The Oak View subdivision in Gisborne is among the new builds in the region, which is seeing significant growth in its real estate market. Photo / Liam Clayton
The Oak View subdivision in Gisborne is among the new builds in the region, which is seeing significant growth in its real estate market. Photo / Liam Clayton
Gisborne has bucked a nationwide trend of falling consents for new homes – jumping by more than 25 per cent over the past year.
The region has also recorded the highest increase nationally for house sales in March with a rise of 27.8 per cent from 12 months ago.
Bayleys’ Simon Bousfield said the figures highlighted how the local market had a “real amount of positivity”.
Figures from Stats NZ show the region and its southern neighbour Hawke’s Bay are the only two in which residential consents have increased in the 12 months from February 2023.
While the country’s most populated regions have seen large drops in consents, the Gisborne district has seen a 27 per cent jump.
The number of consents granted nationally dropped by 25 per cent.
“Gisborne is the only region that has recorded a consistent annual increase in the number of homes consented since the year ended October 2023,” Stats NZ construction and property statistics manager Michael Heslop said.
There were 196 new homes consented in the Gisborne region in the year ended February 2024, up 27 per cent from the year ended February 2023.
“This increase was mainly driven by the rise in multi-unit homes consented,” Heslop said.
The rise in consents in the Gisborne region included 111 multi-unit homes (up 39 per cent) and 85 standalone homes (up 15 per cent).
Stats NZ figures show the number of new dwellings consented per 1000 residents in the Gisborne region increased to 3.7 in the year ended February 2024, compared with 2.9 in the previous year.
The real estate market in the Gisborne region is rebounding after a tough 2023. Photo / Alan Gibson
Nationwide, the number of new dwellings consented per 1000 residents was 6.9 in the year ended February 2024, compared with 9.4 the previous year.
“The number of new dwellings consented per 1000 residents in the Gisborne region has generally been lower than the number for all New Zealand, but this gap has been closing in the last year,” Heslop said.
It was the region with the highest percentage growth in house sales from a year ago.
REINZ chief executive Jen Baird said the market was more active, with more options for buyers.
“Sales activity was higher in 13 of 16 regions compared to March 2023.
“Seven of those regions’ sales counts increased by over 10 per cent.
Buyers have a lot more choice than a year ago in the Gisborne property market. Photo / 123rf
“Gisborne led the way with the highest year-on-year increase in sales, plus-27.8 per cent, reflecting a more usual level of demand, bouncing back from the low levels post the devastation of cyclones Hale and Gabrielle in early 2023.”
Sales in the Gisborne region for March were the highest monthly tally since December 2021.
The REINZ statistics also showed the Gisborne region had the biggest increase in auctions in March, rising 52.9 per cent from the previous month.
‘A lot more optimism out there’
Nationally, 17.6 per cent of properties (1147) were sold via auction in March, compared with 11.6 per cent (700) in March 2023.
Gisborne-based Bousfield – a repeat recipient of the Bayleys Top 5% Salespeople nationwide honour – said the local property market had returned to a healthy position.
Last year it was impacted badly by a series of severe weather incidents, including Cyclone Gabrielle and the related recovery.
He noticed a big upswing from the start of this year.
“In January we saw a lot more optimism out there.”
That amplified in February and March with a big jump in monthly house sales.
Those exceeded sales figures from three years ago when the “market took off”.
“A lot of people have come to market and the market is delivering some really good results.”
Neil Reid is a Napier-based senior reporter who covers general news, features and sport. He joined the Herald in 2014 and has 30 years of newsroom experience.
