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Yes, the analysis of Christchurch's property market is included in our pack
Thinking about buying a 3-bedroom apartment in Merivale? It’s a great area, but you're probably wondering: is now the right time to buy, or should you wait for prices to drop?
And what about long-term investment—should you look into other suburbs like Riccarton or Fendalton where property values might appreciate more over time?
In this article, we’ll answer these questions. We know this market quite well - and we have put all our knowledge in the Christchurch Property Pack.
Will property prices increase in Christchurch in 2025?
Yes, property prices in Christchurch are expected to rise in 2025, driven by a combination of high demand and a limited supply of housing.
Backed by our fresh, in-depth market analysis, we’re confident that Christchurch remains an attractive city for both domestic and international investors.
While there are some economic challenges like inflation and rising interest rates, the main drivers behind Christchurch’s price growth remain strong.
Demand, especially in the central and suburban areas, continues to outpace supply, making significant price drops unlikely. Additionally, Christchurch's ongoing development and appeal as a lifestyle destination keep drawing in buyers.
Signals pointing to a property price increase in Christchurch
Here are some factors suggesting prices could increase:
The ongoing recovery and rebuilding efforts following past earthquakes have led to improved infrastructure and amenities, making Christchurch more attractive to potential buyers and investors.
Christchurch's growing reputation as a tech and innovation hub is attracting new businesses and professionals, increasing demand for housing in the city.
The city's lifestyle appeal, with its proximity to natural attractions and a high quality of life, continues to draw both domestic and international buyers, supporting property price growth.
Government initiatives aimed at boosting housing supply, such as zoning changes and incentives for new developments, are expected to take time to impact the market, keeping supply tight in the short term.
Christchurch's relatively affordable property prices compared to other major New Zealand cities make it an attractive option for first-time buyers and investors, sustaining demand.
The anticipated stabilization of interest rates in 2025 could make financing more accessible, encouraging more buyers to enter the market.
A strong local economy, supported by sectors like agriculture, education, and tourism, provides a stable foundation for continued property market growth.
Signals pointing to a property price decrease in Christchurch
Here are some factors suggesting prices could fall:
Rising construction costs and supply chain disruptions could slow down new housing developments, potentially limiting supply and affecting affordability.
Economic uncertainties, such as potential global downturns or local economic challenges, could impact buyer confidence and reduce demand.
If interest rates rise more than expected, it could make borrowing more expensive, reducing the purchasing power of potential buyers and cooling the market.
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If property prices go up in Christchurch, how much would they increase by?
If real estate prices in Christchurch were to rise in 2025, the increase would likely be around 3% to 7% of their 2024 values.
Typically, real estate in growing markets like Christchurch appreciates by approximately 3% to 7% annually over the long term. However, fluctuations can occur depending on factors such as location, economic conditions, and property type.
It means that, if you spot a charming 2-bedroom villa in Merivale for 850,000 NZD today, don't be surprised if it's priced between 875,500 and 909,500 NZD this time next year.
To give you a better understanding, here is a table that shows 7 types of Christchurch real estate properties, their estimated prices in 2024, and projections for 2025 based on potential price increases of 3%, 5%, and 7%.
| Type of Property | Average Price in 2024 (NZD) | Price in 2025 (3% increase) | Price in 2025 (5% increase) | Price in 2025 (7% increase) |
|---|---|---|---|---|
| Villa (60 sqm / 646 sqft) | NZD 900,000 | NZD 927,000 | NZD 945,000 | NZD 963,000 |
| Modern Apartment (75 sqm / 807 sqft) | NZD 1,200,000 | NZD 1,236,000 | NZD 1,260,000 | NZD 1,284,000 |
| Luxury Penthouse (100 sqm / 1,076 sqft) | NZD 2,500,000 | NZD 2,575,000 | NZD 2,625,000 | NZD 2,675,000 |
| Studio (30 sqm / 323 sqft) | NZD 450,000 | NZD 463,500 | NZD 472,500 | NZD 481,500 |
| Loft (80 sqm / 861 sqft) | NZD 1,600,000 | NZD 1,648,000 | NZD 1,680,000 | NZD 1,712,000 |
| Townhouse (150 sqm / 1,615 sqft) | NZD 3,500,000 | NZD 3,605,000 | NZD 3,675,000 | NZD 3,745,000 |
| Investment Property (50 sqm / 538 sqft) | NZD 750,000 | NZD 772,500 | NZD 787,500 | NZD 802,500 |
Everything you need to know is included in our Property Pack for Christchurch
If real estate prices go up in Christchurch, which areas are likely to see the biggest increases?
