People finally come to their senses?
QV are reporting that South and West Auckland are now along for the ride in the Auckland housing boom. Traditionally the Isthmus area would see large increases in housing values as people scrambled to get housing in the area (often damaging their finances for years if not decades to come).
However, as reality and common sense (which never seems to be common) start to hit home, buyers are now coming out to the “lesser favourable” areas of Auckland – the South and West.
From NZ Herald
City housing boom spreads
By Lincoln Tan, Anne Gibson 5:30 AM Tuesday Feb 11, 2014
As top suburbs become unaffordable, buyers are looking to less-favoured areas … and pushing their prices up.
Property prices in Auckland’s less-favoured suburbs are catching up with the rest of the region as home-buyers shift their focus in a bid to get on the property ladder.
Experts say the city is seeing a “spill-over effect” and the loan-to-value ratio caps introduced last year are driving demand for homes in suburbs not traditionally sought-after.
QV figures released yesterday showed the biggest rises were in areas such as Papakura and Manukau.
…
Values in Papakura have risen the most in the past three months, with a 4.8 per cent increase.
Franklin and Manukau were close behind on 4.6 per cent.
Waitakere was leading the annual increase with values up 19.2 per cent in a year, and Manukau City the second-best performer with a 16.1 per cent increase.
The former Auckland City area had a rise of only 1.6 per cent in the past three months, but values in the central suburbs are still 31.9 per cent above the 2007 peak, which was one of the largest increases in the country.
“There appears to be an element of ‘catch up’ in these movements as most other parts of Auckland have moved ahead strongly over the past year,” the QV report said.
…
Lucky then Rebekka and I got our house down here in Papakura back in 2011 when prices were quite good. Sure the house needed a bit of remedial work but the structure was sound and the neighbourhood is pretty good.
Last year I wrote a post on South Auckland and it fast becoming the rising jewel in Auckland’s crown (South Auckland – The Rising Jewel in Auckland’s Crown). With the expansion of industry in Wiri, Manukau (Sleepyhead), Takanini (got a large factory springing up), and soon Drury South; Manukau City Centre picking up a few tower cranes plus having two tertiary campuses that combined take 9,500 students), more houses being built, and so on you can see why the South is becoming hot property. Sure and soon enough the ultimate question will need to be answered of why bother commuting into the CBD from the south when you can work closer to home – thus spend more time doing what YOU want.
Continuing from the NZH:
Auckland property price rise
19.2% Waitakere (year on year)
16.1% Manukau CityBest performing suburbs(past three months)
4.8% Papakura
4.6% Franklin and Manukau Central
1.6% old Auckland City
…
Oh dear this will affect my rates bill in the end. Ah well not too fussed – yet.
Still tomorrow continued pressure and advocacy will be applied to the Auckland Development Committee as it meets tomorrow to make sure the required level of attention and investment is sent to both the South and West.
From the November-28 presentation to the Auckland Development Committee
All the ducks are lined up to bring the South and West out of the 1950’s and into the 21st Century with its urban landscape. All we need now is the Council to get a wriggle on….
And some pictures to finish this post off 🙂
Talking Southern Auckland 