Average dwelling values around New Zealand continued to increase in March, although the rate of increase slowed slightly.
According to the CoreLogic House Price Index, the average national dwelling value was $845,491, based on sales over the three months to the end of March. That's up from $827,426 in February, based on sales over the three months to February.
However the three month increase dropped from 7.6% in February to 7.2% in March, suggesting the rate at which property values around the country are increasing has started to slow.
Over the 12 months to March, average residential dwelling values throughout NZ increased by 16.1%.
In the main centres, average values in the Auckland region increased by 6.7% over the three months to March to $1,219,183, in the Wellington region they were up 8.6% to $935,575, in Christchurch they rose 6.7% to $575,721 and in Dunedin it was up 6.6% to $620,990.
The most expensive district for housing in the country was Auckland's central-eastern district, which includes suburbs such as St Heliers and Mission Bay, where the average value was $1,807,348, up 7.9% over the three months to March (see the table below for the average values in all districts).
The least expensive district in the country was Buller where the average value was $239,447, up 5.4% over the three months to March.
CoreLogic's report on the data said the prolonged period of value increases experienced provided a compelling backdrop to the Government's recent housing announcements around the way investment property would be taxed.
"This has led to a discussion on whether the cost will be passed on to tenants, via rents and also whether the change will result in investors withdrawing from the market, which could worsen the state of the rental market," the report said.
"Previous analysis has shown that tenant income acts as an anchor to rent increases, with landlords often unable to pass on increased cost to their tenants.
"Low mortgage interest rates and the phased introduction of the interest deductibility removal will also lessen the immediate impact to current investors and therefore limit any major sell-off," it said.
CoreLogic's full House Price Index commentary for March is available here.
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|CoreLogic House Price Index|
|Three Months to March 2021|
|Territorial authority||Average current value $||3 month change %||12 month change %|
|Auckland - Rodney||1,112,460||6.9%||14.1%|
|Rodney - Hibiscus Coast||1,087,878||7.7%||14.0%|
|Rodney - North||1,136,977||6.4%||14.1%|
|Auckland - North Shore||1,385,394||5.7%||12.4%|
|North Shore - Coastal||1,587,624||5.8%||13.0%|
|North Shore - North Harbour||1,305,033||4.2%||8.2%|
|North Shore - Onewa||1,141,768||6.5%||14.9%|
|Auckland - Waitakere||970,876||6.4%||15.5%|
|Auckland - City||1,439,312||7.2%||14.5%|
|Auckland City - Central||1,211,995||4.1%||10.4%|
|Auckland City - Islands||1,389,444||13.8%||20.0%|
|Auckland City - South||1,313,217||7.8%||16.3%|
|Auckland_City - East||1,807,348||7.9%||14.9%|
|Auckland - Manukau||1,071,928||6.6%||16.2%|
|Manukau - Central||842,527||7.8%||18.1%|
|Manukau - East||1,379,805||7.2%||16.7%|
|Manukau - North West||925,293||5.7%||15.0%|
|Auckland - Papakura||831,459||7.7%||16.2%|
|Auckland - Franklin||791,665||7.0%||15.2%|
|Hamilton - Central & North West||681,784||10.3%||16.9%|
|Hamilton - North East||891,643||6.7%||15.3%|
|Hamilton - South East||673,957||8.2%||16.6%|
|Hamilton - South West||660,227||7.7%||19.9%|
|Central Hawkes Bay||484,997||11.0%||20.4%|
|Wellington - Central & South||1,021,107||8.0%||15.7%|
|Wellington - East||1,104,960||5.6%||15.9%|
|Wellington - North||970,999||8.1%||18.7%|
|Wellington - West||1,209,717||8.4%||19.5%|
|Christchurch - Banks Peninsula||609,483||5.7%||10.9%|
|Christchurch - Central & North||670,393||6.4%||11.8%|
|Christchurch - East||441,320||7.5%||12.7%|
|Christchurch - Hills||788,627||5.1%||12.0%|
|Christchurch - Southwest||546,785||7.2%||11.7%|
|Dunedin - Central & North||644,033||8.0%||17.3%|
|Dunedin - Peninsular & Coastal||565,795||7.7%||15.2%|
|Dunedin - South||594,244||5.1%||13.5%|
|Dunedin - Taieri||640,714||6.3%||14.3%|
|Main Urban Areas||963,527||6.9%||15.6%|