New Zealand homes 13% cheaper than late 2021 peak – QV
The latest QV House Price Index shows average home values across Aotearoa New Zealand dipped by 0.5% over the three months to the end of July, with the national average now $909,671. Values remain almost unchanged compared to the same time last year and the nationwide average value is 13.1% below the market peak in January 2022 of $1,047,132.
While the rate of decline has slowed in many areas, the overall market remains subdued. Values were down in most of the main centres this quarter, including Auckland (-1.2%), Wellington (-2.3%) and Dunedin (-1.5%), though some cities such as Tauranga (1.7%), Queenstown (2.4%) and Invercargill (1.2%) bucked the trend with value growth over the past three months. Whangarei and Christchurch were largely flat.
QV National Spokesperson Andrea Rush said the housing market is still adjusting to a softer economic environment, with many buyers carefully weighing affordability, employment security and mortgage servicing costs before committing to a purchase.
“There’s more activity occurring at the lower to mid-value end of the market, where first-home buyers and owner-occupiers remain the most engaged,” she said. “These buyers are being supported by relatively stable interest rates, improving access to finance, and a wide range of listings, particularly in larger urban centres.”
Rush said market conditions continue to vary by location and property type, with some regional centres experiencing renewed value growth off the back of earlier declines and ongoing demand for affordable housing.
“While national value levels have broadly stabilised, the recovery is uneven and fragile,” she said. “Vendors in many areas are having to meet the market to achieve a sale, while some buyers remain hesitant due to broader economic uncertainty.”
With the traditional spring uplift in listings just around the corner, Rush said the next few months will be pivotal in determining whether the market begins to tilt more decisively toward recovery.
Regional Breakdown
Northland
The upswing in the Northland market continued this quarter but at a slower pace, with values rising 1.2% in the three months to July. The average value across the region is now $739,755, which is 1.3% higher than the same time last year.
In the Far North, the average property value is $702,473 up 2.5% over the quarter, down 0.9% year-on-year, and 5.0% below the January 2022 peak. Whangarei’s average value is $739,113, unchanged over the quarter, 3.2% higher than a year ago, yet still 9.0% below its peak. In Kaipara, the average value is $846,043 after a 2.6% quarterly lift, but remains 0.5% lower year-on-year and 5.0% below its late-2021/early 2022 high.
Auckland
The Auckland property market remained subdued in July, with high stock levels and cautious buyer sentiment continuing to keep a lid on price growth. The average home value across the Auckland Region declined 1.2% over the quarter to $1,219,470, which is 1.5% lower than at the same time last year and 19.7% below the market’s nationwide peak of January 2022.
In the July quarter, the only area to see values hold relatively steady was the local council area previously known as Auckland City (-0.1%). All other parts of the region recorded value drops: Manukau (-1.9%), North Shore (-2.0%), Waitakere (-1.6%), Rodney (-0.3%), Papakura (-0.2%), and Franklin (-0.8%).
QV Auckland Registered Valuer, Hugh Robson said the Auckland housing market remains largely unchanged, with average values holding steady across most suburbs and little movement in either direction. “There’s been very little price movement over the past month. Listings levels remain in line with April, May and June, and overall prices are just sitting stable – not rising, not falling,” Mr Robson said.
He noted that the higher end of the market continues to perform well, with stronger-than-usual sales activity in the $2 million-plus bracket. “Barfoot & Thompson sold 51 properties over $2 million and 16 over $3 million in July – their best results since 2021, which shows confidence remains for quality homes in top locations,” he said.
“Developers are also pressing ahead with new builds across a wide range of suburbs, which is another indicator of underlying market resilience,” he said.
Waikato
The latest QV House Price Index shows Hamilton’s average home is now worth $784,642, following a modest 1.0% decline over the July quarter. Values are 0.8% higher than this time last year and 14.2% lower than the nationwide peak of late 2021/January 2022.
The largest decline this quarter was in Hamilton Central, where values dropped 5.6%. South East Hamilton was also down 2.4%, while North East Hamilton declined 1.3%. North West Hamilton was the only area to show growth, rising 1.6% over the quarter. South West Hamilton remained relatively stable, with only minor movements.
