The latest QV House Price Index shows average home values across Aotearoa New Zealand fell 1.1% over the quarter to the end of September, with the national average now $900,521. That figure is 0.2% lower than at the same time last year and 14.0% below the nationwide market peak of January 2022.
All the main centres showed declines, with Auckland recording the steepest fall over the past three months, with average values dropping 2.5%. Wellington City also dipped 0.8%, while Christchurch eased back 0.4%. Hamilton fell 1.6% over the same period, and Dunedin was down 0.2%.
Elsewhere, Napier values fell 1.3%, Nelson 1.7%, Whangārei 1.9%, and Palmerston North 0.1%. In contrast, Hastings rose 1.0% and New Plymouth edged up 0.2%, while Tauranga values were flat. The strongest regional centre gains were in Queenstown, up 1.8% and Invercargill, up 1.6%, underlining their resilience compared with the rest of the country.
QV National Spokesperson Andrea Rush said, “Auckland and Wellington continue to see the strongest value drops since the previous nationwide peak as the market correction from post-Covid boom extends.”
“The Reserve Bank’s recent cut to the Official Cash Rate will gradually provide relief to borrowers and could help lift confidence in the housing market over spring and summer.”
“Decreasing home values and lower mortgage rates continue to improve affordability in many areas across the country making it a little easier for Kiwis to get on or move up the property ladder.”
“Lower mortgage rates may encourage a modest rise in activity, but any rebound in prices is likely to remain constrained by the broader economic recession, cost-of-living pressures, rising unemployment, and ongoing global uncertainty.”
“For now, it remains a buyers’ market, however, deposit requirements and the ability to service mortgages remain barriers for many first-home buyers, and interest rates are still well above COVID-19 levels.”
“Demand is strongest for modern, well-maintained homes that are ready to move into.”
“While listings for new multi-unit townhouses and apartments remain plentiful, those developments lacking key features such as parking, storage, privacy, or good indoor–outdoor flow – are taking longer to sell, with asking prices often being reduced, as developers become more motivated.”
Auckland
Auckland’s housing market has continued to decline over the past quarter with average values across the Super City dropping 2.5% in the September quarter to sit at $1,193,994. Values are now 2.9% lower than a year ago and 21.3% (an average of more than $320,000) below their January 2022 peak of $1,517,445.
QV Auckland Registered Valuer Hugh Robson said there is currently good supply of properties for sale across the city and real estate agents are reporting increased demand over the past few weeks. “Whether this translates into a genuine spring uplift in values remains to be seen, with October and November set to confirm if any rise in sales prices occurs,” he said.
“The over-$3 million market remains subdued, with only a small number of sales. Overall, conditions continue to favour buyers, with plenty of choice available, and September saw a slight lift in activity from residential investors,” he said.
“Multi-unit townhouse developments continue to dominate the market, with asking prices often now reduced as vendors become more motivated,” Robson added.
“Mortgage rates continue to fall, which could provide some support in the form of improved mortgage serviceability for buyers who have the required deposit and are looking to raise finance as we head into summer.”
Wellington
Wellington has experienced the largest value falls in the country since the January 2022 peak, with values across the wider Wellington metropolitan area (which includes Wellington City, Porirua, Upper Hutt and Lower Hutt) dropping 26.7% (around $300,000) from $1,143,268 at the peak to $837,583 now. Meanwhile, declines on the Kāpiti Coast are smaller on average decreasing 19.1% (around $190,500) from an average value of $999,904 in January 2022 to $809,321.
QV Wellington Registered Valuer and Senior Consultant David Cornford said market activity is picking up again following a quiet winter, with values appearing to stabilise. “We’re seeing more activity from flippers, particularly in the Hutt Valley, where buyers are purchasing rundown homes, completing quick renovations and on-selling to first-home buyers.”
“Interest rates have dropped significantly since their peak, which should lead to fewer distressed sales and less urgency among investors to offload properties,” he said.
“Local economic conditions remain challenging and continue to subdue the market overall, but well-presented homes are still attracting reasonable buyer attention.”
Cornford added that most agreements remain subject to multiple conditions and it’s common for deals to fall over due to finance or building report issues.
Christchurch
Christchurch City’s average home value is $772,190, down 0.4% over the quarter but up 1.9% year-on-year. Values are sitting just 0.5% below the average value of $776,228 recorded in the January 2022 nationwide peak, underlining the city’s relative stability compared to other main centres.
QV Christchurch Registered Valuer Olivia Brownie said September had seen an increase in activity, with more sales recorded. “More recently, mortgage rates have eased compared to previous highs, which is helping to support buyer confidence. We are still seeing a larger proportion of first-home buyers active in the market, with strong demand in the mid- and lower-price brackets in well-positioned areas,” she said.
“There is sustained interest in the Christchurch market, with a seasonal boost in values in some areas; however, with increased spring listings, conditions remain quite balanced, and any growth is measured. Well-maintained and updated homes are continuing to transact quickly, while less desirable properties are subject to further negotiation.”
Largest regional value changes
Southern markets remain among the most resilient in the country, with Queenstown and Invercargill recording solid gains along with nearby Clutha and the Mackenzie Districts, which both recorded standout quarterly growth. Growing demand for lifestyle and affordable heritage homes in Clutha District towns may be helping drive these gains. In July, a North Island couple paid $1.325 million for a landmark seven-bedroom homestead in the Clutha District town of Lawrence, setting a new local record and underscoring rising interest from out-of-town purchasers relocating in the search for more affordable options within easy reach of Dunedin Airport and Queenstown.
Dunedin–Taieri saw the strongest rise in the country this quarter (+9.2%), likely reflecting the small number of sales there during the quarter. Citywide, Dunedin’s average home value dipped just 0.2% to $633,176 — 0.7% lower than a year ago and 11.7% (about $85,000) below its January-2022 peak of $717,752.
QV Registered Valuer Baylan Connelly said there is a sense of renewed confidence returning to the market as the warmer months approach. “It remains a buyer’s market, with purchasers still in a strong position to negotiate,” he said. “Demand is strongest for modern, well-maintained homes and new builds, which continue to attract multiple offers, while the lower quartile has softened more than the upper.”
Elsewhere, Hamilton Central and Otorohanga also performed well, while areas such as Wairoa, Kawerau, and Kaikōura experienced the largest declines — though in smaller markets, limited sales can make percentage changes appear more pronounced.
You can check value changes over time in your region with QV’s interactive map on www.qv.co.nz/price-index/
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.
