Hamilton area units – real estate investor

Housing is an important sector of the economy and is the major form of asset and wealth accumulation in New Zealand. Household wealth is mainly held in real estate rather than in financial assets.

Who is the real estate investor? According to this 2009-2010 NZ housing report, about 12% of people between the ages of 45 and 64 own a rental property, and they are typically high-income earners with an average income of $80,000 to $90,000. About 37% of investors at that time had an annual income over $100,000.

This post tries to identify Area Units where we find property investors and property investment.

The first picture divides older, wealthier, dwelling owners (people with money to invest), from people who are younger, less wealthy and less likely to own the dwelling they live in. We can see most rental investment is near the middle of Hamilton.

document1Hamilton Area Units by Income - The other halfHamilton Area Units - Renter The other half

When we add another layer we can see the people most likely to have money to invest.

In the west we see these people living in Pukete and Peacocke. Their opposites (those without the financial means to invest in property) are mainly in Crawshaw and Swarbrick.

In the east we see the wealthy areas as Flagstaff, Rototuna, Queenwood and Chartwell, with their opposites being Insoll, Hamilton East, University and Silverdale.

Hamilton Area Units by Age - MiddleHamilton Area Units by Income - MiddleHamilton area units by Renters: Middle

By adding another layer to the images, 3 Area Units (Flagstaff, Rototuna, Chartwell) are statistically most likely to have money invested in real estate, the opposite areas, with the least investment in real estate, are Crawshaw, Hamilton East and the University. These areas are where our youngest future investors are choosing to live and would potentially receive greatest gain from a well-supplied housing market?

Hamilton Area Units - Age - Middle rangeHamilton Area Units - Income - Middle rangedocument1

Footnote: The source data comes from the 2013 census: it does not show change, in terms of what has happened and what is continuing to happen. These are pictures of what we have now. They should be viewed more as demographic art than as serious statistical maps.

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