Buller District Council

Media Release- New rating valuations for Buller District

7th January, 2020

The Buller District Rating Revaluation for 2019 is now confirmed and property owners will soon receive a 2019 Notice of Rating Valuation with an updated rating value for their property.

The new rating valuations have been prepared for 7918 properties on behalf of the Buller District Council by Quotable Value (QV).

Rating valuations are carried out on all properties in New Zealand, usually once every three years to specifically help local councils set rates for the following three year period.  Rating values are just one of a number of factors councils use to allocate rates.  Council rates will not be updated based on the new 2019 rating valuations until 1 July 2020.

The updated rating valuations should reflect the likely selling price of a property at the effective revaluation date, which was 1 September 2019, but do not include chattels.

The rating revaluation figures compiled by QV show the total rateable value of the 7918 properties within Buller District Council is now $2,705,933,000 with the land value of those properties now valued at $1,488,851,000.

QV Valuer, Jeremy Clayton said, “Residential housing is showing an average capital value increase since the previous revaluation in 2016,  of 8.9% with the average house value now  $208,000 , while the corresponding average land value increased by 11.3% to an average of $62,000. Value level changes varies on location and house type.”

Residential house price movements show that most value growth has occurred in the last 12 months.

House price index graph

“Commercial property is showing an overall increase of 7.8%, while the industrial sector has shown little change at 0.5% increase relative to the 2016 Capital Value levels. Land values have shown little to no change overall with 0.8% increase for commercial and 2.5% increase for industrial compared to 2016 land values.”

“Lifestyle properties have seen value increases since 2016, with the average improved lifestyle property capital value increasing by 6.9% to $258,000, while the corresponding average land value for a lifestyle property increased by 6.6% to $138,000.”

Jeremy Clayton added, “Dairying dominates the rural sector and we have seen a decrease in value levels compared to 2016. The weakened dairy market following poor Westland Milk Pay out has affected  values however market outlook is positive with Yili purchasing Westland Dairy recently.”

It is helpful to remember the effective rating revaluation date of 1 September 2019 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 as at 1 September 2019 and that rating valuations are not designed to be used as market valuations for raising finance with banks or as insurance valuations.

The updated rating valuations are independently audited by the Office of the Valuer General, and need to meet rigorous quality standards before the new rating valuations are certified.

New rating values will be posted to property owners after 8 January 2020. If owners do not agree with the rating value they have the right to object.

The objection close-off date is 14 February 2020.

For more information please contact:
Quotable Value Limited
Phone: 0800 164 444

 

 

 

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