South Dunedin is leading the city's increase in house values.

Residential properties in the suburb are worth 10.9% more than a year ago, averaging $306,000.

But while the value of South Dunedin homes has increased the most, they're still worth less than properties in other parts of the city.

Taieri houses are the most valuable with an average of just under $330,000, followed closely by those in central and northern suburbs.

Overall the city's residential properties have increased in worth by 9% in the last year.

The least change has been among coastal and peninsula homes.