Many Regions See Price Growth Amid Slower Sales

New data from the Real Estate Institute of New Zealand (REINZ) show a modest year-on-year dip in the national median price, although most regions saw median prices lifting year-on-year, and values remain broadly steady as listing numbers increase.

The median price for New Zealand decreased by $4,000 (-0.5%) year-on-year, to $761,000.

Excluding Auckland, the median price increased by 1.5% year-on-year to $690,000.

Thirteen out of the sixteen regions reported an increase in median prices compared to August 2024. Auckland’s median price increased by 1.3% year-on-year, to $964,000. The most significant year-on-year increases were recorded in Gisborne, up 11.3% from $620,000 to $690,000, Southland, up 8.9% from $427,000 to $465,000, and in the West Coast, up 7.8% from $357,000 to $385,000.

“Across New Zealand, confidence in the property market is tempered with caution,” says REINZ Chief Executive Lizzy Ryley. “While many expected the recent OCR change to encourage more activity, the history of REINZ data suggests that we may be cautiously optimistic that we will see an increase in activity in the market in the coming months. At this stage, both buyers and sellers appear to be taking a measured approach as they watch how the market unfolds, particularly as we near spring.”

Sales across the country stalled in August, with sales declining year-on-year and month-on-month for both New Zealand (down 3.7% and 11.1% respectively), to 5,866 sales, and New Zealand, excluding Auckland (down 1.3% and 11.3% respectively), to 4,052 sales.

Only six regions reported an increase in sales compared to August last year. The most notable increases were recorded in the Waikato, up 13.2% to 688 sales, Gisborne, up 11.1% to 40 sales and Southland, up 8.1% to 133 sales.

“August has highlighted some interesting trends across the country,” says Ryley. “While sales have eased in parts of the market, most regions are still seeing increases in median prices. Properties are taking different lengths of time to sell depending on the area, which shows that while the market is active, buyers are considering their options carefully.”

There was an influx of new listings recorded around the country, with New Zealand up 9.0% year-on-year to 8,769. New Zealand, excluding Auckland, also recorded an increase, up 6.5% year-on-year to 5,481. Inventory levels reached 30,000 properties on the market across New Zealand, representing a 1.4% year-on-year increase.

“Some local agents have observed that in certain markets, investors seem less active, and some are opting to sell, in anticipation of the typical end-of-winter to early-spring shift in the property market.”

New Zealand’s median days to sell declined by two days compared to August 2024, reaching 48 days. Excluding Auckland, the days to sell remained the same year-on-year, at 49 days. The highest increase in days to sell was on the West Coast, up 19 days from 38 to 57 days. The largest decrease in days to sell was recorded in Nelson and Marlborough, both down 11 days to 35 and 41 median days to sell, respectively.

August saw 778 auction sales nationally, which was 13.3% of all sales. For New Zealand, excluding Auckland, there were 412 auction sales, which were 10.2% of all sales. Gisborne recorded the highest percentage of auction sales, with 42.5% of all sales done by auction (17 auctions). The highest numbers of properties sold by auction were held in Auckland at 366 auction sales (20.2% of all sales) and Canterbury, at 199 auction sales (19.4% of all sales).

“While we’re seeing more new listings coming onto the market, sales aren’t keeping pace, which is reflected in the median days to sell in some regions. Across New Zealand, it now takes around 48 days to sell a property, slightly faster than this time last year, but in some regions, such as the West Coast, properties are staying on the market much longer,” concludes Ryley.

The House Price Index (HPI) for New Zealand is at 3,577, showing a year-on-year increase of 0.4% and an increase of 0.3% compared to last month. Over the past five years, the average annual growth rate of New Zealand’s HPI has been 3.2%.