New Zealand’s housing market is showing clear signs of revival, with a surge of fresh listings and newfound optimism among both buyers and sellers. After a sluggish winter, August 2025 brought a 9% jump in property listings compared to the same month last year, according to data from realestate.co.nz and reporting by MT Newswires. In total, 8,769 new homes hit the market in August, up from 8,048 the previous year, marking the biggest annual lift in months and signaling a shift in sentiment as spring approaches.
Sarah Wood, CEO of realestate.co.nz, described the rebound as a promising sign. "It’s exciting to see vendor confidence returning to the market," Wood said. "Search activity on our site is up, indicating buyers are also looking with intent and finding greater choice available to them. With the national average asking price stable and interest rates coming down, the signs are all positive for continued movement in the market."
This renewed confidence isn’t just a blip; it’s underpinned by tangible changes in monetary policy. The Reserve Bank of New Zealand’s recent cuts to the Official Cash Rate (OCR) have lowered borrowing costs, making home ownership more accessible and encouraging more homeowners to list their properties. A year ago, the OCR sat at 5.25%, keeping mortgage rates high and buyers on the sidelines. Fast forward to August 2025, and the OCR has dropped to 3%, a shift that Wood calls "significant." She noted, "Lower rates are giving buyers more confidence to act and are easing the pressure on homeowners. Combined with stable prices and more listings coming to market, these conditions create a window of opportunity for people ready to buy or sell."
But the market’s revival isn’t evenly spread across the country. The data reveals striking regional differences, with some areas experiencing dramatic growth and others still struggling. The Bay of Plenty led the surge, with 732 new listings in August—an astonishing 46.7% increase from the previous year’s 499. Gisborne followed closely, recording a 40.9% jump in listings to 62 properties. Coromandel also saw a healthy 39.1% boost. In total, nine out of 19 regions posted higher new listings compared to last year, giving buyers more choice and sellers more incentive to list.
Gisborne’s story is particularly striking. Not only did the region see a surge in new listings, but it also broke through the $800,000 average asking price barrier for the first time. The average asking price in Gisborne soared 23.2% year-on-year to NZ$815,203, reflecting strong demand and limited supply. "Nationally, prices are steady, but seeing regions like Gisborne hit an all-time-high shows there’s still upward pressure in parts of the market," Wood observed. "At the same time, Otago dropping out of the $600,000 bracket reminds us how localised movements can be."
Indeed, while six regions—including Bay of Plenty, Coromandel, Gisborne, Manawatu/Whanganui, Northland, and Taranaki—enjoyed both annual and monthly asking price growth, others faced declines. Central North Island, Hawke’s Bay, and Otago all recorded drops in average asking prices. Otago’s decline was especially notable, with the region’s average asking price falling below NZ$600,000 for the first time since December 2024, highlighting the market’s split personality: some areas are heating up, while others cool off.
On a national level, the average asking price in August 2025 held steady at NZ$862,652, up 1.7% from a year earlier. This stability, coupled with increased supply, is giving buyers and sellers alike more breathing room. The total housing stock across New Zealand rose by 1.4% to 30,430 properties, up from 29,579 a year ago. The West Coast and Gisborne led the increases in available homes, with the West Coast’s stock up 17.0% and Gisborne’s up 15.9%. But again, not all regions shared in the bounty: Southland’s housing stock dropped a sharp 20.9%, falling from 512 properties in August 2024 to just 405 this year.
Wood explained, "We’ve seen stock levels hold steady nationally, but as this data shows, the real story is in the regions. Stock levels have dropped year-on-year in 10 of our 19 regions. This shows momentum shifting, sellers are meeting the market, and buyers are acting with more confidence." She added, "On the whole, with spring just around the corner, the data is telling us it’s an ideal time for buyers and sellers to put fresh energy into their property plans."
Market sentiment is also reflected in ASB’s latest Housing Confidence survey, which indicates that while overall sentiment has softened slightly, optimism about buying remains near its highest level since 2011. This resurgence of confidence is likely to be tested in the coming months as more properties come onto the market and regional gaps in affordability and demand continue to widen.
For investors and market watchers, the big question is whether this surge in listings and supply will translate into higher sales volumes and price stability, or if regional disparities will become even more pronounced. The central bank’s rate cuts have certainly injected new life into the market, but the unevenness across regions suggests that the recovery is still a work in progress.
The bigger picture is clear: monetary policy is actively reshaping New Zealand’s housing landscape. By lowering borrowing costs, the Reserve Bank has made it easier for both first-time buyers and existing homeowners to participate in the market. This, in turn, is fueling a virtuous cycle of increased listings, stable prices, and greater choice. However, the divergence between regions—where some are breaking records and others are slipping—shows that local factors still play a crucial role in shaping outcomes.
As the country heads into spring, both buyers and sellers seem to be waking up to the new possibilities. With more than 8,500 new properties listed in August alone and signs of renewed energy in the market, there’s a sense that New Zealand’s property sector is entering a new phase. Whether this momentum will be sustained or will falter as the year progresses remains to be seen, but for now, the mood is one of cautious optimism—and that’s a welcome change after months of uncertainty.
For those watching the market closely, the message is clear: opportunity is returning, but the landscape is far from uniform. Regional fortunes are shifting rapidly, and the interplay between rate policy, supply, and local demand will determine who comes out ahead. As always in real estate, timing and location are everything.
