As December concluded 2024, the New Zealand property market experienced a relatively quiet month, as indicated by the latest figures from the Real Estate Institute of New Zealand (REINZ).
REINZ Chief Executive Jen Baird stated, “December is usually a quiet month for the housing market. For New Zealand, sales count was down 27.4% compared to November 2024 and up 1.8% compared to last year. When we adjust the figures for seasonal effects, we see that both percentage movements are notably less than expected, confirming that December 2024 was a particularly quiet month for residential dwelling sales in New Zealand.”
Sales increased by 1.8% nationwide compared to December 2023, rising from 5,420 to 5,518. In New Zealand, excluding Auckland, sales saw a year-on-year rise of 3.8%, from 3,838 to 3,984. Notable growth in sales was observed in Taranaki (+24.3%) and Waikato (+15.9%).
The median price for New Zealand decreased slightly by 0.6% to $775,000 year-on-year. Month-on-month, the national median price fell 1.8% from $789,000. Excluding Auckland, the median price increased by $10,000 (1.4%) year-on-year, rising from $700,000 to $710,000.
Eleven out of sixteen regions reported an increase in median prices compared to December 2023. The West Coast had the highest increase, up 24.3% from $346,000 to $430,000, followed by Nelson with a 10.6% increase from $710,000 to $785,000.
“Sales have risen year-on-year, though we saw a larger than usual drop off in sales this festive season. This suggests that December 2024 was impacted by the way the holidays fell, making it a shorter-than-usual December, with many people choosing to start their holidays early this year. Buyers had ample stock to choose from, and many expected further interest rate reductions, so there was limited urgency in the market in December. Local agents report that first-home buyers and owner-occupiers dominate the market, in some areas benefiting from lower property prices and improving affordability,” added Baird.
Overall, listings nationally decreased year-on-year by 1.3% from 4,828 to 4,767. Excluding Auckland, listings fell by 1.2% compared to December 2023, from 3,436 to 3,394. Seven out of fifteen regions reported increases in listings compared to last year; the most significant gains were reported in Gisborne (+36.8%), Nelson (+33.1%) and the West Coast (+32.1%).
National inventory levels have risen, increasing by 18.5% year-on-year to 29,478. However, inventory levels have decreased by 13.3% compared to the previous month, down from 33,984.
Baird observes that while there was a slight year-on-year decline in new listings, several regions experienced significant increases.
“Listings dropped significantly compared to last month, showing a clear seasonal slowdown. Fewer new listings are entering the market, but overall inventory is still higher than last year. This means that stock is building up as demand changes.”
In December, there were 713 auctions nationally (12.9% of all sales), a decrease from 13.7% last year. The national median days to sell rose by six, to 42 days, compared to the previous year; excluding Auckland, it increased by six, to 42 days.
The House Price Index (HPI) for New Zealand is currently at 3,610, indicating a decrease of 1.1% year-on-year and 0.7% compared to November 2024. Over the past five years, the average annual growth rate of New Zealand’s HPI has been approximately 4.4%. However, it is currently 15.6% lower than its peak in 2021.
How did 2024 compare to 2023?
As we reflect on the past year, take a look at the tables below that highlight the changes in New Zealand’s real estate market since 2023. This year has brought significant shifts in listings, average inventory, sales counts, and the days it takes to sell properties. The market’s evolution tells an interesting story of how buyers and sellers have responded to new challenges and opportunities posed over the years. These changes provide valuable insights into market trends and highlight the overall performance of the real estate sector.
The table below shows how 2024 compares to 2023 in listings, average inventory, and days to sell. You can view a map which shows how median prices and sales counts evolved over that same period.
