House prices up in Maraenui

Napier's Maraenui has had the biggest turnaround in median sale prices in Hawke's Bay from last year with a 25.46 per cent increase this year, as the suburb has gone through "significant corrections", a new report shows.

The median sale price of $125,000 in 2012 increased to $170,000 this year according to a Hawkes Bay market overview report by property valuation company, My Valuer.

My Valuer director Andrew White said suburbs like Maraenui that had the largest decrease when the market flattened out, have "gone through significant corrections" in the past year.

Tremains Real Estate Ltd Napier/Taradale sales manager Stuart Christensen said there had been a number of investors in the past eight weeks show interest in Maraenui properties.

"Just last month we had nine investors in one room bidding for a Maraenui home, that just never used to happen. Six months ago, a year ago you just couldn't sell them."

He said as long as interest rates did not climb significantly the trend would continue.

"It's what's affordable at the moment and they are good homes for investors and first home buyers, with KiwiSaver being a huge help to them."

Leaders real estate regional sales manager Judith Domney said there had definitely been an increase in interest and the number of homes sold in the $200,000 to $300,000 range that encompasses the Napier suburb.

"A lot of first home buyers and investors are looking at homes in that bracket. Hopefully the demand will extend to homes across all the price brackets," she said.