Flat rents mask sharp North-South divide, Trade Me data shows
New Zealand's rental market appears to have found a floor, with the national median weekly rent holding steady at $620 in June — unchanged both month-on-month and year-on-year — according to the latest Trade Me Property Rental Price Index.
A market that's stopped falling
The flatline follows a period of gradual cooling from 2024 peaks and comes despite a 15% annual jump in search activity, pointing to demand that hasn't let up even as prices plateau.
Trade Me Property spokesperson Casey Wylde (pictured) said the data reflects a market that's settled.
"After a period where rents were slowly tracking downward from their 2024 peaks, the market has hit a complete plateau,” Wylde said. “For tenants, a flat annual change means some welcome predictability, but with listing views and watchlists remaining high, the competition for good properties hasn't gone away."
A widening gap between north and south
Beneath the national flatline, a clear regional split has emerged. Auckland and Wellington both recorded modest annual declines, down 1.5% to $660 and 0.8% to $595 respectively, while several South Island regions moved sharply in the other direction. Otago rents climbed 8% year-on-year to $650, Nelson/Tasman rose 7% to $610, and Canterbury lifted 5.5% to $580.
Wylde said the divide echoes broader property price trends favouring the South.
"Otago, Nelson, and Canterbury are bucking the national trend, driven by strong local demand and tight tracking of available stock. Otago has now caught up to the Bay of Plenty with a median rent of $650, putting it just behind Auckland as one of the most expensive regions in the country in June."
Sale prices show the same split: QV data shows national values fell 0.4% in the June quarter while rising "virtually everywhere south of Greymouth, except in Dunedin," and REINZ figures put Southland's annual growth at 8.6%, ahead of Otago (4.3%) and Canterbury (4.1%) — though investors "remain cautious with expected interest rate increases," QV's Craig Russell said.
Demand still climbing despite the seasonal lull
New rental listings held broadly stable on May, down 2% for the month but up 4% on June last year, suggesting landlords are gradually adding stock even through winter.
While overall search activity dropped 11% from May in line with typical seasonal patterns, Wylde said the annual comparison tells a different story.
"Even though we expect a bit of a mid-winter slowdown in monthly activity, the year-on-year search volumes show a clear picture, there are more people actively looking for a rental property on Trade Me than there were this time last year," she said.
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