Source: Hutt City Council
Hutt City Council property owners will soon receive a Notice of Rating Valuation with an updated rating value for their property.
Rating valuations are carried out on all New Zealand properties every three years to help local councils set rates for the following three-year period. For Hutt City Council, this valuation is a snapshot of the market at 1 September 2022. The last valuation was done in 2019.
“While we’re currently in a difficult economic period, the law unfortunately doesn’t give us an option to delay our revaluation which is why we’re doing this now,” said Mayor Campbell Barry. “22 other councils have also recently undergone their revaluation, or are about to – including Upper Hutt and Porirua – so we’re not alone.”
The new rating valuations have been independently prepared for 41,830 properties by Quotable Value (QV) on behalf of the Hutt City Council. This shows the total rateable value for Lower Hutt has increased 32.7% since 2019 to $40.8 billion.
“It’s important to note that the revaluation process doesn’t increase the total amount we collect from rates,” said Hutt City Council Chief Executive Jo Miller. “A change in the capital value of a property doesn’t mean a property’s rates bill will change by a similar percentage. It all depends on how a property value has changed in relation to the average change across the whole city.”
On average, the value of residential housing has increased by 31%, with the average house value now sitting at $870,000.
QV Chief Operating Officer David Nagel commented, “Lower Hutt had one of the hottest residential markets in New Zealand throughout 2021, peaking in late 2021/early 2022. Since then, we’ve seen some of big corrections in property values with rising interest rates and tightened lending criteria.”
Commercial property values increased by 31% on average and property values in the industrial sector have increased by 51% since 2019. The average capital value of an improved lifestyle property has increased by 42% to $1,207,000.
Jo Miller reminds ratepayers that support is available if you’re having trouble paying your rates bill. “You might be eligible for a rates rebate, postponement of your rates, or we can work with you to set up a rates payment plan. Please get in touch with Council if you’re facing financial hardship – we’re here to help.”
New rating values will soon be posted to property owners. If owners do not agree with their rating valuation, they have a right to object through the objection process before 31 January 2023. The updated valuation won’t take effect until 1 July 2023.
For more information, including a breakdown of capital value changes by suburb, head to hutt.city/revaluation. On our website you’ll also find FAQs, an animated explainer video, an interactive map and handy rates calculator.
The updated rating valuations are independently audited by the Office of the Valuer General and need to meet rigorous quality standards before the new rating valuations are certified. They are not intended to be used as market valuations for raising finance with banks or as insurance valuations.
