What is the average property price in New Zealand?

Authored by the expert who managed and guided the team behind the New Zealand Property Pack

Everything you need to know before buying real estate is included in our New Zealand Property Pack

Who is the author of this content?

BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in New Zealand. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At BambooRoutes, we explore the New Zealand real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Auckland, Wellington, and Christchurch. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

What's the current average property price in New Zealand?

As of September 2025, the national average house price in New Zealand ranges from NZ$770,000 to NZ$910,000, depending on whether you look at median or average values.

Auckland dominates the market with a median house price of NZ$990,000, while excluding Auckland, the national median drops to NZ$691,500. Canterbury, centered around Christchurch, shows a median of NZ$675,000, making it significantly more affordable than the main urban centers.

The West Coast represents the most budget-friendly region with a median house price of NZ$420,000, offering the lowest entry point for property buyers. These regional variations reflect differences in employment opportunities, population density, and infrastructure development across New Zealand.

Average mortgage amounts currently sit at NZ$582,000 to NZ$588,558, with first-home buyers averaging NZ$568,846 and investors at NZ$541,484. Interest rates have become more favorable, with 1-year fixed rates at 4.79%–4.98% as of September 2025.

It's something we develop in our New Zealand property pack.

How do average prices differ between houses, apartments, and townhouses?

Houses command the highest prices nationally, averaging NZ$817,279 with a cost of approximately NZ$7,161 per square meter.

Apartments cost significantly less on average at NZ$656,719 nationally, but their price per square meter is actually higher at NZ$14,083/m² due to their smaller size. This makes apartments more expensive per unit of space but more affordable overall for buyers with limited budgets.

Townhouses typically fall between apartments and standalone houses, ranging from NZ$700,000 to NZ$900,000 for a typical two-bedroom property in cities like Wellington or Christchurch. They offer a middle ground between apartment living and house ownership, often including small outdoor spaces and better privacy than apartments.

Houses have significantly outperformed apartments in long-term price growth, with house prices surging 56.8% since 2015 compared to apartments' modest 25.1% gain. This performance gap makes houses more attractive for capital growth investors, while apartments may suit those prioritizing lower entry costs and minimal maintenance responsibilities.

What are the most expensive areas to buy property right now?

Auckland's premium suburbs lead New Zealand's most expensive property markets, with Herne Bay commanding a median price of NZ$3.2 million.

Suburb	City	Median Price (NZ$)
Herne Bay	Auckland	3,200,000
Remuera	Auckland	2,900,000
St Mary's Bay	Auckland	2,700,000
Parnell	Auckland	2,500,000
Orakei	Auckland	2,400,000
Oriental Bay	Wellington	2,110,000
Seatoun	Wellington	1,690,000

Which areas are considered up-and-coming or budget-friendly?

Several Auckland suburbs offer strong growth potential at more accessible price points, particularly in the southern areas.

1. **East Tamaki** - Industrial area transitioning to mixed-use development with excellent transport links2. **Mt Wellington** - Close to Auckland CBD with significant redevelopment projects planned3. **Otahuhu** - Major transport hub with new rail connections boosting property values4. **Papatoetoe** - Growing Polynesian community with increasing amenities and infrastructure5. **Wigram, Christchurch** - New residential development with modern amenities and strong rental demand6. **Te Awamutu, Waikato** - Commuter town to Hamilton with affordable prices and steady growth

Budget-friendly regions include the West Coast (median NZ$420,000), Southland (NZ$502,500), and parts of Manawatu-Whanganui and Taranaki. These areas offer entry-level prices but may have limited capital growth prospects compared to main urban centers.

Growth drivers in up-and-coming areas include gentrification, infrastructure investment, new housing developments, and improved transport links to major employment centers.

How much do prices vary depending on the size or surface area of a property?

Property prices per square meter vary dramatically across New Zealand, reflecting location premiums and local market conditions.

Houses nationally average NZ$7,161 per square meter, but this ranges from NZ$15,966/m² in premium Otago locations to just NZ$3,426/m² in Southland. Auckland commands around NZ$9,018/m², representing a significant premium for urban living and proximity to employment centers.

Apartments cost more per square meter at NZ$14,083/m² nationally due to their compact size and urban locations. This higher per-square-meter cost reflects the premium for central locations and the efficiency of smaller living spaces in high-demand areas.

Construction costs provide a baseline, ranging from NZ$2,500 to NZ$4,000+ per square meter depending on region and specifications, not including land costs. Central cities and luxury suburbs typically exceed these baseline costs due to premium materials, design requirements, and higher labor costs.

Larger homes generally achieve marginally lower per-square-meter rates due to economies of scale in construction and fixed costs being spread across more space.

What are some example purchase prices for typical properties in different regions?

A three-bedroom house in Auckland typically costs NZ$1,000,000 or more, reflecting the city's status as New Zealand's economic center and largest population hub.

Property Type	Location	Typical Price Range (NZ$)
3-bedroom house	Auckland	1,000,000+
2-bedroom townhouse	Wellington	900,000–1,200,000
3-bedroom house	Christchurch	700,000
3-bedroom house	West Coast	420,000
3-bedroom house	Southland	500,000
2-bedroom apartment	Auckland CBD	800,000+
2-bedroom apartment	Christchurch	550,000+

What extra costs should buyers expect, including fees, taxes, and legal expenses?

Property buyers in New Zealand face total transaction costs of approximately 1.6% to 1.9% of the purchase price, primarily consisting of legal and administrative fees.

Legal fees represent the largest cost at 1.5% of the purchase price, covering conveyancing, contract review, and settlement procedures. A Land Information Memorandum (LIM) costs NZ$200 to NZ$400 and provides essential property and land information.

