Growth in Auckland property values continued to lag behind New Zealand as a whole in February, with the slowest pace in six months nudging the city's average price up to $1.05 million, says state-owned valuer Quotable Value.

Residential property values across the Auckland region rose 1 per cent year-on-year in February and gained 0.8 per cent in the three months ended February 28, QV said.

The QV house price index shows that nationwide, property values rose 6.5 per cent from the same month last year and rose 1.2 per cent over the past three months.

Within the Auckland region, Manukau recorded no change in values year-on-year, while North Shore was the stand-out, with values rising 2.9 per cent in the year to February.

“The market remains sluggish with values holding for the most part, with a lack of good quality listings on the market and lower than normal sales volumes for this time of year,” said QV Auckland senior consultant James Steele.

“There were signs that many first home buyers were finding it difficult to get the finance to purchase.”

When adjusted for inflation, Auckland values fell 0.6 per cent over the year while the adjusted nationwide annual increase slowed to 4.9 per cent, QV said.

Christchurch was the only main centre to record a decline, with values in the city falling 0.8 per cent year on year, although they were up 0.1 per cent in the past three months.

Hamilton values recorded a 3.1 per cent increase in the year and a 0.8 per cent gain in the past three months, while for Tauranga the increases were 4.9 per cent for the year and 2.8 per cent for the three-month period.

Wellington values rose 8.6 per cent in the year and 3.1 per cent in the past quarter and Dunedin residential values rose 9.3 per cent in the year and 1.7 per cent in the quarter.

By Jonathan Underhill