Publication:

Te Puke Times - 2021-11-25

Data:

‘A perfect storm’ Te Puke house prices up 30 per cent

FRONT PAGE

Carmen Hall

Buyers looking for more bang for their buck have helped drive Te Puke house prices up by 30 per cent and real estate agents say the market is running hot. One says it is a “perfect storm” while figures from the Real Estate Institute of New Zealand show the median house price in Te Puke at the end of last month was $717,620, up from $550,000 in October 2020. Neighbouring Pukehina reached $1.1 million compared to $920,000 over the same timeframes while Paengaroa jumped to $695,000 from $580,000. REINZ chief executive Jen Baird says median house prices in the Bay of Plenty region increased by 23.9 per cent year-on-year, reaching a new record high of $900,000. In Te Puke, Pukehina and Paengaroa house prices had also climbed steadily. “As prices rise there is a knock-on effect on satellite towns as buyers broaden their search due to limited stock availability.” She expected that trend to continue as people considered lifestyle changes and beachside living. First National Real Estate Te Puke general manager Cameron Hooper says there had been a migration from Tauranga and Papamoa. “There is huge demand right now for Te Puke. We have seen some cases where house prices are higher than Tauranga. We are fetching up to $1m for a brick and tile house.” Potential buyers were also flocking to open homes. “We are still getting large groups through our open homes, even with the chat around rising interest rates.” Simon Anderson, managing director of Realty Group, which operates Eves and Bayleys, says there were some beautiful properties in Te Puke. “There is good value there and people are willing to pay for it. Te Puke supports a prosperous horticulture and agriculture sector but it’s close to a big city.” Meanwhile, retirees from elsewhere were eyeing up their options. “They are thinking let’s take a bit of capital out of here and move to a lower median price area. That allows them to have some cash in their back pocket.” He says the expressway had also opened up Paengaroa and Pukehina. Property Brokers regional manager for the Bay of Plenty, Simon Short, says the squeeze on the market was evident. “There is a lack of listings and people are being priced out of the market and looking for more affordable housing alternatives. That is the upswing for Te Puke and Pukehina.” “When you marry that up with eagerness and demand and expats returning home . . . it’s a perfect storm.” Short says when Auckland opens up the competition was going to get higher again. Ray White Pukehina owner Rochelle Carter says the market was very buoyant with strong buyer inquiry from Auckland, Waikato, Rotorua and Tauranga. “It is all about lifestyle choice, in this digital world business owners can run their businesses from home.” She said Te Puke was fast becoming a very popular area with a great selection of properties on offer, good schools and a lovely township. Harcourts Tauranga managing director and business owner Nigel Martin said there had been strong interest in larger residential sites that have potential to be subdivided. “Supply has increased slightly in the past couple of weeks which has allowed more choice for the buyers. The price point in Te Puke is attractive for investors and firsthome buyers, people who are priced out of the Pa¯ pa¯ moa residential market are looking at Te Puke as an alternative option.” There were very few properties for sale further out in Paengaroa. “When they do come up for sale they don’t last long on the market. I see the demand for real estate continuing in the new year for Te Puke, the low listing numbers will continue to hold the prices steady.”

Images:

© PressReader. All rights reserved.