REINZ reports increased farm sales in Waikato, Southland, and Canterbury
New Zealand’s rural property market saw renewed momentum in the year ending September 2025, with buyers showing a clear preference for farms offering solid infrastructure and reliable productivity, according to the latest figures from the Real Estate Institute of New Zealand (REINZ).
REINZ rural spokesperson Shane O’Brien (pictured) said demand patterns differed widely depending on regional strengths, market prices, and climate conditions.
“Buyers increasingly focused on properties that offered operational certainty, including reliable water supply and established infrastructure,” O’Brien said.
That focus was most evident in dairy regions such as Waikato, Southland, Taranaki, Canterbury, and Manawatū-Whanganui, which all recorded higher sales compared with the previous year. Waikato led with 59 dairy sales, while Southland followed with 40, reflecting a significant 110.5% jump.
While overall sales volume improved, price movements varied. Waikato’s median price per hectare dropped by 7.7%, whereas Manawatū-Whanganui, Canterbury, and Southland all posted gains.
Grazing and finishing farms also saw stronger activity through 2025. Southland and Otago both reported more than 60% growth in grazing sales, while Northland and Manawatū-Whanganui recorded moderate increases. The finishing sector remained steady overall, with most transactions in Canterbury, Waikato, Southland, and Manawatū-Whanganui.
O’Brien said red meat exports and seasonal conditions would likely continue to shape demand in the coming months, noting that well-located and efficiently managed farms are expected to hold their value.
The horticulture market was one of the year’s standout performers. Sales climbed to 112 nationwide, led by a surge in Bay of Plenty activity, where transactions rose by more than 120%.
“Horticultural property sales were steady overall, with Bay of Plenty the key centre of activity. Kiwifruit orchards in the Bay of Plenty continued to anchor the sector, as well-managed gold-variety licences drew solid demand, though values stabilised after several years of rapid gains,” O’Brien said. He added that growers continued to face labour shortages and higher wage expectations, which remained key concerns influencing both operations and buyer assessments.
Viticulture activity held firm but was tempered by global oversupply and cautious export demand. “Oversupply and cautious export demand continued to constrain expansion, with some producers managing elevated inventory levels and a reduced appetite for new planting,” O’Brien said.
The arable sector experienced a modest decline, falling from 53 sales to 48 over the year. Canterbury remained the most active region, accounting for nearly half of the total transactions. O’Brien said that while domestic feed demand and export pricing supported interest in cropping land, profitability continued to depend on volatile input costs such as fertiliser and fuel.
Meanwhile, forestry buyers remained selective, with sustained interest in younger, ETS-registered plantations that offered potential carbon income. O’Brien noted that “restrictions on new planting based on Land Use Capability classifications and the protection of highly productive land further constrained appetite for large-scale conversions.”
Lifestyle and farmlet properties presented a more mixed picture. Sales rose sharply in Waikato, Canterbury, Auckland, and Northland but softened in Marlborough. O’Brien said homes with existing infrastructure continued to attract interest, while undeveloped plots appealed to buyers looking for long-term investment potential.
“Interest in farmlet properties remained strongest in Waikato, Canterbury and Auckland, where well-presented homes with sheds and services attracted buyers. Bareland demand increased in Southland and the West Coast, although buyers stayed disciplined, focusing on sites with shelter, access, and utilities already in place,” O’Brien said.
With the summer selling season approaching, O’Brien said several regions are expected to remain active as confidence improves further.
“It’ll be interesting to see how these dynamics play out and shape the months ahead,” he said.
