Friday 21 September, 2018
Quotable Value, on behalf of Ashburton District Council, is currently completing revaluations for the region and their latest insight suggests value growth has been minimal since the last revaluation took place in July 2015.
QV Senior Consultant, Kris Rodgers said, “There has been minimal growth in residential property across the district since the last revaluation three years ago. Overall, residential capital values have increased 3.4% compared to 2015 rating values, with a greater increase experienced in the townships of Rakaia and Methven.”
“Rental growth plus a firming in yields has resulted in commercial and industrial properties also seeing value increases, with the average capital value for developed commercial property increasing by 12.6% since the last rating revaluation in 2015, and the average capital value for developed industrial property increasing by 10.5% over the past three years.”
“Lifestyle properties have seen moderate value increases since 2015 with the average improved lifestyle property capital value increasing by 7.1% to $776,000 with the corresponding average land value for a lifestyle property increasing by 8.7% to $353,000.”
The rating revaluation figures compiled by QV show the total ratable value of the 15,783 properties within Ashburton District Council is now $19,038,321,000 with the land value of those properties now valued at $13,256,676,000.
Average Residential value % change 2015 Revaluation to 2018 Revaluation
Further information on how Ashburton residential property values compare to other districts and to all of New Zealand can be found at www.qv.co.nz/property-trends/residential-house-values.
Kris Rodgers commented, “There has been a lower volume of sales across the rural sector when compared to past revaluation periods. This can be attributed in part to the low pay outs experienced in 2015/16 and in more recent times, partly due to the uncertainty in the market as a result of Mycoplasma bovis and its potential impacts.
“Despite this, there remains continued demand for top quality farms on good soils that are able to remain resilient in a dynamic regulatory environment. A change of methodology between revaluations with regards to the valuation of water has seen a substantial transfer of value moved from the value of improvements to the land value of irrigated property.”
The Ashburton District Rating Revaluation for 2018 is now confirmed and property owners will soon receive a 2018 Notice of Rating Valuation with an updated rating value for their property.
The new rating valuations have been prepared for 15,783 properties on behalf of the Ashburton 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 2018 rating valuations until 1 July 2019.
The updated rating valuations should reflect the likely selling price of a property at the effective revaluation date, which was 1 July 2018, but do not include chattels.
It is helpful to remember the effective rating revaluation date of 1 July 2018 has passed and any changes in the market since then won’t 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 July 2018 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 26 September 2018. If owners do not agree with the rating value they have the right to object.
The objection close-off date is 1 November 2018. To find out more about objections or to lodge an objection online go to www.ratingvalues.co.nz or call 0800 787 284 to request an objection form. Alternatively, you can watch this video on YouTube titled ‘What is a rating value’ by accessing the following link: https://www.youtube.com/watch?v=DLh3nSC7CxU&feature=share