Steady rise in PN property prices

Palmerston North property values are still beneath their peak, but are continuing their steady rise, the latest Quotable Value (QV) figures show.

Statistics released yesterday by QV put the average value of a Palmerston North residential property at $284,012 in January.

That was a jump of 3.8 per cent from the same time last year, when values had declined  0.1 per cent in the previous 12 months.

QV research director Jonno Ingerson said the increases in Palmerston North and other provincial areas were good to see.

‘‘While the rate of value increase is not as fast as Auckland and Canterbury it does signal an increase in confidence across most of the country.

‘‘The increase in nationwide values is no longer solely being driven by Auckland and Canterbury.’’

House prices were likely to continue to rise through the year as more people flocked to the market, he said.

‘‘The number of new listings coming onto the market has been fairly stable since 2009 and well below the levels seen at the peak of the market.

‘‘Now that sales volumes have picked up the number of properties currently for sale has also dropped to very low levels.

‘‘The overall result is upward pressure on prices.’’

Nationally, values in January were $426,452 – up 6.2 per cent for the year and 2.6 per cent higher than the previous peak values from 2007.

Manawatu Standard