Decade of rent hikes still outpaces New Zealand inflation
For the first time in 10 years, New Zealand’s national average weekly rent has fallen compared to a year earlier, realestate.co.nz figures reveal.
The site’s latest figures show the average advertised rent eased from $638 a week in 2024 to $627 in 2025 – a 1.8% decline and the first annual fall since 2015.
Realestate.co.nz spokesperson Vanessa Williams (pictured) said the move reflects a market where more listings are giving tenants greater choice.
“Over the past 10 years, the national average weekly rental price has shown consistent growth, from an average of $424 in 2015 to $638 in 2024. To see weekly rents fall 1.8% between 2024 and 2025 is a clear signal the market has shifted,” Williams said. “We’re seeing the effects of sustained rental supply meeting softer demand. Rental prices will need to remain realistic to be competitive.”
The data comes as new HUD pulse surveys also show landlords shifting their focus toward near‑term income, rent rises becoming smaller and less frequent, and only a small minority of tenants falling behind on payments.
Wellington rents tumble, Canterbury bucks the trend
Across the country, eight of 19 regions saw average weekly rents fall between 2024 and 2025.
Wellington recorded the sharpest drop among the main centres, with average advertised rent sliding 9.7% from $693 to $626. Auckland also moved lower, down 2.5% from $700 to $684 over the same period. In contrast, Canterbury went against the national pattern, with rents rising 3.1% from $560 to $578.
Otago (4%), Southland (4%), and the West Coast (2.6%) were the only regions to post increases of more than 1%.
Williams said that the easing in new asking rents won’t be felt equally by all tenants. “Those renewing leases or moving into new properties may benefit from these lower rates. But for tenants locked into existing contracts, the relief may come more slowly,” she said.
A decade of strong gains despite latest dip
The one‑year decline comes after a long stretch of steep rent growth. Since 2015, the national average weekly rent has jumped 47.8%, outpacing general inflation, which rose 35.3% over the same period.
Gisborne has seen the most dramatic change, with the average weekly rent more than doubling from $290 in 2015 to $641 in 2025 – a 121.2% increase.
Southland and Manawatu/Whanganui are the only other regions where advertised rents have more than doubled over the decade:
- Southland: up 112.6%, from $225 to $478 a week
- Manawatu/Whanganui: up 112.2%, from $252 to $536 a week
For landlords and investors, Williams said the longer‑term story remains one of robust income growth despite short‑term softness.
“While rents may soften in the short term, the past 10 years demonstrate that residential property has delivered consistent income growth over time,” the realestate.co.nz spokesperson said.
Stay informed with the latest housing market trends and mortgage insights — subscribe to our free daily newsletter.
