QV House Price Index, August 2025: NZ housing market slump deepens as Wellington approaches 30% and Auckland 20% down from peak

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QV House Price Index

The latest QV House Price Index shows average home values across Aotearoa New Zealand dipped by 0.8% over the three months to the end of August, with the national average now $906,977. That figure is 0.2% higher compared to the same time last year and 13.4% below the nationwide market peak of January 2022.

Across the main centres, Queenstown (2.5%) recorded the strongest gains, followed by Hastings (1.7%) with smaller increases in Tauranga (0.3%), Invercargill (0.4%), and New Plymouth (0.1%). Meanwhile, Nelson (-3.2%) saw the largest quarterly drop, followed by Wellington City (-2.4%), with Whangārei (-1.8%), Auckland Region (-1.4%), Hamilton (-1.2%), Napier (-1.8%), Palmerston North (-0.6%), Christchurch City (-1.2%), and Dunedin (-0.7%) also recording value declines.

QV National Spokesperson Andrea Rush said, “As we head into spring, the housing market remains subdued, with values continuing to decrease in most parts of the country. The slump is most pronounced in Wellington where values are now close to 30% below their peak, and in Auckland, which is down around 20% — underscoring the scale of the correction since early 2022.”

“The good news is that with home values coming down and interest rates beginning to ease, affordability is slowly improving for buyers in many areas. However, higher living costs, rising unemployment, the broader economic downturn, and stretched household budgets continue to restrict demand,” she said.

“A steady flow of new townhouse and apartment completions are giving buyers greater choice and helping to limit upward pressure on prices. Buyers are taking longer to commit, and sellers are increasingly having to meet the market. Agents report some homeowners are struggling to sell in time to secure their next property, leading to more deals falling through."

Ms Rush added: “Net migration has slowed sharply since the post-pandemic peak, with more people now leaving New Zealand than arriving, in contrast to the strong inflows that helped to fuel house price growth.”

The impact of the new foreign buyer rules will take some time to show in places like Queenstown and Auckland, where most of the homes priced above $5 million are located.

HPI Graphic EDM September (for August) Updated Design - 800x513

Keep reading for a regional breakdown of the latest QV House Price figures — or search here to discover the latest value of your home.

Auckland

Values across the Super City are on average around 20% below the January 2022 peak – though it varies by area. Rodney has seen a smaller drop of 12.5% (around $175,000), with average values falling from $1,411,162 to $1,235,103. By contrast, Waitākere has experienced the biggest decline, down 21.7% (around $260,000) from $1,215,527 to $951,690.

QV Auckland Registered Valuer, Hugh Robson said, “Despite a slight lift in sales activity through August, there’s been little movement in prices with all areas seeing values dip in the past three months.”

“Listing levels are healthy across most suburbs, with a number of new townhouse developments recently completed or nearing completion. Well-located homes with some land are continuing to sell well, while townhouses with little or no land are proving less popular.”

“Buyer sentiment is relatively upbeat, with recent surveys suggesting many see now as a good time to purchase. The latest cut to the OCR and correspondingly lower interest rates, plenty of choice, and a sense that prices may have bottomed out are helping to support that confidence.”

Wellington

Wellington has experienced the largest value falls in the country since the January 2022 peak, with the steepest drop in Wellington City – West, where average values have fallen 29.9% (more than $400,000) from $1,442,657 to $1,010,714. Lower Hutt has also seen significant declines, with average values down nearly $300,000 from $1,032,527 to $741,841 over the same period.

QV Wellington Registered Valuer and Senior Consultant David Cornford said, “Good stock is attracting steady interest and often multi-offers, but overall values while still ticking down across all areas remain relatively flat.”

“Well-maintained homes continue to sell strongly, while ex-rentals with deferred maintenance are struggling and can often be picked up relatively cheaply.”

“Most buyers remain cautious and are steering clear of properties that need significant work, but for those with the skills and appetite to take it on, this part of the market presents an opportunity to add value and create equity.”

“There does appear to be a little more optimism creeping back into the market.”

Christchurch

QV Christchurch Registered Valuer Olivia Brownie said, “The Christchurch housing market has continued to cool through the winter months, which is typical for this time of year, although values are still up annually overall.”

“Recent weeks have brought a lift in enquiries, with more people preparing to buy or sell as spring approaches,” she said. “The easing of interest rates may help to get more sales across the line in the coming months, with demand remaining healthy, particularly from first-home buyers. Local economic fundamentals point to ongoing stability, though national economic conditions could influence momentum.”

Largest value changes

Regional divergence is still occurring, although most areas we measure across the country are now experiencing value decreases.

Queenstown Lakes District remains the country’s most resilient market, leading national growth with the highest average value at $1,860,392. That’s 16.8% (about $270,000) higher than the January 2022 peak, fuelled by strong tourism, holiday home demand, and ongoing construction that is creating jobs and driving housing need. Nearby Mackenzie District, including popular lakeside towns such as Tekapo, is also on the rise — up 5.8% this quarter, 7% year on year, and 17.9% since the peak to $802,892.

Hamilton Central values rose 6.8% this quarter, bucking the wider city trend. QV Hamilton Senior Registered Valuer, Marshall Wu, said affordability, proximity to the CBD, strong rental demand, and new townhouse developments are driving momentum.

Carterton recorded the largest drop over the past three months, reflecting the broader downturn across the Wellington region — a pattern now spreading to Wairarapa commuter towns.

Nelson values fell 3.2% this quarter. QV Nelson/Marlborough Manager Craig Russell described the market as “flat rather than falling,” with steady demand for tidy $500,000–$800,000 homes. But properties with issues are struggling to sell, while those above $1 million often take six months or more and need price cuts to attract interest. He added that recent job losses have added uncertainty, and unlike other regions, Nelson is not benefiting from higher dairy prices.