% 18.5% 22.9% 23.2% 24.8% 26.4% 18.9% 21.1%

GREATER AUCKLAND $1,153,0000 AVERAGE VALUE

12.2%

YEAR ON YEAR CHANGE

GREATER AUCKLAND’S average property value was the first to suffer negative growth this year, but despite a $34,000 fall in the last three months, it is still $15,000 above where it was six months ago. How long the average property value stays above November levels is unclear, but the trajectory suggests it will drop below $1.5m this year.

Six of the region’s seven former local government areas recorded negative growth over the last three months, with the North Shore suffering the most; its average property value fell 3.4% ($59,000) to $1.672m over the quarter. Auckland City’s average property value fell 2.65% ($46,000) over the same period, while Manukau’s decline of 2.1% was just below the region-wide fall of 2.2%.

Franklin’s average property value was up 0.1% over the period, but it’s likely prices there will fall too in the coming months.

Of the 222 Auckland suburbs that recorded 20 or more sales in the last 12 months, 82.8% dropped in value over the quarter. That’s a significant increase in just the space of two months, with the percentage of suburbs with 20 or more sales that dropped over the three months to the end of March just 24%. Four suburbs Chatswood, Murrays Bay, Maraetai and Onehunga - saw value declines of more than 7% over the quarter, and another 19, including Campbells Bay, Newmarket and Mount Eden, saw value declines of between 5% AUCKLAND CITY AUCKLAND CENTRAL AVONDALE BLOCKHOUSE BAY EDEN TERRACE ELLERSLIE EPSOM FREEMANS BAY GLEN INNES GLENDOWIE GRAFTON GREAT BARRIER ISLAND (AOTEA ISLAND) GREENLANE GREY LYNN HERNE BAY HILLSBOROUGH KINGSLAND KOHIMARAMA LYNFIELD MEADOWBANK MISSION BAY MORNINGSIDE MOUNT ALBERT MOUNT EDEN MOUNT ROSKILL MOUNT WELLINGTON NEW WINDSOR NEWMARKET ONE TREE HILL ONEHUNGA ONEROA ONETANGI

$637,000 $1,147,000 $1,354,000 $904,000 $1,464,000 $2,555,000 $1,899,000 $1,430,000 $2,713,000 $762,000 $836,000 $2,175,000 $2,146,000 $4,135,000 $1,544,000 $1,657,000 $2,586,000 $1,571,000 $1,942,000 $2,620,000 $1,542,000 $1,605,000 $2,104,000 $1,328,000 $1,159,000 $1,505,000 $1,006,000 $1,582,000 $1,275,000 $2,554,000 $2,290,000

$666,000 $1,183,000 $1,418,000 $921,000 $1,545,000 $2,557,000 $1,925,000 $1,427,000 $2,737,000 $771,000 $816,000 $2,220,000 $2,141,000 $4,194,000 $1,593,000 $1,671,000 $2,634,000 $1,634,000 $2,035,000 $2,688,000 $1,597,000 $1,640,000 $2,227,000 $1,364,000 $1,199,000 $1,523,000 $1,069,000 $1,622,000 $1,375,000 $2,487,000 $2,255,000

$656,000 $1,109,000 $1,258,000 $864,000 $1,407,000 $2,271,000 $1,702,000 $1,250,000 $2,286,000 $749,000 $683,000 $1,993,000 $1,820,000 $3,702,000 $1,376,000 $1,503,000 $2,240,000 $1,390,000 $1,783,000 $2,283,000 $1,394,000 $1,430,000 $1,827,000 $1,240,000 $1,022,000 $1,315,000 $1,016,000 $1,442,000 $1,236,000 $1,985,000 $1,759,000

-4.4% -3.0% -4.5% -1.8% -5.2% -0.1% -1.4% 0.2% -0.9% -1.2% 2.5% -2.0% 0.2% -1.4% -3.1% -0.8% -1.8% -3.9% -4.6% -2.5% -3.4% -2.1% -5.5% -2.6% -3.3% -1.2% -5.9% -2.5% -7.3% 2.7% 1.6%

-2.9% 3.4% 7.6% 4.6% 4.1% 12.5% 11.6% 14.4% 18.7% 1.7% 22.4% 9.1% 17.9% 11.7% 12.2% 10.2% 15.4% 13.0% 8.9% 14.8% 10.6% 12.2% 15.2% 7.1% 13.4% 14.4% -1.0% 9.7% 3.2% 28.7% 30.2%

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ONEROOF-VALOCITY HOUSE VALUE INDEX

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

ORAKEI OSTEND OTAHUHU PALM BEACH PANMURE PARNELL POINT CHEVALIER POINT ENGLAND PONSONBY REMUERA ROYAL OAK SAINT JOHNS SAINT MARYS BAY SANDRINGHAM ST HELIERS STONEFIELDS SURFDALE THREE KINGS WAI O TAIKI BAY WAIHEKE ISLAND WATERVIEW WESLEY WESTMERE

$2,692,000 $1,686,000 $946,000 $2,230,000 $1,225,000 $2,330,000 $2,234,000 $1,319,000 $2,770,000 $3,024,000 $1,661,000 $1,768,000 $3,319,000 $1,661,000 $2,655,000 $1,780,000 $1,675,000 $1,368,000 $1,847,000 $3,882,000 $1,273,000 $1,369,000 $2,971,000

$2,749,000 $1,692,000 $946,000 $2,178,000 $1,217,000 $2,367,000 $2,276,000 $1,396,000 $2,697,000 $3,132,000 $1,678,000 $1,801,000 $3,318,000 $1,701,000 $2,677,000 $1,800,000 $1,673,000 $1,406,000 $1,866,000 $3,779,000 $1,282,000 $1,428,000 $3,021,000

$2,448,000 $1,305,000 $837,000 $1,830,000 $1,081,000 $2,048,000 $1,968,000 $1,187,000 $2,300,000 $2,726,000 $1,454,000 $1,579,000 $2,937,000 $1,411,000 $2,297,000 $1,613,000 $1,309,000 $1,267,000 $1,636,000 $3,100,000 $1,137,000 $1,260,000 $2,534,000

-2.1% -0.4% 0.0% 2.4% 0.7% -1.6% -1.8% -5.5% 2.7% -3.4% -1.0% -1.8% 0.0% -2.4% -0.8% -1.1% 0.1% -2.7% -1.0% 2.7% -0.7% -4.1% -1.7%

10.0% 29.2% 13.0% 21.9% 13.3% 13.8% 13.5% 11.1% 20.4% 10.9% 14.2% 12.0% 13.0% 17.7% 15.6% 10.4% 28.0% 8.0% 12.9% 25.2% 12.0% 8.7% 17.2%

FRANKLIN AWHITU BOMBAY CLARKS BEACH GLENBROOK HUNUA KINGSEAT MANUKAU HEADS PAERATA PATUMAHOE POLLOK PUKEKOHE RAMARAMA WAIUKU

$929,000 $1,952,000 $1,394,000 $1,423,000 $1,697,000 $1,984,000 $1,101,000 $1,554,000 $1,474,000 $1,157,000 $1,060,000 $1,985,000 $1,032,000

$911,000 $1,955,000 $1,427,000 $1,425,000 $1,751,000 $1,964,000 $1,105,000 $1,572,000 $1,476,000 $1,135,000 $1,067,000 $2,006,000 $980,000

$762,000 $1,474,000 $1,139,000 $1,149,000 $1,356,000 $1,569,000 $889,000 $1,302,000 $1,206,000 $959,000 $869,000 $1,627,000 $828,000

2.0% -0.2% -2.3% -0.1% -3.1% 1.0% -0.4% -1.1% -0.1% 1.9% -0.7% -1.0% 5.3%

21.9% 32.4% 22.4% 23.8% 25.1% 26.4% 23.8% 19.4% 22.2% 20.6% 22.0% 22.0% 24.6%

MANUKAU (SOUTH AND EAST AUCKLAND) BEACHLANDS $1,816,000 BOTANY DOWNS $1,477,000 BUCKLANDS BEACH $1,962,000 CLENDON PARK $883,000 CLEVEDON $2,345,000 CLOVER PARK $1,016,000 COCKLE BAY $1,887,000 DANNEMORA $1,876,000 EAST TAMAKI $1,270,000 EAST TAMAKI HEIGHTS $2,033,000 EASTERN BEACH $2,172,000 FARM COVE $2,057,000 FAVONA $999,000 FLAT BUSH $1,535,000 GOLFLANDS $1,507,000 GOODWOOD HEIGHTS $1,311,000 HALF MOON BAY $1,838,000 HIGHLAND PARK $1,367,000 HILLPARK $1,109,000 HOWICK $1,403,000 MANGERE $1,063,000 MANGERE BRIDGE $1,500,000 MANGERE EAST $1,047,000 MANUKAU $714,000 MANUREWA $962,000 MANUREWA EAST $886,000 MARAETAI $1,814,000 MELLONS BAY $2,461,000 NORTHPARK $1,665,000 OTARA $939,000 PAKURANGA $1,392,000 PAKURANGA HEIGHTS $1,371,000 PAPATOETOE $985,000 RANDWICK PARK $919,000 SHELLY PARK $1,855,000 SOMERVILLE $1,736,000 SUNNYHILLS $1,953,000 THE GARDENS $1,515,000 TOTARA HEIGHTS $1,222,000 TOTARA PARK $2,774,000 WATTLE DOWNS $1,238,000 WEYMOUTH $950,000 WHITFORD $3,740,000 WIRI $814,000

$1,826,000 $1,538,000 $1,992,000 $894,000 $2,344,000 $1,031,000 $1,939,000 $1,960,000 $1,330,000 $2,119,000 $2,243,000 $2,101,000 $1,003,000 $1,555,000 $1,602,000 $1,356,000 $1,843,000 $1,367,000 $1,151,000 $1,452,000 $1,062,000 $1,491,000 $1,066,000 $742,000 $1,002,000 $922,000 $1,956,000 $2,596,000 $1,742,000 $944,000 $1,416,000 $1,408,000 $1,014,000 $946,000 $1,944,000 $1,824,000 $1,985,000 $1,540,000 $1,255,000 $2,707,000 $1,262,000 $968,000 $3,848,000 $849,000

$1,534,000 $1,353,000 $1,707,000 $749,000 $2,054,000 $866,000 $1,629,000 $1,726,000 $1,155,000 $1,771,000 $1,921,000 $1,755,000 $855,000 $1,343,000 $1,397,000 $1,150,000 $1,629,000 $1,206,000 $976,000 $1,319,000 $878,000 $1,218,000 $871,000 $689,000 $847,000 $851,000 $1,589,000 $2,134,000 $1,513,000 $788,000 $1,229,000 $1,216,000 $915,000 $790,000 $1,597,000 $1,578,000 $1,682,000 $1,299,000 $1,086,000 $2,103,000 $1,028,000 $821,000 $3,289,000 $743,000

-0.5% -4.0% -1.5% -1.2% 0.0% -1.5% -2.7% -4.3% -4.5% -4.1% -3.2% -2.1% -0.4% -1.3% -5.9% -3.3% -0.3% 0.0% -3.6% -3.4% 0.1% 0.6% -1.8% -3.8% -4.0% -3.9% -7.3% -5.2% -4.4% -0.5% -1.7% -2.6% -2.9% -2.9% -4.6% -4.8% -1.6% -1.6% -2.6% 2.5% -1.9% -1.9% -2.8% -4.1%

18.4% 9.2% 14.9% 17.9% 14.2% 17.3% 15.8% 8.7% 10.0% 14.8% 13.1% 17.2% 16.8% 14.3% 7.9% 14.0% 12.8% 13.3% 13.6% 6.4% 21.1% 23.2% 20.2% 3.6% 13.6% 4.1% 14.2% 15.3% 10.0% 19.2% 13.3% 12.7% 7.7% 16.3% 16.2% 10.0% 16.1% 16.6% 12.5% 31.9% 20.4% 15.7% 13.7% 9.6%

