Tauranga property values nudge up by just 1%

by Ellen Irvine | Monday, March 8, 2010 9:55

Property values in Tauranga increased by 1 per cent  in the last year but the market's recovery is lagging behind the other main centres.

The figures come from the latest QV residential property indices for February, released yesterday.

While the increase was up from the 0.6 per cent growth recorded in January, it was well behind the Auckland increase of 8.7 per cent, 6.7 per cent in Wellington, 6.9 per cent in Christchurch and 6.2 per cent in Dunedin.

Only Queenstown Lakes and Whangarei recorded a worse result than Tauranga. The average sale price for the Tauranga region increased slightly from $422,226 to $422,746.

Shayne Donovan-Grammer of QV Valuations said Tauranga's property market was moving forward in a "cautious but positive manner".

"Investors are still on the sidelines, reassessing their next move and trying to make sense of the proposed tax reforms," he said. "Owner-occupier buyers are active, but still looking for sharp prices - and in many cases, vendors are happy to oblige to alleviate their financial burden."

Read more in today's Bay of Plenty Times