Residential property values across Porirua have increased an average of 27 per cent since 2019, according to figures released by independent valuers Quotable Value Limited (QV).
The new rating valuations, released for Porirua City this week, are as at 1 October 2022. Revaluations are carried out every three years and these values are used by Council to set rates.
The new values, on 20,740 properties in our city, don’t increase the total rates collected by the Council, but they do affect each property owner’s contribution. The average house value is $857,000, compared with $673,000 in 2019.
Porirua City Council chief executive Wendy Walker says while some residents may be concerned that a 27 per cent increase in their property value means a 27 per cent increase in rates, this is not correct.
"When the Council sets rates each year, we need to work out the costs to provide services and facilities - like sportsgrounds, parks and reserves, Te Rauparaha Arena, our swimming pools, libraries - on behalf of our community," she says.
"What rating revaluations can alter is the size of your contribution compared with other properties - if your property has increased or decreased in value compared with other similar-priced properties in the city, the amount you pay in rates will be bigger or smaller relative to those properties."
Some parts of the city have seen significant increases in value, because of an increase in the value of land. These tend to be areas with larger sections, which - under the Government’s national policy direction - could have multiple properties built on them, raising the value of the land.
Other parts of the city that have increased in previous valuations have had lower increases in value this time around.
Property owners can visit qv.co.nz to read more about the new valuations. Letters will be sent by QV to property owners from 22 March - these will outline the new valuations, along with instructions on how to lodge an objection for those who feel their value is incorrect.
Objections need to be made to QV by 28 April.
The new values apply to rates from 1 July 2023. Council will set the rates for coming year in its Annual Plan, with consultation beginning in early April. Rates are used to provide services such as drinking water, wastewater, stormwater, roads, parks, licenses and consents, rubbish and recycling, community facilities, swimming pools, Pātaka, libraries and events.
What are rating valuations?
These are carried out on all properties in our city, and across New Zealand, every three years to help councils set rates for the next three years. The valuations reflect the likely selling price of a property at the effective revaluation date, which was 1 October 2022.
It’s important to remember that any changes in the market since 1 October 2022 will not be included in the new valuations.
The updated rating valuations are independently audited by the Office of the Valuer General.
15 Mar 2023