LOCATION

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

NORTH SHORE ALBANY ALBANY HEIGHTS BAYSWATER BAYVIEW BEACH HAVEN BELMONT BIRKDALE BIRKENHEAD BROWNS BAY CAMPBELLS BAY CASTOR BAY CHATSWOOD DEVONPORT FAIRVIEW HEIGHTS FORREST HILL GLENFIELD GREENHITHE HAURAKI HILLCREST LONG BAY MAIRANGI BAY MILFORD MURRAYS BAY NARROW NECK NORTHCOTE NORTHCOTE POINT NORTHCROSS OTEHA PAREMOREMO PINEHILL ROTHESAY BAY SCHNAPPER ROCK STANLEY POINT SUNNYNOOK TAKAPUNA TORBAY TOTARA VALE UNSWORTH HEIGHTS WAIAKE WINDSOR PARK

$1,294,000 $1,555,000 $2,035,000 $1,198,000 $1,266,000 $1,814,000 $1,104,000 $1,525,000 $1,418,000 $2,636,000 $2,221,000 $1,725,000 $2,480,000 $1,785,000 $1,594,000 $1,208,000 $2,024,000 $2,375,000 $1,427,000 $1,874,000 $2,001,000 $2,088,000 $1,993,000 $2,294,000 $1,440,000 $1,954,000 $1,491,000 $1,283,000 $2,226,000 $1,895,000 $1,873,000 $1,817,000 $2,834,000 $1,399,000 $2,558,000 $1,415,000 $1,202,000 $1,391,000 $1,872,000 $1,570,000

$1,298,000 $1,588,000 $2,098,000 $1,216,000 $1,300,000 $1,902,000 $1,155,000 $1,549,000 $1,438,000 $2,793,000 $2,261,000 $1,878,000 $2,585,000 $1,910,000 $1,658,000 $1,250,000 $2,027,000 $2,413,000 $1,472,000 $1,953,000 $2,103,000 $2,128,000 $2,165,000 $2,338,000 $1,471,000 $2,047,000 $1,553,000 $1,333,000 $2,342,000 $1,970,000 $1,978,000 $1,929,000 $2,944,000 $1,433,000 $2,561,000 $1,474,000 $1,243,000 $1,449,000 $1,978,000 $1,623,000

$1,110,000 $1,388,000 $1,798,000 $1,057,000 $1,152,000 $1,595,000 $1,018,000 $1,379,000 $1,288,000 $2,434,000 $2,077,000 $1,584,000 $2,262,000 $1,685,000 $1,502,000 $1,137,000 $1,740,000 $1,943,000 $1,283,000 $1,702,000 $1,842,000 $1,771,000 $1,811,000 $2,078,000 $1,308,000 $1,819,000 $1,372,000 $1,170,000 $1,776,000 $1,701,000 $1,715,000 $1,711,000 $2,547,000 $1,264,000 $2,256,000 $1,312,000 $1,096,000 $1,227,000 $1,683,000 $1,440,000

-0.3% -2.1% -3.0% -1.5% -2.6% -4.6% -4.4% -1.5% -1.4% -5.6% -1.8% -8.1% -4.1% -6.5% -3.9% -3.4% -0.1% -1.6% -3.1% -4.0% -4.9% -1.9% -7.9% -1.9% -2.1% -4.5% -4.0% -3.8% -5.0% -3.8% -5.3% -5.8% -3.7% -2.4% -0.1% -4.0% -3.3% -4.0% -5.4% -3.3%

16.6% 12.0% 13.2% 13.3% 9.9% 13.7% 8.4% 10.6% 10.1% 8.3% 6.9% 8.9% 9.6% 5.9% 6.1% 6.2% 16.3% 22.2% 11.2% 10.1% 8.6% 17.9% 10.0% 10.4% 10.1% 7.4% 8.7% 9.7% 25.3% 11.4% 9.2% 6.2% 11.3% 10.7% 13.4% 7.9% 9.7% 13.4% 11.2% 9.0%

PAPAKURA CONIFER GROVE DRURY KARAKA OPAHEKE PAHUREHURE PAPAKURA RED HILL ROSEHILL TAKANINI

$1,224,000 $1,594,000 $1,975,000 $1,270,000 $1,202,000 $962,000 $990,000 $1,102,000 $1,064,000

$1,264,000 $1,595,000 $2,003,000 $1,262,000 $1,207,000 $994,000 $955,000 $1,104,000 $1,054,000

$1,036,000 $1,256,000 $1,606,000 $1,048,000 $1,003,000 $833,000 $823,000 $892,000 $928,000

-3.2% -0.1% -1.4% 0.6% -0.4% -3.2% 3.7% -0.2% 0.9%

18.1% 26.9% 23.0% 21.2% 19.8% 15.5% 20.3% 23.5% 14.7%

RODNEY ALGIES BAY ARKLES BAY ARMY BAY COATESVILLE DAIRY FLAT GULF HARBOUR HATFIELDS BEACH HELENSVILLE HUAPAI KAIPARA FLATS KAUKAPAKAPA KAWAU ISLAND KUMEU LEIGH MAKARAU MANLY MATAKANA MATAKATIA MURIWAI OKURA BUSH OMAHA OREWA PARAKAI POINT WELLS PUHOI RED BEACH RIVERHEAD SANDSPIT SILVERDALE SNELLS BEACH

$1,545,000 $1,339,000 $1,338,000 $3,707,000 $2,555,000 $1,244,000 $1,308,000 $1,337,000 $1,468,000 $1,572,000 $1,543,000 $1,050,000 $1,873,000 $1,644,000 $1,386,000 $1,446,000 $2,148,000 $1,790,000 $1,736,000 $3,035,000 $2,794,000 $1,404,000 $899,000 $2,436,000 $1,733,000 $1,424,000 $2,059,000 $2,187,000 $1,594,000 $1,245,000

$1,587,000 $1,375,000 $1,403,000 $3,556,000 $2,628,000 $1,225,000 $1,365,000 $1,380,000 $1,494,000 $1,581,000 $1,563,000 $1,101,000 $1,882,000 $1,653,000 $1,405,000 $1,433,000 $2,103,000 $1,873,000 $1,783,000 $3,218,000 $2,806,000 $1,368,000 $916,000 $2,331,000 $1,717,000 $1,455,000 $2,035,000 $2,315,000 $1,597,000 $1,306,000

$1,350,000 $1,164,000 $1,197,000 $3,084,000 $2,164,000 $1,045,000 $1,120,000 $1,159,000 $1,258,000 $1,297,000 $1,365,000 $898,000 $1,581,000 $1,318,000 $1,156,000 $1,244,000 $1,661,000 $1,579,000 $1,495,000 $2,635,000 $2,480,000 $1,194,000 $831,000 $2,009,000 $1,406,000 $1,221,000 $1,711,000 $1,841,000 $1,358,000 $1,056,000

-2.6% -2.6% -4.6% 4.2% -2.8% 1.6% -4.2% -3.1% -1.7% -0.6% -1.3% -4.6% -0.5% -0.5% -1.4% 0.9% 2.1% -4.4% -2.6% -5.7% -0.4% 2.6% -1.9% 4.5% 0.9% -2.1% 1.2% -5.5% -0.2% -4.7%

14.4% 15.0% 11.8% 20.2% 18.1% 19.0% 16.8% 15.4% 16.7% 21.2% 13.0% 16.9% 18.5% 24.7% 19.9% 16.2% 29.3% 13.4% 16.1% 15.2% 12.7% 17.6% 8.2% 21.3% 23.3% 16.6% 20.3% 18.8% 17.4% 17.9%

LOCATION

OneRoof.co.nz

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

SOUTH HEAD STANMORE BAY STILLWATER TAUPAKI TINDALLS BEACH WAIMAUKU WAINUI WAITOKI WARKWORTH WELLSFORD WHANGARIPO

$1,351,000 $1,279,000 $1,788,000 $2,477,000 $1,890,000 $1,850,000 $1,775,000 $2,235,000 $1,328,000 $944,000 $1,425,000

$1,336,000 $1,242,000 $1,814,000 $2,620,000 $1,969,000 $1,890,000 $1,848,000 $2,352,000 $1,359,000 $956,000 $1,450,000

$1,275,000 $1,064,000 $1,477,000 $2,126,000 $1,630,000 $1,616,000 $1,555,000 $1,947,000 $1,126,000 $820,000 $1,141,000

1.1% 3.0% -1.4% -5.5% -4.0% -2.1% -4.0% -5.0% -2.3% -1.3% -1.7%

6.0% 20.2% 21.1% 16.5% 16.0% 14.5% 14.1% 14.8% 17.9% 15.1% 24.9%

WAIHEKE ISLAND ONEROA ONETANGI OSTEND PALM BEACH SURFDALE WAIHEKE ISLAND

$2,554,000 $2,290,000 $1,686,000 $2,230,000 $1,675,000 $3,882,000

$2,487,000 $2,255,000 $1,692,000 $2,178,000 $1,673,000 $3,779,000

$1,985,000 $1,759,000 $1,305,000 $1,830,000 $1,309,000 $3,100,000

2.7% 1.6% -0.4% 2.4% 0.1% 2.7%

28.7% 30.2% 29.2% 21.9% 28.0% 25.2%

WAITAKERE GLEN EDEN GLENDENE GREEN BAY HENDERSON HENDERSON VALLEY HOBSONVILLE KELSTON LAINGHOLM MASSEY NEW LYNN PIHA RANUI SUNNYVALE SWANSON TE ATATU PENINSULA TE ATATU SOUTH TITIRANGI WAITAKERE WEST HARBOUR WESTGATE WHENUAPAI

$1,054,000 $1,162,000 $1,437,000 $1,135,000 $1,612,000 $1,309,000 $1,110,000 $1,223,000 $1,132,000 $987,000 $1,573,000 $1,033,000 $1,089,000 $1,381,000 $1,374,000 $1,141,000 $1,436,000 $1,691,000 $1,540,000 $1,136,000 $1,550,000

$1,052,000 $1,194,000 $1,474,000 $1,113,000 $1,634,000 $1,293,000 $1,153,000 $1,265,000 $1,159,000 $1,031,000 $1,588,000 $1,061,000 $1,097,000 $1,385,000 $1,386,000 $1,117,000 $1,462,000 $1,694,000 $1,549,000 $1,206,000 $1,587,000

$913,000 $983,000 $1,251,000 $1,000,000 $1,248,000 $1,135,000 $944,000 $1,094,000 $1,007,000 $945,000 $1,249,000 $920,000 $926,000 $1,135,000 $1,211,000 $1,047,000 $1,277,000 $1,342,000 $1,303,000 $1,001,000 $1,282,000

0.2% -2.7% -2.5% 2.0% -1.3% 1.2% -3.7% -3.3% -2.3% -4.3% -0.9% -2.6% -0.7% -0.3% -0.9% 2.1% -1.8% -0.2% -0.6% -5.8% -2.3%

15.4% 18.2% 14.9% 13.5% 29.2% 15.3% 17.6% 11.8% 12.4% 4.4% 25.9% 12.3% 17.6% 21.7% 13.5% 9.0% 12.5% 26.0% 18.2% 13.5% 20.9%

LOCATION

WAIKATO $986,000 AVERAGE VALUE

17.1%

YEAR ON YEAR CHANGE

A 4.1% DROP in Hamilton’s average property value in the last three months was enough to drag the region into negative growth territory. Waikato’s average property value slid 0.2% to $986,000, pu!ing a dampener on the region crossing the $1m threshold anytime soon.

Hamilton was Waikato’s biggest loser over the quarter but other TAs are starting to feel the squeeze, with Waikato TA and Waitomo recording value drops of 0.5% and 0.4% respectively and Matamata-Piako and South Waikato barely growing at all.

Strong growth in Thames-Coromandel (+3%) and Taupo (+3.1%) and stellar growth of 8.7% in Hauraki kept the region from suffering a steeper decline, but the performance of these TAs highlights that Waikato is a collection of very different markets, which often have no relation to or bearing on each other. Hamilton’s plunge has largely been driven by the factors affecting other major metros - high interest rates, more stock on the market - and has seen drop-offs in activity in the developer and land-banking market.

Value lifts in Thames-Coromandel, Taupo and Hauraki have largely been driven by stronger than usual activity in the holiday home and coastal markets over the summer, although two of Waikato’s best-performing locations over the quarter - Kerepehi (+10.3%) and Ngatea (+8%) - are landlocked relatively affordable small towns in the Hauraki Plains.

