Rents and Ownership by Region

My friend atrentersblogasked if I could create a map of rental prices by region, that’s easy so here it is, however look further down for some more information that helps to see the comparison between regions as opportunties for both renters and landlords.

There are obvious differences between regions witha two to one difference between say Auckland and Manawatu-Whanganui. The chart is interactive so you can explore the results by clicking on each region.

So if rents are high or low in a region, what do sales prices look like:

And for renters this is the key chart if you are thinking of buying. Remember it is not the price you pay, but the interest you pay that counts

Of course it would not be complete without a yield calculation for Landlords. This is a simple rents divided by sales price, I have not included expected other costs such as maintenance and insurance as I have in the past, but they are also relative to interest cost, effectively adding 2-5% depending on your methodology. There appear to be no surprises here, comments welcome below.

There are suprises here - take a close look at Taranaki and Manawatu-Whanganui

After publishing this I got to thinking about the results and came up with a new way of viewing the data

This says stay away from Auckland, but review the posibility of investing in Taranaki or Manawatu-Whanganui.

Jonette 2011