QV's residential price index for April shows that Tauranga property values have decreased by 1.7 per cent over the past year.

QV Valuations' Shayne Donovan-Grammer says the figures also indicate some price stability and enthusiasm in the market.

'The good news is we have seen more sales activity than most of last year, and levels are now similar to that of 12 months ago,” says Shayne.

'This slight lift, in my view, does not signal a recovery in the market, but is more of a reflection of what tends to happen at this time of year.

'Activity is still centred mainly in the sub $400,000 market.

'Sales prices are sharp with buyers negotiating hard for a good deal.

'Low interest rates coupled with the talk of interest rate rises towards the latter part of the year may have also encouraged buyers to act now.

'There is limited speculative building occurring at the moment.”

QV's residential price index is calculated using sales data from the three months leading up to the month being reported.

It is not the same as the average sales price, which fluctuates in line with the mix of properties selling in upper or lower price brackets.

The average sales price for Tauranga in April was $399,358.