Hamilton is home to the majority of Waikato’s “declining” suburbs, with Bader and Hamilton Lake recording the steepest falls over the quarter - 7.8% and 7.2% respectively. The housing market in Meremere, 58km north of Hamilton, suffered the double blow of a 5% value decline over the quarter and 2.4% value decline over the last 12 months. It is one of four New Zealand suburbs where the average property value is lower now than it was in June 2021.

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

$650,000 $1,070,000 $924,000 $1,017,000 $840,000 $728,000 $802,000 $665,000 $858,000 $795,000 $874,000 $1,228,000 $817,000 $720,000 $845,000 $1,014,000 $828,000 $781,000 $1,031,000 $885,000 $1,158,000 $793,000 $731,000 $740,000 $924,000 $1,111,000 $1,091,000 $1,178,000 $946,000 $847,000 $1,046,000 $720,000 $630,000 $850,000 $663,000 $840,000 $1,213,000

$705,000 $1,097,000 $961,000 $1,042,000 $864,000 $762,000 $826,000 $696,000 $849,000 $817,000 $877,000 $1,276,000 $839,000 $743,000 $847,000 $1,032,000 $860,000 $820,000 $1,111,000 $922,000 $1,223,000 $816,000 $746,000 $768,000 $944,000 $1,148,000 $1,155,000 $1,227,000 $962,000 $842,000 $1,093,000 $729,000 $571,000 $787,000 $640,000 $785,000 $1,077,000

$605,000 $944,000 $798,000 $901,000 $749,000 $651,000 $702,000 $622,000 $739,000 $724,000 $785,000 $1,046,000 $727,000 $636,000 $744,000 $899,000 $752,000 $708,000 $958,000 $778,000 $1,001,000 $709,000 $659,000 $648,000 $806,000 $975,000 $979,000 $1,057,000 $830,000 $737,000 $960,000 $643,000 $437,000 $622,000 $488,000 $571,000 $778,000

-7.8% -2.5% -3.9% -2.4% -2.8% -4.5% -2.9% -4.5% 1.1% -2.7% -0.3% -3.8% -2.6% -3.1% -0.2% -1.7% -3.7% -4.8% -7.2% -4.0% -5.3% -2.8% -2.0% -3.6% -2.1% -3.2% -5.5% -4.0% -1.7% 0.6% -4.3% -1.2% 10.3% 8.0% 3.6% 7.0% 12.6%

7.4% 13.3% 15.8% 12.9% 12.1% 11.8% 14.2% 6.9% 16.1% 9.8% 11.3% 17.4% 12.4% 13.2% 13.6% 12.8% 10.1% 10.3% 7.6% 13.8% 15.7% 11.8% 10.9% 14.2% 14.6% 13.9% 11.4% 11.4% 14.0% 14.9% 9.0% 12.0% 44.2% 36.7% 35.9% 47.1% 55.9%

HAURAKI MATAMATA MORRINSVILLE TE AROHA

$889,000 $887,000 $769,000

$868,000 $885,000 $762,000

$719,000 $692,000 $589,000

2.4% 0.2% 0.9%

23.6% 28.2% 30.6%

MATAMATA-PIAKO MATAMATA MORRINSVILLE TE AROHA

$889,000 $887,000 $769,000

$868,000 $885,000 $762,000

$719,000 $692,000 $589,000

2.4% 0.2% 0.9%

23.6% 28.2% 30.6%

OTOROHANGA KAWHIA OTOROHANGA

$666,000 $717,000

$644,000 $703,000

$532,000 $582,000

3.4% 2.0%

25.2% 23.2%

SOUTH WAIKATO PUTARURU TIRAU TOKOROA

$606,000 $736,000 $479,000

$596,000 $732,000 $473,000

$484,000 $623,000 $371,000

1.7% 0.5% 1.3%

25.2% 18.1% 29.1%

TAUPO ACACIA BAY HILLTOP KINLOCH KURATAU MANGAKINO MOTUOAPA NUKUHAU OMORI RANGATIRA PARK RICHMOND HEIGHTS TAUHARA TAUPO TURANGI TWO MILE BAY WAIPAHIHI WAIRAKEI WHAREWAKA

$1,528,000 $1,004,000 $1,440,000 $917,000 $542,000 $848,000 $967,000 $852,000 $1,109,000 $873,000 $648,000 $795,000 $526,000 $1,025,000 $1,190,000 $1,183,000 $1,480,000

$1,443,000 $966,000 $1,383,000 $901,000 $522,000 $833,000 $964,000 $824,000 $1,070,000 $842,000 $634,000 $784,000 $510,000 $1,001,000 $1,164,000 $1,110,000 $1,496,000

$1,170,000 $786,000 $1,097,000 $732,000 $415,000 $661,000 $761,000 $657,000 $839,000 $684,000 $523,000 $655,000 $429,000 $814,000 $936,000 $876,000 $1,122,000

5.9% 3.9% 4.1% 1.8% 3.8% 1.8% 0.3% 3.4% 3.6% 3.7% 2.2% 1.4% 3.1% 2.4% 2.2% 6.6% -1.1%

30.6% 27.7% 31.3% 25.3% 30.6% 28.3% 27.1% 29.7% 32.2% 27.6% 23.9% 21.4% 22.6% 25.9% 27.1% 35.0% 31.9%

THAMES-COROMANDEL COOKS BEACH COROMANDEL HAHEI MATARANGI OPITO BAY

$1,498,000 $916,000 $1,808,000 $1,227,000 $1,844,000

$1,458,000 $904,000 $1,749,000 $1,197,000 $1,784,000

$1,267,000 $784,000 $1,478,000 $1,035,000 $1,554,000

2.7% 1.3% 3.4% 2.5% 3.4%

18.2% 16.8% 22.3% 18.6% 18.7%

LOCATION

HAMILTON BADER BEERESCOURT CHARTWELL CHEDWORTH CLAUDELANDS DEANWELL DINSDALE ENDERLEY FAIRFIELD FAIRVIEW DOWNS FITZROY FLAGSTAFF FOREST LAKE FRANKTON GLENVIEW GRANDVIEW HEIGHTS HAMILTON CENTRAL HAMILTON EAST HAMILTON LAKE HILLCREST HUNTINGTON MAEROA MELVILLE NAWTON PUKETE QUEENWOOD ROTOTUNA ROTOTUNA NORTH SAINT ANDREWS SILVERDALE WESTERN HEIGHTS WHITIORA KEREPEHI NGATEA PAEROA WAIHI WHIRITOA

39

40

OneRoof.co.nz

ONEROOF-VALOCITY HOUSE VALUE INDEX

LOCATION

PAUANUI TAIRUA THAMES WHANGAMATA WHITIANGA

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

$1,592,000 $1,238,000 $813,000 $1,556,000 $1,146,000

$1,514,000 $1,198,000 $797,000 $1,457,000 $1,094,000

$1,299,000 $1,004,000 $683,000 $1,300,000 $917,000

5.2% 3.3% 2.0% 6.8% 4.8%

22.6% 23.3% 19.0% 19.7% 25.0%

$1,085,000 AVERAGE VALUE

WAIKATO BUCKLAND HOROTIU HUNTLY MANGATAWHIRI MATANGI MEREMERE NGARUAWAHIA ONEWHERO POKENO PORT WAIKATO PUKEKAWA RAGLAN RANGIRIRI TAMAHERE TAUPIRI TE KAUWHATA TE KOWHAI TUAKAU WAERENGA WHATAWHATA

$1,401,000 $1,029,000 $570,000 $1,311,000 $1,784,000 $478,000 $792,000 $1,001,000 $1,062,000 $633,000 $1,109,000 $1,215,000 $1,143,000 $2,049,000 $1,134,000 $840,000 $1,350,000 $888,000 $1,045,000 $1,270,000

$1,400,000 $1,064,000 $586,000 $1,278,000 $1,744,000 $503,000 $790,000 $996,000 $1,061,000 $648,000 $1,111,000 $1,244,000 $1,164,000 $2,018,000 $1,138,000 $844,000 $1,419,000 $862,000 $1,091,000 $1,265,000

$1,265,000 $901,000 $477,000 $1,163,000 $1,470,000 $490,000 $673,000 $941,000 $954,000 $594,000 $1,056,000 $995,000 $1,016,000 $1,723,000 $970,000 $741,000 $1,158,000 $766,000 $967,000 $1,096,000

0.1% -3.3% -2.7% 2.6% 2.3% -5.0% 0.3% 0.5% 0.1% -2.3% -0.2% -2.3% -1.8% 1.5% -0.4% -0.5% -4.9% 3.0% -4.2% 0.4%

10.8% 14.2% 19.5% 12.7% 21.4% -2.4% 17.7% 6.4% 11.3% 6.6% 5.0% 22.1% 12.5% 18.9% 16.9% 13.4% 16.6% 15.9% 8.1% 15.9%

WAIPA CAMBRIDGE KARAPIRO KIHIKIHI LEAMINGTON NGAHINAPOURI OHAUPO PIRONGIA TE AWAMUTU TE MIRO

$1,272,000 $1,668,000 $852,000 $1,043,000 $1,539,000 $1,438,000 $1,164,000 $873,000 $1,496,000

$1,288,000 $1,620,000 $821,000 $992,000 $1,497,000 $1,381,000 $1,133,000 $841,000 $1,475,000

$1,049,000 $1,248,000 $692,000 $837,000 $1,150,000 $1,088,000 $928,000 $721,000 $1,146,000

-1.2% 3.0% 3.8% 5.1% 2.8% 4.1% 2.7% 3.8% 1.4%

21.3% 33.7% 23.1% 24.6% 33.8% 32.2% 25.4% 21.1% 30.5%

$489,000

$471,000

$353,000

3.8%

38.5%

WAITOMO TE KUITI

BAY OF PLENTY

Tauranga, in the Bay of Plenty. Photo / Getty Images

18.1%

YEAR ON YEAR CHANGE

HOUSE PRICE GROWTH in the Bay of Plenty slowed to 1.1% in the last three months, but the region’s average property value of $1.087m is still up 18.1% ($166,000) year on year.

Keeping the region out of negative territory is Rotorua, where value growth over the quarter was 5.6%, up from the 4.4% recorded in the three months to the end of April. The city’s average property value is now $2 shy of hi!ing $800,000, almost double what it was five years ago. Ōpōtiki is bearing the brunt of the market slowdown in the region, with the average property value in the largely rural TA falling 2.4% ($15,000) to $617,000 in the last three months. Also feeling the squeeze is Tauranga, where the average property slid 0.2% to $1.237m over the same period. Growth in Whakatane, Western Bay of Plenty and Kawerau was positive, but at a rate of around 1%.

The value lift saw values in eight Rotorua suburbs with 20 or more se!led sales in the last 12 months jump more than 5% over the quarter, with an 8.1% surge in Lynmore - the region’s highest. The surge also pushed Lynmore’s average property value across the $1m mark, making it Rotorua’s first $1m metro suburb.

