In the second of our articles focusing on New Zealand’s property market, we are taking a look at the region of Wellington, which is made up of Wellington, Lower Hutt, Upper Hutt, Porirua and the Kāpiti Coast. Home to the capital of New Zealand, with its busy port, thriving art and food scene and beautiful surrounding scenery, the region of Wellington is a popular place to live. Thinking of moving to Wellington? At Finance Hub we are here to help you get in the best position financially to make the move.
What is the Average Property Value in Wellington?
Data taken at the end of August 2024, found that the average property value in Wellington was $873,000 and had dropped -3.2% in the three months to August. This puts Wellington property below the average property value of New Zealand as a whole which sits at $957,000. [1]
According to realestate.co.nz the average asking price in August 2024 was $844,182 which is up 0.2% on year before and again sits just below the average asking price in New Zealand which was $844,595.
As for the median house price, in August 2024 it was $790,000.[2]
And How Has this Changed in the Last 10 Years?
Unsurprisingly, the average house value has increased significantly in the last ten years. In March 2014, the average house value was $440, 068 it then rose to a high of $1,083, 681 in March 2022 before falling back to $922,821 in March this year – according to Infometrics. [3]
Which Suburbs in the Wellington Region are Seeing the Highest Increase in the Average Property Value?
The OneRoof-Valocity House Value Index shows that the suburbs with the highest 3 month change to August 2024 in terms of the average property value are:
Wellington: Karori which saw a $26,000 increase to an average property value of $1,123,00
Upper Hutt: Trentham which saw a $13,000 increase to an average property value of $726,000
Kāpiti Coast: Paraparaumu which saw a $1000 increase to an average property value of $813,000
Porirua: Paremata which saw a $3,000 increase to an average property value of $951,000
Lower Hutt: The price didn’t increase in any suburb, but it fell the least in Stokes Valley, it decreased by $2000 to an average property price of $644,000
(It should be noted that OneRoof-Valocity House Value Index only included suburbs where there were 20-plus settled sales in the last year.) [4]
When it comes to the median house price, the suburb of Seatoun is the most expensive suburb which has a median house price of $1,756,800. For those looking for the least expensive suburb, it’s Wellington Central with a median house price of $481,450.[5]
What is the Future of the Property Market in Wellington?
Recently Lower Hutt has also become a more affordable favourite with first-time home buyers in the Wellington Region. Data shows that they made up 47% of all purchases with a mortgage in the district, compared to 40% in Wellington City and 36% in Upper Hutt.[6] As prices continue to rise (which all the banks are predicting), it’s likely more buyers will choose to move further out of the capital where they can get more for their money but still commute in.
What About Renting?
For the year to March 2024, the average weekly rent in the Wellington region was $580, an increase of $17 compared to the year before and $20 a week more than the average weekly rent across the country as a whole. [7]
Again, as with sales, rent has increased steadily over the last ten years, from $356 in 2014.
As for the median weekly rent, in July 2024 it was $650. [8]
If you would like to discuss the best financial options for purchasing property in the Wellington region, get in touch with us at The Finance Hub.
Please note this blog is just a guide, for detailed information and expert advice contact The Finance Hub by calling 0800 346 482
[1] OneRoof House Price Report – September 2024
https://www.oneroof.co.nz/insights/house-price-report/oneroof-house-price-report-september-2024-46146
[2] https://www.opespartners.co.nz/property-markets/wellington
[3] Infometrics https://rep.infometrics.co.nz/wellington-region/living-standards/house-values
[4] OneRoof House Price Report September 2024 https://www.oneroof.co.nz/news/oneroof-house-price-report-september-2024-46146
[5] https://www.opespartners.co.nz/property-markets/wellington
[6] https://www.oneroof.co.nz/news/waitakere-and-lower-hutt-the-top-hotspots-for-first-home-buyers-46252
[7] https://rep.infometrics.co.nz/wellington-region/living-standards/average-rent?compare=new-zealand
[8] TradeMe Rental Price Index July 2024 https://www.trademe.co.nz/c/property/news/rental-listings-skyrocket-as-prices-fall-again
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