Source: Radio New Zealand
Composite
Christmas brought an early end to activity in the housing market for the year, but confidence is continuing to build, the Real Estate Institute says.
It has released its data for December, which shows the national median price was up 1.4 percent year-on-year to $786,977. Month-on-month it was down 1.6 percent.
Excluding Auckland, the national median price was up 2.1 percent for the year and Auckland was down 1.7 percent in the month.
The national days to sell measure was down two days to 39.
The number of sales was up 8.1 percent nationally year-on-year but down 12.2 percent for the month.
Auckland was down 19.1 percent for the month. Seasonally adjusted, the national decline was 2 percent.
“This time of year, from November through February, can make it difficult to separate normal seasonal changes from genuine market shifts,” Real Estate Institute chief executive Lizzy Ryley said.
“While raw sales counts usually fall from November to December, after adjusting for seasonal trends, it’s clear that the market is holding up.”
There was a lot of other regional variation too.
Gisborne’s median price was up almost 25 percent year-on-year to $730,000. Hawke’s Bay’s was down 6.2 percent to $680,000. A new territorial-authority record was set in Opotiki and Gisborne Districts, recording $765,000 and $730,000 respectively, the highest since early 2022.
Ryley said Canterbury had been a standout. Prices there were up 3.6 percent, and sales up 10 percent on a seasonally adjusted basis, compared to a year earlier.
“Christchurch has rebounded as a city. It’s vibrant, it’s rebuilt and that provides employment, which then provides people with the opportunity to perhaps get more bang for their buck in their properties,” Ryley said.
“As soon as inventory goes down a bit and days to sell go down a bit, then you start to see the more affordable regions leading the house price growth as opposed to the centres that have already had their potential overheating.”
Nationally, there were 4900 new listings in December, up 2.8 percent year on year.
Southland had its lowest number of days to sell since March 2021.
“December is usually a quiet month for the housing market. However, compared to the same time last year, activity appeared stronger in several areas,” Ryley said.
“Attendance at open homes and enquiries around listings were above what was seen at this time last year, suggesting improved engagement despite the typical seasonal slowdown.”
She said first-home buyers and owner-occupiers were the dominant buyer groups in most areas and there were signs of steady and healthy growth in the whole market.
She said buyers were showing less fear of paying too much and, instead, there was more fear of missing out (FOMO).
“I think what you’re seeing with young people is that they’re going okay it’s safe for us to now buy, we’re buying a home, and they’re spreading the money they have to invest across different things than their parents did, which is actually healthy. We’re seeing things coming out from the government in their election run, talking about house prices and the stability in the property market being really critical. So I guess the economics are designed to support that. And that’s what seems to be happening.”
She said while Auckland and Wellington were the areas under the most pressure, they were still inching up.
“Lower interest rates have improved affordability and encouraged more buyers to re-enter the market, while pricing remains relatively accessible compared with previous peaks. At the same time, high levels of available stock mean buyers have plenty of choice, allowing them to take a more measured and confident approach when making decisions. Overall, 2025 closed with confidence continuing to build, setting a constructive foundation for the year ahead. Looking to 2026, the market is expected to see momentum gradually improve as conditions continue to stabilise.”
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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
