Tauranga home values up, Western Bay values fall

Home values in Tauranga City have risen by 1.7 per cent over the past three months; 5.1 per cent year on year and they are now 3.1 per cent below the previous peak of 2007.

Values in the Western Bay of Plenty decreased slightly by 1 per cent over the past three months, however they increased 2.4 per cent year on year, and they remain 6.9 per cent below the previous peak of 2007.

QV homevalue Registered Valuer Jessica Videbeck said the Tauranga market appeared strong with increasing demand and a lack of supply.

"There is a lot of interest in Mount Maunganui homes in the $600,000 to 900,000 price bracket and we are seeing more activity at the top end of the market."

"There are a low number of properties listed for sale in Papamoa and Mt Maunganui and those homes that are for sale, are selling quickly."

"We are still seeing a lot of people moving down from Auckland and buying property in the Bay of Plenty as they look for more affordable homes out of the Super City market."

"There is also a severe shortage of rental properties available due to high demand outstripping supply and this has led to a dramatic increase in rents across the city."