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

KAWERAU KAWERAU

$438,000

$430,000

$381,000

1.9%

15.0%

OPOTIKI OPOTIKI WAIOTAHE

$468,000 $1,010,000

$472,000 $1,075,000

$440,000 $888,000

-0.8% -6.0%

6.4% 13.7%

ROTORUA FAIRY SPRINGS FORDLANDS GLENHOLME HAMURANA HILLCREST KAWAHA POINT KOUTU LYNMORE MAMAKU MANGAKAKAHI NGONGOTAHA OWHATA POMARE PUKEHANGI ROTORUA SELWYN HEIGHTS SPRINGFIELD SUNNYBROOK VICTORIA WESTERN HEIGHTS

$610,000 $411,000 $722,000 $1,337,000 $676,000 $849,000 $561,000 $1,014,000 $592,000 $571,000 $760,000 $733,000 $808,000 $678,000 $609,000 $552,000 $872,000 $789,000 $575,000 $565,000

$594,000 $384,000 $694,000 $1,246,000 $654,000 $795,000 $539,000 $938,000 $551,000 $553,000 $724,000 $691,000 $756,000 $660,000 $582,000 $529,000 $836,000 $752,000 $561,000 $550,000

$560,000 $397,000 $657,000 $1,124,000 $607,000 $795,000 $541,000 $918,000 $538,000 $522,000 $676,000 $651,000 $724,000 $627,000 $575,000 $519,000 $803,000 $701,000 $542,000 $522,000

2.7% 7.0% 4.0% 7.3% 3.4% 6.8% 4.1% 8.1% 7.4% 3.3% 5.0% 6.1% 6.9% 2.7% 4.6% 4.3% 4.3% 4.9% 2.5% 2.7%

8.9% 3.5% 9.9% 19.0% 11.4% 6.8% 3.7% 10.5% 10.0% 9.4% 12.4% 12.6% 11.6% 8.1% 5.9% 6.4% 8.6% 12.6% 6.1% 8.2%

TAURANGA BELLEVUE BETHLEHEM BROOKFIELD GATE PA GREERTON HAIRINI JUDEA MATUA MAUNGATAPU MOUNT MAUNGANUI OHAUITI OTUMOETAI PAPAMOA PAPAMOA BEACH PARKVALE PYES PA TAURANGA TAURANGA SOUTH WELCOME BAY

$929,000 $1,311,000 $923,000 $771,000 $841,000 $919,000 $855,000 $1,382,000 $1,051,000 $1,705,000 $1,261,000 $1,188,000 $1,111,000 $1,263,000 $769,000 $1,247,000 $1,193,000 $1,061,000 $1,033,000

$935,000 $1,300,000 $922,000 $772,000 $832,000 $910,000 $871,000 $1,385,000 $1,055,000 $1,676,000 $1,282,000 $1,227,000 $1,059,000 $1,284,000 $776,000 $1,221,000 $1,192,000 $1,043,000 $1,037,000

$769,000 $1,035,000 $780,000 $635,000 $710,000 $762,000 $725,000 $1,122,000 $880,000 $1,346,000 $1,053,000 $1,006,000 $914,000 $1,021,000 $644,000 $1,048,000 $993,000 $825,000 $828,000

-0.6% 0.8% 0.1% -0.1% 1.1% 1.0% -1.8% -0.2% -0.4% 1.7% -1.6% -3.2% 4.9% -1.6% -0.9% 2.1% 0.1% 1.7% -0.4%

20.8% 26.7% 18.3% 21.4% 18.5% 20.6% 17.9% 23.2% 19.4% 26.7% 19.8% 18.1% 21.6% 23.7% 19.4% 19.0% 20.1% 28.6% 24.8%

LOCATION

OneRoof.co.nz

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

WESTERN BAY OF PLENTY AONGATETE ATHENREE BOWENTOWN KATIKATI MINDEN OMANAWA OMOKOROA OROPI PAENGAROA PUKEHINA TAHAWAI TE PUKE TE PUNA WAIHI BEACH WHAKAMARAMA

$1,496,000 $1,202,000 $1,449,000 $892,000 $1,884,000 $1,651,000 $1,247,000 $1,789,000 $1,180,000 $1,370,000 $1,425,000 $924,000 $2,122,000 $1,607,000 $1,790,000

$1,488,000 $1,195,000 $1,432,000 $871,000 $1,908,000 $1,597,000 $1,254,000 $1,749,000 $1,144,000 $1,321,000 $1,438,000 $908,000 $2,105,000 $1,594,000 $1,773,000

$1,153,000 $980,000 $1,144,000 $725,000 $1,478,000 $1,279,000 $994,000 $1,403,000 $962,000 $1,038,000 $1,115,000 $724,000 $1,723,000 $1,246,000 $1,405,000

0.5% 0.6% 1.2% 2.4% -1.3% 3.4% -0.6% 2.3% 3.1% 3.7% -0.9% 1.8% 0.8% 0.8% 1.0%

29.7% 22.7% 26.7% 23.0% 27.5% 29.1% 25.5% 27.5% 22.7% 32.0% 27.8% 27.6% 23.2% 29.0% 27.4%

WHAKATANE COASTLANDS EDGECUMBE MATATA OHOPE WHAKATANE

$1,059,000 $660,000 $886,000 $1,344,000 $724,000

$1,012,000 $644,000 $862,000 $1,299,000 $709,000

$908,000 $592,000 $762,000 $1,160,000 $649,000

4.6% 2.5% 2.8% 3.5% 2.1%

16.6% 11.5% 16.3% 15.9% 11.6%

LOCATION

CENTRAL NORTH ISLAND

HAWKE’S BAY CENTRAL HAWKE’S BAY OTANE PORANGAHAU WAIPAWA WAIPUKURAU HASTINGS AKINA CAMBERLEY CLIVE ESKDALE FLAXMERE

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

FRIMLEY HASTINGS HAVELOCK NORTH MAHORA MARAEKAKAHO MAYFAIR PARKVALE PUKETAPU RAUREKA SAINT LEONARDS

$1,029,000 $700,000 $1,384,000 $839,000 $1,406,000 $712,000 $776,000 $1,557,000 $742,000 $730,000

$1,016,000 $694,000 $1,436,000 $836,000 $1,346,000 $725,000 $787,000 $1,495,000 $753,000 $740,000

$891,000 $621,000 $1,149,000 $732,000 $1,145,000 $633,000 $701,000 $1,306,000 $663,000 $659,000

1.3% 0.9% -3.6% 0.4% 4.5% -1.8% -1.4% 4.1% -1.5% -1.4%

15.5% 12.7% 20.5% 14.6% 22.8% 12.5% 10.7% 19.2% 11.9% 10.8%

NAPIER AHURIRI AWATOTO BAY VIEW BLUFF HILL GREENMEADOWS HOSPITAL HILL MARAENUI MAREWA NAPIER SOUTH ONEKAWA PIRIMAI PORAITI TAMATEA TARADALE TE AWA WESTSHORE

$1,262,000 $1,091,000 $1,228,000 $1,244,000 $980,000 $1,196,000 $606,000 $705,000 $810,000 $713,000 $760,000 $1,440,000 $749,000 $977,000 $962,000 $1,232,000

$1,220,000 $1,095,000 $1,223,000 $1,256,000 $977,000 $1,197,000 $619,000 $708,000 $813,000 $712,000 $766,000 $1,424,000 $752,000 $988,000 $984,000 $1,272,000

$1,066,000 $939,000 $1,055,000 $1,052,000 $852,000 $1,039,000 $507,000 $642,000 $720,000 $662,000 $693,000 $1,212,000 $692,000 $853,000 $849,000 $1,131,000

3.4% -0.4% 0.4% -1.0% 0.3% -0.1% -2.1% -0.4% -0.4% 0.1% -0.8% 1.1% -0.4% -1.1% -2.2% -3.1%

18.4% 16.2% 16.4% 18.3% 15.0% 15.1% 19.5% 9.8% 12.5% 7.7% 9.7% 18.8% 8.2% 14.5% 13.3% 8.9%

$910,000 $360,000

$806,000 $346,000

$638,000 $262,000

12.9% 4.0%

42.6% 37.4%

$593,000 $732,000 $669,000 $700,000 $1,130,000 $591,000 $798,000

$607,000 $721,000 $657,000 $702,000 $1,067,000 $589,000 $785,000

$509,000 $613,000 $588,000 $606,000 $922,000 $499,000 $671,000

-2.3% 1.5% 1.8% -0.3% 5.9% 0.3% 1.7%

16.5% 19.4% 13.8% 15.5% 22.6% 18.4% 18.9%

$723,000 $849,000 $576,000 $751,000

$729,000 $841,000 $614,000 $775,000

$669,000 $740,000 $519,000 $668,000

-0.8% 1.0% -6.2% -3.1%

8.1% 14.7% 11.0% 12.4%

$1,277,000 $818,000 $728,000 $994,000 $676,000 $1,089,000 $626,000 $935,000 $921,000 $734,000 $738,000 $661,000 $651,000 $758,000 $723,000 $675,000

$1,294,000 $828,000 $754,000 $984,000 $698,000 $1,120,000 $642,000 $956,000 $936,000 $746,000 $750,000 $694,000 $682,000 $785,000 $730,000 $687,000

$1,068,000 $720,000 $658,000 $856,000 $615,000 $986,000 $555,000 $802,000 $832,000 $669,000 $668,000 $590,000 $598,000 $688,000 $651,000 $611,000

-1.3% -1.2% -3.4% 1.0% -3.2% -2.8% -2.5% -2.2% -1.6% -1.6% -1.6% -4.8% -4.5% -3.4% -1.0% -1.7%

19.6% 13.6% 10.6% 16.1% 9.9% 10.4% 12.8% 16.6% 10.7% 9.7% 10.5% 12.0% 8.9% 10.2% 11.1% 10.5%

WAIROA MAHIA WAIROA

GISBORNE, HAWKE'S BAY, MANAWATU-WHANGANUI AND TARANAKI Manawatu-Whanganui and Hawke’s Bay suffered drops in their average property value over the quarter, with Manawatu-Whanganui down 1.3% to $690,000 and Hawke’s Bay down 1% to $921,000 (both are still up by more than 10% on June 2021, though).

At 1.7% and 0.3% respectively, value growth in Taranaki and Gisborne was still positive over the quarter, but it has slowed sharply from 3.4% and 1.8% recorded in the three months to the end of April. Taranaki’s overall growth figure was buoyed by a 3.6% lift in Stratford, but the trend line for Taranaki and Gisborne is clear - both are likely to be in negative growth territory before the end of winter.

Palmerston North, Manawatu-Whanganui’s biggest centre, saw its average property value drop 3.2% ($26,000) to $792,000 - its value six months ago. All but three of the city’s suburbs dropped in value over the quarter (with the exceptions being suburbs on the rural fringe), which shows just how fast and brutal the housing market shift has been in New Zealand’s cities. Whanganui’s average property value fell 1.1% over the quarter to $607,000, and low sales in the city point to further declines.

GISBORNE ELGIN GISBORNE INNER KAITI KAITI LYTTON WEST MANGAPAPA OUTER KAITI RIVERDALE TE HAPARA WAINUI WHATAUPOKO

JUNE 2022

LOCATION

MANAWATU-WHANGANUI HOROWHENUA FOXTON FOXTON BEACH HOKIO BEACH LEVIN OHAU SHANNON WAITARERE BEACH MANAWATU FEILDING HALCOMBE HIMATANGI BEACH RONGOTEA PALMERSTON NORTH AOKAUTERE ASHHURST AWAPUNI BUNNYTHORPE CLOVERLEA FITZHERBERT HIGHBURY HOKOWHITU KELVIN GROVE MILSON PALMERSTON NORTH ROSLYN TAKARO TERRACE END WEST END WESTBROOK

$539,000 $603,000 $785,000 $538,000 $971,000 $700,000 $518,000 $854,000 $640,000 $1,607,000 $936,000

$530,000 $598,000 $794,000 $539,000 $996,000 $700,000 $515,000 $874,000 $635,000 $1,647,000 $946,000

$485,000 $543,000 $675,000 $456,000 $858,000 $607,000 $459,000 $754,000 $548,000 $1,372,000 $815,000

