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Auckland's property market is showing signs of stabilization after a significant correction period.
As of September 2025, the median house price sits at NZD 990,000, down 3.4% from the previous year but showing early recovery signals with improved buyer confidence and gradual price growth expected through 2025-2026.
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Auckland's residential property market is transitioning from a correction phase to early recovery, with median prices at NZD 990,000 representing a 22% decline from 2021 peaks.
Major banks forecast modest price growth of 3-7% through 2025, supported by falling mortgage rates and stabilizing supply-demand dynamics in New Zealand's largest housing market.
| Market Metric | Current Status (September 2025) | 12-Month Outlook |
|---|---|---|
| Median House Price | NZD 990,000 (-3.4% YoY) | 3-7% growth expected |
| Days on Market | 49 days (above long-term average) | Gradual reduction expected |
| Mortgage Rates (1-year fixed) | 4.83% average | Further declines to 4.5-4.8% |
| Building Consents | 15-16,000 annually | Stable supply pipeline |
| Rental Yields | 4-5% gross yields | Yields improving as prices stabilize |
| Auction Clearance Rate | 35-40% average | Moderate improvement expected |
| Net Migration Impact | 14,800 annually (down 82%) | Reduced pressure on demand |
What's the current median house price in Auckland and how has it changed over the last 12 months?
The current median house price in Auckland is NZD 990,000 as of September 2025.
Over the past 12 months, Auckland property values have declined by 3.4% year-on-year, reflecting the ongoing market correction from the 2021 peak. This represents a continuation of the broader price adjustment that began in late 2021, when Auckland median prices reached historic highs.
Auckland house prices remain 22% below their November 2021 peak, indicating substantial market cooling from previous levels. The current median price is similar to levels seen approximately ten years ago, demonstrating how dramatically the market has reset from its record highs.
Recent monthly data shows signs of stabilization, with October 2024 recording a 2.2% month-on-month increase to NZD 955,000, breaking a three-month decline and suggesting the market may be finding its floor.
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How many properties are currently listed for sale in Auckland and how does that compare to the same time last year?
Property listings in Auckland have increased significantly compared to the same time last year, indicating improved availability for buyers.
The number of houses sold for the year to June 2025 was 23,506, representing a 28% increase from the May 2023 market trough. However, this figure remains 35% lower than the July 2021 peak when market activity was at its highest.
Current inventory levels show steady improvement in recent months, with more properties coming to market as seller confidence gradually returns. This increased supply provides buyers with more choice and negotiating power compared to the tight market conditions experienced in recent years.
National data shows new property listings were up 17% year-on-year in January 2025, though much of this increase occurred outside Auckland. The Auckland market specifically has seen more moderate listing growth as vendors remain cautious about timing their sales.
What are the average days on market for residential properties in Auckland right now?
As of September 2025, residential properties in Auckland are taking an average of 49 days to sell.
This figure is slightly higher than the national average of 50 days for the rest of New Zealand excluding Auckland, indicating similar selling timeframes across the country. However, it represents an increase from Auckland's long-term historical average of 37 days, reflecting the current softer market conditions.
The extended time on market demonstrates the shift from a seller's market to more balanced conditions, where buyers can take more time to make decisions and negotiate prices. Properties that are well-priced and well-presented are still selling within reasonable timeframes.
This metric suggests that while the market has cooled from its peak activity levels, it hasn't reached the extremely slow conditions that might indicate a severely distressed market.
How many auctions are being held weekly in Auckland and what's the clearance rate?
Auckland's auction activity currently shows moderate levels with clearance rates averaging between 35-40%.
The auction clearance rate reflects buyer sentiment and market strength, with current rates indicating a buyer's market where purchasers have more negotiating power. Clearance rates above 70% typically signal a hot seller's market, while rates below 50% favor buyers.
Weekly auction numbers vary seasonally, with spring traditionally bringing increased activity as more vendors choose to list their properties. The current clearance rates suggest that while buyer interest exists, there remains a gap between vendor expectations and what purchasers are willing to pay.
Barfoot & Thompson, one of Auckland's largest agencies, reported selling 884 properties in October 2024 through various sales methods, indicating steady transaction volumes despite the challenging market conditions.
What are the current average rental yields across different suburbs in Auckland?
| Suburb Category | Average Gross Rental Yield | Typical Weekly Rent |
|---|---|---|
| Central Auckland | 5.5-6.5% | NZD 600-800 |
| North Shore suburbs | 3.5-4.5% | NZD 700-900 |
| South Auckland | 5.0-6.0% | NZD 550-700 |
| West Auckland | 4.5-5.5% | NZD 600-750 |
| East Auckland | 4.0-5.0% | NZD 650-800 |
| Premium suburbs (Herne Bay, etc.) | 2.5-3.5% | NZD 1,000-2,000+ |
| Auckland Average | 4.5% | NZD 670 |
How have Auckland's rental vacancy rates shifted in the past year?
Auckland's rental vacancy rates have remained relatively stable at low levels throughout 2025, maintaining tight rental market conditions.
The city continues to experience strong rental demand despite reduced net migration numbers, keeping vacancy rates low and supporting rental price stability. Auckland's rental market benefits from its position as New Zealand's largest employment center and primary destination for new residents.
Trade Me data shows rental listings in Auckland increased 13% month-on-month by September 2024, but demand has moderated as net migration dropped below 50,000 for the first time since January 2023. This has created slightly more balanced conditions for tenants.
