A Tauranga builder is having to enlist the full-time services of a boutique architect as demand for mid-to-high end property and land in Papamoa continues to reach a premium.
Since March 2005, Coast Homes has sold 21 homes, including the land on which they are built, with an average sales price of between $650,000 and $800,000, plus four surpassing the $1 million mark.
Coast Homes director Steve Short says he cannot see demand slowing down any time soon, given the staggering buying activity in recent times as people look to capitalise on a booming market.
Backed by recent figures showing house sales in Mount Maunganui and Papamoa hitting a nine-year high, the median price along the stretch of coastline now sits at $582,000, with more Aucklanders making the 207km trip down the motorway to the Bay of Plenty looking to cash in on affordability.
“There are only six lots of titled land available in Papamoa,” says Steve, “so you can’t get land for love nor money.
“Our sections are being secured even before going to the market. This is testament to the quality of service and product that we at Coast Homes can bring to the market.”
Steve says emphasis on quality to last the distance and being in control of the value of your home by building from scratch are increasingly dominant considerations in the current market.
“Building a new home used to be a bit of a mystery to many and a daunting task,” he says. “But there’s been a real shift in recent times to building a home so that the value, rather the perceived value of an existing home, is real and totally measurable.
“People want to be in control and are very aware of the building process.”
Steve says that in the past there may have been a misconception that areas such as The Lakes and Pyes Pa were proving more popular due to affordability in medium density areas.
However, he says this is no longer the case, with a noticeable shift in the medium-to-high end of the market, where Coast Homes aligns itself.
A flow on effect has seen a Tauranga boutique architect working tirelessly, and expanding his business, to keep both contracted demand and a waiting list in check.
“I have noticed a huge jump in concepts moving into consents,” says Archistudio founder Kyle Goldsack, one of Coast Homes’ four preferred architects.
“Over the last two months I have designed about 12 homes with 90 per cent moving into consents already.
“With this huge demand I have had to employ staff to take on the huge load of consent work, as have all the other architects and designers locally. It is a really exciting time for Tauranga’s construction industry.”
(Published Friday 6 Nov, 2015)