Dunedin Property Market Update - March 2026
The Dunedin property market continues to show steady movement as we head into the cooler months, with subtle shifts in both pricing and buyer activity. While we’re still seeing the usual month-to-month fluctuations, the bigger picture points to a market that is gradually strengthening.
Whether you’re actively house hunting or simply keeping an eye on the market, here is what you need to know about how things tracked in March across Dunedin and the wider Otago region.
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House prices
The median house price in Dunedin City reached $650,000 in March, holding steady from February. Compared to March last year, prices are up 8.5% (from $599,000).
Across the wider Otago region, the median house price sat at $713,044 for March. This represents a 5.6% decrease from $755,000 in February, but a 6.8% increase from $667,500 at the same time last year.
We continue to see month-to-month volatility in the median prices, the underlying trend suggests the market is slowly firming and prices are moving upward.
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Market activity
First-home buyers dominated the market this month, remaining the most active buyer group. Real estate agents report that while interest was fairly strong for much of the month, it tapered off toward the end - a trend reflected in the final sales volume.
Across Otago, there were 449 properties sold in March. Compare this with 434 in February and 472 this time last year. There is a slight decrease in the number of properties both being listed and sold.
Dunedin City shows a similar trend with 189 sold in March, down from 197 in February and 224 this time last year.
The average property in Otago spent 41 days on the market, which is three days less than the month before.
Overall, real estate agents report that most vendors and buyers are in alignment price-wise, and properties that are priced well are the ones that are moving faster. However, buyer interest did start to slow during the month, with fewer attendees at open homes and auctions.
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Market outlook
The local market appears stable currently, with vendors and buyers mostly on the same page, and prices ever so slowly continuing to increase. However, the slowing in attendance at open homes shows that buyers are playing it cautious. Cost of living, higher fuel prices, and the fact that we are heading towards winter are likely to be playing a big part here.
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Thinking about buying in 2026?
If you’ve been thinking about buying in 2026, now is a great time to start getting organised behind the scenes. Understanding your numbers, knowing your budget, and having a plan in place can make all the difference when the right property comes along (because it always seems to happen when you least expect it!).
The team at Loan Market Dunedin is here to help you every step of the way. From working out your borrowing power to getting you ready to hit the ground running when you’re ready to buy, we’ve got your mortgage needs covered.
Get in touch today for your free chat.
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