Hawke's Bay Property Market

Is it worth buying a property in Hawke's Bay? Explore the data and find out. Last updated 11th January 2021

Introduction

Looking to Invest or buy a property in the Hawke's Bay?

This article breaks down all the most essential facts about the Hawke's Bay property market.

The Hawke's Bay property market is made up of 4 districts and 36 suburbs. These districts are Hastings, Central Hawke's Bay, Napier and Wairoa.

Median Hawke's Bay House Price

Hawke's Bay Median House Price is $653,500

As at November 2020, the median house price in Hawke's Bay is $653,500. This is up from $275,000 10 years earlier. That means that the median Hawke's Bay property increased in value by 9.04% each year, or $37,850 on average.

The most expensive suburb in Hawke's Bay is Jervoistown, which has a median house price of $925,600 and is located in Napier City. That means that Jervoistown's median house price is 1.42x Hawke's Bay's median.

The least expensive suburb in Hawke's Bay is Wairoa, which has a median house price of $221,400 and is located in Wairoa district. That means that Wairoa's median house price is 66.12% cheaper than Hawke's Bay's median.

Over the last 21 years (Jan 2000 – Dec 2020), Akina had the fastest-growing house prices in all of Hawke's Bay, at 7.85% per year. That is 2.22% slower than the median Hawke's Bay house price.

The suburb that grew the slowest over that period was Greenmeadows, which grew at a rate of 6.22% per year. That’s 22.52% slower than the median Hawke's Bay house price.

Hawke's Bay House Prices Comparison with NZ

Hawke's Bay's Median House Price is 7.49% above its long term average

On average, over the last 28 years, Hawke's Bay's median house price has been 79.18% of New Zealand’s median house price.

Assuming the long term fundamentals of either property market have not changed, Hawke's Bay's median house price should trackback to this long term average.

That suggests that when Hawke's Bay's median house price is below its long term average, there is a buying opportunity. When Hawke's Bay's median house price is above its long term average, there are buying opportunities in other regions.

As of September 2020, Hawke's Bay's median house price was 85.11% of New Zealand’s median house price. That is 7.49% above its long term ratio, which suggests there is likely buying opportunities outside of the Hawke's Bay region.

Council Breakdown – Over/Undervalued

Where are House Prices Most Over and Undervalued within the Waikato Region?

This map shows a breakdown of how over or under-valued each council area is right now in the Hawkes Bay property market. These figures are calculated exactly the same way as the graph in the above section.

The Central Hawkes Bay district appears to be the most over-valued. House prices there are about 19.12% above where we would usually expect them to be over the long term.

Wairoa district, on the other hand, appears to be less over-valued. House prices in this district appear to be only 7.75% below where we would expect them to be.

This means that we've got greater confidence that Wairoa would receive a higher rate of capital growth (house price increases) over the next 5-10 years compared to Central Hawkes Bay.

Affordability

Where Are the Most Affordable Property In Hawkes Bay?

The map below depicts which districts within the Hawkes Bay Region have the most and least affordable house prices (Core Logic, July 2021).

The darker the district, the more expensive the average house price for that area...

Napier City is by far the most expensive district within the Hawkes Bay region, with properties reaching an average price of $796,206 (July 2021).

By comparison, the Wairoa District is the most affordable, with an average house price of just $403,457. That's an enormous $392,749 difference compared to Napier.

Population Growth

Which Part of the Hawkes Bay Gets The Highest Population Growth?

The map below illustrates the projected population growth for each district within the Hawkes Bay Region over the next 25 years (2018 - 2043).

The darker the district, the more the population is predicted to expand in that area...

Over this period, the Hastings district is expected to see the most growth of all the council areas within the region – 7.88% in total.

By contrast, the Wairoa district is expected to shrink by 22.48% over the same timeframe.

Napier Property Market

Napier Property Market

Napier City is made up of 16 suburbs. The most expensive suburb is Jervoistown, which has a median house price of $925,600. While the most affordable suburb is Maraenui, which has a median house price of $391,900.

Over the last 24 months of all Napier City suburbs (Dec 2018 – Dec 2020), Maraenui had the fastest-growing house prices, at 19.18% per year. That is 7.07% faster than the median Hawke's Bay house price.

The suburb that grew the slowest over that period was Poraiti, which grew at a rate of 5.92% per year. That’s 66.95% slower than the median Hawke's Bay house price.

Hastings Property Market

Hastings Property Market

Hastings District is made up of 16 suburbs. The most expensive suburb is Eskdale, which has a median house price of $891,550. While the most affordable suburb is Flaxmere, which has a median house price of $388,500.

Over the last 24 months of all Hastings District suburbs (Dec 2018 – Dec 2020), Flaxmere had the fastest-growing house prices, at 20.56% per year. That is 14.74% faster than the median Hawke's Bay house price.

The suburb that grew the slowest over that period was Clive, which grew at a rate of 8.53% per year. That’s 52.39% slower than the median Hawke's Bay house price.

Central Hawkes Bay Property Market

Central Hawkes Bay Property Market

Central Hawkes Bay is made up of 3 suburbs. The most expensive suburb is Otane, which has a median house price of $494,450. While the most affordable suburb is Waipawa, which has a median house price of $440,800.

Over the last 24 months of all Central Hawke's Bay suburbs (Dec 2018 – Dec 2020), Otane had the fastest-growing house prices, at 15.96% per year. That is 10.91% slower than the median Hawke's Bay house price over the same period.

The suburb that grew the slowest over that period was Waipawa, which grew at a rate of 14.98% per year. That’s 16.37% slower than the median Hawke's Bay house price.

Wairoa Property Market

Wairoa Property Market

The Wairoa District is made up of 1 suburb, also named Wairoa, which has a median house price of $221,400.

Over the last 24 months, the median Wairoa house value grew by 31.52%, which is 75.92% faster than the median Hawke's Bay house price over the same period.

Other Property Markets

Other Property Markets to Look Into

If you found this article useful, then you might also like our analyses on the other property markets in New Zealand. You can read all about the Auckland property market, the Wellington property market and the Christchurch property market by clicking any of the links mentioned here.