The updated Hastings District Council Rating Valuations are now out. These reflect an overall increase in house values of 17.9% over the past 3 years to 1st August. The Rural sector rose 18.1% and the commercial sector rose 7.6% since the last revaluation in 2013.
Here at Added Valuation, property valuers in Hawkes Bay, we think the overall increase in house prices was lower than expected. They seem consistent with some of the statistics, but likely fail to reflect some of the more current market movement, particularly in the months from May to August, due to the delay in property sales data being available.
We expect most properties currently on the market will continue to sell above the new rating valuations.
A greater increase in commercial property values was also expected. Demand for quality investment properties has been exceptional recently. The rating values, done on a mass-appraisal basis, are generally unable to reflect the specific lease terms critical to the market value.
We encourage people not to place too much reliance on their rating valuation assessment. As QV say (the entity that undertake the mass appraisal valuations), they are just a mass-appraisal assessment, and are unable to adequately consider the individual characteristics of every property. If you need an accurate assessment of your property’s market value, we recommend you contact us, Added Valuation, expert property valuers in Hawkes Bay.
For the recent press release and our commentary see this Hawkes Bay Today Article.