1.7% 0.8% -1.1% -0.2% -2.5% 0.0% 0.6% -2.3% 0.8% -2.4% -1.1%

11.1% 11.0% 16.3% 18.0% 13.2% 15.3% 12.9% 13.3% 16.8% 17.1% 14.8%

$888,000 $626,000 $725,000 $733,000

$851,000 $603,000 $719,000 $716,000

$699,000 $457,000 $571,000 $583,000

4.3% 3.8% 0.8% 2.4%

27.0% 37.0% 27.0% 25.7%

RANGITIKEI BULLS HUNTERVILLE MARTON TAIHAPE

$631,000 $514,000 $617,000 $415,000

$636,000 $498,000 $602,000 $420,000

$518,000 $432,000 $503,000 $363,000

-0.8% 3.2% 2.5% -1.2%

21.8% 19.0% 22.7% 14.3%

$731,000 $640,000 $1,062,000 $1,523,000 $527,000

$736,000 $632,000 $1,058,000 $1,508,000 $544,000

$642,000 $546,000 $886,000 $1,264,000 $474,000

-0.7% 1.3% 0.4% 1.0% -3.1%

13.9% 17.2% 19.9% 20.5% 11.2%

RUAPEHU MANUNUI NATIONAL PARK OHAKUNE RAETIHI TAUMARUNUI

$405,000 $517,000 $582,000 $405,000 $377,000

$359,000 $503,000 $550,000 $364,000 $352,000

$339,000 $456,000 $495,000 $349,000 $329,000

12.8% 2.8% 5.8% 11.3% 7.1%

19.5% 13.4% 17.6% 16.0% 14.6%

41

42

OneRoof.co.nz

ONEROOF-VALOCITY HOUSE VALUE INDEX

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

DANNEVIRKE

$540,000

$541,000

$461,000

-0.2%

17.1%

EKETAHUNA

$507,000

$502,000

$403,000

1.0%

25.8%

PAHIATUA

$564,000

$550,000

$474,000

2.5%

19.0%

WOODVILLE

$497,000

$509,000

$424,000

-2.4%

17.2%

ARAMOHO

$539,000

$537,000

$454,000

0.4%

18.7%

CASTLECLIFF

$483,000

$474,000

$413,000

1.9%

16.9%

DURIE HILL

$675,000

$682,000

$598,000

-1.0%

12.9%

GONVILLE

$485,000

$483,000

$418,000

0.4%

16.0%

OTAMATEA

$985,000

$982,000

$853,000

0.3%

15.5%

SAINT JOHNS HILL

$762,000

$768,000

$677,000

-0.8%

12.6%

SPRINGVALE

$652,000

$654,000

$576,000

-0.3%

13.2%

TAWHERO

$591,000

$608,000

$537,000

-2.8%

10.1%

WESTMERE

$1,103,000

$1,055,000

$930,000

4.5%

18.6%

WHANGANUI

$450,000

$458,000

$400,000

-1.7%

12.5%

WHANGANUI EAST

$504,000

$519,000

$460,000

-2.9%

9.6%

BELL BLOCK

$785,000

$767,000

$652,000

2.3%

20.4%

BLAGDON

$618,000

$612,000

$524,000

1.0%

17.9%

FITZROY

$967,000

$937,000

$852,000

3.2%

13.5%

FRANKLEIGH PARK

$746,000

$735,000

$641,000

1.5%

16.4%

GLEN AVON

$801,000

$787,000

$691,000

1.8%

15.9%

HIGHLANDS PARK

$987,000

$952,000

$838,000

3.7%

17.8%

HURDON

$834,000

$817,000

$715,000

2.1%

16.6%

HURWORTH

$1,199,000

$1,167,000

$1,010,000

2.7%

18.7%

INGLEWOOD

$655,000

$641,000

$566,000

2.2%

15.7%

LOWER VOGELTOWN

$758,000

$736,000

$643,000

3.0%

17.9%

LYNMOUTH

$734,000

$727,000

$632,000

1.0%

16.1%

MARFELL

$477,000

$492,000

$431,000

-3.0%

10.7%

MERRILANDS

$828,000

$817,000

$727,000

1.3%

13.9%

MOTUROA

$779,000

$761,000

$659,000

2.4%

18.2%

NEW PLYMOUTH

$925,000

$897,000

$769,000

3.1%

20.3%

$1,358,000

$1,288,000

$1,160,000

5.4%

17.1%

$673,000

$660,000

$571,000

2.0%

17.9%

LOCATION

TARARUA

GREATER WELLINGTON $1,104,000 AVERAGE VALUE

9.7%

YEAR ON YEAR CHANGE

WHANGANUI

TARANAKI NEW PLYMOUTH

OAKURA OKATO SPOTSWOOD

$581,000

$574,000

$498,000

1.2%

16.7%

$1,011,000

$999,000

$894,000

1.2%

13.1%

UPPER VOGELTOWN

$718,000

$704,000

$622,000

2.0%

15.4%

VOGELTOWN

$667,000

$656,000

$566,000

1.7%

17.8% 14.6%

STRANDON

WAITARA

$509,000

$521,000

$444,000

-2.3%

$1,156,000

$1,111,000

$990,000

4.1%

16.8%

WELBOURN

$757,000

$753,000

$650,000

0.5%

16.5%

WESTOWN

$658,000

$656,000

$581,000

0.3%

13.3%

WHALERS GATE

$818,000

$792,000

$684,000

3.3%

19.6%

ELTHAM

$457,000

$452,000

$357,000

1.1%

28.0%

HAWERA

$564,000

$566,000

$469,000

-0.4%

20.3%

MANAIA

$403,000

$393,000

$295,000

2.5%

36.6%

NORMANBY

$559,000

$528,000

$421,000

5.9%

32.8%

OPUNAKE

$525,000

$511,000

$402,000

2.7%

30.6%

PATEA

$347,000

$329,000

$231,000

5.5%

50.2%

WAVERLEY

$443,000

$415,000

$314,000

6.7%

41.1%

PEMBROKE

$808,000

$808,000

$701,000

0.0%

15.3%

STRATFORD

$554,000

$535,000

$455,000

3.6%

21.8%

WAIWHAKAIHO

SOUTH TARANAKI

STRATFORD

GREATER WELLINGTON’S average property value dropped 2.9% ($33,000) over the quarter to $1.104m - just 0.27% above where it was six months ago and 9.7% above its tally in June 2021. The region’s overall performance is being dragged down by steep value declines in Upper Hu! (-6%) and Lower Hu! (-5.1%), but also drops in Porirua (-2.8%), Wellington (-2.4%) and Kapiti Coast (-2.2%).

South Wairarapa, Carterton and Masterton kept their heads above water, with value growth of just under 1%, but the outlook for all three isn’t exactly positive.

Upper Hu!’s average property value has dropped below $1m for the first time in six months, as has Lower Hu!’s, and it’s likely house prices in both TAs will drop below their June 2021 levels, of $908,000 and $930,000 respectively, over winter. No suburb in either TA saw value growth over the quarter.

House prices in Wellington are under pressure, with low sales volumes adding to the problems in the capital. More than half of the city’s suburbs suffered value declines over the quarter, with a 3% drop pushing Ngauranga out of the $1m club and a 3.4% drop wiping $69,000 off the average property value in Roseneath.

The city’s most expensive suburb, Oriental Bay, saw its average property value drop a mere 0.2% ($5000) to $2.657m, which is good news if the rate of decline levels off over the next few months. However, of concern for new homeowners in the suburb is the fact that the average property value there is 1.5% down on June 2021’s figure, which could expose them to the risk of negative equity.

New homeowners in the city’s cheapest suburb, Wellington Central, another apartment-heavy market, will be feeling happier. The suburb’s average property value was up 4% ($48,000) over the quarter to $668,000.

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

$774,000 $929,000

$773,000 $918,000

$673,000 $808,000

0.1% 1.2%

15.0% 15.0%

KAPITI COAST HAUTERE OTAIHANGA OTAKI OTAKI BEACH PAEKAKARIKI PARAPARAUMU PARAPARAUMU BEACH RAUMATI BEACH RAUMATI SOUTH TE HORO TE HORO BEACH WAIKANAE WAIKANAE BEACH

$1,531,000 $1,322,000 $857,000 $779,000 $1,124,000 $955,000 $1,029,000 $1,056,000 $1,070,000 $1,509,000 $980,000 $1,080,000 $1,153,000

$1,491,000 $1,318,000 $861,000 $787,000 $1,177,000 $970,000 $1,047,000 $1,076,000 $1,093,000 $1,474,000 $990,000 $1,111,000 $1,197,000

$1,295,000 $1,115,000 $746,000 $695,000 $1,033,000 $893,000 $926,000 $958,000 $956,000 $1,270,000 $867,000 $975,000 $1,052,000

2.7% 0.3% -0.5% -1.0% -4.5% -1.5% -1.7% -1.9% -2.1% 2.4% -1.0% -2.8% -3.7%

18.2% 18.6% 14.9% 12.1% 8.8% 6.9% 11.1% 10.2% 11.9% 18.8% 13.0% 10.8% 9.6%

LOWER HUTT ALICETOWN AVALON BELMONT BOULCOTT EASTBOURNE EPUNI FAIRFIELD HUTT CENTRAL KELSON KOROKORO MAUNGARAKI NAENAE NORMANDALE PETONE STOKES VALLEY TAITA WAINUIOMATA WAIWHETU WATERLOO WOBURN

$1,018,000 $918,000 $1,166,000 $1,107,000 $1,412,000 $1,015,000 $1,004,000 $1,349,000 $1,026,000 $1,195,000 $1,137,000 $801,000 $1,099,000 $1,060,000 $814,000 $780,000 $789,000 $970,000 $1,099,000 $1,475,000

$1,094,000 $975,000 $1,205,000 $1,182,000 $1,502,000 $1,084,000 $1,047,000 $1,455,000 $1,094,000 $1,259,000 $1,194,000 $826,000 $1,157,000 $1,137,000 $841,000 $809,000 $801,000 $1,026,000 $1,155,000 $1,578,000

$967,000 $849,000 $1,045,000 $1,041,000 $1,256,000 $933,000 $911,000 $1,213,000 $950,000 $1,132,000 $1,001,000 $730,000 $1,004,000 $983,000 $749,000 $736,000 $754,000 $900,000 $997,000 $1,345,000

-6.9% -5.8% -3.2% -6.3% -6.0% -6.4% -4.1% -7.3% -6.2% -5.1% -4.8% -3.0% -5.0% -6.8% -3.2% -3.6% -1.5% -5.5% -4.8% -6.5%

5.3% 8.1% 11.6% 6.3% 12.4% 8.8% 10.2% 11.2% 8.0% 5.6% 13.6% 9.7% 9.5% 7.8% 8.7% 6.0% 4.6% 7.8% 10.2% 9.7%

LOCATION

CARTERTON CARTERTON FLAT POINT

OneRoof.co.nz

MARCH 2022

DECEMBER 2021

MARCH 2021

QoQ CHANGE

YoY CHANGE

MASTERTON KURIPUNI LANSDOWNE MASTERTON OPAKI RIVERSDALE BEACH SOLWAY

$654,000 $757,000 $670,000 $1,343,000 $1,043,000 $735,000

$668,000 $761,000 $649,000 $1,264,000 $1,045,000 $739,000

$586,000 $659,000 $561,000 $1,073,000 $914,000 $626,000

-2.1% -0.5% 3.2% 6.3% -0.2% -0.5%

11.6% 14.9% 19.4% 25.2% 14.1% 17.4%

PORIRUA AOTEA ASCOT PARK CAMBORNE CANNONS CREEK KENEPURU PAPAKOWHAI PAREMATA PLIMMERTON PUKERUA BAY RANUI TAKAPUWAHIA TITAHI BAY WAITANGIRUA WHITBY

$1,471,000 $809,000 $1,124,000 $701,000 $1,056,000 $1,116,000 $1,204,000 $1,259,000 $1,112,000 $794,000 $773,000 $899,000 $701,000 $1,144,000

$1,510,000 $838,000 $1,160,000 $733,000 $1,061,000 $1,163,000 $1,229,000 $1,259,000 $1,118,000 $818,000 $792,000 $921,000 $726,000 $1,177,000

$1,325,000 $762,000 $1,037,000 $641,000 $986,000 $1,048,000 $1,090,000 $1,169,000 $1,019,000 $724,000 $704,000 $824,000 $615,000 $1,072,000

-2.6% -3.5% -3.1% -4.4% -0.5% -4.0% -2.0% 0.0% -0.5% -2.9% -2.4% -2.4% -3.4% -2.8%

11.0% 6.2% 8.4% 9.4% 7.1% 6.5% 10.5% 7.7% 9.1% 9.7% 9.8% 9.1% 14.0% 6.7%

SOUTH WAIRARAPA FEATHERSTON GREYTOWN MARTINBOROUGH

$743,000 $1,157,000 $1,197,000

$748,000 $1,139,000 $1,195,000

$641,000 $964,000 $1,017,000

-0.7% 1.6% 0.2%

15.9% 20.0% 17.7%

UPPER HUTT BIRCHVILLE BROWN OWL CLOUSTON PARK EBDENTOWN ELDERSLEA HERETAUNGA MAORIBANK PINEHAVEN RIVERSTONE TERRACES SILVERSTREAM TIMBERLEA TOTARA PARK TRENTHAM WALLACEVILLE

$893,000 $984,000 $855,000 $853,000 $908,000 $1,225,000 $805,000 $953,000 $1,293,000 $1,086,000 $975,000 $851,000 $873,000 $926,000

