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A property in an ordinary Auckland suburb sold for three times its paper worth, topping the list of properties selling above their capital value last year.The sale represented the highest percentage margin above CV in 2016, according to Homes.co.nz.
37 Man St in Queenstown - with a CV of $680,000 - sold in April for $1.81m.
SUPPLIED
37 Man St in Queenstown - with a CV of $680,000 - sold in April for $1.81m.
The fact Auckland houses were on average selling for 43 per cent above their CV showed "how unhelpful they are to those trying to understand value," Homes.co.nz head of marketing Jeremy O'Hanlon said.
"I'd be wary of using the CV for anything more than an indication of the rates you'll have to pay.
"Recent sales in the area are a great place to start when seeking to understand the value of a home."
Real Estate Institute of New Zealand (REINZ) spokesman Bryan Thomson said he felt such comparisons were irrelevant.
"The CV is set for rating purposes; it's not set to reflect the market value.
"The reality is, I could find you a property which has been renovated and not re-rated and sold for four times its CV."
PROPERTIES THAT SOLD WELL ABOVE CV
Within Auckland:
* 2/66 Arawa St, New Lynn: Sold in November for $1.376m with a CV of $460,000 (three times CV)
* 2/156 Coates Ave, Orakei: Sold in February for $2.05m with a CV of $800,000 (two times CV)
Outside Auckland:
* 15 Mills Rd, Brooklyn, Wellington: Sold in June for $970,000 with a CV of $400,000 (2.4 times CV)
* 8 Valley View, Mount Pleasant, Christchurch: Sold in November for $896,000 with a CV of $340k (2.6 times CV)
* 37 Man St, Queenstown: Sold in April for $1.81m with a CV of $680,000 (2.7 times CV)
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