QV Hamilton Registered Valuer Marshall Wu said the city’s property market softened through July, with most areas recording value declines despite stable interest rates.
“While buyer conditions are broadly favourable, cost-of-living pressures and job market uncertainty continue to weigh on decision-making. Properties are taking longer to sell, and some vendors are choosing to lower asking prices or delay their plans,” he said.
Bay of Plenty
Home values in Tauranga rose 1.7% over the July quarter to an average of $1,031,583. This marks a 1.2% increase compared to the same time last year and home values are now 11.6% lower than the previous peak. Across the wider Bay of Plenty region, the average value increased by 0.7% this quarter to $890,517, which is 0.8% higher year on year.
QV North Island Revaluation Manager Sophie Treder said steady demand from first-home buyers and owner-occupiers had supported values in most parts of the region. “While developers have been less active in some areas such as Rotorua, overall market sentiment remains stable,” she said.
Rotorua and Gisborne recorded quarterly declines of 0.9% and 2.4% respectively. Rotorua is now 1.5% lower year on year and 10.9% below the late 2021/early 2022 peak: while Gisborne is 0.7% up annually and 9.6% below peak.
Hawkes Bay
Napier City home values fell 2.0% over the past three months to a new average value of $745,151. Values are flat compared to the same time last year and sit 16.5% below the late 2021 market peak. Hastings District rose 0.7% for the quarter to an average of $779,281. Values are 0.4% lower than this time last year and 15.3% below the previous peak.
Wairoa District posted the strongest growth in the region, with values up 7.2% over the quarter and 1.6% year on year to an average of $444,616 — one of the few areas in the country now above its previous peak, sitting 2.7% higher than the previous peak however it’s also one of the most affordable places to buy a residential property in the country.
Meanwhile, Central Hawke’s Bay District rose 1.4% in the three months to July and is now 4.0% lower year on year, with an average value of $547,776 — 18.2% below the previous peak.
QV North Island Revaluation Manager Sophie Treder said the Hawke’s Bay property market remained mixed in July, with modest growth in some districts balanced by value declines in others.
“First-home buyers and owner-occupiers were the most active participants in the market, while investor activity has remained more subdued. Vendors are increasingly realistic in their price expectations, particularly when planning to buy again in the same market,” she said.
“Buyers are taking a cautious approach and making well-informed decisions, which is contributing to a steady, if subdued, level of activity.”
Taranaki
Average home values in Taranaki eased 0.4% over the past three months to $649,860, though they remain 1.9% higher than a year ago. New Plymouth dipped 0.9% this quarter but is still up 1.3% annually, with an average value of $723,161 — 3.1% below peak. South Taranaki rose 0.6% for the quarter and 4.3% year on year, while Stratford led the region with 4.1% quarterly and 5.7% annual growth to $497,653.
QV New Plymouth Registered Valuer Danny Grace said the market is steady, with consistent demand at the more affordable end and slower movement for high-end properties above $1 million.
“Listings are increasing, sales remain subdued, and with buyers in no rush, these conditions are likely to persist into spring,” he said.
Palmerston North
Home values in Palmerston North fell 0.4% over the three months to July, with the average value now sitting at $631,287. This represents a 0.6% decline year on year, and values are now 18.2% below the market’s peak.
QV Palmerston North Registered Valuer Olivia Betts said the market softened further in July, with values continuing a slow downward trend.
“Compared to earlier in the year, activity has tapered off and there’s less urgency from buyers. While demand remains for well-presented homes, others are taking longer to sell,” she said.
Ms Betts said buyer caution had grown slightly, and that economic uncertainty and the winter slowdown were keeping conditions subdued for now.
Wairarapa
Home values declined slightly across the Wairarapa region in the three months to July, with the average regional value stable at a dip of just 0.1% to $623,778. This is 2.6% lower than at the same time last year.
Masterton was the only district to record quarterly growth, with values rising 1.8% to an average of $573,035 — 1.5% lower year on year and 16.3% below the nationwide market peak. In contrast, Carterton values fell 3.1% over the quarter to $613,655, while South Wairarapa dropped 2.4% to an average value of $735,557.
Wellington
Residential property values across the wider Wellington region fell 2.3% over the past three months to $818,274, down 4.5% from a year ago.
