Demand Continues To Put The Squeeze On House Values

Friday, March 16th 2018

The REINZ statistics for February have been released, showing the Hawke’s Bay median sitting at $444,000, another median high for the region and up substantially from last year’s $375,000 as the figures just keep on rising.  Napier and Hastings both saw very positive growth with Napier’s house values rising 16.5 per cent year-on-year to sit at $480,500 for the month of February and Hastings city rising 13.8 per cent year-on-year to $445,000.  As I have mentioned previously it really comes down to buyer activity which continues to be very strong.  Whilst the buyers are there the demand for property will continue, keeping upward pressure on price.  It is important you keep track of your home’s value in this market - please contact one of our team for a free appraisal on your property at any stage.

It is always good to talk to business leaders in other sectors of the economy to keep in touch with how other industries are tracking.  Most people are staggered at how busy our roads are with the population growth starting to have a serious effect on travel times.  Every flight you take in and out of the region is always full.  The building industry remains buoyant and, of course, our tourism sector continues its stellar run.  Our strong local economy, which goes hand-in-hand with the attractiveness of the Bay as a place to live and work, is a significant factor in driving the buoyancy in the real estate market.  The longer this real estate market runs, the better for everybody as capital growth in people’s homes is the best way to stimulate spending and activity locally.  The number of people moving to the Bay from out of town is substantial, with many able to move here without the security of a job.  The way the world communicates and access to technology allows people to work out of the office and out of town, making this an ideal place to live and commute from.

Last weekend we held our annual Tremains Triathlon at our new venue of Meeanee Quay Reserve in Westshore.  The triathlon has been running since 1994 and has become the largest multi-team event in the region - with 282 teams, or close to 900 people, competing last Sunday with all proceeds going back into the community through Triathlon Hawke’s Bay. It was a fantastic day with Cyclone Hola holding off and everyone in great spirits as they enjoyed a BBQ, a few beers and music at the finish line.  The success of the event really lies in the spirit of the triathlon with competitors of all fitness levels competing and the focus more on coming together as a workplace or community.  It was great to see so many local businesses with presence at the event with workmates, friends and families all having fun and sharing in the success of completing a common goal together.  Well done to Hawke’s Bay District Health Board, Silver Fern Farms and Napier City Council, who all entered more than 20 teams, and of course everyone who participated!  We look forward to seeing everyone back again in 2019 with the swim /kayak sector back in play.

Hard to believe Easter is nearly here already -  keep an eye out for our Tremains agents delivering delicious hot cross buns into mailboxes across Hawke’s Bay!