Christchurch and regions draw buyers out of Auckland
More borrowers are looking beyond Auckland for better value, with Christchurch and key regions emerging as attractive options where salaries and mortgage costs are more closely aligned.
New research from Kiwibank shows 85% of New Zealanders still see homeownership as central to the “Kiwi dream”,keeping demand for viable, affordable pathways into property ownership high – and putting mortgage advisers at the heart of those decisions.
Christchurch-based Ray White agent Paula Standeven (pictured left1) says demand from the main centres has been strong.
“It’s rare that we list a house these days that doesn’t have interest from Auckland or Wellington,” Standeven told Stuff. “Affordability, accessibility, and lifestyle are all pulling people toward this region.”
Many of her Auckland buyers are also escaping congestion.
“Christchurch’s infrastructure is ready to welcome people,” Paula Standeven said. “I’ve been living here all my life, and I don’t think it’s ever been this good for the city.”
Regional salaries keep pace with house prices
New data from recruitment app Zeil suggests that in a number of regional centres, pay is holding up well relative to local house prices.
Across more than 52,000 jobs listed over the past 12 months, the median maximum salary in many regional centres sits between $65,000 and $75,000, while median house prices in those same areas remain under $700,000.
By contrast, the median maximum salary in Auckland is around $92,000, but the median house price is still about $978,000 – stretching debt-to-income ratios much further.
What a regional move can do to monthly repayments
Lighthouse Financial mortgage operations director Michael Vincent (pictured center) says cost-of-living pressures are forcing many families to rethink how and where they live.
Vincent notes that some have looked offshore to boost earnings, but a domestic move can also deliver meaningful savings.
A median Southland home at $525,000, with a standard 20% deposit and a 6.5% mortgage rate, costs about $2,655 per month to service. Using the same assumptions in Auckland, a median-priced home translates to roughly $4,945 in monthly repayments.
“If you've got a relatively high-paying job that’s somewhat digital, you can keep that job most of the time with very little impact to your salary and shift," Vincent said.
That’s the best-case scenario. Even if income drops slightly to match the local market, the lower mortgage still improves the post-repayment cash position for many households.
Where salaries and mortgages balance best
According to Stuff, looking at gross monthly income against an estimated monthly mortgage (EMM) for a single-income earner, some regions stand out for their surplus cash after housing costs:
- Southland offers the highest surplus of $3,238 a month, based on gross income of $5,893 and an estimated mortgage payment of $2,655.
- Taranaki comes next, with surplus cash flow of $2,963 from a $5,777 income and a $2,814 estimated mortgage.
- Auckland still delivers a surplus of $2,722 thanks to the top gross income of $7,667, despite the highest estimated mortgage of $4,945.
- Waikato borrowers are left with $2,685 after covering a $3,565 estimated mortgage from $6,250 gross income.
- Canterbury provides a mid-range surplus of $2,502, based on $6,067 income and a $3,565 estimated mortgage.
- The Bay of Plenty is tightest, with $2,298 left after a $3,819 estimated mortgage against $6,117 income.
Remote work keeps city pay, regional mortgages
Zeil marketing manager Caitlin Langlands (pictured right) says the shift to flexible work remains a key enabler for those thinking of moving.
"Over 40% of our job searches on Zeil are all for remote, so that's a really big trend," Langlands said, noting the demand for location-flexible roles isn’t going away.
While the analysis is based on median salaries and median house prices, she says advisers and borrowers should also consider the underlying job market.
“MBIE figures show that Auckland’s job market is essentially flat, while Canterbury has surged 14% year-on-year, while other regions are up 5%,” Langlands said.
Stronger regional labour markets can support income resilience – a crucial consideration for any long-term mortgage strategy.
West Coast: High pay, tight labour and niche opportunities
Beyond traditional centres like Canterbury and Waikato, the West Coast is also attracting attention as a higher-paying regional option, particularly for those willing to work in mining and related sectors, Stuff reported.
Latest Stats NZ data shows the West Coast leading New Zealand in employment growth, up 2.3% (354 jobs) in the year to September, while national employment has slipped.
Job postings are outpacing applicants, says Development West Coast chief executive Heath Milne.
“Vacancies are staying open longer, simply because there aren’t enough skilled people to fill them,” Milne said.
Trade Me salary figures show the region now has the country’s second-highest average advertised salary at $75,666, just behind Wellington and well above the national average of $72,820.
Milne says several mineral projects will underpin job demand for years. Endura Mining’s Snowy River gold project, for example, currently employs 80 staff and 25 contractors but expects to grow to more than 250 jobs by late 2026.
Risks and realities of moving to the regions
While the mortgage maths and lifestyle appeal of regional moves can be compelling, advisers will want to balance the conversation with a clear-eyed view of the risks.
Regional life can feel isolating for those used to city amenities, and smaller, industry‑concentrated economies can be more vulnerable to policy or commodity shocks. Job loss in a smaller town can be more challenging to navigate simply because there are fewer employers and roles.
You need to stay wide-eyed, rational and remember that moving to a smaller town certainly isn’t a fool-proof plan to longer-term financial prosperity. It largely depends on the opportunity, the growth in the area and your expectations.
That said, for the right client profile – particularly those with portable incomes or in-demand skills – the trade-off between salary, mortgage costs and lifestyle can be attractive. A quiet stroll to a nearby beach may be a more sustainable daily reality than battling motorway gridlock, provided the financial and employment fundamentals stack up.
Stay informed with the latest housing market trends and mortgage insights — subscribe to our free daily newsletter.
