$1m sales as house values rise

Mark and Lynda Middleton have been living in their new Omokoroa home since mid-July and love the lifestyle in the area. Photo / George Novak

House values are up again in Tauranga, with Bay property buyers opting for small-town living in Omokoroa and million-dollar sales in Matua.

State valuer Quotable Value said property values in Tauranga rose 4.5 per cent in the year to September, but remained unchanged from three months earlier, putting them 6.1 per cent below the 2007 market peak.

Western Bay of Plenty property values were also up 2.1 per cent year-on-year, and 0.4 per cent higher than three months earlier.

Demand at the top end of the market was increasing with a number of houses over the $1 million mark selling in Matua in the past few months, said QV registered valuer Mairi Macdonald.

Tauranga couple Mark and Lynda Middleton have just moved into their dream home in booming Omokoroa.

Moving from their lifestyle block in Minden, the pair wanted to downsize but be closer to the water, good facilities and friends. Mr Middleton said it took them about eight months to sell their home in Minden but once they did they bought their section in Omokoroa straight away.

"We have always liked to be close to the water where possible, the facilities here like the golf club and the boat ramp are great and we have lots of friend this way," said Mr Middleton.

Meanwhile, chief executive of Realty Services, which operates Eves and Bayleys, Ross Stanway said he had seen a number of sales in the Matua area over $1 million.

"Some of those properties have just come on to the markets, have been well marketed and well priced, and others which have been on the market for a while have now found buyers."

The upturn in Omokoroa was due to the lack of listings in Tauranga, Mount Maunganui and Papamoa, he said.

Tauranga Harcourts franchise owner Max Martin agreed there had been a lot of Aucklanders purchasing in Omokoroa.

"... The Aucklanders are certainly discovering it, selling their houses for a million or more in Auckland buying a $600,000 to $700,000 there, putting a lot of money in the bank and then enjoying life."

Mr Martin said these trends in Matua and Omokoroa would continue to drive the market in the future.

- Additional reporting by Cassandra Mason