Competitive pricing crucial as renters weigh more options
Auckland’s average rental price remained flat through August even as early signs of renewed renter demand began to emerge, according to Barfoot & Thompson’s latest Monthly Rental Market Update.
The agency, which manages more than 17,500 properties in the region, recorded an average weekly rent of $694.34 in August, almost identical to July’s $694.59. Compared to August 2024 ($683.83), the increase was just 1.5%.
“August continued to entrench the flat pricing trend seen over the past 12 to 18 months,” said general manager property management Anil Anna (pictured). “This is one of the lowest annual increases in average weekly rent recorded since the COVID-impacted periods of 2020.”
Nationally, average weekly rent has softened to $628, the lowest since September 2023, according to realestate.co.nz. Wellington recorded the largest annual fall at 11.8%, while Auckland rents dipped 2.3%.
Renter enquiries pick up
While rents have remained subdued, activity indicators are showing more momentum.
“Following a very subdued first half of 2025, we saw a flurry of renter interest and activity in July, and some of that momentum appears to have carried into August,” Anna said.
“While enquiries were down slightly from July’s peak, they’ve remained 5.8% above the three-month average. Applications, which were on par with last month, were also up 7% on the three-month average.”
Although fewer properties were let in August, listings available at month-end were down 4.6% compared to July and 8.3% against the three-month average.
“Renters still have plenty of choice at the moment, and many are taking this opportunity to explore what is available on the market,” Anna said.
The Crockers People & Property Investor Insights survey, compiled with economist Tony Alexander, also showed a cooling rental outlook from landlords. A net 42% reported plans to raise rents in the next 12 months – down from 47% in July and the lowest since the survey began.
Landlords adjusting pricing
Anna noted that competitive pricing remains critical for landlords.
“We’re still seeing a notable portion of listings adjust their advertised rent downward to attract interest, reinforcing price as a key factor in tenant decision-making.”
Central apartments soften, outer suburbs stronger
Regionally, Auckland Central rents fell 2.1%, deepening the corrective cycle in the apartment-heavy market after strong gains in late 2023 and early 2024.
“Outside of the city and fringe, three and four-bedroom standalone homes with parking were often in higher demand and attracting the most interest, compared to smaller terraced properties, for example,” Anna said.
Franklin and Rural Manukau recorded the strongest annual change, with average weekly rents up 2.5%.
“This may have been supported by the area’s greater proportion of higher priced rural and lifestyle properties, offering special features like paddocks and sheds,” Anna said.
See the Rental Market Update here.
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