Rents rising normally

I watch Eastbourne rental prices closely due to our investment, and recently applicable rents have risen quickly from an average of about $510pw in March to about $550 now. I wondered if this was abnormal or a sampling issue due to the small size of the suburb. It turns out to be normal, rents in Wellington have sat still for a few years and are just in catchup mode

Too get the following chart, I downloaded the Geometric mean rents from MBIE (link on the chart). Then I simply indexed the weekly rents to Feb 2011, because most of my indexes are to that period due to internal migration starting after the earthquake.

The indexes show that all three major regions are following the same course, with Auckland usually leading the way. Christchurch of course is suffering due to Government intervention with too many properties built. Wellington is in catchup mode.

Jonette 2011