Hawke's Bay's property market is showing no signs of slowing, as the national house value pushes past the 2007 peak.

The latest monthly QV House Price Index revealed Napier home values had shown strong growth, increasing by 3.7 per cent over the past three months and 11.2 per cent year on year - the average value is now $365,895.

Hastings values rose 4.1 per cent over the past three months and 10.6 per cent year on year to an average value of $339,439.

Property Brokers regional manager Paul Whitaker said he saw no reason why market growth should not continue for at least another nine months. "There's a massive shortage of listings right across Hawke's Bay, which is creating exceptional buyer demand."

Advertisement

Demand from a mixture of first home buyers, and out of town and local investors across all price bands was "putting the heat on Hawke's Bay", and also starting to impact rental values.

Tremains Real Estate director Simon Tremain said they were encouraging people to sell their homes without a fixed price to let buyers decide the price for themselves.

"Currently 70 per cent of properties are selling in the first two or three weeks," he said.

Leaders managing director Elanor MacDonald said listing numbers were down, but there had been strength coming from the top end of the market which was boosting sale prices along with general demand.

Bayleys Havelock North sales manager Daniel Moffitt said things normally slowed down this time of year, however they were seeing an increase in sales with demand being driven by local and Auckland buyers.

QV homevalue Hawke's Bay registered valuer Bevan Pickett said all sectors of the market were strong with the entry level to mid-price brackets of homes under $400,000 particularly buoyant.