Tauranga housing values are continuing to rise with Quotable Value figures for November showing the average house price in the city is now $615,155. The average value nationwide is $624,675.

The latest figures also show that Queenstown has joined Auckland in the $1 million average value club.

'The latest QV House Price Index figures show the Queenstown District has followed the Auckland Region to post an average value over $1 million dollars, after recording a massive 32.2 per cent rise in residential property values over the past year,” says QV national spokesperson Andrea Rush.

'This comes as the latest round of Loan-to-Value restrictions led to a weaker than normal spring as a reduction in demand for investor housing stock resulted in more subdued value growth and has seen nationwide quarterly growth to ease back to 2.0 per cent.”

'While values continue to rise in most parts of New Zealand, the trend of a slowing rate of growth continues for Auckland, Hamilton, and Christchurch.

'The Wellington market which had previously been very buoyant has now also started to see some of the heat coming out of the market as the new LVRs take effect there.”

The LVRs are also affecting the Tauranga market says QV Homevalue Tauranga registered valuer, David Hume.

'There is a noticeable decrease in demand from less established 'Mum and Dad” local investors who can no longer raise finance under the new LVR rules and they are now locked out of the market.

'However, there are reports the new rules are not impacting on local or foreign cash investors who are still actively purchasing properties, and are not impacted as they don't need to raise finance.”

The Tauranga market continues to rise with home values in Tauranga City up by 26.5 per cent year on year and 5.0 per cent over the past three months.

Western Bay of Plenty home values have risen a massive 30.5 per cent over the past year and 6.0 per cent over the past three months. The average value in the district is now $591,202.

'Tauranga properties in the $700,000 -$1,000,000 price bracket still showing very good demand as are the higher value properties in the plus $1.5 million bracket,” says David.

'Lifestyle properties are continuing to show good demand as they are perceived as being better value for money in comparison to the strong Tauranga property market.”

Nationwide residential property values for November increased 12.4 per cent over the past year, which is the slowest rate since May 2016. Values rose by 2.0 per cent over the past three months and are now 50.8 per cent above the previous market peak of late 2007. When adjusted for inflation the nationwide annual increase drops slightly to 12.1 per cent and values are now 27.8 per cent above the 2007 peak.

The Auckland market has increased 12.8 per cent year on year, the slowest rate since January 2015. Home values in the Super City rose by 3.7 per cent over the past three months and are now 92.4 per cent higher than the previous peak of 2007.

When adjusted for inflation values rose 12.6 per cent over the past year and are 63.1 per cent above the 2007 peak. The average value for the Auckland Region is $1,051,387.

The November figures show regional centres with entry level properties under $300,000 are not seeing the same impact of the new LVRs and many continue to see strong demand and value growth including the Hawkes Bay, Rotorua, the Hauraki and Waipa Districts and Dunedin.

The new LVR restrictions have not yet led to any significant decline in the share of sales going to multiple property owners; nor to investors in the Auckland market, which has remained at 43 per cent, since they were introduced.

'It's too soon to tell what impact the recent earthquakes will have on property values and the brief freeze on new insurance put in place straight afterwards has now been lifted in most case subject to building inspections,” says Andrea.

'The recent earthquake series are a reminder that disaster can strike at any time and it is crucial for home owners to ensure they are adequately insured.”