$943,000 $1,043,000 $910,000 $910,000 $970,000 $1,288,000 $864,000 $1,015,000 $1,345,000 $1,161,000 $1,033,000 $910,000 $911,000 $987,000

$826,000 $896,000 $793,000 $806,000 $864,000 $1,087,000 $752,000 $874,000 $1,130,000 $970,000 $893,000 $807,000 $789,000 $854,000

-5.3% -5.7% -6.0% -6.3% -6.4% -4.9% -6.8% -6.1% -3.9% -6.5% -5.6% -6.5% -4.2% -6.2%

8.1% 9.8% 7.8% 5.8% 5.1% 12.7% 7.0% 9.0% 14.4% 12.0% 9.2% 5.5% 10.6% 8.4%

WELLINGTON ARO VALLEY BERHAMPORE BROADMEADOWS BROOKLYN CHURTON PARK CROFTON DOWNS GRENADA VILLAGE HATAITAI ISLAND BAY JOHNSONVILLE KARORI KELBURN KHANDALLAH KILBIRNIE LYALL BAY MAUPUIA MELROSE MIRAMAR MOUNT COOK MOUNT VICTORIA NEWLANDS NEWTOWN NGAIO NORTHLAND ORIENTAL BAY PAPARANGI ROSENEATH SEATOUN STRATHMORE PARK TAWA TE ARO THORNDON WADESTOWN WELLINGTON CENTRAL WILTON WOODRIDGE

$1,297,000 $1,103,000 $1,152,000 $1,384,000 $1,355,000 $1,362,000 $1,306,000 $1,516,000 $1,468,000 $1,042,000 $1,386,000 $1,929,000 $1,658,000 $1,189,000 $1,292,000 $1,191,000 $1,360,000 $1,329,000 $1,000,000 $1,611,000 $1,071,000 $1,255,000 $1,396,000 $1,474,000 $2,657,000 $1,106,000 $1,947,000 $2,275,000 $1,368,000 $1,070,000 $869,000 $1,252,000 $1,634,000 $668,000 $1,288,000 $1,208,000

$1,319,000 $1,155,000 $1,193,000 $1,425,000 $1,400,000 $1,350,000 $1,312,000 $1,519,000 $1,481,000 $1,086,000 $1,432,000 $1,960,000 $1,675,000 $1,191,000 $1,278,000 $1,143,000 $1,373,000 $1,332,000 $992,000 $1,590,000 $1,082,000 $1,272,000 $1,411,000 $1,475,000 $2,662,000 $1,125,000 $2,016,000 $2,224,000 $1,364,000 $1,093,000 $854,000 $1,202,000 $1,657,000 $642,000 $1,294,000 $1,226,000

$1,149,000 $1,026,000 $1,010,000 $1,195,000 $1,188,000 $1,146,000 $1,121,000 $1,338,000 $1,287,000 $917,000 $1,229,000 $1,707,000 $1,440,000 $1,051,000 $1,096,000 $1,059,000 $1,217,000 $1,118,000 $934,000 $1,458,000 $919,000 $1,124,000 $1,205,000 $1,270,000 $2,698,000 $958,000 $1,865,000 $1,907,000 $1,119,000 $943,000 $798,000 $1,144,000 $1,497,000 $624,000 $1,082,000 $1,040,000

-1.7% -4.5% -3.4% -2.9% -3.2% 0.9% -0.5% -0.2% -0.9% -4.1% -3.2% -1.6% -1.0% -0.2% 1.1% 4.2% -0.9% -0.2% 0.8% 1.3% -1.0% -1.3% -1.1% -0.1% -0.2% -1.7% -3.4% 2.3% 0.3% -2.1% 1.8% 4.2% -1.4% 4.0% -0.5% -1.5%

12.9% 7.5% 14.1% 15.8% 14.1% 18.8% 16.5% 13.3% 14.1% 13.6% 12.8% 13.0% 15.1% 13.1% 17.9% 12.5% 11.8% 18.9% 7.1% 10.5% 16.5% 11.7% 15.9% 16.1% -1.5% 15.4% 4.4% 19.3% 22.3% 13.5% 8.9% 9.4% 9.2% 7.1% 19.0% 16.2%

LOCATION

UPPER SOUTH ISLAND LOCATION LOCATION

MARCH MARCH 2022 2022

DECEMBER DECEMBER 2021 2021

MARCH MARCH 2021 2021

RTER RTE R QUARTER QoQ ON CHANGE QUARTER RTER RTE R CHANGE NGE

YEAR YEA YoYR ON YEAR YEAR CHANGE CHANGE CHANGE

MARLBOROUGH, NELSON, TASMAN AND WEST COAST The slowdown is evident across the top of the South Island, with Nelson, Tasman and West Coast recording negative or negligible value growth over the quarter.

Marlborough’s average property value was 1.4% over the period, but the energy in the region’s property market is clearly fading - value growth was 2.8% in the months to the end of April and 3.2% in the three months to the end of March.

House prices in all four regions are ahead of June 2021 levels, and homeowners who bought a year ago are unlikely to be caught in a negative equity trap, but the slump will eat into those growth margins.

With an average property value of $393,000, West Coast remains the country’s cheapest housing market. Value growth in the region’s three TAs over the last three months was mixed, with Grey’s average property value down 3% to $388,000, Westland’s down 0.2% to $432,000 and Buller’s up 4.5% to $371,000, keeping the region from entering negative growth territory over the quarter. It should be remembered that they have the lowest average property values of all 72 TAs, and that movements - down or up - are coming off a very low base.

MARCH 2022

DECEMBER 2021

MARCH 2021

QoQ CHANGE

YoY CHANGE

$642,000 $721,000 $614,000 $687,000 $643,000 $812,000 $600,000 $894,000 $984,000 $817,000

$636,000 $706,000 $617,000 $669,000 $632,000 $803,000 $602,000 $874,000 $959,000 $798,000

$591,000 $586,000 $576,000 $613,000 $579,000 $707,000 $551,000 $782,000 $872,000 $716,000

0.9% 2.1% -0.5% 2.7% 1.7% 1.1% -0.3% 2.3% 2.6% 2.4%

8.6% 23.0% 6.6% 12.1% 11.1% 14.9% 8.9% 14.3% 12.8% 14.1%

NELSON ANNESBROOK ATAWHAI BISHOPDALE BRITANNIA HEIGHTS ENNER GLYNN MARYBANK NELSON NELSON SOUTH STEPNEYVILLE STOKE TAHUNANUI THE BROOK THE WOOD TOI TOI WAKATU WASHINGTON VALLEY

$772,000 $1,025,000 $830,000 $1,699,000 $992,000 $1,001,000 $1,269,000 $869,000 $1,358,000 $828,000 $790,000 $805,000 $907,000 $625,000 $810,000 $701,000

$776,000 $1,059,000 $828,000 $1,666,000 $996,000 $988,000 $1,248,000 $867,000 $1,369,000 $816,000 $769,000 $810,000 $917,000 $640,000 $810,000 $726,000

$655,000 $894,000 $716,000 $1,397,000 $832,000 $893,000 $1,041,000 $728,000 $1,163,000 $712,000 $652,000 $688,000 $780,000 $549,000 $694,000 $625,000

-0.5% -3.2% 0.2% 2.0% -0.4% 1.3% 1.7% 0.2% -0.8% 1.5% 2.7% -0.6% -1.1% -2.3% 0.0% -3.4%

17.9% 14.7% 15.9% 21.6% 19.2% 12.1% 21.9% 19.4% 16.8% 16.3% 21.2% 17.0% 16.3% 13.8% 16.7% 12.2%

TASMAN APPLEBY BRIGHTWATER HOPE KAITERITERI MAPUA MOTUEKA POHARA REDWOOD VALLEY RICHMOND RUBY BAY TAKAKA TASMAN UPPER MOUTERE WAKEFIELD

$1,237,000 $1,047,000 $1,392,000 $1,493,000 $1,185,000 $816,000 $969,000 $1,637,000 $937,000 $1,563,000 $743,000 $1,586,000 $1,347,000 $989,000

$1,240,000 $1,030,000 $1,384,000 $1,490,000 $1,180,000 $806,000 $986,000 $1,634,000 $928,000 $1,527,000 $735,000 $1,568,000 $1,335,000 $979,000

$1,180,000 $887,000 $1,155,000 $1,238,000 $1,001,000 $710,000 $831,000 $1,386,000 $815,000 $1,324,000 $625,000 $1,357,000 $1,130,000 $835,000

-0.2% 1.7% 0.6% 0.2% 0.4% 1.2% -1.7% 0.2% 1.0% 2.4% 1.1% 1.1% 0.9% 1.0%

4.8% 18.0% 20.5% 20.6% 18.4% 14.9% 16.6% 18.1% 15.0% 18.1% 18.9% 16.9% 19.2% 18.4%

LOCATION

MARLBOROUGH BLENHEIM HAVELOCK MAYFIELD PICTON REDWOODTOWN RENWICK RIVERSDALE SPRINGLANDS WAIKAWA WITHERLEA

43

44

OneRoof.co.nz

ONEROOF-VALOCITY HOUSE VALUE INDEX

New Brighton, in Christchurch. Photo / Peter Meecham

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

WEST COAST BULLER CARTERS BEACH KARAMEA REEFTON WESTPORT

$493,000 $393,000 $306,000 $381,000

$458,000 $369,000 $284,000 $352,000

$392,000 $324,000 $248,000 $320,000

7.6% 6.5% 7.7% 8.2%

25.8% 21.3% 23.4% 19.1%

GREY BLAKETOWN COBDEN GREYMOUTH KARORO MARSDEN MOANA PAROA RUNANGA

$279,000 $259,000 $385,000 $494,000 $636,000 $579,000 $585,000 $229,000

$283,000 $265,000 $374,000 $516,000 $659,000 $606,000 $616,000 $233,000

$213,000 $203,000 $322,000 $427,000 $552,000 $518,000 $525,000 $185,000

-1.4% -2.3% 2.9% -4.3% -3.5% -4.5% -5.0% -1.7%

31.0% 27.6% 19.6% 15.7% 15.2% 11.8% 11.4% 23.8%

WESTLAND ARAHURA VALLEY BLUE SPUR FRANZ JOSEF GLACIER HOKITIKA ROSS RUATAPU

$580,000 $660,000 $468,000 $395,000 $300,000 $542,000

$589,000 $665,000 $472,000 $392,000 $293,000 $542,000

$531,000 $569,000 $416,000 $343,000 $269,000 $460,000

-1.5% -0.8% -0.8% 0.8% 2.4% 0.0%

9.2% 16.0% 12.5% 15.2% 11.5% 17.8%

LOCATION

CANTERBURY $792,000 AVERAGE VALUE

24.1%

YEAR ON YEAR CHANGE

HOUSE PRICE inflation in Canterbury is slowing but the region’s growth rate of 1.9% over the quarter was the country’s strongest. For old and new homeowners in the region, the 24.1% lift in the average property value to $792,000 over the last 12 months will be a huge relief, especially when buyers elsewhere are worried about negative equity.

Seven of the region’s nine TAs were up over the quarter, with Waimate and Hurunui enjoying value growth of 4% and above. Selwyn, the region’s most expensive TA, added $25,000 to its average property value, taking it to $1.025m - almost double what it was five years ago.

Homeowners in Mackenzie and Kaikoura weren’t so fortunate, with Mackenzie’s average property value registering zero growth over the quarter and Kaikoura’s average property value plunging 6% ($43,000) to $675,000.

Christchurch is the country’s strongest performing major metro, with its average property value up 1.7% ($13,000) to $797,000. Unlike in Auckland, the city’s auction market is still quite strong, driven by the fact the prices are considerably lower - a key factor in a rising interest rate environment. Christchurch Central and Cashmere enjoyed the biggest value lifts over the quarter. Christchurch Central’s average property value was up 7% ($47,000) to $723,000 and Cashmere’s was up 7% ($75,000) to $1.146m.

