Authored by the expert who managed and guided the team behind the New Zealand Property Pack
Yes, the analysis of Wellington's property market is included in our pack
If you are thinking about buying a residential property in Wellington, you are probably wondering how the real estate market is doing right now and what to expect.
Wellington's housing market in 2026 is in a stabilizing phase, with buyers holding more negotiating power than they did a few years ago and prices sitting well below their 2022 peaks.
This article breaks down the current housing prices in Wellington, and we constantly update this blog post to give you the freshest numbers available.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Wellington.
How's the real estate market going in Wellington in 2026?
What's the average days-on-market in Wellington in 2026?
As of early 2026, the average days-on-market for residential properties in Wellington sits at roughly 44 to 46 days, which reflects a market where buyers have time to negotiate and are not pressured into rushed decisions.
Most typical Wellington listings spend anywhere between 35 and 55 days on the market, with well-presented homes in desirable suburbs like Mount Victoria or Island Bay selling faster and properties with issues like poor insulation or limited sun taking longer.
Compared to late 2024, when Wellington properties took around 39 to 41 days to sell, the current figure is noticeably higher, showing that buyer urgency has cooled off even as interest rates have started to ease.
Are properties selling above or below asking in Wellington in 2026?
As of early 2026, most residential properties in Wellington are selling around 3% to 6% below their initial asking prices, which means buyers have solid room to negotiate in most transactions.
Roughly 70% to 80% of Wellington sales close at or below asking, with only about 20% to 30% of properties attracting enough buyer interest to sell at or above the listed price, though we should note that New Zealand does not have a single public sale-to-list dataset, so these figures are estimates based on market commentary and price index movements.
The properties most likely to see competitive bidding and above-asking sales in Wellington are warm, well-insulated standalone houses in sunny positions within suburbs like Thorndon, Oriental Bay, and Roseneath, especially when they have good seismic reports and off-street parking.
By the way, you will find much more detailed data in our property pack covering the real estate market in Wellington.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of New Zealand. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
What kinds of residential properties can I realistically buy in Wellington?
What property types dominate in Wellington right now?
In Wellington's housing market in 2026, roughly 50% of listings are standalone houses, about 25% are apartments, and around 25% are townhouses or terraced units, though the mix shifts depending on which suburb you are looking at.
Standalone houses remain the largest single category in Wellington, especially in the hillside suburbs like Karori, Kelburn, and Khandallah, where the hilly terrain made high-density building difficult historically.
Standalone houses became so dominant in Wellington because the city's geography of steep hills and narrow valleys meant that traditional single-family homes were the practical option for most of the 20th century, and only recent planning changes have opened up more townhouse and apartment development along key corridors.
If you want to know more, you should read our dedicated analyses:
- How much should you pay for a house in Wellington?
- How much should you pay for an apartment in Wellington?
- How much should you pay for a townhouse in Wellington?
Are new builds widely available in Wellington right now?
New-build properties represent roughly 10% to 15% of all residential listings in Wellington in 2026, which means most buyers will be looking at existing homes rather than brand-new construction, especially if they want a standalone house.
As of early 2026, the highest concentrations of new-build developments in Wellington are along the Adelaide Road corridor near Newtown, in parts of Kilbirnie close to the airport, and in the Hutt Valley suburbs like Petone and Lower Hutt, where medium-density townhouse projects have been most active.
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Which neighborhoods are improving fastest in Wellington in 2026?
Which areas in Wellington are gentrifying in 2026?
As of early 2026, the Wellington neighborhoods showing the clearest signs of gentrification are Newtown, Mount Cook, Berhampore, and Kilbirnie, all of which sit along the transport and growth corridors the council has been prioritizing for intensification.
In these areas you can see new cafes and specialty food shops opening along Riddiford Street in Newtown, older workers' cottages being renovated with double glazing and modern kitchens, and a noticeable shift toward younger professional households replacing long-term renters.
Over the past two to three years, these gentrifying Wellington suburbs have seen estimated price appreciation of roughly 2% to 5% annually, which is modest but outperforms the broader Wellington market that has been flat or slightly negative over the same period.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Wellington.
Where are infrastructure projects boosting demand in Wellington in 2026?
As of early 2026, the areas in Wellington seeing the strongest infrastructure-driven demand boosts are the CBD and Courtenay Place precinct, the Adelaide Road and Basin Reserve corridor, and the Wellington-to-Hutt connection zones around Ngauranga and Petone.
