Marlborough property owners will soon receive a 2020 Notice of Rating Valuation in the post with an updated rating value for their property.
The new rating valuations have been prepared for 27,118 properties on behalf of the Council by Quotable Value (QV). They show the total rateable value for the district is now $23,563,000,000, with the land value of those properties now valued at $11,840,000,000.
Rating valuations are usually carried out on all New Zealand properties every three years to help local councils set rates for the following three-year period. They reflect the likely selling price of a property at the effective revaluation date, which was 15 August 2020, and do not include chattels.
On average, the value of residential housing has increased 22.6% since 2017 with the average house value now sitting at $559,000, while the corresponding average land value increased by 36.6% to an average of $262,000.
QV valuer Richard Kolff commented: The demand for residential housing was buoyant across the region, with most townships in the district seeing increases of between 15 to 25% overall. Demand for sections has also been strong and as a result of limited supply land values have increased 37% for the district overall.
The district has a healthy local economy that is well supported by wine production, agriculture and forestry. This has flowed through to the housing market, and combined with very low interest rates and high demand, the market has continued to thrive. Lower value properties have seen the most competition from buyers and has seen the greatest value increases.
Meanwhile, commercial property values have increased by 5.7%, and property values in the industrial sector have increased by 14.7% since the district's last rating valuation in 2017. Commercial and industrial land values have also increased by 13.7% and 23.7% respectively.
Residential housing value changes since 2017 revaluation levels.
Since 2017, the average capital value of an improved lifestyle property has increased by 16.7% to $864,000, while the corresponding land value for a lifestyle property increased by 18.5% to $399,000.
Lifestyle properties typically align in value with high-end residential properties and this segment of the market has seen a more modest increase in values than the residential market overall, Mr Kolff added.
He said the rural market remained strong for vacant land with viticulture development potential and much of this was occurring in Awatere and Wairau valleys. Values for vineyard properties on the Wairau Plain have been fairly static.
The effective rating revaluation date of 15 August 2020 has passed and any changes in the market since then will not be included in the new rating valuations. This means in many cases a sale price achieved in the market today may be different to the new rating valuation set at 15 August and that rating valuations are not designed to be used as market valuations for raising finance with banks or as insurance valuations.
New rating values will be posted to property owners. If you do not agree with your rating valuation, you have a right to object through the objection process, before 5 February 2021.
View further information on our web page
The updated website content includes a new Revaluation Smart Map and a rates comparison model, allowing comparison between 2017 and 2020 values.