Rental prices have hit their lowest level in two years according to data from property portal realestate.co.nz.
The average weekly rental price fell by 3 percent to $628 per week compared to a year ago.
Urban centres had the biggest declines, led by Wellington, where average rents fell by 11.8 percent. Auckland rents fell by 2.3 percent, and Canterbury by 2.1 percent.
Southland and the West Coast bucked the trend as average rents in Southland rose an all-time high of $509 per week.
Chief executive Sarah Wood said affordability and economic challenges may be behind the drops.
“[However], these drops may reflect increased rental supply in the cities or tenants negotiating more favourable lease terms,” Wood said.
New listings surge
Nationally, new rental listings rose 16 percent year-on-year, reaching 6700 in August 2025 compared to 5775 a year earlier.
Wellington led the charge with a 106 percent increase, more than doubling the number of rental properties newly listed in the capital – from 274 listings in August 2024 to 564 in August 2025. Listings also jumped in Wairarapa, Gisborne, and Hawke’s Bay.
Canterbury reported a strong surge in listings, with 917 properties listed in August 2025, a 29 percent increase on August last year.
Wood said there could be a number of reasons for the surge in listings, citing tax changes, properties not selling, lower interest rates reducing landlord costs, and properties returning from short-term rental.
Regional differences
The report showed large regional variations in the changes in rents. Wellington rents fell sharply, but Auckland and Canterbury rents only fell by around two percent over the year.
Wood said tenants and landlords need to do their research carefully.
“Regional insights are more important than ever,” she said. “Generalised national trends don’t always reflect the reality on the ground.”