Wellington City dropped 3.3% to $922,101, which is 6.7% lower annually and 27.3% below the nationwide market peak.
Hutt City fell 1.9% to $748,215, down 3.0% annually and 27.5% below peak. Porirua eased 0.4% to $810,951, 1.5% lower annually and 21.2% below peak. Upper Hutt declined 2.4% to $726,725, down 4.5% annually and 24.2% below peak. Kapiti Coast fell 1.9% to $816,942, 1.6% lower annually and 18.3% below peak.
QV Wellington Registered Valuer and Senior Consultant David Cornford said, “The Wellington property market remains relatively soft. Stock levels have eased slightly but remain healthy, and we expect a fresh wave of listings in spring. This will continue to give buyers plenty of choice and bargaining power. Activity is strongest at the lower end of the market, with first-home buyers benefiting from significantly lower interest rates and reduced values.”
“We are seeing more investors selling or planning to sell, as the costs of owning a rental — including higher council rates, insurance premiums, and maintenance — have risen sharply, making residential investment less attractive.”
“Falling interest rates have yet to spark market growth, likely because many homeowners have not yet rolled off higher fixed rates, combined with wider economic challenges such as rising unemployment and cost-of-living pressures. Unemployment has now reached 5.2%, the highest since 2020, and household expenses continue to climb — both factors that are keeping the market subdued.”
Nelson-Tasman-Marlborough
Home values declined across the top of the South Island in the three months to July. In Nelson, values fell 2.2% to an average of $781,443. This represents a 1.5% increase compared to the same time last year, but values remain 10.2% below the previous nationwide peak.
Tasman District also saw a quarterly decline of 1.8%, with the average home value now sitting at $814,780. That’s 0.4% higher than a year ago but still 5.4% below the previous peak.
QV Nelson/Marlborough Manager Craig Russell said the property market across the top of the South Island remained sluggish in July, with values softening further over the past quarter.
“Market confidence is still relatively low, with modest economic growth, rising unemployment, and persistent inflation continuing to weigh on buyer sentiment,” he said. Mr Russell noted that first-home buyers remained the most active group in the market, while investor activity was limited due to weak confidence and subdued short-term capital growth expectations.
“Sales volumes remain low, which is typical for this time of year, and the number of properties available for sale has continued to decline. The recent weather event in the Tasman area has also impacted confidence in some of the more affected locations,” he said.
West Coast
Our QV House Price Index for July shows the West Coast region saw values rise 2.9% over the past three months to a new average value of $441,854 — an increase of 9.7% year on year.
Average home values in Buller were up 2.7% for the quarter to $386,097, which is 7.2% higher year on year and 14.1% higher than the nationwide peak of late 2021/early 2022. Grey District rose 4.4% over the quarter to $464,849 — up 12.2% annually and 30.3% above the peak. Meanwhile, Westland increased 0.7% this quarter to $474,522, which is 8.3% higher year on year and 21.1% above the peak.
Canterbury
Christchurch City’s average home values dipped marginally by 0.2% in the July quarter to $775,030. This is an annual increase of 1.9% values are now 0.2% lower than the nationwide peak.
In the Waimakariri District, average home values rose 0.5% in the three months to July. The average home is now valued at $724,942, which is 1.5% higher year on year and 4.2% higher than the peak.
The Selwyn District recorded a 0.2% decline in average home values this quarter to $847,324. Values are now 2.0% higher than a year ago and remain virtually unchanged since the peak.
QV Christchurch Registered Valuer Olivia Brownie said the city’s residential property market remains steady, with sales activity holding at consistent levels and buyer demand still evident across most parts of the city.
“Despite a large number of listings, which continues to give buyers the upper hand in negotiations, the market is showing resilience. Annual value growth remains modest but stable, even as many other parts of the country experience a downturn,” she said.
Neighbouring districts are also largely following this trend. “While values have softened slightly in some areas, the overall pattern remains one of stability. Buyers are still active, but price growth is subdued.”
“Multi-unit, two-bedroom townhouses have seen steeper value declines than the wider Christchurch market since its late-2021 peak, as higher interest rates, reduced investor demand, and cost-of-living pressures weigh on buyers. Stand-alone townhouses or those with garaging and parking in desirable locations have generally held their value better, while less desirable areas and units without off-street parking have seen larger falls.”
