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Auckland's property market is currently experiencing a stabilizing phase with improving affordability and increased buyer activity. As of September 2025, the median house price sits at NZD 990,000, showing a 3.4% decline from the previous year, while interest rates have dropped significantly and first-home buyer participation has reached 27% of sales.
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Auckland's property market shows signs of recovery with falling interest rates, increased supply, and growing buyer confidence, though prices remain 3.4% below last year's levels.
First-home buyers now represent 27% of sales, significantly higher than historic averages, while investor activity has rebounded to 25% of transactions.
| Key Metric | Current Value (Sept 2025) | Annual Change |
|---|---|---|
| Median House Price | NZD 990,000 | -3.4% |
| Median Weekly Rent | NZD 632-692 | +2.75-3.8% |
| Average Days on Market | 49-50 days | Stable/High |
| 1-Year Fixed Mortgage Rate | 7.33% | -1 to -2% |
| First-Home Buyer Share | 27% | +5-6% |
| Price-to-Income Ratio | 7.7 | Improved |
| Monthly Building Consents | 1,000-1,200 | Slightly Above |
What's the current median house price in Auckland and how has it changed from last year?
The median house price in Auckland currently stands at NZD 990,000 as of September 2025.
This represents a 3.4% decrease compared to the same period 12 months ago, reflecting the ongoing market correction that began in late 2022. The price decline indicates a shift from the peak market conditions experienced during the pandemic years.
The current pricing reflects improved market balance, with increased supply giving buyers more negotiating power. Auckland's residential property market has moved away from the aggressive price growth seen in 2020-2021, when limited supply and low interest rates drove rapid appreciation.
This price adjustment has contributed to better affordability for potential buyers, particularly when combined with falling interest rates and rising household incomes.
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How many properties are being sold monthly in Auckland compared to last year?
Property sales in Auckland are showing signs of recovery with approximately 23,500 properties sold over the past 12 months.
This represents a 28% increase from the market trough experienced in May 2023, indicating renewed buyer activity. The sales volume reflects growing market confidence as interest rates have begun declining and affordability has improved.
Monthly sales activity has been steadily increasing throughout 2025, though volumes remain below the peak levels seen during 2020-2021. The current sales pace suggests a normalizing market where both buyers and sellers are becoming more active participants.
This increased transaction volume indicates that the market freeze experienced during the high interest rate period of 2023-2024 is gradually thawing.
What's the average time properties spend on the market before selling?
Properties in Auckland currently take an average of 49-50 days to sell once listed on the market.
This timeframe is notably higher than historic norms, when properties typically sold within 30-35 days during more active market periods. The extended selling period reflects the current buyer's market conditions, where purchasers have more time to consider their options.
The longer days on market also indicate that sellers need to be more realistic with their pricing expectations and property presentation. Properties that are well-priced and well-presented continue to sell faster than the average.
This trend suggests that while the market is active, it remains selective, with buyers taking more time to make decisions given the increased inventory available.
How much have Auckland rental prices changed and what's the current weekly rent?
The median weekly rent in Auckland ranges between NZD 632-692 as of September 2025.
Rental prices have increased by 2.75-3.8% year-on-year, representing a significant slowdown from the rapid rent growth experienced in previous years. This moderate increase reflects the rental market stabilization as supply and demand reach better balance.
The rental market is experiencing slower growth and less tenant churn, with increased property choice dampening aggressive price rises. Tenants now have more options available, which is moderating landlords' ability to implement large rent increases.
This rental growth rate is more sustainable than the double-digit increases seen in 2022-2023, suggesting the market is normalizing after the post-pandemic disruption.
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How many new residential building consents are being issued monthly?
Auckland is issuing approximately 1,000-1,200 residential building consents per month as of September 2025.
Over the past 12 months, 13,744 building consents were issued, which is slightly above the previous year's pace. This sustained construction activity is helping to address the housing supply shortage that has characterized Auckland for many years.
The current consent issuance rate remains well below the previous peak levels but is sufficient to support ongoing housing supply growth. New completions are also remaining high, contributing to the increased inventory available to buyers.
This construction pace suggests that Auckland's housing supply constraints are gradually being addressed, which supports more balanced market conditions.
What's the current housing supply versus buyer demand situation?
Auckland's housing supply has increased significantly, with national inventory rising to over 34,000 properties available for sale.
The months of inventory available to buyers are higher than last year, giving purchasers more choices and forcing vendors to wait longer to sell their properties. This represents a shift from the severe supply shortages that characterized the market in previous years.