The specific projects driving this demand include the Golden Mile pedestrianization upgrade running from Lambton Quay to Courtenay Place, the Te Ara Tupua shared path connecting Wellington to the Hutt Valley, and ongoing streetscape and transit improvements under the Let's Get Wellington Moving program.
The Golden Mile works began in April 2025 and are expected to take several years to complete in stages, while Te Ara Tupua's Nga Uranga to Pito-One section is already under construction with completion targeted for the mid-2020s.
Typically in Wellington, property prices near major infrastructure projects see a small uplift of 2% to 5% after announcement and a further 3% to 8% once the project is completed and functional, though the effect varies by suburb and how directly the project improves daily livability.
We have made this infographic to give you a quick and clear snapshot of the property market in New Zealand. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
What do locals and insiders say the market feels like in Wellington?
Do people think homes are overpriced in Wellington in 2026?
As of early 2026, sentiment among Wellington locals and market insiders is mixed, with many feeling that while prices have fallen from their 2022 peaks, homes are still expensive relative to what you actually get in terms of condition, warmth, and weather-tightness.
People who argue Wellington homes remain overpriced often point to the fact that many properties require NZD 50,000 to NZD 100,000 in insulation and heating upgrades, have uncertain seismic ratings, and come with rising insurance costs that erode true value.
Those who believe current Wellington prices are fair counter that the city's geography makes supply extremely limited, the CBD offers lifestyle amenities that justify premiums, and the post-peak correction has already brought prices 17% to 20% below the 2022 highs.
Wellington's price-to-income ratio sits around 7 to 8 times median household income, which is lower than Auckland's roughly 9 to 10 times ratio but still above the New Zealand national average of about 6.5 times.
What are common buyer mistakes people regret in Wellington right now?
The most frequently cited buyer mistake in Wellington is underestimating the cost and hassle of dealing with cold, damp homes, as many buyers purchase a charming-looking villa only to discover it needs NZD 30,000 or more in insulation, ventilation, and double-glazing work to be comfortable through a Wellington winter.
The second most common regret is skipping proper seismic and building inspections, which is particularly painful in Wellington because earthquake risk is real and some hillside or older apartment buildings have hidden structural issues that only show up after purchase when insurance becomes difficult or expensive to obtain.
If you want to go deeper, you can check our list of risks and pitfalls people face when buying property in Wellington.
It's because of these mistakes that we have decided to build our pack covering the property buying process in Wellington.
Get the full checklist for your due diligence in Wellington
Don't repeat the same mistakes others have made before you. Make sure everything is in order before signing your sales contract.
How easy is it for foreigners to buy in Wellington in 2026?
Do foreigners face extra challenges in Wellington right now?
Foreigners face significant extra difficulty when buying property in Wellington compared to local buyers, as most overseas purchasers are simply not allowed to buy existing residential homes under New Zealand's foreign buyer restrictions introduced in 2018.
The main legal restriction is that non-residents and non-citizens generally cannot purchase existing homes at all, though there are exceptions for Australian and Singaporean citizens and, as of early 2026, Active Investor Plus visa holders can now buy properties valued at NZD 5 million or more after obtaining Overseas Investment Office consent.
Beyond the legal barriers, foreign buyers in Wellington face practical challenges including the need to navigate LIM reports which reveal complex land and building information in unfamiliar formats, difficulty understanding the implications of leasehold versus freehold title on Wellington apartment buildings, and the challenge of arranging building inspections that properly assess seismic and weather-tightness risks from overseas.
We will tell you more in our blog article about foreigner property ownership in Wellington.
Do banks lend to foreigners in Wellington in 2026?
As of early 2026, mortgage financing is available to some foreign buyers in Wellington, but it is considerably harder to obtain than for New Zealand residents, with most banks requiring you to have a legal right to purchase property and preferably New Zealand-sourced income.
Foreign buyers in Wellington can typically expect loan-to-value ratios of 60% to 70%, meaning you will need a deposit of at least 30% to 40%, and current mortgage interest rates for approved borrowers range from about 4.5% to 5.5% for one to two year fixed terms.
Banks in New Zealand typically require foreign applicants to provide extensive documentation including proof of income translated into English, tax returns from your home country, evidence of your deposit source, and verification of your visa status or property purchase eligibility.
You can also read our latest update about mortgage and interest rates in New Zealand.
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.
How risky is buying in Wellington compared to other nearby markets?
Is Wellington more volatile than nearby places in 2026?
