Market Momentum Builds as Sales Rise and Days to Sell Drop

BY REINZ

New data released today by the Real Estate Institute of New Zealand (REINZ) show that sales counts increased nationwide, while national median prices eased slightly compared to September 2024.

Increased sales were recorded across the country during the month. National sales were up 3.1% year-on-year to 6,346 sales, and New Zealand, excluding Auckland, saw a rise of 7.5%, to 4,421. Eleven regions recorded increased sales year-on-year, with the most notable percentage increases recorded in the West Coast (up 56.0% to 39 sales), Marlborough (up 37.1% to 85 sales), and Nelson (up 32.0% to 66 sales).

Month-on-month data reveals a slight uptick in activity at the national level. However, when adjusting for seasonal patterns, we see a subtle slowdown in overall momentum, resulting in a 2.5% decline in sales nationally.

The national median days to sell declined by six days year-on-year, reaching 43 days. This was the same for New Zealand, excluding Auckland. The largest decrease in median days to sell was recorded in Nelson, down 19 days from 51 to 32.

The highest year-on-year increase in median days to sell was on the West Coast, rising from 31 to 76 days.

“This month’s higher sales counts contributed to a six-day reduction in the national median days to sell.

Some regions bucked this trend; the West Coast and Marlborough saw longer selling times, potentially reflecting the completion of sales for properties that had been on the market for an extended period,” says REINZ Chief Executive Lizzy Ryley.

New Zealand’s median price decreased by 1.5% year-on-year, to $770,000. Excluding Auckland, the median price decreased by $5,000 (-0.7%) year-on-year to $690,000.

Ten out of the sixteen regions reported an increase in median prices year-on-year. Auckland’s median price increased by 0.8% year-on-year, to $978,000. Two regions hit record-high median prices: the West Coast, up 14.6% year-on-year to $447,000, and Southland, up 7.8% year-on-year to reach $525,000.

“This is the first time since January of this year that there has been any record regional median price, and the first time in over three years that two or more regions had record median prices,” says Ryley. “This shows renewed confidence in parts of the property market, where local conditions and sustained demand are driving price growth despite a national-level balance.”

There was an increase in new listings recorded around the country, with New Zealand up 1.3% year-on-year to 9,394. New Zealand, excluding Auckland, also recorded an increase, up 1.7% year-on-year to 6,068. Inventory levels reached 30,721 properties on the market across New Zealand, representing a 2.3% year-on-year increase.

“Some local salespeople are reporting a noticeable lift in activity across the market, with first-home buyers and owner-occupiers still the most active participants,” says Ryley. “With the recent OCR drop of 50 basis points likely to influence further interest rate reductions, combined with the usual spring rush, salespeople are cautiously optimistic that activity will strengthen further through spring and into summer.”

September’s auction sales reached 889 nationally, which was 14.0% of all sales. For New Zealand, excluding Auckland, there were 435 auction sales, which were 9.8% of all sales. Auction sales in Auckland have increased both year-on-year and month-on-month, with 454 sales, representing 23.6% of all sales.

The House Price Index (HPI) for New Zealand is at 3,606, indicating a year-on-year increase of 0.2% and a month-on-month increase of 0.8%. Over the past five years, New Zealand’s average annual growth rate in the HPI has been 2.8%.