Year-on-year property values show Auckland is up 1.8% compared to January 2017, with Auckland apartments also up slightly at 1.3%. While overall property outside Auckland (up 5.3%) has outperformed Auckland, apartments outside Auckland dropped by 13.6%.
That’s a surprising shift considering the solid growth we saw in last month’s figures. That drop was led by a big drop in Christchurch of 18.9% and a smaller one in Wellington of 7.6%. Is this an anomaly? We suspect it is. Property in Wellington has been booming, so that’s an odd result for the capital; Christchurch has been in a two-year slump but the overall 3.4% gain in value data suggests it’s on the way out. Apartments are in more plentiful supply in Christchurch than they were a year ago, which may be to blame for this statistic.
But the fact that Auckland has bucked the trend supports the idea that local investors still want to put their money here. The average apartment value is now above $600,000 – that’s not cheap. We’re still seeing a lot of opportunities in the market below that price, so get in touch if you’re thinking of expanding your portfolio this year.