Over the past few years Christchurch’s property market has grown slowly but steadily in terms of median values and volume sold.
Because of that gradual, dependable growth the Garden City has rarely attracted the kind of excitement and attention that fast-changing markets in Auckland and Wellington have.
Here are three reasons why we think that’s all about to change in the near future.
Demand catching up to supply
After the earthquakes much of Christchurch’s housing stock was damaged or destroyed, which left the city to deal with a huge supply shortage.
Builders and developers leapt into action, creating a building boom which peaked from 2014 to 2016. This high level of activity brought about a huge increase in Christchurch’s housing stock and afterwards supply met or exceeded demand for the first time in years.
Since then the rate of building has slowed and housing demand has continued to steadily increase. In the near future demand could outstrip supply, which could cause property prices to rise at rates rarely seen in Christchurch.
Steady price growth
New Zealand’s property prices growth is slowing slightly, lead by a sluggish market in Auckland. In fact, Real Estate Institute of New Zealand data shows that Auckland’s median price actually decreased by 0.6 per cent during the year to March 2019.
The median price in Christchurch City, on the other hand, grew by a respectable 1.7 per cent over the same time, and jumped by 4.7 per cent from January to February.
High quality development
Christchurch is fast turning into one of New Zealand’s most modern and liveable cities with brand new commercial and residential developments popping up all over the region.
That means brand new high quality homes to live in and new premises for businesses including restaurants, bars and cafes. Plus the city council has set an ambitious goal to almost quadruple the city centre population to 20,000 by 2024. If the council succeeds, or even gets close, demand for inner city homes could increase along with their asking prices.
Keen to hear more about Christchurch inner city property? Get in touch with the team at Williams Corp soon to find out what we’re building near you.
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