Auckland prices 'reaccelerate'

The latest monthly QV residential price movement index shows nationwide residential property values were 5.1% over the year to November and 0.7% over the past three months.

The Auckland market has increased 9.3% year on year, 3.1% over the past three months and 37% since 2007.

Spokeswoman Andrea Rush said: “We are seeing an reacceleration of values in Auckland with the residential price movement index chart now showing a steepening upward trend and values in some areas have risen 5% over the past three months.”

Auckland valuer Bruce Wiggins said well-presented, but not high end, properties were selling for much more than their previous purchase price within a short space of time. "While these have often been upgraded in the intervening period, the rise in sale price far exceeds the money spent. One North Shore townhouse that sold in the $700,000s three months ago was renovated to a good standard internally and was under agreement in the $900,000s three months later. Conditions are also favorable for investors, and in South Auckland there have been examples of investors buying multiple properties, adding fuel to the investor rule debate for investors with five or more properties that the Reserve Bank is currently looking at.”