New rating valuations on the way for Mackenzie
Mackenzie property owners will soon receive new three-yearly rating valuations in the post.
Updated values have been prepared for all 5,256 properties in the district by independent valuers Quotable Value (QV) on behalf of Mackenzie District Council. They reflect the likely price a property would have sold for on 1 July 2023, not including chattels.
Since the district’s last revaluation in 2020, the value of residential housing has increased by an average of 16%. The average house value is now at $758,000, while the corresponding average land value has increased by 14.5% to a new average of $365,000.
QV valuer Jeremy Clayton said Mackenzie’s property market had experienced “steady growth” over the last three years. “Fairlie and Twizel have experienced more growth than Lake Tekapo, due to its market being greatly influenced by tourism numbers, which were significantly constrained when our borders were closed at the height of the pandemic.
“However, Tekapo has the highest average capital value of approximately $1,138,000, followed by Twizel with an average capital value of $723,000, and Fairlie with $465,000,” he said.
Meanwhile, commercial property values have increased by 16% and property values in the industrial sector have increased by 30% since the district’s last rating valuation in 2020. Commercial and industrial land values have also increased by 10% and 47% respectively.
The average capital value of an improved lifestyle property has increased by 35% to $800,000, while the corresponding land value for a lifestyle property increased by 42% to $450,000.
The latest data shows that pastoral continues to dominate the rural sector locally, with an 18% increase in capital values compared to pastoral increase of 18%. “The lifestyle and rural residential market have had strong interest from out-of-town buyers due to their relatively lower value levels compared to other regions,” Mr Clayton added.
The total rateable value for the district is now $6.3 billion, with the land value of those properties now valued at $3.5 billion.
What are rating valuations?
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 are not intended to be used for any other purpose, including raising finance with banks or as insurance valuations.
They reflect the likely selling price of a property at the effective revaluation date, which was 1 July 2023, and do not include chattels. Any changes in the market since that time will not be included in the new rating valuations, which often means that a sale price achieved today will be different to the new rating valuation.
Rating valuations are calculated using a highly complex and detailed process that utilises all relevant property sales from your area. A large number of properties will also be physically assessed, particularly those that have been issued building consents in the last three years.
The updated rating valuations are then independently audited by the Office of the Valuer General to ensure they meet rigorous quality standards, before the new rating valuations are confirmed and posted to property owners.
If owners do not agree with their rating valuation, they have a right to object through the objection process before 16 November 2023.
Find out more about the rating revaluation and objection process.