$1.8m sale boosts figures

‘Good economy’ underpinning buoyant housing market.

‘Good economy’ underpinning buoyant housing market.

Gisborne's housing market is booming. File picture

A record price and and a rise in property sales boosted the region’s housing market last month.

Latest data from the Real Estate Institute shows the median house price here is $358,000.

“Gisborne was one of only three regions that saw increases in median price (+14.7 percent) and the number of properties sold (+9.7 percent) when compared to the same time last year,” REINZ regional director Neville Falconer said.

“The median price is likely to have been pushed up as a result of the increase in activity over the $1 million mark.”

That followed a record-breaking sale of a dual apartment complex at the beach end of Grey Street, which sold for $1.8m.

“Looking at the sales volumes results in some detail suggests these results are even stronger than at first thought, as listings have been down for the last three months and that total inventory is down -26.3 percent year-on-year.

“The region continues to draw people from outside the area, thanks to its low house prices and good lifestyle opportunities.

“Going forward, we expect much of the same, however, the usual winter slowdown is likely to start to come into effect shortly.”

LJ Hooker Gisborne principal George Searle said the median rise was reflective of the market and shape of the regional economy.

“We are still seeing some good sales going through and there are still a reasonable number of buyers out there.

“It’s underpinned by a good economy. Forestry is doing well, horticulture is doing well and agriculture, which is the backbone of our economy, is doing well.

“Anyone who wants a job in those sectors can find them, and they are getting paid good money. That’s allowing them to buy homes and you are seeing some employers doing some creative things to get the employees into property, which is great.”

Mr Searle said it would be interesting to see how the market went through winter.

“You get the usual seasonal slow down, although last year we didn’t — it just carried on strong right through the year.”

However, Gisborne still needed to see the supply of properties increase, he said.

“You are seeing a mini version of what’s happening in Auckland, with a lack of supply.”

Bayleys Gisborne sales manager Karen Raureti said the market had been busy at both ends of the spectrum.

“Property that is well presented in all locations is being targeted and received well in the market. These properties give purchasers confidence they are buying a good product that they will enjoy, along with the Gisborne lifestyle, for years to come.

“There have been a lot of Gisborne families sell their long-standing family homes and move up to the higher end of the market in a newer home, and stay in Gisborne, which is great to see.

“First home buyers in the lower end of the market (under $300,000) are buying, using their KiwiSaver. That appears to be pushing out the investors, which is resulting in an increasing shortage of rental property available.

“Heading into the winter months we are encouraged and excited with the amount of good stock we have coming to the market.”

REINZ data shows median house prices across New Zealand increased by 6.4 percent in April to a record-equalling $585,000 — up from $550,000 in April 2018.

A record price and and a rise in property sales boosted the region’s housing market last month.

Latest data from the Real Estate Institute shows the median house price here is $358,000.

“Gisborne was one of only three regions that saw increases in median price (+14.7 percent) and the number of properties sold (+9.7 percent) when compared to the same time last year,” REINZ regional director Neville Falconer said.

“The median price is likely to have been pushed up as a result of the increase in activity over the $1 million mark.”

That followed a record-breaking sale of a dual apartment complex at the beach end of Grey Street, which sold for $1.8m.

“Looking at the sales volumes results in some detail suggests these results are even stronger than at first thought, as listings have been down for the last three months and that total inventory is down -26.3 percent year-on-year.

“The region continues to draw people from outside the area, thanks to its low house prices and good lifestyle opportunities.

“Going forward, we expect much of the same, however, the usual winter slowdown is likely to start to come into effect shortly.”

LJ Hooker Gisborne principal George Searle said the median rise was reflective of the market and shape of the regional economy.

“We are still seeing some good sales going through and there are still a reasonable number of buyers out there.

“It’s underpinned by a good economy. Forestry is doing well, horticulture is doing well and agriculture, which is the backbone of our economy, is doing well.

“Anyone who wants a job in those sectors can find them, and they are getting paid good money. That’s allowing them to buy homes and you are seeing some employers doing some creative things to get the employees into property, which is great.”

Mr Searle said it would be interesting to see how the market went through winter.

“You get the usual seasonal slow down, although last year we didn’t — it just carried on strong right through the year.”

However, Gisborne still needed to see the supply of properties increase, he said.

“You are seeing a mini version of what’s happening in Auckland, with a lack of supply.”

Bayleys Gisborne sales manager Karen Raureti said the market had been busy at both ends of the spectrum.

“Property that is well presented in all locations is being targeted and received well in the market. These properties give purchasers confidence they are buying a good product that they will enjoy, along with the Gisborne lifestyle, for years to come.

“There have been a lot of Gisborne families sell their long-standing family homes and move up to the higher end of the market in a newer home, and stay in Gisborne, which is great to see.

“First home buyers in the lower end of the market (under $300,000) are buying, using their KiwiSaver. That appears to be pushing out the investors, which is resulting in an increasing shortage of rental property available.

“Heading into the winter months we are encouraged and excited with the amount of good stock we have coming to the market.”

REINZ data shows median house prices across New Zealand increased by 6.4 percent in April to a record-equalling $585,000 — up from $550,000 in April 2018.

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