Regional markets diverge as listings climb into spring
The national average asking price fell to $851,259 in September, down 2.4% from a year earlier, according to the latest data from realestate.co.nz. Prices are now at their lowest since February.
Housing stock rose slightly, up 2.3% year-on-year to 30,721 properties, while new listings increased 7.1% from August. However, compared to September 2024, new listings were up just 1.3%, suggesting only a modest spring uplift.
Vanessa Williams (pictured), spokesperson for realestate.co.nz, said buyers are hesitant ahead of next week’s OCR announcement.
“With a lot of commentary around a more significant OCR drop on the 8th of October, perhaps buyers are in ‘wait and see mode’ as new listings grow but so does total stock, which means there’s plenty for buyers to look at,” Williams said.
“It’s confidence that gets people moving but in our current economic climate, that’s exactly what we’re lacking.”
Regional movers: Taranaki and Southland stand out
While national prices softened, two regions bucked the trend. Taranaki’s average asking price rose 5.6% year-on-year to $688,769, while Southland lifted 5.2% to $558,709.
“Although the national picture shows prices softening, Taranaki and Southland are evidence that there will always be regions that buck the trend,” Williams said.
By contrast, Marlborough (-10.8%), Central North Island (-7.7%), and Northland (-7.3%) saw the largest annual declines. Gisborne also dropped sharply after last month’s record high, down 7.5% to $572,553.
New listings rise but market remains slow
Spring activity brought fresh listings in some regions. The West Coast led with a 57.1% annual increase, while Manawatu/Wanganui (+9.3%) and Southland (+9.4%) also recorded gains.
However, Coromandel (-27.8%) and Gisborne (-26.2%) saw significant year-on-year declines.
“Although stock is largely stable across the country, it’s the regional divergence that’s of interest to buyers,” Williams said. “Although very few regions are building momentum at the moment, the fact that 26.4% of listings were withdrawn in under 30 days suggests the market remains active.”
First-home buyers in focus
Williams noted that the current conditions present opportunities for new entrants to the market.
“First-home buyers are the biggest segment of the market currently, at around 26%, and we know when first-home buyers are active in the market, it’s a good sign,” she said.
“With prices stable, stock high, and interest rates starting to ease, buyers have time to do their research, negotiate confidently, and find a property for the life they want to live. A further drop next week to the OCR could be the boost buyers are looking for.”
Get the hottest and freshest mortgage news delivered right into your inbox. Subscribe now to our FREE daily newsletter.
