Steady Increase in Residential Property Values
The Wairoa District Rating Revaluation for 2018 is now confirmed and property owners will soon receive a 2018 Notice of Rating Valuation with an updated rating value for their property.
The new rating valuations have been prepared for 7,209 properties on behalf of the Wairoa District Council by Quotable Value (QV).
Rating valuations are carried out on all properties in New Zealand, usually once every three years to specifically help local councils apportion rates for the following three year period. Rating values are just one of a number of factors councils use to allocate rates. Council rates will not be updated based on the new 2018 rating valuations until 1 July 2019.
The updated rating valuations should reflect the likely selling price of a property at the effective revaluation date, which was 1 August 2018, but do not include chattels.
The rating revaluation figures compiled by QV show the total ratable value of the 7,209 properties within the Wairoa District Council is now $2,430,125,000 with the land value of those properties now valued at $1,549,822,000.
QV Property Consultant, Philippa Pearse said, “There is demand for residential property in the Wairoa township with values increasing significantly since the last revaluation three years ago. Generally, housing at the lower end of the market has experienced a higher percentage of value growth compared with higher-value properties.”
Average Residential value 40% change 2015 Revaluation to 2018 Revaluation
Further information on how Wairoa residential property values compare to other districts and to all of New Zealand can be found at www.qv.co.nz/property-trends/residential-house-values.
Pearse commented, “Some commercial and industrial properties have also seen value increases, with the average capital value for developed commercial property increasing by 9.4% since the last rating revaluation in 2015, and the average capital value for developed industrial property increasing by 9.2 % over the past three years. However, there have been some value decreases particularly of potentially earthquake prone buildings due to the cost to strengthen and difficulty to secure funding for properties with a NBS (new build standard) below 67%.”
There is strong demand for quality farms with a good finishing ability. A notable observation was the continuing trend of existing farmers acquiring neighbouring properties to increase their scale of economy.
It is helpful to remember the effective rating revaluation date of 1 August 2018 has passed and any changes in the market since then won’t be included in the new rating valuations.
This means in many cases a sale price achieved in the market today may be different to the new rating valuation set as at 1 August 2018 and that rating valuations are not designed to be used as market valuations for raising finance with banks or as insurance valuations.
The updated rating valuations are independently audited by the Office of the Valuer General, and need to meet rigorous quality standards before the new rating valuations are certified.
New rating values will be posted to property owners after 17 October 2018. If owners do not agree with the rating value they have the right to object.
The objection close-off date is 22 November 2018.
For more information please contact:
12 October 2018