Dunedin Property Market Update - June 2026
We are now into winter, and the frosty mornings have truly become a reflection of that. Generally, we see a slowdown in the property market throughout the cooler months. However, the last couple of months have held fairly steady, both in the local and regional markets.
Whether you are looking to buy your first home or thinking about selling and moving on to your next one, here is a look at how the Dunedin and Otago property markets are tracking this month.
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House Prices
The median house price in Dunedin City for May was $615,000, which is on par with April at $610,000. It is also a slight increase of 2.5% on this time last year, when the median price was $600,000.
Across the wider Otago region, the median house price sat at $685,000. This is a 5.8% decrease from April at $727,000, and a 1.5% increase year on year from $675,000 in May 2025.
For the most part, across the last year the median house price in the city has remained fairly stable. Year on year, we are just seeing a small increase of 2.5%, which shows prices are generally trending upwards, just at a slower pace than we've seen previously.
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Market Activity
First home buyers continue to be the dominant buyer group in the city, with investors seemingly remaining a little more cautious.
In Dunedin City, there were 213 properties sold for the month of May. This is up on April's 190 properties sold, and on par with May last year, when 209 properties sold.
In the greater Otago region, there were 419 properties sold, which is in line with April's 429 sold, and a decent decrease on this time last year, when 478 properties were sold.
Open homes remain busy for newly listed properties, however real estate agents report that after the first two weeks, activity and interest begin to drop. Deadline sale is a popular method of sale right now, with shorter deadlines seeming to attract the most interest and offers.
Across the Otago region, it's taking on average 47 days for a property to sell. This is three days less than this time last year, which is a good sign despite a slower market.
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Market Outlook
The local market remains stable, with steady activity. A small increase year on year in house prices, alongside a slightly quicker time to sell, shows that things are gradually moving in an upward direction - just very slowly. Current market sentiment is being influenced by a number of external factors right now: the general election later in the year, high living costs, and the chance the Official Cash Rate may continue to rise as the year progresses.
The local market remains stable, with steady activity. A small increase year on year in house prices, alongside a slightly quicker time to sell, shows that things are gradually moving in an upward direction – just very slowly. Current market sentiment is being influenced by a number of external factors right now: the general election later in the year, high living costs, and the chance the Official Cash Rate may continue to rise as the year progresses.
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Thinking About Buying?
If you are thinking about buying a home, current conditions offer some great opportunities. House prices are relatively stable, there are plenty of properties on the market, and most vendors are open to negotiation. There is also a lack of pressure from investors, which makes it much easier for first-home buyers to get a foot in the door.
Being prepared is key, so if you are keen to know how much you could borrow and want to start the conversation around buying a home, get in touch. Our Dunedin mortgage advisers will take you through the whole process and run the numbers to help you find a suitable loan that fits your budget and lifestyle, no matter how the market moves.
Get in touch with our team at Loan Market Dunedin today and book your free appointment.
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Source: REINZ
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