Construction work such as pile driving in Bay of Plenty, New Zealand will likely be more necessary as demand for homes remains strong.
In fact, sellers offloaded almost 10 properties in the Western Bay in each day of June, according to industry figures. The strong interest from buyers partly stemmed from lower house price in some cities.
Real Estate Institute of New Zealand (REINZ) data showed that 246 houses in Tauranga exchanged possession in June, while there were 48 homes sold in the Western Bay district. The combined sales equated to an average of 9.8 houses bought daily.
This could mean that developers may be encouraged to build more homes in the near future despite lower property values. Median home prices in Tauranga slightly fell in the previous month to $655,000 from $660,000 year over year. On the contrary, the Western Bay district registered a 3.7% increase in just one month. Average home prices rose to $651,000 from $595,000 in May. In the broader Bay of Plenty region, prices climbed 4% to $580,000.
Lack of Supply
Demand for houses in the region can also be attributed to fewer listings on the market, which then drove the increase in prices. If you want to build homes in places with strong demand and price growth, Rotorua and Whakatāne are some of your options.
REINZ regional director Philip Searle said that these two areas accounted for most of the Bay region’s growth in June. Even if you only plan to build one house, many small contractors may assist you with foundation work and other project details.
Whether you plan to build several houses for sale or just one for your own use, you should consider construction firms that can offer personalised services in line with your preferences.