Out-of-town buyers help boost southern market

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HOUSE sales in Invercargill are on the rise, with more buyers from outside the region adding to the market.

A report to the Invercargill City Council (ICC) in February said there had been an increase of 361 property sales last year compared with 2015.

The vast majority of buyers had an Invercargill postcode – 1632 in 2015 increasing to 1858 last year. But buyers with a North Island contact address had also increased, from 55 in 2015 to 143 last year. Of those, 70 had an Auckland postcode, and 26 a Hamilton postcode.

ICC planning manager Terence Boylan said the figures were only a snapshot, based purely on buyers’ postal contact details provided to the council.

Although the number of buyers from the North Island had increased, the number was small, with the biggest portion of buyers still Invercargill-based, he said.

Professionals Real Estate general manager Jon Irving confirmed more people from outside the region were buying houses in Invercargill because they were more affordable.

They were a mix of investors and people moving to Southland and also those returning from the United Kingdom and Australia, he said.

Ray White Real Estate business manager John Murphy said there had definitely been a shift in the number of people returning to Invercargill, particularly in the past 12 months, but it could not be called “an influx”.

“[Buyers] were getting more bang for their buck. It is like chalk and cheese – what you can get for your money in Invercargill compared to Auckland.”

Hoamz general manager Fergus Hosie agreed there had been a lift in buyers from outside Southland, from people moving to Invercargill as well as those investing in property.

“They are attracted to the lifestyle and the opportunity to buy a home.”

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