A rating valuation is a three-yearly assessment of a property's value and is determined by house sale prices on a specific date. We use these valuations as a guide for setting your rates.
Revaluations are required by law and we do them because we want to set property rates fairly.
As property values are always moving we need to update our rates distribution to maintain fairness.
The aim of the general property revaluation is not to provide values for property owners to use for marketing, sales or any other purposes.
At least once every three years every district and city in New Zealand is revalued to set the values that the council will use to charge the rates for the next three years.
The Horowhenua District was revalued in 2025 for rating purposes, the effective date was 1 August. New rateable valuations for properties were sent out in December 2025.
The new values will be used by Horowhenua District Council to determine rating from 1 July 2026.
Valuations are carried out independently by Quotable Value (QV) on behalf of Council. They are desk-based assessments that consider recent sales data, market trends, land size, location and zoning. Council does not set individual property values.
Property values are made up of Capital Value, Land Value and Improvement Value.
Capital Value (CV)
The most likely selling price at the date of valuation.
The CV is also known as Government Valuation (GV) or Rateable Value (RV).
Land Value (LV)
The most likely selling price of the vacant land at the date of valuation.
Improvement Value (IV)
The added value of improvements to the vacant land. This is calculated as CV minus LV.
The IV is not an assessment of the replacement cost and should not be used for insurance purposes.
The valuation is made on this “highest and best use” basis, rather than the existing use. For example, a smaller pastoral block may have a higher value as a lifestyle residential property, and a smaller farming property on the outskirts of a larger urban township may have a higher value as a residential subdivision. It is this “highest and best use” that tends to increase the value of coastal land because of the historically high demand from developers.
Additional information is available from QV on their website at www.ratingvalues.co.nz - you can also watch the video below.
Revaluation does not affect the amount of money we collect from rates - it helps us work out everyone’s share of rates.
The 2025 values will be used for rating purposes from 1 July 2026.
You can find out your property valuation by:
What is a Rating Value (RV)?
An RV is an estimate of what your property could sell for on the revaluation ‘effective date’ set by your local council - without chattels like curtains or appliances for example. Councils use it to help divide up rates fairly, the effective date for the Horowhenua District was 1 August 2025.
Does a lower property value mean my rates will now go down?
Not necessarily. Revaluations do not change the total amount of rates Council collects. They reset how rates are shared between properties. What matters is how your value has changed compared with others across the district.
Is Council using revaluation to increase rates?
While rates are likely to go up from 1 July 2026, the total rates collected will not increase as a result of the valuation change. Total rates are set through the Long Term Plan and Annual Plan processes, not by revaluations. Revaluations only affect how rates are distributed between properties, not the overall amount Council collects.
Why are values dropping when everything still feels expensive?
These values are a snapshot of the market as at 1 August 2025. They reflect what the wider property market was doing at that time, including the easing of prices following the post-COVID peak. They do not track day-to-day market conditions.
Is this happening elsewhere or just in Horowhenua?
This pattern is being seen across many parts of Aotearoa. Many councils are experiencing flat or declining values, particularly in land values. Local differences still apply.
Who sets my property value and how is it worked out?
Valuations are carried out independently by Quotable Value on behalf of Council. They are desk-based assessments that consider recent sales data, market trends, land size, location and zoning. Council does not set individual property values.
What parts of my rates are affected by property values?
General rates are based on land value. The land transport rate and the stormwater targeted rate are based on capital value. Some parts of your rates are fixed charges and are not affected by property values.
When will these new valuations affect what I pay?
The new valuations take effect from 1 July 2026 for the 2026/27 rating year.
How can I get help if I do not understand my notice?
You can contact Quotable Value to help you understand how your value has been calculated.
You can also contact Council’s Customer Services team by phoning 06 366 0999 or emailing enquiries@horowhenua.govt.nz. We're here to help.
Is Council making money from lower property values?
No. Revaluations do not increase the total amount of rates Council collects. They only reset how that amount is shared between properties.
What happens if I've recently made improvements to my property that didn't require a building consent?
If you've recently made improvements to your property that didn’t require a building consent then QV won’t know about the value you've added.
You can check your general property information and make corrections, as well as advising QV of improvements, on their website at www.updatemyproperty.co.nz. Alternatively, contact QV on 0800 787 284.