New rating valuations, prepared for 31,250 properties on behalf of the Selwyn District Council by Quotable Value, have now been released and will be used for calculating rates from July 1.
On average, the value of residential housing increased by 40.5 per cent since 2018, with the average house value sitting at $804,000. The corresponding average land value increased by 102 per cent to an average of $405,000.
QV senior consultant Brendon McCurley said the significant growth in the residential sector had been fuelled by factors similar to elsewhere. They included low interest rates, a shortage of listings, and investors coming from the North Island.
At the same time, lifestyle properties increased on average by 34.6 per cent and dairy and pastoral properties increased on average by 12.5 per cent.
The average increase across the district is 33.7 per cent.
District council group manager corporate Kelvin Mason said the large rise reflected the popularity of the district.
“The Selwyn district continues to be an attractive place to live and work, to do business and to raise a family as can be seen in the significant population growth since the last general revaluation in 2018,” Mason said.
The increase would not necessarily translate into higher than average rate increases.
Mason explained that where a property value had increased more than the average increase in capital value (33.7 per cent), a property owner could expect a slightly higher than average increase in their rates. At the same time, property owners with an increase less than the average could expect a slightly lower than average increase in their rates.
The district council sets rates on July 1 each year based on the amount of income it needs to provide services. For most residential properties in Selwyn, only about a quarter of the rates bill is based on the capital value, with the balance set as a fixed amount per property based on the available services.
There was variation in the average increase in residential housing capital values across the largest towns – 44.1 per cent in Rolleston, 31.3 per cent in Lincoln, 46.6 per cent in Prebbleton, and 31.4 per cent in Darfield. Other townships showed similar increases – Leeston 37.2 per cent, West Melton 44.7 per cent, Tai Tapu 31.1 per cent and Southbridge 26.3 per cent. Residential values in the rural areas of Malvern increased by 41.3 per cent and Ellesmere 35.6 per cent.
The total rateable value for the district is now $35.2 billion, with the land value of those properties $20.6 billion.
Property owners should receive a letter with their updated property valuation within the next week. The new valuations are online at ratingvalues.co.nz and selwyn.govt.nz/propertysearch.
Property owners can object to their valuation. Objections must be lodged with QV by March 17.
