According to data from realestate.co.nz, rental prices have dropped to their lowest point in two years.
The average weekly rental price decreased by 3% to $628 per week compared to the same period last year.
Urban areas saw the sharpest decreases in rent, with Wellington leading the way as average rents dropped by 11.8%. Auckland experienced a 2.3% decrease, while rents in Canterbury fell by 2.1%.
Southland and the West Coast defied the overall trend, with Southland reaching a record high average rent of $509 per week.
The decreases in rental prices may be due to issues related to affordability and broader economic challenges, chief executive Sarah Wood said.
“These drops may reflect increased rental supply in the cities or tenants negotiating more favourable lease terms,” she added.
Nationwide and regional variations
Across New Zealand, new rental listings increased by 16% year-on-year, climbing to 6,700 in August 2025 from 5,775 the previous year.
Wellington saw the largest increase in new rental listings, soaring by 106% and more than doubling from 274 listings in August 2024 to 564 in August 2025.
Canterbury experienced an increase in rental listings, with 917 properties listed in August 2025, marking a 29% rise compared to the same month last year.
Wood said the surge in listings could be due to tax changes, properties remaining unsold, lower interest rates easing landlord expenses, and some properties transitioning back from short-term rentals.
The report also revealed regional disparities in rent changes. While rents in Wellington dropped sharply, rents in Auckland and Canterbury declined by only about 2% over the year.