Residential property values in New Zealand fell 1.5% across the three months through July as the market remained subdued and buyers grew more cautious, according to the QV house price index released Monday.
The average Kiwi home is now valued at NZ$898,799, down 1.3% since the start of the year and 1.2% lower than a year earlier.
"Winter has put a further chill through the market, while the prospect of higher borrowing costs and ongoing economic uncertainty have given buyers even less reason to rush," said QV national spokesperson Simon Petersen.
"This isn't another sudden correction," Petersen added. "It's an already subdued market losing what little momentum it had built earlier in the year."
Home values across Auckland cooled at an average rate of 2.2% in the three-month period, with those in Wellington down 3.2%. Christchurch posted a gain of 0.3%, while Tauranga quietly outperformed much of the North Island with a rise of 0.7%.