Rural Wairoa sees median prices at $340k as iwi-led housing projects boost supply
Wairoa District has emerged as the country’s most affordable place to buy a home, with a median house price of $340,000 for June, according to REINZ. By comparison, the national median sits at $770,000.
Resident Geoff Hole said the small Hawke’s Bay town had a lot to offer.
“I felt like a bit of a change and came back. I’ve really grown to love it,” said Hole, who bought an old theatre as a do-up project, according to Stuff. “The town itself is unique in that it’s got a serious river running through it, and the main street faces north looking out over the river.”
He highlighted the community’s diversity and “good arty, music scene”, noting he has seen 12 nationalities at his low-key venue, The Saloon, which hosts Friday night potluck dinners and live music.
While Wairoa’s property market looks cheap on paper, Hole offered perspective: “$300,000 is a hell of a lot of money.”
Local agents see increased first-home activity
Real estate agent Kimberley Bell said first-home buyers are active thanks to lower interest rates and the town’s lower prices.
“I think what we’ve seen there is our local first-home buyers are able to come into the market with the lower interest rates,” Bell told Stuff.
A house in reasonable condition typically sells for $340,000–$350,000, while a fully renovated, larger home can fetch around $500,000, she said.
But Bell warned the median price is partly skewed by flood-damaged properties sold after Cyclone Gabrielle in 2023 and another flood a year later.
Housing supply expands with iwi-led projects
After decades of limited new construction, Wairoa is seeing its first significant housing developments in a generation.
Aayden Clarke (Hinemanuhiri, Ngāti Kahungunu ki Te Wairoa), chief executive of Tātau Tātau o Te Wairoa Commercial, said housing pressures had worsened after recent flooding.
“The community are loving it. Some of these whānau who are applying for these rentals are very grateful, it’s the first time they’ve had a warm, dry home,” Clarke said.
The iwi’s Te Rauā development will deliver 43 affordable rentals, from kaumātua units to four-bedroom family homes. A Kāinga Ora project at Tihitihi Pā will add 30 more houses.
Clarke said the developments are already creating local employment opportunities and helping to shift pathways for young people.
“Some of these kids who only had a pathway to a gang patch are now wearing high vis in the orchard,” he said, referencing the iwi’s 109-hectare apple orchard investment.
Mortgage adviser takeaway
For mortgage advisers, Wairoa highlights the interplay between affordability and local development. Low prices combined with iwi and government-led housing projects are opening doors for first-home buyers, while regional employment initiatives could improve lending profiles for clients who previously faced barriers.
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