OneRoof.co.nz

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

ALLENTON

$623,000

$601,000

$510,000

3.7%

22.2%

ASHBURTON

$499,000

$498,000

$428,000

0.2%

16.6%

LOCATION

ASHBURTON

HAMPSTEAD

$440,000

$436,000

$366,000

0.9%

20.2%

HUNTINGDON

$1,039,000

$1,027,000

$891,000

1.2%

16.6%

METHVEN

$672,000

$657,000

$578,000

2.3%

16.3%

MOUNT SOMERS

$554,000

$547,000

$465,000

1.3%

19.1%

NETHERBY

$550,000

$542,000

$447,000

1.5%

23.0%

RAKAIA

$544,000

$536,000

$463,000

1.5%

17.5%

TINWALD

$599,000

$591,000

$508,000

1.4%

17.9%

ADDINGTON

$561,000

$566,000

$454,000

-0.9%

23.6%

AIDANFIELD

$942,000

$933,000

$755,000

1.0%

24.8%

AKAROA

$1,018,000

$1,023,000

$829,000

-0.5%

22.8%

ARANUI

$473,000

$462,000

$374,000

2.4%

26.5%

AVONDALE

$536,000

$537,000

$439,000

-0.2%

22.1%

AVONHEAD

$835,000

$803,000

$685,000

4.0%

21.9%

AVONSIDE

$533,000

$549,000

$449,000

-2.9%

18.7%

BECKENHAM

$880,000

$878,000

$710,000

0.2%

23.9%

BELFAST

$708,000

$686,000

$568,000

3.2%

24.6%

BISHOPDALE

$691,000

$687,000

$578,000

0.6%

19.6%

BROMLEY

$526,000

$522,000

$409,000

0.8%

28.6%

BROOMFIELD

$722,000

$715,000

$583,000

1.0%

23.8%

BRYNDWR

$803,000

$800,000

$657,000

0.4%

22.2%

BURNSIDE

$898,000

$892,000

$748,000

0.7%

20.1%

BURWOOD

$676,000

$666,000

$542,000

1.5%

24.7%

CASEBROOK

$831,000

$834,000

$681,000

-0.4%

22.0%

CASHMERE

$1,146,000

$1,071,000

$914,000

7.0%

25.4%

$723,000

$676,000

$598,000

7.0%

20.9%

$1,289,000

$1,293,000

$1,030,000

-0.3%

25.1%

DALLINGTON

$583,000

$593,000

$486,000

-1.7%

20.0%

DIAMOND HARBOUR

$870,000

$837,000

$643,000

3.9%

35.3%

EDGEWARE

$551,000

$564,000

$457,000

-2.3%

20.6%

CLIFTON

FENDALTON

$1,823,000

$1,814,000

$1,481,000

0.5%

23.1%

HALSWELL

$907,000

$878,000

$703,000

3.3%

29.0%

HAREWOOD

$1,114,000

$1,110,000

$914,000

0.4%

21.9%

HEATHCOTE VALLEY

$840,000

$828,000

$661,000

1.4%

27.1%

HEI HEI

$618,000

$607,000

$491,000

1.8%

25.9%

HILLMORTON

$699,000

$695,000

$564,000

0.6%

23.9%

HILLSBOROUGH

$834,000

$810,000

$638,000

3.0%

30.7%

HOON HAY

$698,000

$653,000

$523,000

6.9%

33.5%

HORNBY

$611,000

$606,000

$473,000

0.8%

29.2%

$1,141,000

$1,132,000

$914,000

0.8%

24.8%

ILAM

$986,000

$978,000

$782,000

0.8%

26.1%

ISLINGTON

$584,000

$576,000

$478,000

1.4%

22.2%

KAINGA

$543,000

$559,000

$446,000

-2.9%

21.7%

HUNTSBURY

KENNEDYS BUSH

$1,814,000

$1,846,000

$1,435,000

-1.7%

26.4%

LINWOOD

$495,000

$476,000

$388,000

4.0%

27.6%

LYTTELTON

$777,000

$776,000

$613,000

0.1%

26.8%

MAIREHAU

$647,000

$633,000

$513,000

2.2%

26.1%

MARSHLAND

$1,117,000

$1,087,000

$857,000

2.8%

30.3%

MERIVALE

$1,535,000

$1,536,000

$1,305,000

-0.1%

17.6%

MOUNT PLEASANT

$1,140,000

$1,125,000

$866,000

1.3%

31.6%

NEW BRIGHTON

$542,000

$521,000

$435,000

4.0%

24.6%

NORTH NEW BRIGHTON

$562,000

$565,000

$450,000

-0.5%

24.9%

NORTHCOTE

$599,000

$597,000

$496,000

0.3%

20.8%

NORTHWOOD

$1,158,000

$1,131,000

$893,000

2.4%

29.7%

OPAWA

$777,000

$800,000

$642,000

-2.9%

21.0%

PAPANUI

$793,000

$766,000

$645,000

3.5%

22.9%

PARKLANDS

$743,000

$733,000

$591,000

1.4%

25.7% 25.5%

PHILLIPSTOWN

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

SPREYDON

$669,000

$635,000

ST ALBANS

$905,000

$895,000

$533,000

5.4%

25.5%

$733,000

1.1%

STROWAN

$1,293,000

23.5%

$1,258,000

$1,031,000

2.8%

SUMNER

25.4%

$1,156,000

$1,187,000

$941,000

-2.6%

22.8%

SYDENHAM

$575,000

$555,000

$467,000

3.6%

23.1%

TEMPLETON

$835,000

$814,000

$640,000

2.6%

30.5%

UPPER RICCARTON

$731,000

$720,000

$585,000

1.5%

25.0%

WAIMAIRI BEACH

$964,000

$970,000

$781,000

-0.6%

23.4%

WAINONI

$492,000

$488,000

$410,000

0.8%

20.0%

WALTHAM

$520,000

$505,000

$420,000

3.0%

23.8%

$1,148,000

$1,123,000

$893,000

2.2%

28.6%

$914,000

$904,000

$696,000

1.1%

31.3%

WESTMORLAND WIGRAM

CHRISTCHURCH

CHRISTCHURCH CENTRAL

JUNE 2022

LOCATION

$462,000

$451,000

$368,000

2.4%

REDCLIFFS

$1,186,000

$1,172,000

$981,000

1.2%

20.9%

REDWOOD

$690,000

$670,000

$531,000

3.0%

29.9%

RICCARTON

$768,000

$760,000

$643,000

1.1%

19.4%

RICHMOND

$572,000

$549,000

$456,000

4.2%

25.4%

RUSSLEY

$734,000

$740,000

$597,000

-0.8%

22.9%

SAINT MARTINS

$769,000

$766,000

$599,000

0.4%

28.4%

SHIRLEY

$667,000

$651,000

$531,000

2.5%

25.6%

SOCKBURN

$663,000

$638,000

$528,000

3.9%

25.6%

SOMERFIELD

$781,000

$758,000

$609,000

3.0%

28.2%

SOUTH NEW BRIGHTON

$596,000

$589,000

$483,000

1.2%

23.4%

SOUTHSHORE

$692,000

$697,000

$556,000

-0.7%

24.5%

WOOLSTON

$557,000

$521,000

$450,000

6.9%

23.8%

YALDHURST

$1,086,000

$1,055,000

$860,000

2.9%

26.3%

AMBERLEY

$716,000

$675,000

$576,000

6.1%

24.3%

CHEVIOT

$475,000

$448,000

$379,000

6.0%

25.3%

HANMER SPRINGS

$777,000

$767,000

$639,000

1.3%

21.6%

LEITHFIELD

$670,000

$639,000

$542,000

4.9%

23.6%

KAIKOURA

$631,000

$660,000

$552,000

-4.4%

14.3%

KAIKOURA FLAT

$794,000

$835,000

$695,000

-4.9%

14.2%

$1,000,000

$986,000

$872,000

1.4%

14.7%

$520,000

$519,000

$474,000

0.2%

9.7%

$1,085,000

$1,103,000

$1,010,000

-1.6%

7.4%

$727,000

$719,000

$652,000

1.1%

11.5%

GERALDINE

$581,000

$571,000

$501,000

1.8%

16.0%

GLENITI

$804,000

$780,000

$693,000

3.1%

16.0%

GLENWOOD

$539,000

$540,000

$476,000

-0.2%

13.2%

HIGHFIELD

$599,000

$588,000

$514,000

1.9%

16.5%

KENSINGTON

$451,000

$444,000

$390,000

1.6%

15.6%

MAORI HILL

$573,000

$570,000

$517,000

0.5%

10.8%

MARCHWIEL

$525,000

$508,000

$440,000

3.3%

19.3%

OCEANVIEW

$631,000

$616,000

$546,000

2.4%

15.6%

PARKSIDE

$446,000

$441,000

$396,000

1.1%

12.6%

PLEASANT POINT

$578,000

$562,000

$494,000

2.8%

17.0%

SEAVIEW

$469,000

$468,000

$414,000

0.2%

13.3%

TEMUKA

$490,000

$493,000

$430,000

-0.6%

14.0%

WAIMATAITAI

$509,000

$500,000

$440,000

1.8%

15.7%

WATLINGTON

$467,000

$462,000

$409,000

1.1%

14.2%

WEST END

$493,000

$483,000

$430,000

2.1%

14.7%

HURUNUI

KAIKOURA

MACKENZIE BEN OHAU FAIRLIE LAKE TEKAPO TWIZEL TIMARU

WAIMAKARIRI BURNT HILL

$903,000

$901,000

$735,000

0.2%

22.9%

CUST

$1,073,000

$1,028,000

$840,000

4.4%

27.7%

EYREWELL

$1,034,000

$1,006,000

$796,000

2.8%

29.9%

FERNSIDE

$1,270,000

$1,228,000

$998,000

3.4%

27.3%

KAIAPOI

$700,000

$671,000

$558,000

4.3%

25.4%

LOBURN

$1,102,000

$1,057,000

$860,000

4.3%

28.1%

OHOKA

$1,448,000

$1,396,000

$1,123,000

3.7%

28.9%

OXFORD

$704,000

$688,000

$561,000

2.3%

25.5%

PEGASUS

$869,000

$841,000

$656,000

3.3%

32.5%

RANGIORA

$727,000

$691,000

$583,000

5.2%

24.7%

SEFTON

$985,000

$937,000

$762,000

5.1%

29.3%

$1,236,000

$1,198,000

$970,000

3.2%

27.4%

WAIKUKU BEACH

$668,000

$657,000

$547,000

1.7%

22.1%

WOODEND

$770,000

$745,000

$601,000

3.4%

28.1%

$490,000

$467,000

$395,000

4.9%

24.1%

SWANNANOA

WAIMATE WAIMATE

45

46

OneRoof.co.nz

ONEROOF-VALOCITY HOUSE VALUE INDEX

LOWER SOUTH ISLAND

OTAGO CENTRAL OTAGO ALEXANDRA BRIDGE HILL CLYDE CROMWELL MOUNT PISA RANFURLY CLUTHA BALCLUTHA KAITANGATA MILTON TAPANUI WAIHOLA DUNEDIN ABBOTSFORD ANDERSONS BAY BELLEKNOWES BRIGHTON BROCKVILLE CALTON HILL CAVERSHAM CONCORD CORSTORPHINE DUNEDIN CENTRAL FAIRFIELD FORBURY GREEN ISLAND HALFWAY BUSH HELENSBURGH KAIKORAI KENMURE KEW MACANDREW BAY MAORI HILL MORNINGTON MOSGIEL MUSSELBURGH NORTH DUNEDIN NORTH EAST VALLEY OPOHO OUTRAM RAVENSBOURNE ROSLYN SAINT CLAIR

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

$554,000 $731,000 $892,000 $451,000 $676,000 $547,000 $671,000 $885,000

$574,000 $731,000 $899,000 $472,000 $706,000 $564,000 $692,000 $899,000

$520,000 $638,000 $815,000 $442,000 $635,000 $499,000 $634,000 $813,000

-3.5% 0.0% -0.8% -4.4% -4.2% -3.0% -3.0% -1.6%

6.5% 14.6% 9.4% 2.0% 6.5% 9.6% 5.8% 8.9%

$1,436,000 $2,385,000 $1,521,000 $1,265,000 $1,189,000 $1,303,000 $1,863,000 $3,423,000 $2,660,000 $795,000 $1,236,000 $2,335,000 $1,630,000 $1,585,000 $2,040,000

$1,446,000 $2,317,000 $1,490,000 $1,246,000 $1,169,000 $1,292,000 $1,779,000 $3,215,000 $2,492,000 $783,000 $1,207,000 $2,187,000 $1,540,000 $1,578,000 $2,094,000