Dunedin
The Dunedin property market remains highly mixed, with values declining overall but varying significantly between suburbs.
Dunedin City’s average home value fell 1.5% in the three months to July to $636,994, remaining unchanged at 0.0% annually and 11.3% below the nationwide peak of late 2021/early 2022.
Dunedin–Taieri recorded the largest drop, down 6.7% this quarter and 18.5% year-on-year, followed by Dunedin–Central (-2.2% and -13.4%). Dunedin–South remains the strongest performer, falling 1.8% this quarter but up 11.3% annually. Dunedin–North eased 1.2% but is still 1.9% higher year-on-year, while Dunedin–Peninsula & Coastal inched up 0.2% but remains 3.5% lower annually.
QV Dunedin Registered Valuer Becs Wilde said the city’s property market remains steady, with listing numbers continuing to fall and values holding relatively firm.
“Listings levels have dropped over winter however it remains a buyer’s market, with well-prepared purchasers still able to negotiate strongly,” she said.
She noted Dunedin’s overall values are down just 0.02% year on year, indicating a broadly stable market. “Well-presented properties continue to attract multiple offers, while the lower quartile has softened more than the upper — highlighting stronger demand in higher-value segments.”
Queenstown
Our QV House Price Index for July shows values in the Queenstown Lakes District have continued to rise, increasing 2.4% over the past three months to an average value of $1,861,871. This represents a 1.6% increase compared to the same time last year and places values 16.9% above the nationwide market peak of late 2021, early 2022.
QV Queenstown Registered Valuer Greg Simpson said the local property market continues to perform well, with values remaining steady in recent months. “The average value has fluctuated within a relatively narrow band of $1.82M to $1.86M in recent quarters,” he said.
“Demand is also steady but fairly thin, with depth in the market limited and supply and demand currently well balanced. While winter’s high season is in full swing — bringing strong visitor numbers from across New Zealand and overseas — buyers are proving more particular and selective,” Mr Simpson said.
He noted that while there is a broader sense the market may be building toward 2026, some hesitancy remains. “Interest from owner-occupiers and first-home buyers is solid, with a noticeable lift in investor activity as confidence slowly improves, but overall the market is moving at a measured pace.”
In the July quarter, Central Otago home values rose 0.3% to an average of $860,778, now 4.2% higher than the same time last year. In contrast, values in Clutha District fell 1.2% over the quarter to an average of $415,347, down 1.6% year on year. Waitaki District saw a stronger quarterly lift of 1.6%, with average values now at $512,110 — 2.6% higher year on year.
Southland
The Southland region continues to see values increase more than many other parts of the country buoyed by the primary sector and low entry to the residential property market. Values rose 1.3% over the quarter to an average value of $505,467 and are up 4.7% year on year. Invercargill values rose 1.2% over the three months to July, with the average home now valued at $507,403 — up 5.0% year on year and 5.5% above the nationwide market peak.
Gore District recorded a quarterly increase of 5.6%, with the average home value now sitting at $442,299 up 7.8% annually. Meanwhile, Southland District values declined 0.3% this quarter to $533,831 though they remain 2.7% higher than at the same time last year.
QV Invercargill Registered Valuer Andrew Ronald said the Southland property market remains active, particularly at the lower to mid end of the market where demand from first-home buyers remains strong — especially in the $350,000 to $500,000 price bracket.
“Investor interest is continuing to lift, supported by earlier rental growth, although that has now started to stabilise,” he said.
Mr Ronald noted that listings remain tight, which is helping to support values in Invercargill and Gore. “Confidence in the market is underpinned by the strength of the primary sector, and Gore’s recent value growth reflects that ongoing regional resilience.”
“Meanwhile, demand for properties priced above $1 million remains limited, with buyer caution still evident at the top end of the market,” he said.
The QV HPI uses a rolling three month collection of sales data, based on sales agreement date. This has always been the case and ensures a large sample of sales data is used to measure value change over time. Having agent and non-agent sales included in the index provides a comprehensive measure of property value change over the longer term.