Home Values in Manawatū District Decline by 7.6% in Latest Assessments

The latest assessment from Quotable Value reveals that home values in the Manawatū District have decreased by an average of 7.6%. As of the recent revaluation, the average house value now stands at $618,000, while the average land value has fallen by 12.3% to $279,000. This decline reflects changes between August 2022 and the middle of 2023.

Jason Hockly, lead valuer at Quotable Value, explained that although values have diminished, most markets in the region have remained stable since mid-2023. “The reduction in values primarily occurred from the middle of 2022 to the middle of 2023,” Hockly noted.

The residential market in Feilding exhibited mixed results. While lower-valued properties showed slight increases since 2022, higher-valued properties experienced moderate declines during the same period. Property owners in the district can expect to receive a notice of rating valuation in the mail, which will include updated values for their homes.

Rating valuations are generally conducted across all properties in New Zealand every three years to assist local councils in setting rates for the upcoming period. These valuations indicate the potential selling price of a property, excluding chattels, as of the effective revaluation date of August 1, 2025.

The recent assessments cover 15,697 properties, with a total rateable value for the district now at $15.5 billion. The land value of these properties is calculated at $8.9 billion. Hockly highlighted that larger residential land parcels, particularly in northern Feilding, have shown significant decreases in value. In contrast, the commercial and industrial markets have remained largely stable since 2022. Commercial properties have seen a capital value increase of 1.6%, while industrial properties have risen by 6.4%.

In the rural sector, average hill country properties have experienced a substantial decline of 20% in capital values since the last rating revaluation. Easier contoured and finishing land has shown slight reductions, whereas most dairy land has retained its value. Overall, dairy farms decreased in capital value by 3.2%, while pastoral properties fell by 10.5%. Horticultural properties recorded an 8.0% decrease, and forestry properties dropped by 19.3%.

The lifestyle property market has also faced moderate declines, with values decreasing by 10-15% since 2022. Land values in this category have decreased between 10-25%, particularly in the southern and central parts of the district. On average, lifestyle properties have seen an 11.1% reduction in capital value and a 16.7% drop in land value.

Notices regarding the new rating values were sent to property owners starting on November 7, 2023. Property owners who disagree with their rating valuation have until December 12, 2023, to lodge an objection.