New Zealand residential property values have accelerated at their fastest monthly pace in at least 10 months as demand for housing in Auckland drags the country's real estate prices higher.
National property values rose 8.3 per cent in the 12 months, accelerating from a 7.7 per cent pace in March, according to state-owned valuer Quotable Value.
Auckland led the index higher, with property values rising an annual 14.6 per cent in April, speeding up from the 13.9 per cent pace a month earlier.
“With net migration at a record 54,000 and still rising, and 50 per cent of migrants moving to Auckland, home values in the Super City are likely to remain high and keep rising during 2015 as supply continues to outstrip demand,” QV spokeswoman Andrea Rush said.
“Dunedin is the only main centre where values decreased slightly since February and the housing market there along with many other provincial towns around the country is showing flat or decreasing home values as the LVR (loan-to-value ratio) restrictions continue to make it difficult for first-home buyers to enter the market.”
Property values in Hamilton rose 3.3 per cent year-on-year, while its surrounding regions also made modest increases as demand from Auckland spilled over into the nearby city, said Chris Price, QV Hamilton valuer.
Property values in Wellington increased an annual 0.7 per cent, with sales activity slightly softer in April than it was in March, QV said.
Christchurch city values increased 4.7 per cent over the past year.