Timaru Herald

12 June 2006

There has been a small drop off in property value growth in Timaru with May's figures showing 13.5 per cent growth compared to April's 17.3 per cent.

The figures in each case are based on sales over three-monthly periods.

QV's May property statistics released yesterday indicate that nationally, residential property values increased by 12.4 per cent over the past 12 months.

This was down from the 13.1 per cent reported in April. The average New Zealand sale price was $327,779.

In Timaru, the average price is $205,611.

"The current market trend is showing a flattening of property values; it is the fourth consecutive month that a decrease in growth has been reported," QV spokesperson Blue Hancock said.

"Growth is back at the levels reported in May 2005. The most recent market activity suggests there is no longer the urgent pressure on buyers and prices are stabilising.

"This trend is expected to continue throughout the winter months."

He said the main centres had again seen slight decreases in the growth rate, with Auckland growth rates down from 8.9per cent to 7.6 per c ent, Hamilton down to 21.5 per cent, Christchurch 12.7 per cent, and Dunedin 8.2 per cent. Wellington residential property values remained stable at 11.8 per cent per cent.

Of the major provincial cities decreases in growth were reported for Gisborne 28.7 per cent, Whangarei 24.3 per cent and New Plymouth 11 per cent.

Invercargill reported strong growth of 15.5 per cent up from 11.9 per cent growth reported for the period ending April 2006.

And in South Canterbury the Mackenzie showed strong growth. Though down on April's growth rate of 30.9 per cent growth in May was still high at 26.9 per cent.

The average Mackenzie house price is $227,984.

In Waimate, the average house price is $137,983. Waimate's value growth in May was at 13.6 per cent down from 19.9 per cent in April.