Julie Coombes and Russell Doughty, from Century 21, say Te Puke is becoming a hot spot for investors as more Aucklanders eye the market. Photo / Andrew Warner
Julie Coombes and Russell Doughty, from Century 21, say Te Puke is becoming a hot spot for investors as more Aucklanders eye the market. Photo / Andrew Warner
The residential property market is "on a roll" in Katikati and Te Puke with the towns selling more houses year-on-year since 2012 - driving growth in the region and boosting confidence.
The towns are experiencing the spin-offs of a buoyant market, with Aucklanders stamping a mark on both, a trendlocal agents predict will continue, while business leaders say there is "a positive feeling out there".
House sales in Katikati increased from 106 in 2012 to 134 in 2014 and the median sale price lifted from $307,000 to $326,000, Real Estate Institute of New Zealand figures show.
Last month, 18 houses sold for a median sale price of $385,000 compared with nine sold in April the previous year.
Te Puke house sales jumped from 76 in 2012 to 118 in 2014 and the median sale price went from $280,000 in 2012 to $293,500 in 2014. Last month, 13 houses sold, compared with 10 in April 2014, however the median sale price fell from $312,000 to $295,000.
Realestate.co.nz said its 2015 first-quarter listings for Katikati were 126, up from 101 over the corresponding time a year earlier, while Te Puke numbers rose from 70 to 83.
Eves and Bayleys Real Estate chief executive Ross Stanway said Katikati was tracking in the same direction as Tauranga and Mount Maunganui. Interest from outside the region was higher and evident in sales to Auckland and Waikato buyers, he said.
"It is tracking upwards from 12 months ago when it was 50 per cent from outside the region and local people" he said.
Claridges Real Estate Katikati principal Merv Gardiner said there had been a big increase in Auckland buyers, and people from Tauranga were moving. Houses in the $350,000 to $500,000 were shifting the fastest. "Katikati is growing and there is room for expansion ... a lot of other regional small towns aren't going very well."
In Te Puke, Century 21 branch manager Russell Doughty said: "It is very busy ... probably 25 per cent of the properties sold recently were to investors ... with Aucklanders buying rental properties."
Eighty per cent of sales had been in the $300,000-$400,000 range.
Harcourts Katikati franchise owner Kevin Devitt said sales in the town had been going "really well".
"Listings around New Zealand are getting harder to find, people are resisting putting their homes on the market at the moment, maybe it's the winter blues. Those that are being put on the market are selling quite readily and we're getting quite a few multi offers."
Mr Devitt said the big demand in Katikati was for homes in the $350,000 to $500,000 price point, and producing orchards were also getting harder to come by.
Western Bay of Plenty District Mayor Ross Paterson said the housing market activity was positive and the council had been investing into infrastructure so it could cope with potential growth.
"We have made a commitment so we won't put people off and say you can't subdivide because we can't handle your wastewater.
"That has been our investment now and that will stand there for the future as these people come into the community."
