Media Release C/- Far North District Council
Residential property values in the Far North have rebounded from falls recorded three years ago, but Quotable Value says the District is yet to catch up with peaks seen in 2007.
Quotable Value (QV) this week sent out Notice of Rating Valuations to all Far North District property owners. The rating valuations are commissioned by the Far North District Council, which uses the land value portion of valuations to help it set rates every three years.
Wayne Shum QV Rating Manager - Northern says that the residential price index in the Far North has increased 14 per cent since 2013, but remains 8.3 per cent below peaks recorded in 2007.
He says that overall, residential property rateable values (land values plus the value of improvements) have increased by an average of 17 per cent in the last three years.
“This increase was led by Kerikeri, especially over the past 18 months, although increases have not been felt evenly. For example, mid-value properties in Kerikeri have seen an increase of approximately 30 per cent, while lower-value properties have seen even larger increases,” he says.
However, trends seen in Kerikeri have not been repeated everywhere. Values in Kaeo, Haruru, and areas around Kaitaia, Kawakawa and Ohaeawai have increased more than areas that have traditionally been buoyant, such as Russell, Opua and Waitangi.
“It’s also important to remember rating valuations are a snap shot in time and were set at September 1, 2016. This means any increase in property values since that date will not be reflected in the new rating valuations.”
Roger Taylor, Far North District Council General Manager – Corporate Services, says many Far North property owners will be pleased to see their most valuable asset increasing in value. Others, especially those on restricted incomes, may be concerned increasing residential property values will also increase their rates bill.
“While QV looks at your whole property, Council only includes the land value when calculating rates. We do not include the value of buildings or improvements.
“Land values in the Far North have increased by an average of 11.7 per cent. Property owners whose land values have increased more than 11 per cent may see higher rates, but for most this will have minimal impact. Some property owners may even see a decrease in rates where land values have gone down.”
Mr Taylor said anyone who feels the updated rating valuation of their property is incorrect should call QV.
“If your concerns aren’t dealt with over the phone, you can lodge a written objection. But the clock is ticking. Far North property owners have only until 2 December to lodge objections with QV.”
He said that new rates will be set by the Annual Plan 2017/18. Council will consult with residents on this from March 2017. No new rates based on the updated rating valuations will be charged until July 2017.