NZ rents drop for second consecutive month as supply remains high

New Zealand’s rental market is showing signs of sustained cooling, with the national median rent falling for the second month in a row.  

After remaining flat in February, rents dropped 0.8% in both March and April, marking a clear shift following summer stability. 

The consecutive monthly declines bring the national median weekly rent down 3.1% year-on-year, according to the latest Trade Me Property data. 

“With the median weekly rent sitting at $560, tenants are now paying around $20 less a week than they were in April 2024,” said Trade Me Property spokesperson Casey Wylde (pictured). 

High supply continues to support renters 

Rental supply remains elevated, easing pressure on tenants despite a small drop in listings last month. While the number of rental properties listed on Trade Me Property reached a decade high in March, it dipped 2% in April. 

“The current supply remains up 27% on the same time last year and is helping to keep a downward pressure on rental prices, offering renters more options and leverage to negotiate,” Wylde said. 

BNZ has noted that this surge in listings reflects a return to long-term averages, following years of historically tight supply—rather than an oversupply. 

Otago, Bay of Plenty, Auckland lead regional rent declines 

Several regions recorded notable rent drops in April. Otago saw the largest decline, with the median rent falling 4.8% to $600 per week. The Bay of Plenty followed with a 2.9% decrease to $660, and Auckland rents dropped 1.5% to $670, Trade Me Property data showed. 

Hawke’s Bay hits record high despite national downturn 

Defying the national trend, Hawke’s Bay rents surged 6.3% to a record $670 per week in April. 

“We are certainly seeing plenty of supply in the Hawke’s Bay market too, with rental listings up a significant 73% year-on-year,” Wylde said. 

Gisborne also saw a rent increase, up 4.6% to $680 per week. 

Christchurch small units rise as Wellington and Auckland dip 

Among the main centres, Christchurch bucked the trend for small rentals, with one-two-bedroom homes rising 1% to a record $520 per week. 

Meanwhile, Wellington and Auckland both saw declines across most property types. 

• Wellington’s one-two bedroom and three-four-bedroom rentals both fell 6.7%, bringing median weekly rents to $560 and $700, respectively. 
• Auckland saw a 5.1% fall in rents for three-four-bedroom homes, with a new median of $750 per week.