Queenstown-Lakes values climb over $300k while 28 suburbs shed $100k-plus
New Zealand house values have barely moved in the three years since the 2023 general election. The national average is just 1.2% higher than at the end of September 2023, according to OneRoof analysis.
The national average property value now sits at $955,000, down $7,000 over winter, as the market heads into this year’s election. Homeowners in eight regions, including Auckland and Wellington, are worse off than before the last vote.
Separate data points the same way. Cotality’s Home Value Index fell 0.3% in September, its sixth consecutive monthly decline, with values down across every Auckland sub-market.
South Island pulls ahead
The gains have been concentrated in the south. West Coast values have risen almost 20% since the 2023 election, followed by Otago at 15.9% and Southland at 13.9%, with Canterbury up 7.2%. Queenstown-Lakes recorded the largest increase of any district, with values climbing more than $300,000, or 18%.
Christchurch stands out among the main centres: every suburb in the city has gained value over the three years, while no Wellington suburb has. OneRoof noted it is “difficult to draw a direct link between changes in property values and specific government policies”.
The pattern continued over winter. Otago’s average value rose 0.8% to a record $1.065 million, and 52 suburbs reached record highs, all in the South Island and most of them in Christchurch.
Auckland and Wellington fall behind
Auckland’s average value fell 1.3% over winter to $1.236 million, close to $300,000 below its peak. Almost two in three Auckland suburbs have lost value over three years, with apartments in Auckland Central and townhouse-heavy areas hit hardest.
Wellington City values dropped 3.2% over winter to $902,000, below their level at the start of 2020. Across the country, 28 suburbs, mostly in Auckland and Wellington, have lost more than $100,000 in average value since the last election.
First-home buyers fill the gap
The flat market has changed who is buying. In many markets, first-home buyers now lead activity. Christchurch’s gains are underpinned by strong demand from these buyers. In Dunedin, where values rose 1.3% over winter to $700,000, OneRoof said the gains align with anecdotal reports of strong first-home buyer activity.
“Lower prices have been a boon for first-home buyers, but few others,” OneRoof editor Owen Vaughan said.
Investors have held back, even with interest deductibility restored. A September survey of 247 investors found a net 20% plan to sell, even though banks are still slowly easing investor lending criteria, according to independent economist Tony Alexander.
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