Statistics released by the Real Estate Institute of NZ (REINZ) today show Hamilton’s median house price has jumped once again from $510,750 in September to $518,000 in October.

However, the median in rural Waikato dipped from $380,000 in September to $375,000 in October keeping rural residential properties in an affordable range for many buyers.

Lodge Real Estate’s managing director Jeremy O’Rourke said first home buyers in particular are starting to look outside the city for their first home.

“First home buyers are prevalent in the market.  However, unlike earlier in the year many are willing to sacrifice a commute to work in Hamilton for a more affordable house in the outlying villages of Whatawhata, Ngaruawahia, Horotiu and others.

“If you compare the market to just two years ago, in total these villages have experienced around twice as many sales in the past few months as we saw in the same period of 2014.”

“We’re seeing more and more people inquiring about Ngaruawahia as it’s less than ten minutes’ drive to The Base and another ten minutes to centre city.  Plus, the median house price is significantly less than Hamilton.  With several new developments opening up in and around the town, it’s a preferred residential destination for many looking to get into a home for under $500,000,” said Mr O’Rourke.

The median house price in Ngaruawahia for the past six months was:

Mr O’Rourke also said section prices are markedly less expensive in locations that are still in reasonable driving distance from Hamilton city.

“The lower section price in towns such as Ngaruawahia also means building a new home is a possibility that opens up for many who can’t afford to build in Hamilton.  For instance, buyers can find sections for around $240,000 north of Hamilton while a similar section is selling for around $400,000 in the city.”