The charming design of this four-bedroom Haumoana home was said to be only one of its drawcards for buyers.
The charming design of this four-bedroom Haumoana home was said to be only one of its drawcards for buyers.
From residential to commercial investment properties, buyer demand is continuing to heat Hawke's Bay's property market.
The auction of a four-bedroom Haumoana home at Bayleys Havelock North office had been brought forward a week due to a pre-auction offer of $1.1 million, but yesterday it sold to another bidder for just over $1.5 million.
Set on 7ha in Haumoana, the four-bedroom home had been converted from a corrugated iron packhouse with the help of renowned local architect Peter Holland in the mid 1990s, and provided "multiple land use options in this prime location".
The property offered a good lifestyle and good income, as the land was tile drained, had two levels offering two different soil types, and was planted predominantly in nectarines, plums and apricots.
However, its sale price even exceeded the expectations of agents Kris August and Tim Wynne-Lewis.
The vendor had been happy enough to accept the pre-auction offer, Mr Wynne-Lewis said, but that bidder was outdone at yesterday's auction, which was attended by "plenty of interested bystanders".
"There's plenty of demand for these sorts of properties," Mr Wynne-Lewis said. "We can't get enough of them."
Yesterday's was not the only auction Bayleys had brought forward recently, which Bayleys East Coast regional general manager Gary Brooks said showed the level of interest in the Bay property market.
"The market is definitely very, very buoyant, it's a reflection of low interest rates and a shortage of properties," he said.
Mr Brooks said last month was the best May Bayleys had seen in six or seven years.
"The average price is increasing well ahead of the RV, we're definitely seeing properties selling competitively, and selling ahead of where realtor's expectations are, it's fantastic."
Colliers International also had a good week, selling a 1315sq m corner property at 1 Leyland Street, Onekawa, tenanted by international company BOC Gases, to an out-of-town investor for $1,900,000 at a yield of 6 per cent.
The $1.9 million sale of this 1315sq m corner property in Onekawa, was one of the Bay's quality investments which are being snapped up fast.
Colliers International commercial broker Kerry Geange said there was considerable interest in the property.
"Within a few days of listing the property, we were dealing with multiple parties with genuine interest in the property from all over the country," he said.
Recent investment property activity had been strong and there had been a noticeable shift in yields over the past six months. While the cost of finance was looking to stay at its new low, and with record yields being achieved for commercial investment property in metropolitan centres, Mr Geange said he expected activity in the local market to continue to stay strong.
