Report reveals New Zealand's top property trends, luxury sales, and regional standouts
CoreLogic’s Best of the Best 2024 report revealed a year of resilience and contrasts in New Zealand’s property market.
While high-value luxury sales thrived, some areas recorded significant price declines, and regional growth pockets stood out despite broader challenges.
CoreLogic NZ chief property economist Kelvin Davidson (pictured above) highlighted the market’s volatility, noting that initial optimism in early 2024 faded amid economic headwinds.
“After an initial lift in values early in the year ... property prices quickly resumed their decline as unemployment rose and interest rate cuts were delayed,” Davidson said.
Since February, New Zealand property values nationwide fell 5%, with Auckland and Wellington hit hardest, while Christchurch and Dunedin demonstrated greater resilience.
Luxury market: Auckland takes the lead
Auckland maintained its dominance in the luxury market, securing nine out of the top 10 most expensive suburbs.
Herne Bay retained its title as New Zealand’s priciest suburb, with a median value of $3.36 million, followed by Saint Marys Bay ($2.76 million) and Remuera ($2.45 million).
Arrowtown was the only non-Auckland suburb in the top 10, with a median value of $2.39 million.
The country’s highest transaction occurred in Orakei, where 84 Paritai Drive sold for $21.8 million in March 2024.
Regional highlights: Growth and strong yields
While urban centers faced challenges, regional areas showed resilience:
- Blaketown (Grey) led annual growth with a 16.7% increase in median values.
- Cobden (Grey) recorded an impressive 108.8% gain over five years.
- Mataura (Southland) delivered the highest gross rental yield at 10.8%, with Wellington Central following at 9.2%.
Fast and slow markets reflect divergence
In terms of market activity, Wallacetown (Southland) had the fastest turnover, with properties selling in just seven days, reflecting strong demand. Conversely, Waimate recorded the slowest pace, with properties taking a median of 83 days to sell.
Cautious optimism for 2025
Looking ahead, Davidson expressed cautious optimism for 2025, predicting a modest recovery.
“Affordability has improved compared to recent years...,” he said. “While 2025 brings some positive sentiment, it’s unlikely to deliver sharp gains, with a steadier path ahead for buyers and sellers alike.”
Davidson forecasts a 10% rise in sales volumes and a 5% increase in New Zealand property values, though he cautioned that rising unemployment and new debt-to-income restrictions could present challenges.
Key takeaways from CoreLogic’s Best of the Best 2024
- Most Expensive Suburb: Herne Bay, Auckland ($3.36M).
- Most Affordable Suburb: Murupara, Whakatane ($191,600).
- Top Sale: $21.8M at 84 Paritai Drive, Orakei.
- Fastest Market: Wallacetown (7 days).
- Top Growth: Blaketown (16.7% annual gain).
- Strongest Rental Yield: Mataura (10.8%).
CoreLogic’s report underscores the New Zealand property market’s complexity, where regional opportunities contrast with urban challenges as New Zealand’s property sector heads toward a more balanced 2025.
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