Buyers typically pass over homes with these problems.
What do Pāpāmoa Beach, Hairini, Ōtūmoetai, Pāpāmoa and Poike have in common?
They are Tauranga's best-performing suburbs post-Covid-19 lockdown.
As the one-year anniversary of the lockdown approaches, the latest OneRoof-Valocity house price index reveals how suburbs have tracked since March 25.
Pāpāmoa Beach was the top-performing suburb climbing 22.3 percent in median value to $905,000, while Hairini came in second rising 19.3 per cent to $695,000.
Tauranga South was the worst-performing suburb recording a small 2.4 per cent increase to $745,000 followed by Ōhauiti, which jumped just 5.4 per cent to $960,000.
But Tauranga real estate agents say there has been demand across all suburbs in the past year.
Managing director of the Realty Group Ltd, which operates Eves and Bayleys, Simon Anderson. Photo / Andrew Warner
Managing director of the Realty Group Ltd, which operates Eves and Bayleys, Simon Anderson said all suburbs were in demand.
"All the rules have been thrown out. The old rule book on buying property has been thrown out in the last year. People have transacted where they can."
However, he said buyers were doing less due diligence when it came to buying property.
"Buyers have become more aggressive in their decision making.
"We've seen more first-home buyers in the market because interest rates have been so low, as well as clever funding through other means."
Long-time investors had exited the market making way for newer investors, he said.
Anderson said there had also been higher success in the auction room and marketing property in print was being complemented by more use of social media.
"It's popping up everywhere."
But he said the market would start to settle and "we'll go back to the true basics on property, which is location, location, location".
"The market will start to level out and find a happy medium."
General manager of Tremains Bay of Plenty and Waikato, Anton Jones. Photo / George Novak
General manager of Tremains Bay of Plenty and Waikato, Anton Jones said Pāpāmoa and Pāpāmoa Beach had certainly seen high growth.
"But the demand, in general, is very large in all areas."
One major trend to come out of lockdown had been a fear of missing out, Jones said.
"First-home buyers are very keen to get on board because renting is getting tricky."
But, he said, getting finance approval from busy banks had certainly become noticeable in the past few weeks.
"Reports are coming in it's taking three-to-four weeks to get it.
"The banks can't process finance approvals quick enough."
Oliver Road Estate Agents partners Jason Eves and Cameron Winter. Photo / Supplied
Oliver Road Estate Agents partner Jason Eves said there were significant factors at play when interpreting the reasons for a suburb's house price index shift over a short period.
"It's no secret that the market has been very active since lockdown, with better than normal growth and a contributing shortage of new property coming to market.
"The shortage of inventory in our market segment is oftentimes related to property owners' fears with regards to finding and successfully purchasing their next home in the current market; the shortage of new property coming to market is being exacerbated by the shortage of listings.
"With the growth and popularity of Tauranga as an aspirational lifestyle location for both NZ residents and those abroad, the relative shortage of available property, and the favourable home lending rates, I don't see our segment's steady market growth changing anytime soon."
OneRoof editor Owen Vaughan said the post-Covid housing market surge, fuelled by low-interest rates, plus the return of the loan to value ratio restrictions meant many first-home buyers in the city faced steep deposit requirements.
"It is getting harder for first-home buyers to save for a deposit."
James Wilson, director of valuations at OneRoof's data partner Valocity. Photo / Supplied
James Wilson, director of valuations at OneRoof's data partner Valocity, and head of research Wayne Shum said Tauranga's housing market had continued to strengthen.
The city's median value of $850,000 reflected a 17.8 per cent increase since the lockdown period.
Wilson and Shum said there was also strong performance spreading across Tauranga suburbs.
"Since lockdown, after an initial period of slow/declining growth, we have now seen growth return to most suburbs, with all suburbs experiencing growth since the lockdown."
Pāpāmoa Beach was leading the growth at 22.3 per cent post-Covid.
"However, it is important to note that sales volumes in these areas have been low, making value trends somewhat volatile.
"First-home buyers' share of the market declined from 33 per cent to 27 per cent in line with national trend, investors remain at 20 per cent."