As of early 2026, Wellington's property market is notably more volatile than nearby cities like Christchurch and even Auckland, having experienced sharper price swings during both the pandemic boom and the subsequent correction.
Over the past decade, Wellington saw prices surge roughly 80% to 100% from 2015 to the 2022 peak, then dropped 20% to 23% from that peak, which is a wider swing than Christchurch's roughly 15% to 18% correction and similar to Auckland's 20% plus decline but compressed into a smaller, more sentiment-driven market.
If you want to go into more details, we also have a blog article detailing the updated housing prices in Wellington.
Is Wellington resilient during downturns historically?
Wellington has shown medium resilience during past downturns, recovering from the 2008 global financial crisis within about three to four years but taking longer than expected to stabilize after the 2022 peak due to public sector job cuts and elevated insurance concerns.
During the most recent downturn from early 2022 to late 2025, Wellington property prices fell roughly 20% to 23% from peak, and the market has been stabilizing for about two years without yet returning to meaningful growth, which is slower than some provincial New Zealand markets that have already hit new records.
The property types and neighborhoods that have historically held value best during Wellington downturns are well-built standalone houses in flat, sunny positions within established suburbs like Thorndon, Kelburn, and Oriental Bay, where scarcity, walkability, and quality construction provide a floor that newer or more exposed properties do not have.
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How strong is rental demand behind the scenes in Wellington in 2026?
Is long-term rental demand growing in Wellington in 2026?
As of early 2026, long-term rental demand in Wellington is steady but not growing rapidly, with recent reports showing a 16% increase in tenant inquiries as students return and the market recovers from an unusual 2025 where rents actually fell.
The tenant demographics driving long-term rental demand in Wellington are primarily young professionals working in government and professional services, university students attending Victoria University of Wellington, and public sector workers who have remained in the city despite job cuts.
The suburbs with the strongest long-term rental demand in Wellington right now are Te Aro and the CBD for young professionals wanting walkability, Kelburn and Aro Valley for students near the university, and Newtown and Kilbirnie for workers seeking more affordable options with good transport links.
You might want to check our latest analysis about rental yields in Wellington.
Is short-term rental demand growing in Wellington in 2026?
Wellington does not currently have strict short-term rental regulations like some other cities, though hosts must still comply with tenancy and building rules, and councils have signaled they may introduce tighter controls if the market grows significantly.
As of early 2026, short-term rental demand in Wellington is flat to modestly growing, driven mainly by domestic tourism and business travel rather than the international visitor surge seen in some other New Zealand destinations.
The current average occupancy rate for short-term rentals in Wellington sits around 50% to 55%, which is moderate and reflects the city's reliance on weekday business visitors and event-driven weekend bookings rather than consistent holiday tourism.
The guest demographics driving short-term rental demand in Wellington are primarily government and corporate business travelers during the week, domestic tourists visiting for events like festivals and rugby matches, and some international visitors using the city as a base before exploring the lower North Island.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Wellington.
We made this infographic to show you how property prices in New Zealand compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What are the realistic short-term and long-term projections for Wellington in 2026?
What's the 12-month outlook for demand in Wellington in 2026?
As of early 2026, the 12-month demand outlook for residential property in Wellington is cautiously positive, with most economists expecting gradually improving buyer activity as mortgage rates stabilize and confidence slowly rebuilds after three difficult years.
The key factors most likely to influence Wellington housing demand over the next 12 months are the path of interest rates, public sector employment stability given Wellington's reliance on government jobs, and the outcome of the 2026 general election which could shift housing policy in either direction.
Price forecasts for Wellington over the next 12 months range from flat to modest growth of around 2% to 5%, with most analysts expecting stabilization rather than strong gains, though a quicker economic recovery or sharper rate cuts could push prices higher.
By the way, we also have an update regarding price forecasts in New Zealand.
What's the 3-5 year outlook for housing in Wellington in 2026?
As of early 2026, the 3 to 5 year outlook for Wellington housing is moderately positive, with expectations for gradual price growth driven by medium-density development along transport corridors and continued supply constraints in the most desirable inner suburbs.
The major development projects expected to shape Wellington over the next 3 to 5 years include the completion of Let's Get Wellington Moving transit improvements, continued Golden Mile pedestrianization, the Te Ara Tupua cycleway fully connecting Wellington to the Hutt Valley, and ongoing Adelaide Road corridor intensification.
The single biggest uncertainty that could alter Wellington's 3 to 5 year housing outlook is the insurance and seismic risk question, as any major earthquake event or significant tightening of insurance availability for older buildings could rapidly change buyer behavior and price expectations across the city.