$1,152,000 $1,816,000 $1,354,000 $1,144,000 $1,068,000 $1,057,000 $1,526,000 $2,787,000 $2,100,000 $644,000 $910,000 $1,865,000 $1,341,000 $1,391,000 $1,632,000

-0.7% 2.9% 2.1% 1.5% 1.7% 0.9% 4.7% 6.5% 6.7% 1.5% 2.4% 6.8% 5.8% 0.4% -2.6%

24.7% 31.3% 12.3% 10.6% 11.3% 23.3% 22.1% 22.8% 26.7% 23.4% 35.8% 25.2% 21.6% 13.9% 25.0%

WAITAKI HAMPDEN HOLMES HILL KAKANUI OAMARU OAMARU NORTH OTEMATATA PALMERSTON SOUTH HILL WESTON

$461,000 $593,000 $631,000 $455,000 $501,000 $561,000 $436,000 $546,000 $740,000

$456,000 $585,000 $608,000 $447,000 $490,000 $554,000 $429,000 $534,000 $714,000

$394,000 $510,000 $540,000 $398,000 $430,000 $486,000 $381,000 $475,000 $592,000

1.1% 1.4% 3.8% 1.8% 2.2% 1.3% 1.6% 2.2% 3.6%

17.0% 16.3% 16.9% 14.3% 16.5% 15.4% 14.4% 14.9% 25.0%

SOUTHLAND GORE EAST GORE GORE MATAURA

$381,000 $471,000 $255,000

$364,000 $462,000 $242,000

$327,000 $406,000 $213,000

4.7% 1.9% 5.4%

16.5% 16.0% 19.7%

$354,000 $526,000 $350,000 $402,000 $398,000 $658,000 $456,000 $493,000 $550,000 $508,000 $425,000 $421,000 $458,000 $765,000 $524,000 $742,000 $956,000 $398,000 $402,000 $1,088,000 $629,000 $591,000 $594,000

$350,000 $517,000 $350,000 $403,000 $393,000 $647,000 $445,000 $493,000 $536,000 $500,000 $421,000 $415,000 $454,000 $761,000 $511,000 $727,000 $937,000 $389,000 $399,000 $1,077,000 $616,000 $574,000 $603,000

$303,000 $463,000 $303,000 $353,000 $345,000 $576,000 $397,000 $436,000 $479,000 $448,000 $377,000 $368,000 $414,000 $675,000 $453,000 $645,000 $821,000 $349,000 $357,000 $964,000 $557,000 $514,000 $541,000

1.1% 1.7% 0.0% -0.2% 1.3% 1.7% 2.5% 0.0% 2.6% 1.6% 1.0% 1.4% 0.9% 0.5% 2.5% 2.1% 2.0% 2.3% 0.8% 1.0% 2.1% 3.0% -1.5%

16.8% 13.6% 15.5% 13.9% 15.4% 14.2% 14.9% 13.1% 14.8% 13.4% 12.7% 14.4% 10.6% 13.3% 15.7% 15.0% 16.4% 14.0% 12.6% 12.9% 12.9% 15.0% 9.8%

$367,000 $732,000 $624,000 $391,000 $507,000 $653,000 $710,000 $610,000

$347,000 $734,000 $644,000 $382,000 $476,000 $641,000 $713,000 $583,000

$308,000 $631,000 $559,000 $309,000 $413,000 $541,000 $647,000 $512,000

5.8% -0.3% -3.1% 2.4% 6.5% 1.9% -0.4% 4.6%

19.2% 16.0% 11.6% 26.5% 22.8% 20.7% 9.7% 19.1%

SAINT KILDA SAWYERS BAY SHIEL HILL SOUTH DUNEDIN TAINUI WAIKOUAITI WAKARI WAVERLEY

OTAGO AND SOUTHLAND Otago’s average property value barely grew over the last three months, rising just 0.3% ($3000) to $962,000. Growth in Southland was only slightly be!er, with the region’s average property value up 0.9% ($5000) to $962,000. Property values in both regions are still 15% or so ahead of where they were 12 months ago, but it’s likely they will be in negative growth territory by July.

On the watchlist in Otago is Dunedin, which saw its average property value drop 2.5% ($19,000) to $738,000 - only slightly above what it was six months ago.

More worrying for homeowners in the city is that no Dunedin suburb with 20 or more se!led sales in the last 12 months recorded value growth over the quarter (the number of growth suburbs for the entire city, regardless of sales volumes, is 22).

Otago’s other major housing market, Queenstown-Lake, saw value growth of 1.2% over the last three months, down from 3.6% in the three months to the end of April and 9.6% in the three months to the end of March. The TA’s average property value is still a high $1.869m and 22% ($339,000) ahead of where it was 12 months ago.

Value growth in Southland’s biggest market, Invercargill, was a negligible 0.6% over the last three months, with the city’s average property value si!ing at $530,000. The region’s other two TAs, Southland and Gore, recorded value lifts of 1.6% over the same period, but the growth rate for both is slowing.

LOCATION

JUNE 2022

LOCATION

JUNE 2022

MARCH 2022

JUNE 2021

QoQ CHANGE

YoY CHANGE

$752,000 $915,000 $938,000 $941,000 $1,309,000 $408,000

$739,000 $880,000 $896,000 $946,000 $1,233,000 $383,000

$652,000 $792,000 $767,000 $812,000 $1,070,000 $336,000

1.8% 4.0% 4.7% -0.5% 6.2% 6.5%

15.3% 15.5% 22.3% 15.9% 22.3% 21.4%

$456,000 $285,000 $460,000 $373,000 $690,000

$460,000 $288,000 $456,000 $371,000 $714,000

$392,000 $248,000 $395,000 $312,000 $581,000

-0.9% -1.0% 0.9% 0.5% -3.4%

16.3% 14.9% 16.5% 19.6% 18.8%

$703,000 $774,000 $888,000 $819,000 $567,000 $526,000 $512,000 $642,000 $682,000 $784,000 $831,000 $506,000 $658,000 $713,000 $794,000 $652,000 $702,000 $757,000 $873,000 $1,157,000 $642,000 $774,000 $718,000 $813,000 $595,000 $775,000 $877,000 $582,000 $973,000 $1,004,000

$724,000 $789,000 $913,000 $830,000 $599,000 $551,000 $527,000 $667,000 $686,000 $798,000 $847,000 $526,000 $678,000 $721,000 $818,000 $675,000 $717,000 $770,000 $898,000 $1,185,000 $664,000 $786,000 $742,000 $843,000 $613,000 $806,000 $894,000 $587,000 $1,009,000 $1,012,000

$655,000 $703,000 $802,000 $738,000 $531,000 $501,000 $477,000 $605,000 $613,000 $734,000 $762,000 $498,000 $618,000 $656,000 $726,000 $615,000 $639,000 $679,000 $770,000 $1,022,000 $612,000 $724,000 $674,000 $777,000 $561,000 $711,000 $791,000 $547,000 $896,000 $881,000

-2.9% -1.9% -2.7% -1.3% -5.3% -4.5% -2.8% -3.7% -0.6% -1.8% -1.9% -3.8% -2.9% -1.1% -2.9% -3.4% -2.1% -1.7% -2.8% -2.4% -3.3% -1.5% -3.2% -3.6% -2.9% -3.8% -1.9% -0.9% -3.6% -0.8%

7.3% 10.1% 10.7% 11.0% 6.8% 5.0% 7.3% 6.1% 11.3% 6.8% 9.1% 1.6% 6.5% 8.7% 9.4% 6.0% 9.9% 11.5% 13.4% 13.2% 4.9% 6.9% 6.5% 4.6% 6.1% 9.0% 10.9% 6.4% 8.6% 14.0%

QUEENSTOWN-LAKES ALBERT TOWN ARROWTOWN ARTHURS POINT FERNHILL FRANKTON GLENORCHY JACKS POINT KAWARAU FALLS KELVIN HEIGHTS KINGSTON LAKE HAWEA LAKE HAYES LOWER SHOTOVER QUEENSTOWN WANAKA

INVERCARGILL APPLEBY AVENAL BLUFF CLIFTON GEORGETOWN GLADSTONE GLENGARRY GRASMERE HARGEST HAWTHORNDALE HEIDELBERG KINGSWELL NEWFIELD OTATARA RICHMOND ROSEDALE SEAWARD BUSH STRATHERN TURNBULL THOMSON PARK WAIHOPAI WAIKIWI WAVERLEY WINDSOR SOUTHLAND LUMSDEN MAKAREWA MANAPOURI OTAUTAU RIVERSDALE RIVERTON TE ANAU WINTON

OneRoof.co.nz

COMMENT

Why do Kiwis

WANT TO TEAR DOWN PROPERTY INVESTORS? ASHLEY CHURCH identifies five hard-to-kill myths about the buy-to-let market.

W

e Kiwis are a funny lot. We like the idea of fabulous wealth when it’s enjoyed by those who are far away in another part of the world – but we’re not so keen on it when it’s experienced by our own. We’ll watch, and enjoy, a reality TV show about the super-rich in Europe, Asia or the Americas and marvel at the huge homes, fast cars and super yachts of the rich and famous – but if a Kiwi dares to engage in the same ostentatious luxury we’ll eventually tear him or her to pieces (metaphorically speaking).

There are lots of theories as to why this is the case.

Perhaps it’s a hangover from our recent egalitarian past, perhaps it’s a genetic link to the stoic and no-nonsense Sco!ish part of our shared heritage – or perhaps it’s just a feature of the cultural-cringe which hangs over our nation like a dark shadow and manifests itself as tall poppy syndrome and a bizarre belief that we shouldn’t get above our station nor, God forbid, do be!er than our peers.

Whatever the reason, it’s a trait which brings out the very best and the very worst of my fellow countrymen.

At its best, it’s the basis of the sense of fairness and fair play that underpins our desire to protect our most vulnerable and makes us the warm, welcoming people that we (usually) are to visitors and new residents. At its worst, it’s behind our nasty tendency to a!ack those who have succeeded and revel in the misfortune of those who fall on hard times after a period of success.

And it’s not just directed at the very rich and very successful. Even modest success, in the form of financial stability, can make one the target of vitriol and even hatred in 21st century New Zealand. This phenomenon is best exemplified in the way that property investors

are consistently targeted by a section of our society and the idea that they might lose a significant proportion of the value of their properties celebrated. Indeed, this a!itude has even been encouraged by the current Government which has engaged in a full-on a!ack on property investors since first coming to power in 2017, consistently portraying these people as privileged, wealthy, and as having access to advantages that others don’t.

Sadly, however, most of the beliefs which underpin these a!itudes are simply wrong. Let’s look at some of them and expose them for the myths that they are:

1

People who invest in property come from wealth

While there’s no doubt that the wealthy do invest in property – coming from wealth is by no means a prerequisite for ge!ing started. That’s not to say that property investors don’t become wealthy, over time – but that’s as a result of their efforts – not the basis of them.

2

People who invest in property are from highincome households

The vast majority of property investors, in this country, are waged or salaried Kiwis who’ve kicked off from the same starting blocks as most of the rest of us. I bought my first investment property – a block of flats in Napier – when I barely had two coins to rub together and while the rules make things more difficult right now, there are still plenty of opportunities to get into the market.

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3

People who invest in property are well educated

Lots of educated Kiwis invest in property – but again, that isn’t the basis of their success – and many thousands of others invest in the market without the benefit of having any form of formal education.

4

People who invest in property are risk-takers

5

Property investors add nothing to the economy

While no form of investment is completely without risk – property is very much at the lower end of that scale – which is why tens of thousands of Kiwis are involved in it.

Around 35% of Kiwis rent – a figure which has stayed remarkably consistent for most of the last 100 years – and the vast majority of these rentals are provided by the private sector. Anything which decreases private property investment transfers that obligation to the State – which is simply you and I, as taxpayers. Property Investors are huge contributors to the economy and have saved the nation tens of billions of dollars over the years.

Success – in property or anything else – is about mindset, not advantage. You can be someone who seeks to diminish those who have worked to improve their lot – or you can aspire to be one of them. I know who I prefer to spend my time with.

• Ashley Church is a property commentator for OneRoof.co.nz. Email him at Ashley@nzmemail.com

47

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