What used to be a “down and out” suburb in one New Zealand's most affordable housing markets has broken house price records.
Whanganui has seen its first $1m-plus residential sale, with a four-bedroom waterfront house at 37 Longbeach Drive in Castlecliff selling for a $1.15 million last month.
The luxury home, which sits on 4710sq m freehold site and is just metres from the beach, was marketed by Harcourts agents Rob Bennett and Krista Adams.
The sale is Whanganui's biggest this year and tops the $950,000 achieved by Property Brokers agent Bruce McGhie for a neighbouring home at 34 Longbeach Drive.
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The four-bedroom and three-bathroom home by the beach is Whanganui's luxury. Photo / Supplied.
Bennett says Castlecliff and Whanganui in general have seen big changes in recent years. He recalls selling a waterfront property in Castlecliff for just $48,000 in 2018, and notes that the suburb used to known as a “down and out” area which local buyers tended to avoid.
“The seaside properties were the cheapest I’ve seen by far. People were almost giving them away,” he says.
However, he believes the turnaround in the area and city has changed perceptions and buyers are keen to pay big money to secure a house there.
Whanganui house prices have shot up more than 90 percent in the past five years, but the median property still sits at an affordable $305,000 - one of the lowest in the country.
Very few residential properties in the city sell in $900,000 range and none have sold above $1 million in the last five years, according to figures from the Real Estate Institute of New Zealand. The only $1 million-plus sales recorded have been for lifestyle blocks or farms.
A neighbouring property by the golf course on 34 Longbeach Dr was sold for $950,000 this year. Photo/ Supplied.
Bennett says Whanganui is even attracting celebrity attention.
“I’ve heard a rumour that Elton John has passed through and bought art off local artist recently. To have people like that here, who you won’t normally associate with Whanganui is great,” he says.
It was not clear if Rocket Man hit maker bought a house in the area to hang his art in. “I’d heard a rumour that he bought a house, but I could not confirm or deny. But it’s probably the same amount of money though, because it was expensive artwork,” he says.
Whanganui's high-end properties, Bennett says, have been attracting buyers from Auckland, Wellington and Tauranga as well returning locals.
“They might get a million or two for a house [in Tauranga] and then get a home of similar quality for $600,000 in Whanganui. So, when they come here, they have a lot of money left over to spend on the lifestyle,” he says.