The median weekly rent dropped to NZD 670 in September 2024, the lowest in nine months, indicating some cooling in rental price growth while vacancy rates remain manageable for landlords.
What are the latest trends in mortgage interest rates in New Zealand and how are they affecting Auckland buyers?
New Zealand mortgage rates have declined significantly from their 2023 peaks and continue to trend lower through 2025.
As of September 2025, the average 1-year fixed mortgage rate stands at 4.83%, while the floating rate averages 6.21%. These rates represent substantial decreases from the 7.5% levels reached in early 2024, providing relief for both existing homeowners and potential buyers.
The Reserve Bank of New Zealand has cut the Official Cash Rate (OCR) to 3.75% in February 2025, down from its peak of 5.50% in 2023. Major banks forecast the OCR will fall further to between 2.5-3.0% by mid-2026, suggesting additional mortgage rate reductions ahead.
For Auckland buyers, these lower rates are improving affordability and purchasing power, with many economists expecting mortgage rates to settle between 4.5-4.8% by mid-2025. This monetary easing is supporting increased buyer activity and confidence in the Auckland residential market.
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How much new housing supply is being added in Auckland and what's the pipeline for the next 12–24 months?
Auckland's housing supply pipeline remains robust with approximately 15,000-16,000 new dwellings being completed annually as of 2025.
New dwelling consents for the year to June 2025 in Auckland totaled 14,295, representing a slight increase from previous months but remaining 35% below the 2022 peak of 21,000 consents. Current completion rates show 17,200 new homes were finished in 2024, maintaining near-record production levels.
As of December 2024, Auckland's housing pipeline contained 20,200 new homes: 13,800 currently under construction and 6,400 consented but not yet started. This substantial pipeline ensures continued supply additions over the next 18-24 months.
Research shows that over 90% of consented homes are completed, with most beginning construction within six months of consent approval. Approximately 89% of new homes represent net additions to Auckland's housing stock after accounting for demolished properties.
What government or council policies are directly influencing the Auckland property market right now?
The most significant recent policy change affecting Auckland investors is the reduction of the bright-line test from 10 years to 2 years, effective July 1, 2024.
This change allows property investors to sell residential properties after just two years without paying capital gains tax, compared to the previous 10-year period under the Labour government. The policy shift has encouraged renewed investor interest in the Auckland residential market.
Interest deductibility rules are also being phased back, allowing residential property investors to claim 80% of mortgage interest as a tax deduction from October 2024, increasing to 100% deductibility by 2025. This represents a significant improvement for investor cash flows and returns.
Auckland Council continues implementing the Auckland Unitary Plan, which has enabled increased housing density and development capacity. The plan has facilitated nearly 100,000 new homes since 2018, demonstrating its effectiveness in addressing housing supply constraints.
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How are net migration figures impacting Auckland housing demand this year?
Net migration to New Zealand has dropped dramatically in 2025, significantly reducing pressure on Auckland's housing demand.
For the year to May 2025, New Zealand recorded net migration of just 14,800 people, representing an 82% decrease from previous year levels and an 85% decline from 2023 peaks. This dramatic reduction has eased demand pressures that previously drove rental and purchase market competition.
Auckland typically receives the largest share of new migrants, making this reduction particularly relevant for the city's housing market. The lower migration figures have contributed to increased rental listings and more balanced market conditions for both buyers and tenants.
While migration remains positive, supporting baseline housing demand, the reduced influx has allowed housing supply additions to better match population growth, creating more stable market dynamics than the supply shortages experienced during peak migration periods.
What do local economists and major banks forecast for Auckland property prices in the next 12 months?
Major New Zealand banks are forecasting modest but positive price growth for Auckland residential property through 2025.
ASB Bank has the most optimistic prediction with 9.4% growth expected, while ANZ forecasts 6.0% growth, BNZ predicts 6.8% growth, and Westpac anticipates 7.2% growth. The median forecast across major banks suggests 6.8% price appreciation through December 2025.
Kiwibank economists expect Auckland house prices to increase 5-7% over 2025, supported by continued interest rate reductions and improving economic conditions. The Reserve Bank's more conservative forecast suggests 3.8% growth, reflecting caution about economic recovery pace.
These forecasts represent gradual recovery rather than a return to boom conditions, with economists emphasizing that Auckland prices remain 15% below peak levels in nominal terms and 25-30% below when accounting for inflation.
Which Auckland suburbs are currently showing the strongest growth and which are lagging behind?
| Performance Category | Suburbs | 24-Month Growth Rate |
|---|---|---|
| Strongest Growth | Birkdale, Ellerslie | 3.0% - 1.6% per year |
| Solid Performance | Rodney District areas | 3.3% recent quarterly gain |
| Premium Stable | Herne Bay, Stanley Point | Median: NZD 3.36M, NZD 2.37M |
| Moderate Growth | North Shore average | 2.5% annual growth |
| Lagging Performance | Herald Island, Castor Bay | -4.0% to -2.4% per year |
| Value Segments | Auckland Central, Manukau | NZD 512K - NZD 585K medians |
| Underperforming | Otahuhu | -2.7% per year decline |
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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 outlook for 2025 shows cautious optimism with prices stabilizing after a significant correction period.
The combination of falling mortgage rates, reduced migration pressure, and steady housing supply suggests a more balanced market emerging for both buyers and investors.