2018 is shaping up to be very similar to 2017, with the local housing market remaining buoyant and interest rates low.
We think more buyers will turn their attention north of Wellington, as prices continue to rise in suburbs that traditionally would be considered ‘affordable’ (think Tawa and surrounding areas).
The average sale price of homes in Kapiti jumped 13 percent between December 2016 and 2017—from $480,923 to $545,818. This growth has Kapiti accelerating faster than Wellington, Lower Hutt and Upper Hutt.
Apart from the fantastic value that can be gained on the Coast, we think more people will consider quality of life in 2018 when purchasing a home. Kapiti’s always been a great place to live, but as the improved links to our capital city are finished, and the desirable quality of life better known, it’s likely more people will be willing to commute a bit further to work to get the best possible quality of life for their family.
Most banks are predicting that interest rates will remain relatively stable in 2018, with maybe one or two small rises this year ahead of a possible shift in 2019.
While there’s been a lot of coverage about the 100,000 new homes the Government has pledged to build this increase of supply will have little (if any) impact on the local market, as it’s focused on areas other than Wellington. There will be more impact on property investors with the signalled law changes to the rental market, and the potential capital gains tax that’s up for discussion.
If you’re considering making a move this year, and need some impartial advice, give us a call today on 0800 000 517 to see how we can help you make the most of 2018.