The national median home value in New Zealand held steady in May at NZ$808,187, unchanged from April but down 0.1% over the past three months, according to Cotality's Home Value Index released Thursday.
Values were 0.6% lower than a year earlier and remain 17% below the early 2022 peak of NZ$974,002.
Among the main centers, Christchurch led monthly gains with a 0.4% rise, while Dunedin and Tauranga each edged up 0.2%, and Hamilton added 0.1%. Auckland and Wellington continued to slide, falling 0.2% and 0.3% respectively.
"There are differing patterns beneath the surface. Key areas, including Auckland and Wellington, are still subdued, while even 'strong' markets such as Christchurch or Invercargill aren't racing away," said
Cotality NZ Chief Property Economist, Kelvin Davidson.
Auckland's modest overall decline in May was broad-based, with nearly all sub-markets slipping 0.2% or 0.3%. The exceptions were Rodney, which gained 0.2%, and Franklin, which was unchanged.
"The longer the OCR stays on hold, the greater the chances inflation is harder to rein back in again, which will tend to put more upwards pressure on mortgage rates," Davidson added.
Davidson warned that upward pressure on mortgage rates raises the risk of a more pronounced economic slowdown, which could weigh on household confidence, the labor market, and both property sales and prices.
"All in all, housing market conditions remain challenging. Having previously anticipated sales volumes rising from around 90,000 in 2025 to 100,000 this year, the market may actually do well to hold at similar levels to last year. This points to a sluggish outlook for values too," Davidson said.