Fewer Christchurch ratepayers have officially taken issue with their city council property valuations than last time, despite the biggest jump in values for years.
More than 2500 of the city’s property owners have lodged an objection to their latest three-yearly rating revaluation, released last month.
Kris Rodgers, operations manager for Quotable Value (QV), which calculates the valuations for the council, said about 1.5% of the city’s 180,000 rated properties attracted an objection.
Rodgers said they would all have an onsite inspection.
“We will aim to get all objections processed as soon as possible,” he said.
Owners had until Monday this week to say they disagreed with their valuations, which will be used by the city council to calculate rates bills for the next three years.
Objections were down from the 2% after the last revaluation three years ago, he said.
The previous calculations reflected a flat real estate market, while this time they were taken near the peak of a heated market.
Rating valuations are typically calculated as a desktop exercise, based on the age, size and type of building, and the size and location of the land, with only a few sample sites visited. They are not intended as market valuations.
The city’s average home rating value is $774,000, based on QV’s August 2022 snapshot of house prices.
This is a jump of 47.3% from about $525,000 three years ago.
Commercial property values rose 23.2% on average.
The average proposed rates increase – to be finalised by council in June as part of its annual plan – is 5.68% across all residential, rural and commercial properties, and 5.79% for the average household.
The rating valuations determine how the rates burden is shared out. If accepted, the proposed rates increase would see the average homeowner billed $3344 for the 2013-24 year, while the owner of a $400,000 home would pay $1922 and a $1 million home would be pay $4264.
Higher percentage house price rises in some cheaper suburbs since the previous revaluation mean their rates bills will rise by the biggest percentage, although with cheaper homes the dollar increases will be lower overall than for dearer homes.
Based on the proposed figures, average residential rates rises would be 11% or 12% in Bromley, Bexley, Woolston, Ferrymead, Aranui, Woolston, Burwood, Avondale, Central Brighton, North Brighton and South Brighton.
Where rises in market values have been lower, rates could rise by close to 1% or even drop very slightly, in the central city, Avonhead, Russley, Upper Riccarton, Sockburn, Fendalton, Burnside, and Ilam.
The owner of a business property with an average rating valuation of $2.44m would receive a $16,300 rates bill.