First-home buyers and faster sales reshape regional market dynamics
New Zealand’s housing market finished 2025 in better shape than the previous year, with both sales volumes and median prices up year-on-year despite the usual December lull, according to the latest Real Estate Institute of New Zealand (REINZ) figures.
National sales rose 8.1% year-on-year, and sales outside Auckland lifted 10.6% to 4,758. Compared to November 2025, the raw national sales count fell 12.2% to 6,644, but REINZ says that drop is mostly seasonal.
"This time of year, from November through February, can make it difficult to separate normal seasonal changes from genuine market shifts," said REINZ chief executive, Lizzy Ryley (pictured). "While raw sales counts usually fall from November to December, after adjusting for seasonal trends, it’s clear that the market is holding up.
“Median prices remained largely stable both across the country and in Auckland. In regions such as Waikato and Manawatu/Whanganui, activity was stronger than expected. This suggests that, despite the usual seasonal slowdown, the market is resilient and confidence is gradually returning, particularly in regions where buyers and sellers are active."
Nationwide, the median price increased 1.4% year-on-year to $786,977. Excluding Auckland, the median was $718,000, up 2.1%. Auckland’s median stayed above $1 million for the third straight month at $1,015,000, a 1.5% annual rise.
Independent data from Cotality NZ tell a similar story of a market off its peak but stabilising. Its latest Home Value Index shows values fell 0.2% in December after a 0.1% dip in November, leaving 2025 down 1.0% and the national median at $808,430 – 17.6% below the early‑2022 peak.
Regional standouts and shifting selling times
Twelve of the 16 regions posted annual median price gains. Gisborne set a new record median of $730,000, up 24.8%on December 2024, while Canterbury matched its previous record at $725,000.
Two territorial authorities also hit fresh highs: Ōpōtiki District (Bay of Plenty) at $765,000, 14.9% above its prior record from January 2022, and Gisborne District at $730,000, 2.1% above its March 2022 peak.
Time on market shortened in many locations. The national median days to sell fell by two days to 39, and by three days to 38 outside Auckland. Southland saw the biggest improvement, with days to sell dropping from 40 to 21. At the other end of the spectrum, the West Coast recorded the largest slowdown, with median days to sell increasing from 49 to 84 days.
New listing activity nudged higher, with national new listings up 2.8% to 4,900, and New Zealand excluding Auckland up 0.4% to 3,408. Total stock on the market is 3.1% higher than in December 2024, at 30,390.
First-home buyers lead as lower rates support demand
“First home buyers and owner-occupiers continue to dominate the market,” Ryley said.
She noted that lower interest rates, relatively accessible prices, and more listings are giving buyers greater choice and confidence.
“Overall, 2025 closed with confidence continuing to build, setting a constructive foundation for the year ahead,” Ryley said. “Looking to 2026, the market is expected to see momentum gradually improve as conditions continue to stabilise.”
Auctions and HPI show a market off its peak but stabilising
Auctions remain important but still account for a minority of transactions. In December there were 915 auction sales nationally, representing 13.8% of all sales. Excluding Auckland, auctions totalled 505 sales (10.6%), while Auckland recorded 410 auction sales, making up 21.7% of its transactions and up on last year.
The House Price Index (HPI) for New Zealand sits at 3,603, down 0.4% over the year and 0.6% month-on-month, and still 15.7% below its peak. However, Otago reached a record HPI of 4,274, 1.2% higher than its previous record of 4,224 set in November.
Over the past five years, New Zealand’s average annual HPI compound growth rate has been 1%, pointing to a market that has cooled from past highs but is now showing signs of a more sustainable, gradually improving phase heading into 2026.
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