Taranaki house prices continue to rise with demand forcing new development sections on the market early
Taranaki house prices hit a record high last month with the median price in the region reaching $630,000.
It was a 31.1 per cent increase from October last year, when the median price was $480,500, Real Estate Institute of New Zealand figures show.
Although the median price went up, the number of houses sold went down.
There was 165 house sales in October 2021, an 18.7 per cent decrease from 203 in October 2020.
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The top sale for the region for October was $1,895,000 in the New Plymouth district, where the median price hit $700,000.
The market was booming in South Taranaki too.
The median price had risen to $443,000 in October – up from $350,000 the previous year.
Demand for housing in South Taranaki has seen developers of a new residential community bring forward the next stage of site sales by five months.
The development, known as Longview, will be a 250-section neighbourhood of different sized sections, which are being sold in consecutive stages.
There were 42 sections released to the market by Bayleys Hāwera within stage one of the development in June with prices ranging from $169,000 up to $244,000.
Of the 42 sections 37 have been sold – with the remaining five expected to be sold before the end of November.
In a press release, salesperson Greg Brunton said the unprecedented demand for sections in the area, as well as the high number of advance sales, meant the second phase, which will see a further 19 sections put on the market, was now being brought forward by five months.
“The market has clearly seen the attraction of affordable land in a newly created neighbourhood within South Taranaki,” Brunton said.
“As the other stages consecutively open up at Longview in years to come, section prices will be reflective of upward price movements in the wider real estate market, combined with inflation.”
Multiple sections within Longview stage one were snapped up by both national home-construction firms keen on building show homes, and Taranaki-based stand-alone builders looking to construct homes to on-sell.
The land, which will eventually house Longview, is still being farmed with the last crop of silage expected to be cut in later November/early December.
On completion Longview will border Turuturu Road and Turuturu Soccer Club and will see the creation of five streets – with a main avenue running through the middle of the development.