Local Auckland inventory levels reflect a steady market rather than oversupply, indicating that while supply has improved, it hasn't reached problematic excess levels. The increased supply is providing buyers with better negotiating positions and more time to make decisions.
This supply improvement is a key factor supporting the market stabilization and improved affordability trends currently observed.
What percentage of sales go to first-home buyers versus investors?
| Buyer Type | Current Share (July 2025) | Historic Average |
|---|---|---|
| First-Home Buyers | 27% | 21-22% |
| Investors | 25% | 15-20% |
| Owner-Occupier Movers | 48% | 55-60% |
| Other Buyers | 5% | 3-5% |
What are the current mortgage interest rates and recent trends?
The average 1-year fixed mortgage rate in Auckland is currently around 7.33%, while floating rates average 8.55%.
Fixed rates for 2-5 year terms range between 5.09% and 5.66%, representing a sharp decline from one year ago thanks to Reserve Bank rate cuts that brought the Official Cash Rate to 3.25%. Interest rates have fallen by approximately 1-2 percentage points compared to their 2024 peaks.
This significant rate reduction is improving housing affordability and supporting increased buyer activity across all market segments. The lower rates are particularly beneficial for first-home buyers and investors who had been priced out during the high-rate period.
The declining interest rate environment is expected to continue supporting market recovery as borrowing costs become more manageable for potential buyers.
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How have household incomes changed and what's the price-to-income ratio?
Auckland's price-to-income ratio has improved to 7.7 as of September 2025, down from higher levels in previous years.
Average household incomes have risen modestly by about 1.65% over the past year, contributing to better affordability when combined with declining house prices. This improvement in the income-to-price relationship makes homeownership more accessible for local buyers.
The improved ratio reflects the combined effect of falling property prices, rising incomes, and lower interest rates working together to enhance affordability. Auckland's affordability has reached levels not seen since before the pandemic housing boom.
This trend toward better affordability is supporting increased first-home buyer participation and overall market activity.
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How many properties are purchased with cash versus mortgage financing?
The majority of Auckland property purchases continue to be financed through mortgages rather than cash transactions.
While detailed recent statistics on cash versus mortgage purchases are limited, the increased first-home buyer and investor activity suggests a larger share of mortgage-driven acquisitions. This trend has been supported by the significant reduction in interest rates throughout 2025.
Cash purchases remain a minority of transactions and show little growth in Auckland's most active market segments. The improved mortgage affordability has made financing more accessible for a broader range of buyers.
The mortgage-dominated purchase pattern reflects the typical buyer profile in Auckland's current market, where financing accessibility has improved significantly.
What's the current auction clearance rate and recent trends?
Auction clearance rates in Auckland represent approximately 11-12% of total property sales as of September 2025.
This rate has increased slightly from previous quarters, reflecting increased buyer confidence and more active market participation since early 2025. The improvement in auction performance indicates growing market sentiment and buyer willingness to commit.
While auctions remain a smaller portion of total sales compared to private treaty sales, the improving clearance rates suggest that competitive bidding environments are returning to some market segments.
The trend toward better auction performance aligns with other indicators of improving market confidence and activity levels.
How do population growth and migration compare with housing supply?
Population growth and net migration into Auckland remain strong, but housing supply has been keeping pace through robust construction activity.
Auckland's construction surge over recent years is credited with closing the gap between housing demand from population growth and available supply. The combination of sustained building consents and completions has helped moderate both rent and house price growth.
The improved supply-demand balance represents a significant shift from the severe housing shortages that characterized Auckland for much of the 2010s and early 2020s. This better balance is supporting market stabilization across both sales and rental segments.
The successful matching of supply growth with population growth is a key factor in Auckland's improving affordability metrics and market stability.
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Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Auckland's property market in September 2025 presents a compelling opportunity for both homebuyers and investors, with improved affordability, falling interest rates, and increased supply creating more balanced conditions.
The combination of declining prices, reduced borrowing costs, and steady rental yields makes Auckland an attractive destination for property investment, particularly for first-home buyers who now represent 27% of market activity.
Sources
- Auckland Economic Update - August 2025
- Opes Partners - Auckland Property Market
- MPA Magazine - Auckland Affordability Improves
- Massey University - Home Affordability Report
- REINZ - May 2025 Market Data
- Barfoot & Thompson - Rental Report
- Auckland Monthly Housing Update - April 2025
- MPA Magazine - First Home Buyers Drive Market
- Opes Partners - Interest Rates
- RNZ - Auckland Affordability Story