Job losses have been blamed for falling West Coast property values, with Reefton land hit nearly 40 per cent in the last three years.
Richard Kolff, QV Buller rating revaluation lead valuer, said yesterday Reefton land values were down 39.7 per cent since 2013 and Westport dwelling values dropped 20.3 per cent in the same period.
"Westport and Reefton have seen the greatest decrease in values driven mainly by the job losses associated with the downturn in the mining industry and the closing of the Holcim cement plant has been a further influence on jobs and thus demand for housing in the Westport market," Kolff said.
The Buller District rating revaluations for 2016 were released this week and those showed residential values across the entire region down 18 per cent since 2013.
"In Westport, residential dwellings have had a drop in capital values of 20.3 per cent and an overall reduction in land values of 35.2 per cent. For a dwelling, the average capital value is $183,000 and the average land value is by $51,000," Kolff said.
"The market has shown that poorly presented properties have had a greater reduction in value than new or well-presented properties in terms of sales prices achieved on the market," Kolff said.
"In Reefton, the average capital value of dwellings is $148,000 and the average land value is $35,000. This represents an overall decrease in capital values of 24.6% and an overall decrease in land values of 39.7 per cent," he said.
"The commercial and industrial business sector has also seen a reduction in total values since the last rating revaluation in 2013, with capital values 20.6% lower than 2013 and land values 22.2 per cent lower," he said.
"Dairy farming dominates the rural market in Buller and the positive outlook for milk prices have led to farming prices remaining stable overall compared with the 2013 values," he said.
"Lifestyle property value changes are more aligned to the residential market than rural, and the capital values have decreased by 13.1 per cent and the land values have decreased by 14.5% in this sector of the market.
"Overall, value changes reflect the challenging economic conditions the Buller District has faced recently, with the greatest effects seen in the residential and business markets in Westport and Reefton.
"The current outlook for all of the region's major industries including mining, dairying and tourism is now increasingly more positive. We expect it will not be long before that is reflected in a more active market and an upswing in values."
QV said this month that Auckland values were up 12.6 per cent annually and New Zealand values were up 12.4 per cent in the year to November.
Read the full Buller statement here: