Invest in Property in Whangarei This Year – The Market’s Still Strong
After holding steady for the past 18 months, house prices across Auckland fell in December. QV average Auckland house prices were overall down 0.4 percent year-on-year.
What does this mean for Northland and Whangarei property investment? Will easier house prices mean it’s easier to yield a good rent return?
Word from the top: REINZ chief executive Bindi Norwell has said she expects 2019 to be another good year for Northland sales.
REINZ figures show the median price for residential properties up north started at $425,000 in January 2018 and finished at $515,000 in November 2018.
Only Gisborne (26 per cent) and Wellington (22.4 percent) trumped Northland in the percentage rise over that period.
Northland house sales weren’t too far behind the national median price increase which was 10.6 per cent. Over half of the 2300 residential properties over the 11 months were in the $330,000 and $600,000 range across Northland.
There were 44 $1m houses sold in the Far North, 32 in Whangarei and 28 in Kaipara.
Whangarei Remains Strong for Rental Property Investment
Property investors wishing to purchase a place and have Rentals.co make the most of it should consider that the highest rental yields in Whangarei right now are found in properties in Morningside/Raumanga/Maunu where a 12.9% annual rent change has occurred, delivering a rental yield of 5.3% – well higher than any other part of Whangarei.
The median value of all properties in Whangārei has in the last year risen 9.7 per cent to $520,000, although growth in the past quarter has been a modest 2.8 per cent. There has been a drop in buying activity by investors and owners of multiple homes.
Rental yield has been best in Whangarei’s more affordable suburbs, however anyone looking to purchase a property simply to see it rise in value should look at Ngunguru (median $766,000, up 16%), Tikipunga (median $435,000, up 12%), Woodhill (median $444,000, up 15 per cent) and Whangārei Heads (median $720,000 up 14 per cent).
Opua, Paihia, Ahipara and Kaeo have all had striking rises in the median price, even humble Moerewa, which has had a 21% median house sale price increase.