How Much is the Average Cost of a House in Auckland?

House in AucklandIf you own a house in Auckland, the value of your property has now reached more than $1 million for the first time, according to the Auckland Council.

The local council released valuation data, which stated that average home prices in the city amounted to $1.076 million, up 45 percent across the region. For those planning to sell their homes, consider finding real estate companies that specialise in property management here in North Shore and other suburbs in the city.

Suburban Growth

Home values in Waiheke Island posted the highest average individual increase among 21 local board areas since the 2014 valuations, up by 64 percent in the three years ending July 1. Otara-Papatoetoe property prices ranked next with a 62 percent growth, followed by a 61 percent increase in Papakura.

Property valuations in Henderson-Massey, Mangere-Otahuhu and Manurewa all increased more than 50 percent. For homeowners in Paerata/Runciman and Wainui/Waitoki, home values rose even higher at by 151 percent and 102 percent, respectively.

On the other hand, Kawau Island homes trended in the opposite direction with a 3 percent decline in values.

Driving Factors

The predominant increase in residential property values reflected the city’s strong population growth against a lower supply of properties, low-interest rates and the Unitary Plan.

The local council has planned to release the valuations for around 548,000 additional properties, which could likely indicate that more homes may be worth more than $1 million.

Aside from residential properties, the valuation data included a 43 percent increase in commercial real estate values. Industrial properties registered a 47 percent increase in values.

It may be safe to say that Auckland is currently a seller’s market, as home prices rose in almost all areas. You should weigh all your options and seek professional advice in case you plan to sell your property.