Today, people who want to move to Christchurch are looking for a blend of natural beauty and modern amenities, which Merivale offers. Hence, we could see a price increase there in 2025.
Also, lately, there's been a shift toward more youthful, vibrant neighborhoods, and Addington has really taken off.
We like it when information is clear and easy to digest. So, here’s a table that highlights the areas where prices might rise the most, along with the reasons behind those expected increases. It’s very high-level. If you want more details on a specific area, please check our real estate pack tailored to the Christchurch market.
| Neighborhood | Level of Increase | Why |
|---|---|---|
| Merivale | High | Recent development of luxury housing projects and its increasing appeal to international buyers as travel normalizes post-pandemic, driving demand. |
| Fendalton | High | Expected rise due to limited housing stock, upcoming renovations to heritage buildings, and growing demand for prime properties in central Christchurch. |
| Addington | Medium-High | Ongoing gentrification and new transport links, along with several planned redevelopment projects in the area, are likely to push prices higher. |
| Riccarton | Medium | The shift towards hybrid workspaces is driving demand for residential properties near business districts, combined with new mixed-use developments. |
| Sumner | Medium-High | Eco-friendly urban projects and recent construction of new schools and parks are increasing its attractiveness for families, pushing prices upward. |
| Lyttelton | Medium | Investment in local infrastructure, such as the extension of tram lines and renovation of historic areas, is boosting long-term value. |
| Sydenham | Medium-High | With new cultural and commercial spaces being developed, this trendy neighborhood is seeing increased demand from both residents and investors. |
| St Albans | High | Upcoming large-scale urban regeneration projects and improved public transport access are expected to make this area more desirable. |
| Halswell | Medium-High | Its proximity to Christchurch, along with new office and residential developments, makes it increasingly attractive to professionals seeking more space. |
| Linwood | Medium | Gentrification and cultural regeneration projects are attracting new residents, leading to rising prices as the area becomes more fashionable. |
| Cashmere | High | As new luxury developments are launched, demand for premium housing among wealthy buyers is expected to further increase property values. |
| Central City | High | Upcoming restoration of key landmarks and high-profile cultural projects are driving a renewed focus on this central, historic location. |
-The best areas to buy a property in Christchurch
If I'm looking to invest in real estate, what types of properties should I focus on for the best value appreciation in Christchurch?
In 2025, Christchurch real estate trends focus on tech-smart, energy-efficient homes, larger suburban properties for families, homes with outdoor spaces, and eco-friendly buildings—all driving higher demand and prices. Here is a summary.
- Tech-Equipped and Energy-Efficient Homes:
Driven by remote work and sustainability trends, these homes offer smart technology features and energy-saving systems. They cater to young professionals and tech workers, making them a hot commodity in 2025.
- Family-Sized Homes in Suburban Areas:
With a growing demand for larger living spaces, especially among families, suburban areas near Christchurch are seeing increased interest. Proximity to parks and schools is a major factor driving value.
- Properties with Outdoor Spaces:
Post-pandemic, outdoor spaces like terraces, balconies, or gardens have become highly desirable. In cities like Christchurch, these features offer a much-needed escape and are likely to drive up property values.
- Eco-Friendly Buildings with Low Carbon Footprints:
Christchurch's commitment to sustainability is boosting demand for eco-certified buildings. Buyers are increasingly valuing properties that align with the city’s green goals, leading to price appreciation in this category.
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