The Hawke's Bay Luxury Property Market

DATE 20th Oct 2017

The Hawkes Bay region has long attracted those who enjoy long hot summer days, an abundance of delicious stone fruit, award winning wines and some of New Zealand’s best art deco style architecture, however more recently out-of-town buyers have been attracted by its unique luxury property market.

Luxury property sales seem to have held their ground in the Hawkes Bay despite the more recent trend towards a settling in the New Zealand wide housing market. Attractive yields, strong growth and low interest rates are enticing overseas investors and buyers from all over New Zealand. Hawkes Bay has become the go-to destination for city dwellers wanting their own piece of paradise away from the crowds and hectic pace of city life.

Lack of supply has always been an issue in the Hawkes Bay region with relatively few houses coming to the market at any one time. This rarity only adds to the sense of exclusivity particularly when high end properties become available, but has also sent many in search of house and land packages, vacant land - new build opportunities and spec homes. New Zealand wide the impact of new lending restrictions have made building from scratch an attractive option for many buyers.

Suburbs Of Interest

Take a look below for a rundown on suburbs of interest to luxury property buyers in the Hawkes Bay. Please note all property stats and figures that follow are thanks to Quotable Value (QV) and current as at October 2017.

Parkvale – Hastings

Right on Havelock North’s doorstep, Parkvale is popular with ‘mum and dad’ investors. Good schools (Karamu High School zone), quiet streets and a family friendly atmosphere make for a great community vibe. The current median home value in Parkvale is currently $372,150.

Frimley – Hastings

An established suburb, Frimley sits at the edge of the Napier Hastings Expressway on the northern side of the Hastings township with Frimley Park at its centre. With a hospital and good schools nearby Frimley is considered one of the best suburbs in Hastings. The median home value in Frimley is currently $485,100.

Havelock North – Hastings

Considered to be one of the most desirable suburbs in Hastings, Havelock North is home to three private schools, pretty picturesque tree lined streets and charming historic homesteads. The median home value is currently $622,600 but properties here have been known to sell for upwards of 2 to 3 million dollars in this very sought after area.

Haumoana – Hastings

A suburb of Hastings with a great community feel, Haumoana is situated south of the Tukituki River outlet. The proximity to the beach makes Haumoana popular along with larger lifestyle size sections and properties with stunning views. The median home value is currently $483,950.

Other – Hastings

Others areas around Hastings worth mentioning are Tuki Tuki with recent additions like the River Lodges development set alongside the Tukituki River, and more established properties in the surrounding countryside. Raukawa, Waimarama, Waipawa and Te Awanga are also places of interest.

Taradale – Napier

Crossing to the Napier side of the Ngaruroro River, Taradale is one of the most sought after suburbs. A favourite with commuters due to its close proximity to both Hastings and Napier, Taradale and nearby Greenmeadows provide an escape from central city living and are in fact home to several of the Hawkes Bays most prominent wineries. The median home value for Taradale is currently $496,800.

Bluff Hill and Hospital Hill – Napier

Overlooking the ocean and taking in spectacular views of Ahuriri and the distant ranges, Hospital Hill and its neighbour Bluff Hill make up what is known as Napier Hill. Within walking distance to central Napier and the Ahuriri Restaurant and Café Strip, homes in this elevated area are very desirable with sales here having been known to top the million dollar mark. The current median home value in Bluff Hill is $621,350 and in Hospital Hill $583,250.

Poraiti – Napier

A great area for families, Poraiti has a rural feel with larger lifestyle sized properties and subdivisions set amongst its rolling hills. Close proximity to Napier, the Napier Airport and easy commuter routes as well as cycle trails and the popular Park Island Recreation Ground mean Poraiti provides a haven for those seeking to escape the hustle and bustle of the city. Current example property prices are $500,000 for a .5 hectare section and $895,000 for a 1.5 hectare property with a 5 bedroom house.

Westshore – Napier

Encompassing the Napier Airport, the suburb of Westshore is one of Napier’s premium beachfront areas. Homes along the waterfront in Westshore have been known to reach over a million dollars, with several currently for sale in the late $900,000 region. The median home value is currently $628,200 in Westshore.

Bay View – Napier

To the north of Westshore lays the suburb of Bay View. Uninterrupted oceanic views, easy beach access and a holiday feel 365 days of the year make homes in Bay View very popular. With only three sales recorded by QV in the last 3 months, and a median sales price of $812,000 it is obvious homes in Bay View are very sought after. The median home value is currently $568,200 in Bay View.

Other – Napier 

Heading up the coast, places like Tangoio and Eskdale are home to some of the more remote luxury properties in the Hawkes Bay area. Eskdale has a current median sales price of $932,500.

Quick Hawkes Bay Property Stats

For the whole of the Hastings District, average house values are up by 17.6% in the last year, 38.5% since 2015 and 46.1% since 2014. The median sales price is currently sitting at $365,500, up 16% from Capital Values set in August 2016.

For Napier, house values are up 18.4%, 39.8% since 2015 and 41.6% since 2014. The median sales price is currently $394,000, up 37% on Capital Values set in September 2014.

And for the Central Hawkes Bay District average values are up 23.9%, 36.9% in 2015 and 37.9% in 2014. The median sales price is currently sitting at $227,250, up 33% on Capital Values set in September 2015.

Quick Links

When searching for the perfect luxury property investment whether it’s in the sunny Hawkes Bay, the midst of downtown Auckland or deep in Queenstown’s rugged back country hills, finding the right property can be tough and time consuming at times. Local knowledge, regional awareness and ‘eyes and ears’ on the ground can make all the difference, NZ Sotheby’s International Realty are the experts in luxury property sales in New Zealand and are here to help, give us a call today.