Annual council rates typically range from 0.2% to 0.5% of property value and cover local government services. New Zealand notably has no property transfer tax, making it more attractive than many international markets for property transactions.

Real estate agent fees of 3.5% to 4% are usually paid by the seller, not the buyer. However, investors should be aware of the "bright-line test" which taxes capital gains on investment properties sold within a specified period.

It's something we develop in our New Zealand property pack.

What does the average mortgage look like for buyers today?

The average mortgage for property purchases in New Zealand sits at NZ$582,000 to NZ$588,558 as of September 2025.

First-home buyers secure mortgages averaging NZ$568,846, while property investors typically borrow NZ$541,484, reflecting their different purchasing patterns and deposit requirements. Most buyers require a 20% deposit, though some loans allow 10% deposits with additional conditions.

Interest rates have become more favorable in 2025, with 1-year fixed rates ranging from 4.79% to 4.98% and floating rates at 6.29% to 6.35%. This represents a significant improvement from previous highs, making property purchases more accessible.

The typical mortgage structure involves fixed-rate periods of 1-3 years, with many borrowers choosing to fix portions of their loan at different rates to manage interest rate risk. Banks generally require borrowers to demonstrate they can service the loan at higher test rates.

What are the smartest choices if you want to live in the property yourself?

Owner-occupiers should prioritize well-located properties near public transport, quality schools, and essential amenities for long-term lifestyle satisfaction and value retention.

1. **Houses or townhouses in up-and-coming suburbs** - Offer better value growth potential and lifestyle benefits compared to established premium areas2. **Properties near transport hubs** - Essential for commuting convenience and future value growth as urban density increases3. **Areas with good school zones** - Critical for families and maintains strong resale value even in market downturns4. **Suburbs with planned infrastructure investment** - Government spending on transport, parks, and community facilities drives long-term value5. **Properties with outdoor space** - New Zealand buyers strongly value gardens, courtyards, or balconies for lifestyle quality

Inner-city apartments offer easier maintenance and urban convenience but tend to lag houses in capital gains over time. Most current buyers are owner-occupiers, especially in mid-and high-value price brackets, indicating strong demand for quality residential properties.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in New Zealand versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

What are the best options if you plan to rent it out short-term, long-term, or buy to resell later at a higher price?

Long-term rental properties generate the highest yields in Christchurch, Dunedin, and Hamilton, delivering gross yields of 4.5% to 5.5% compared to Auckland's 3.9% and Wellington's 4.3%.

Investment Strategy	Best Locations	Expected Returns
Short-term rental	Queenstown, Auckland, tourist areas	Variable, regulatory risks
Long-term rental	Christchurch, Dunedin, Hamilton	4.5%–5.5% gross yield
Long-term rental	Auckland, Wellington	3.9%–4.3% gross yield
Buy-to-resell	Up-and-coming suburbs	Depends on timing and location
Capital growth focus	Auckland fringe, Wellington	3-5% annual growth expected

Short-term rentals work best in tourist hotspots like Queenstown and Auckland's scenic suburbs, but face increasing regulatory restrictions and supply competition. Success depends heavily on location, property quality, and professional management.

Buy-to-resell strategies suit up-and-coming areas experiencing rapid value growth, but the current bright-line test regulations require careful timing to optimize tax outcomes. Most successful flippers target properties needing renovation in gentrifying suburbs.

How have property prices changed compared with one year ago and five years ago?

New Zealand property prices have remained relatively flat over the past year, showing 0% to 0.5% change nationally, though some regional areas have experienced significant growth.

Southern regions and provincial areas have performed particularly well, with Southland and the West Coast recording growth of 14% to 35% over the past year. This regional outperformance reflects urban migration patterns and relative affordability compared to main centers.

Property values remain 14% to 16% below the 2021 peak nationally, representing a significant correction from the pandemic-era highs. However, the market shows signs of stabilization as interest rates decline and buyer confidence gradually returns.

Over the past five years, most regions have seen price increases of 25% to 30%, though lower-priced provincial areas have experienced gains exceeding 130%. Auckland shows more modest growth of 38% over the past decade, compared to 260%+ increases in cheaper regions, highlighting the narrowing gap between urban and rural property values.

It's something we develop in our New Zealand property pack.

What's the forecast for prices in one year, five years, and ten years, and how does New Zealand compare with other big similar cities?

New Zealand property prices are forecast to rise 3.8% to 5% annually over the next 1-2 years as interest rates continue to ease and housing supply remains constrained.

By 2030, property prices are projected to climb approximately 3.1% per annum, but will remain about 20% lower in real inflation-adjusted terms compared to the 2021 peak. Nominal prices may not exceed 2021 levels until 2029, indicating a prolonged adjustment period.

Regional differences will persist, with Auckland and Wellington likely to experience slower growth due to their already high base prices, while provincial areas may continue outperforming due to relative affordability and lifestyle migration trends.

Compared to international markets, New Zealand's long-term growth has outpaced many OECD countries, but the post-pandemic correction has been deeper and more protracted than in the United States, Australia, or the United Kingdom. This suggests New Zealand may offer better value entry points for international investors in the medium term.

The forecast assumes continued population growth, infrastructure investment, and stable economic conditions, but external factors like global economic conditions and immigration policy changes could significantly impact these projections.

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.

Sources

1. Global Property Guide - New Zealand Price History
2. Trading Economics - New Zealand Average House Prices
3. QV Price Index
4. REINZ Market Updates
5. MPA Magazine - House vs Apartment Growth
6. Properstar New Zealand House Prices
7. Canstar - Average Home Loan New Zealand
8. Hayden Roulston - Best Rental Yields
9. Westpac IQ - Housing Market Update
10. RNZ - House Price Forecasts