Property hotspot you hadn't heard about

PGG Wrightson real estate consultant Hugh Crawford says Dannevirke is a great place to live. Supplied

There has been a cooling of the property market elsewhere in New Zealand, but real estate sales in Tararua are continuing at a cracking pace.

In March, 46 properties sold, 21 of those in Dannevirke, and Hugh Crawford of PGG Wrightson Real Estate said he was confident the trend would continue in the foreseeable future.

"It's great for Dannevirke," he said.

"We have a terrific town, well managed by an excellent council, good schools, a plethora of social activities and, most importantly, populated by caring and friendly people.

"Who wouldn't want to live here?"

So, who is buying?

"The answer is prudent purchasers and investors who recognise value - and Dannevirke has value in bucketloads," Crawford said.

"Make no mistake, these people are doing their due diligence and Dannevirke keeps coming up as a top-value-for-money investment location.

"I can only speak from our companies prospective, but I am sure it is typical across the other agents, who have been very active.

"We are seeing the flow-on effects from both the Auckland, and now Wellington property growth.

"The migration of sellers from the north to purchase in cities such as Hamilton and Tauranga, has then pushed those sellers to other cities such as Napier, Hastings and Palmerston North, and it flows down into the rural towns such as Dannevirke."

PGG Wrightson real estate consultant Hugh Crawford says Dannevirke is a great place to live. Supplied

Crawford said Wellington was seeing a similar trend, as people moved up the coast and into Palmerston North.

"My last two sales have been to a couple from Foxton, who sold their home to a Wellington buyer and to a Hamilton gentleman," he said.

"They both recognised the benefits of value in the Dannevirke property market.

"They also like the location of the town, being able to access many of the big-city facilities within an hour's drive, and the closeness to two airports.

"I recently had two Sunday open homes and of the 22 groups who attended, 18 were from outside Dannevirke.

"I know of two young couples who have recently relocated from Palmerston North.

"Both were first-home buyers, both had finance arranged, but felt there was far better value buying in Dannevirke.

"Both men are happy to commute to work in Palmerston during the week, while their partners have found employment here.

"They indicated the properties they purchased would have been more than $100,000 more expensive on the other side of the Gorge."

REINZ sales figures show 8504 unconditional residential sales in New Zealand last month, representing a 36 per cent increase on February, although an 11 per cent decline on March last year.

Good value:

• In Dannevirke the least expensive house sold in March for $50,000 and the most expensive property went for $325,000.
• Eight of 21 sales in Dannevirke were under rateable value, one sold for rateable value and the rest went for over rateable value.
• In the rural/lifestyle market in Tararua there were 14 sales of which seven were in Dannevirke, three in Pahiatua and Eketahuna and one in Woodville.