Do CV’s affect my property’s value?

Firstly, what is a CV?

CV stands for capital value. It is an estimate of the total value of a property, taking into account a variety of factors including value of the actual land itself, the value of your house, any other improvements you have made to the land, the location including school zones, and recent house sales in the area. It does not include renovations you have carried out to the home or the zoning the section is in under the unitary plan (this applies to large sites only).

Do CV’s affect my property’s value?

All Auckland CVs are calculated every three years by Auckland Council, the next revaluation will be carried out mid this year. When they are released late this year, CVs will already be nearly half a year old, so they're a reflection of what happened not what will happen. We're not expecting them to have a real impact on values.

CVs are calculated using mass appraisal techniques - meaning valuers don't personally visit and assess every single home.CV’s are carried out every four years and Auckland’s revaluations will be carried out from July 2024. Valuation notices wil be sent out at the end of the year and by 2025, the council will use these new valuations (CV’s) to assess rates from July 2025.

Buyers do tend to question what the CV is as a matter of interest and sometimes to give them an initial guide as to a homes potential value is however they make their assesment primarily on recent sales, market climate and current comparable homes for sale. CV's are not a direct reflection of the market value.

A good example of this is before the latest CV’s came out, buyers typically were paying well above these figures.