A 10% plunge in banks' home loan approvals has been reflected
in declining house sales volumes in recent months, but
residential home values nationwide are up 8.8% on a year ago.
The national average is up 8.8% and Auckland is up 14.3%.
Central Otago and Queenstown have kept pace at 7.5% and 6.4%
but Dunedin and environs is around 2%, according to
government valuing agency Quotable Value.
The Real Estate Institute of New Zealand (REINZ) reported
February sales figures down 7.6%, with home numbers in the
under-$400,000 level down 17.7%, but the median national
house price was up 8.6%.
QV's national average value for March was $466,665, while
REINZ's median price for February was $415,000.
QV spokeswoman Andrea Rush said the Reserve Bank's
loan-to-value ratio (LVR) ''speed limits'' on bank lending
and its stated intent to hike the interest-driving official
cash rate were helping to level Auckland property values and
lower values in some other areas.
''Home loan approvals nationwide are also down about 10% on
the same time last year.
''Overall, sales volumes are similarly down and the amount of
activity from first-home buyers around the country is also
well down on what it was prior to the LVR speed limits being
applied in October,'' Ms Rush said.
Last week a Reserve Bank report said banks' lending to
borrowers with less than a 20% deposit was down from
representing almost 30% of some portfolios to, on average,
6.7%. The maximum exposure limit imposed on the banks is 10%.
Dunedin QV valuer Duncan Jack said the city's property values
were ''fairly stable''.
''There are still people wanting to buy their first homes
[but] the LVR changes has meant these buyers are having to
wait until they have a larger deposit,'' he said in a
Property values in Dunedin, at 1.9% on a year ago, remained
''steady''. Otago Peninsula and coastal properties showed the
biggest increase in value at 2.1% during the past three
Dunedin city was down 0.2% for the past three months, and
Dunedin South and Dunedin Central and North were both down
0.7% for the period. Ms Rush said the rate of growth in
property values across the Auckland region ''had slowed
Values had increased 0.9% in the past three months and 0.3%
She said values across Christchurch had ''cooled'' during the
past three months, showing a decrease of 1.5% overall.
However, city values compared with a year ago were up 8.3%,
and 18% since the previous property peak of 2007.