Property prices heating up this summer
The sun is out more and more as we kick into the Christmas season, but it is not just the weather that is heating up – Auckland property prices are sizzling once again.
This will be great news for those who want to buy an investment property, as gains are still coming thick and fast. Remember that you will not be looking at an overnight fortune though, property investment is a slow process and you will have to be patient to get the great rewards when you buy real estate.
According to the latest most recent QV Residential Price Movement Index, the amount paid for homes right across the country has increased by 5.1 per cent in the year to November. This is good, but it has been slower of late – prices only rose by 0.7 per cent in the last three months.
However, in Auckland there has been even greater gains. House prices rose 9.3 per cent in the last 12 months, and 3.1 per cent during this most recent quarter. It looks like the property market is giving investors the gift of gains this holiday season!
It is not just Auckland that is experiencing the price boosts, either. Andrea Rush, national spokesperson for QV noted that many other areas are getting in on the action.
"Residential property values in the other mains centres including Hamilton, Tauranga, Wellington, Christchurch and Dunedin are also showing moderate increases," she said in a December 4 statement.
Meanwhile, an opinion piece from Bernard Hickey for interest.co.nz has hypothesised that if interest rates and inflation remain low and stable, this fresh wind for the Auckland real estate market may continue well into next year.
If you wish to take advantage of the current strength in NZ property, you should make sure you get the right investment advice. Just because the going is good does not mean you will get a great property immediately – take your time, and make sound judgments that suit your situation.
Here's to your financial independence!
Authorised Financial Adviser / Investment Property Expert