The Nelson house market is going crazy, values are still rising, out-of-towners are keen to invest in our sunshine paradise and areas like The Wood are struggling to keep up with the demand.
According to the latest monthly QV House Price Index, Nelson home values rose 3.4% over the past three months and 10.2% year on year. The average value in the city is now $454,565.
The Tasman District also increased by 3.6% over the past three months and 7.0% year on year and the average Tasman house value is now $450,447.
QV home value Nelson Registered Valuer Craig Russell says, “Demand from out-of-town investors is continuing to drive up Nelson home values and we have seen some strong sales prices of late with some properties being sold in a short time period and often in a multi-offer situations.”
Craig says values are rising significantly at the lower end of the market as local first home buyers compete with investors looking for entry level properties.
“Well located properties in good schooling areas have been selling well and homes in the mid-range price bracket of between $500,000 and $700,000 are particularly sought after. There’s strong demand and a lack of listings available in “The Wood” and city fringe areas.
“The lifestyle market in both Nelson and Tasman districts has also seen more activity particularly in the upper price bracket which has been relatively subdued in recent years.”
Craig says due to current listing numbers continuing to fall and cheaper borrowing costs there is no sign of the property market slowing down.