Are demographics or other trends pushing prices up in Wellington in 2026?
As of early 2026, demographic trends are having a mixed impact on Wellington housing prices, with underlying population growth supporting demand but recent net migration outflows from the region tempering some of that upward pressure.
The specific demographic shifts most affecting Wellington prices include a younger professional workforce concentrated in the CBD and inner suburbs, an aging population in established hillside areas creating turnover opportunities, and continued student demand around the university precinct despite lower international enrollment than pre-pandemic levels.
Beyond demographics, Wellington is seeing price pressure from lifestyle-driven buyers who value walkability and urban amenities, from first-home buyers taking advantage of the post-peak correction, and from returning investor interest now that interest deductibility has been fully restored.
These demographic and trend-driven price pressures in Wellington are expected to persist for at least 3 to 5 years, though their intensity will depend heavily on whether public sector employment stabilizes and whether the city can maintain its appeal to young professionals compared to Auckland or emigration destinations like Australia.
What scenario would cause a downturn in Wellington in 2026?
As of early 2026, the most likely scenario that could trigger a housing downturn in Wellington would be a combination of prolonged high interest rates, further public sector job cuts, and a significant tightening of insurance availability for older or earthquake-prone buildings.
Early warning signs that such a downturn is beginning in Wellington would include days-on-market rising above 60 days, asking price discounts widening beyond 10%, a noticeable increase in properties being withdrawn from sale unsold, and major insurers publicly reducing their Wellington exposure.
Based on historical patterns, a realistic downturn scenario for Wellington could see prices fall an additional 5% to 15% from current levels if multiple negative factors align, though this would still leave values well above pre-2020 levels and recovery would likely follow within 2 to 4 years once conditions stabilize.
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What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Wellington, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Real Estate Institute of New Zealand (REINZ) | REINZ is the industry's national body and publishes standardized monthly market metrics used across New Zealand. | We used it for Wellington days-to-sell figures and median price data. We treat it as the closest public "official-style" time-on-market dataset for the region. |
| Reserve Bank of New Zealand (RBNZ) | RBNZ is New Zealand's central bank and the key authority on housing-related financial stability risks and mortgage lending conditions. | We used it to frame mortgage credit conditions, interest rate trends, and downside-risk scenarios. We cross-check market risk claims against what the central bank highlights. |
| Statistics New Zealand (Stats NZ) | Stats NZ is the official statistics agency, and building consents and population estimates are the cleanest public signals for supply and demand. | We used it as the primary source for new-build supply trends and population projections. We triangulated with Wellington-specific consent data derived from Stats NZ. |
| Cotality (formerly CoreLogic NZ) | Cotality produces one of New Zealand's most-used property value datasets with transparent hedonic index methodology. | We used it to quantify Wellington's value trend versus the national cycle and peak-to-current price context. We compared volatility and resilience across main centres using their data. |
| MBIE Tenancy Services | This is an official government dataset that tracks rental market activity through bond lodgements over time. | We used it as the behind-the-scenes indicator of long-term rental market demand. We rely on it more than private rent anecdotes for understanding true market activity. |
| Ministry of Housing and Urban Development (HUD) | HUD is a government ministry and publishes rental price index data while Stats NZ's rental series is paused. | We used it to understand the direction of rents in Wellington, especially for new tenancies. We cross-checked bond activity data against rent level trends they report. |
| Immigration New Zealand | This is the government's official guidance for newcomers and clearly explains foreign buyer rules and restrictions. | We used it to explain the default rule for foreigners and the high-value investor visa carve-out taking effect in early 2026. We verified details against official announcements. |
| Wellington City Council | The District Plan is the official rulebook for what can be built, where, and how dense housing development can get in Wellington. | We used it to explain why some suburbs are seeing more townhouses and apartments and where intensification is being encouraged. We treat it as the planning constraint map behind supply. |
| Waka Kotahi NZ Transport Agency | Waka Kotahi is the national transport delivery agency and publishes official project scope and timelines. | We used it to identify near-term infrastructure upgrades affecting the Wellington-Hutt corridor. We treat completed transport projects as demand catalysts for nearby property nodes. |
| AirDNA | AirDNA is a widely-used short-term rental dataset with consistent methodology across markets globally. | We used it to estimate Wellington STR occupancy and revenue conditions. We use it cautiously and triangulate it with tourism signals rather than treating it as definitive. |
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