First-home buyers drive activity as stable prices tempt
The Auckland property market kicked off spring with a surge in activity, as September sales reached their highest level in four years, according to Barfoot & Thompson.
“It was a great start to the spring buying season,” said Peter Thompson (pictured), managing director of Barfoot & Thompson. “Buyers were committed, and there was a general feeling that now was the time to act before prices started to increase.”
The agency sold 1,032 homes during the month — a 13.8% increase compared to the average of the previous three months. This is the first time September sales have topped 1,000 since 2020, when the market was heading towards its peak.
Prices remain stable but may not last
Despite the lift in sales, prices stayed subdued. The median sales price for September was $930,000 — down 2.1% from August and the lowest in four months. The average price also slipped 0.8% month-on-month to $1,089,686.
Thompson said buyers recognised the opportunity: “Buyers were conscious that prices have remained stable since the start of the year and that this settled pattern may not last for much longer.”
On an annual basis, prices were more balanced. The average price was 0.8% higher than in September 2024, while the median was only 0.5% lower. Thompson noted this could signal the end of a four-year trend where prices consistently failed to match the previous year’s levels.
First-home buyers and investors drive demand
Entry-level housing continues to perform strongly, with sales under $750,000 making up 26.5% (273 homes) of all transactions in September.
“Property in the under $750,000 price category continued to sell well in September… Homes in this price category are proving particularly appealing to first-time buyers and investors,” Thompson said.
Stock levels build ahead of summer
A mix of new builds and existing homes lifted new listings to 1,781 in September, pushing total stock to 5,775. Thompson said this was “excellent for early spring,” giving buyers greater choice.
High-end sales were quieter, with only 12 homes sold above $3 million during the month.
Rural and lifestyle properties hit five-year high
The spring effect was also evident beyond urban markets. September sales in Auckland’s rural and lifestyle segment reached $73 million — the highest September total in five years and the second-strongest monthly result of 2025 so far.
Outlook for advisers
For mortgage advisers, the September rebound shows growing borrower confidence and renewed competition as spring listing volumes rise. While Auckland’s prices remain steady for now, nationally values are only just stabilising after a five-month decline, underscoring the patchy recovery.
Advisers should focus on opportunities among first-home buyers, entry-level investors, and regional borrowers — while keeping an eye on whether Auckland’s spring rebound broadens into sustained momentum over summer.
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