13 Jun 2014

Big rates rises tipped for Auckland

8:56 am on 13 June 2014

Some of Auckland's cheaper suburbs could face the sharpest rate rises next year, as a result of the city's three-yearly revaluation.

Auckland's wealthier central suburbs faced the bigger rate rises three years ago, partly due to sharply rising property values.

No caption

Photo: RNZ

But valuation figures provided by QV to Radio New Zealand News show a different pattern emerging this time.

Prices have risen on average by 29.8 percent in almost three years - but large parts in the west of the city have risen by up to 41 per cent.

Below average rises in central Auckland have been in Parnell, with 20 per cent, and Herne Bay, at about 18 percent.

Auckland Council will not comment on the QV data and will release its own preliminary figures on new valuations in about six weeks.

While valuations form the basis of deciding an individual property's share of the rate burden, other factors will influence a ratepayer's final bill.

About 35,000 properties still have not fully paid off the biggest rates rises which kicked in two years ago, after a revaluation and the blending of eight previous local body rating systems.

Rates bills from mid-2012 were capped at a 10 percent rise in any one year, with any surplus carrying over to the next year.

Councillors may also decide to change the flat fee, called the Uniform Annual General Charge, which would favour lower value property if it rises but higher value property if it reduces.

Auckland Council's own valuation process will be based on sales around 1 July, and will affect rates from mid-2015.

PROPERTY VALUATION MOVEMENT 1 JULY 2011 - 1 MARCH 2014 (URBAN AUCKLAND)

AUCKLAND REGION AVERAGE 29.8%

INDIVIDUAL SUBURBS

  • Kingsland 47.5%
  • Mangere Bridge 44.45%
  • Birkdale 42.4 %
  • Te Atatu Peninsula 41.7 %
  • Burswood 41.7 %
  • Bayview 41.6 %
  • Sunnynook 41.6%
  • Kelston 41.2%
  • Glen Eden 36.8%
  • Mission Bay 24.2%
  • St Mary's Bay 23.0%
  • Mellons Bay 22.8%
  • Orakei 21.8%
  • Eastern Beach 21.1 %
  • Parnell 20.5%
  • Herne Bay 17.8%

Source : QV

Download the full raw valuation data in Excel format here