Big rush on rental accommodation in Christchurch

People are queuing up for rental homes in Christchurch as students, immigrants and Kiwis returning from overseas put pressure on housing.

Up to 50 callers are inquiring about some houses and agents are fielding several offers on many.

The boom is being stoked by rising house prices, meaning those unable to afford to buy have to rent. David Curtis, director of Resolute Property Management, said the net influx of more than 38,000 people to New Zealand last year is just one of the reasons the property market is straining to cope.

"The latest figures released by Statistics NZ show nearly 100,000 people arrived in New Zealand to stay long-term or permanently in 2002. This net gain of 38,200 is nearly four times higher than the previous year's gain."

Mr Curtis said New Zealanders returning home for lifestyle reasons combined with February's influx of students and buoyant house prices "has really put the squeeze on the residential rental market in Christchurch, with waiting lists for suitable houses growing daily and properties literally being signed-up sight unseen."

The Christchurch median house price rose 3 per cent in December, to $170,000. Harcourts research shows Christchurch house prices have risen an average of 42 per cent in the last 12 years.

University of Canterbury accommodation adviser Denise Morales said it was "difficult for students to find a flat at the moment."

She said some landlords were charging $10 to $20 more a week than last year.

A Christchurch Star reader said he went to view a St Albans property and found a queue at the door. "The landlord said there had been 50 inquiries in the first two days after the advert," he said.

The accommodation manager at Whittle Knight and Boatwood, Alexa Wall, said its Riccarton location made it the first stop for many students.

Inquiries by work transferees from Auckland and Wellington and immigrants from Asia, Britain and Canada mean the company is advertising only once a week.

"The houses are going before they hit the paper. We're just so busy — we're inundated."

Particular pressure is on three to five-bedroom houses in student enclaves Riccarton and Ilam, from Asian families seeking Burnside High School zone properties, and in the Christchurch Boys' and Girls' High School zones.

"Rental prices are definitely escalating, driven by demand. They've gone up 10 per cent in the last year," she said.

Other Christchurch property managers said rental houses were in short supply, and the market had become a "first come, first served" one — "with the right credentials, of course."

- CHRISTCHURCH STAR