A property has sold almost every day on average in Havelock North (pictured) over the past 12 months. Photo / Paul Taylor
A property has sold almost every day on average in Havelock North (pictured) over the past 12 months. Photo / Paul Taylor
Havelock North and Taradale are the most popular suburbs to buy a home in Hawke's Bay, according to new data on the number of homes sold in each suburb over the past year.
OneRoof-Valocity released its latest real estate figures today showing trends in the hot property market across theregion.
Hawke's Bay's average property value rose 32.2 per cent in the 12 months to November 15, second only to Canterbury (32.7 per cent increase) during the same period.
The average property price in the region is now a staggering $878,000, up from $664,000 a year ago.
However, a real estate expert says the brakes could soon be applied to surging property prices, due to rising interest rates and tighter lending restrictions.
The latest figures also show which suburbs are the most popular for people to buy into.
The top five suburbs for house sales during the past year were Havelock North where 362 properties were sold, followed by Taradale (276), Flaxmere (162), Greenmeadows (113) and Onekawa (111).
Taradale (pictured) is second only to Havelock North for the number of homes sold in suburbs across Hawke's Bay. Photo / Paul Taylor
The next five suburbs on the list include Napier South with 107 properties sold, Marewa (106), Poraiti (103), Mahora (98) and Raureka (97).
OneRoof.co.nz editor and real estate expert Owen Vaughan said Hawke's Bay had seen a lot of demand across a variety of suburbs and a big jump in house prices.
He said that could slow down in the coming months.
"The interest rate rises and changes in lending restrictions that have come in from the banks have put the brakes on the market somewhat.
"When we talk about the brakes on the market I don't mean house prices dropping I just mean the rate of growth is slower than what it was at the start of the year or even in the past three months," he said.
"In Hawke's Bay, much like Canterbury, there is still a fair amount of demand but going into the New Year I don't think we will see the kind of surge we have seen [earlier in the year].
"You are going to see a little bit of a contraction in people's spending habits as they adjust to higher interest rates."
He said a high volume of sales in a single suburb could mean a variety of things, such as an area being well sought after or popular among first-home buyers.
Suburbs in Hawke's Bay with the most house sales (November 2020 to November 2021):
