Property values eased in June, with the latest Cotality NZ Home Value Index (HVI) showing the national median value slipped as buyers continued to weigh up affordability, borrowing costs and the wide range of properties available.
Cotality reported the national median value in June was $806,512, down 0.2% from May. Values were 0.9% lower than a year ago and remain 17.5% below the market peak reached in early 2022.
LJ Hooker Head of Research Mathew Tiller said the latest figures point to a housing market that remains stable overall, but one where confidence still plays an important role.
"The June result is relatively modest, but it reinforces what we've been seeing for some time. People are still buying and selling, they're just taking longer to make decisions and thinking much more carefully before committing," Tiller said.
"There's still demand, but buyers are more selective. They're comparing more properties, asking more questions and making sure they're paying the right price."
Buyers remain in a strong position
Cotality said a combination of global uncertainty, earlier mortgage rate increases and elevated listing levels continues to influence buyer behaviour.
Tiller said one of the defining features of current conditions is the amount of choice buyers have.
"When buyers have plenty of properties to choose from, they don't feel the need to rush. They can compare options, negotiate and take the time to do their due diligence. That's naturally keeping price growth fairly subdued."
"Importantly, most vendors aren't under pressure to sell. Well-presented homes that are priced appropriately are still attracting good interest, but buyers are much less willing to stretch beyond their budgets than they were a few years ago."
Mixed results across the main centres
June produced mixed results across the main centres:
- Hamilton: up 0.5%
- Christchurch: up 0.2%
- Dunedin: up 0.2%
- Tauranga: down 0.2%
- Wellington: down 0.4%
- Auckland: down 0.5%
Tiller said local conditions continue to drive performance.
"Markets with better affordability and steady local demand are continuing to perform reasonably well. In some of the larger centres, higher prices and more available stock are giving buyers greater negotiating power."
"Real estate has always been local. National figures provide the overall picture, but conditions can vary significantly from one city to the next."
Auckland remains a buyer's market
Cotality reported Auckland values declined again in June, with all sub-markets recording falls over the month.
Tiller said buyers continue to hold the upper hand across much of Auckland.
"There's still plenty of choice in Auckland, buyers know they have options. They're taking their time and negotiating hard."
"Properties that present well and are priced realistically are still selling, but buyers don't have the same urgency we've seen in previous years."
Confidence remains important in Wellington
Wellington values also softened in June, with Wellington City recording one of the weaker performances.
Tiller said confidence remains a key factor for buyers in the capital.
"Many households are still weighing up affordability, job security and broader economic conditions before making a purchase."
"Values have become more affordable than they were at the peak, but confidence generally needs to improve before we see stronger buyer demand return."
More listings continue to benefit buyers
New listing data from realestate.co.nz showed sellers became more active during June:
-
7,942 new listings nationally, up 4.3% year-on-year, the busiest June since 2020.
-
National stock levels increased 7.3% to 34,761 properties.
-
The national average asking price remained steady at $866,314.
Tiller said the increase in available stock continues to create favourable conditions for buyers.
"More listings mean buyers have more choice and that's creating healthy competition between sellers."
"For buyers, it's a positive environment. There's time to inspect properties properly, carry out due diligence and negotiate. For vendors, presentation and realistic pricing have become more important than ever."
Canterbury continues to stand out
realestate.co.nz reported Canterbury reached a record average asking price of $757,136 in June, up 5.2% over the year, making it the first major region to move above its 2022 peak.
Tiller said Canterbury continues to benefit from solid fundamentals.
"When you've got good employment, population growth and relatively affordable housing, demand tends to remain resilient."
"It's another reminder that different regions are performing differently. That's why local conditions matter so much."
Looking ahead
Tiller said conditions are likely to remain relatively steady through the second half of 2026.
"Mortgage rates, confidence and the amount of new stock coming onto the market will continue to shape conditions over the coming months."
"It's difficult to see strong, broad-based price growth while buyers continue to have plenty of choice, but equally we're not seeing the sort of conditions that would point to widespread price falls."
"Activity is continuing, buyers are still there, and well-priced homes are selling. It's simply a more balanced market than we've experienced over the past few years."
Share
