Vendor discounting narrows as sellers adjust to market reality

New Zealand property sellers are making fewer price cuts than they were a year ago, according to new figures from realestate.co.nz.

In the first quarter of 2025, the average vendor discount was $37,933 – down from $42,864 in the same period last year. The data compares the original asking price of homes listed on realestate.co.nz with the final sale price or the price when the property was withdrawn from the market.

Spokesperson Vanessa Williams said the numbers reflect a shift in seller behaviour. “Nationally, the average asking price has been trending downward over the past year, and stock levels are at decade-highs. We’re starting to see sellers come to market with more realistic expectations from the outset, which reduces the need for major price cuts later on,” she said.

Williams added that high stock levels and a slower market have created more space for negotiation. “At the peak of the market in 2022, it wasn’t unusual for properties to sell above the asking price. What we’re seeing now is a very different phase – one where sellers are having to meet buyers where they are.”

Five ways to get top dollar when selling in 2025

If you’re planning to sell your home this year, there are steps you can take to reduce the chance of discounting and maximise your return. Here are five practical tips:

Price it right from the start. Overpricing can scare off buyers and lead to your listing going stale. Use recent comparable sales and seek your agent’s guidance to set a competitive price.

Invest in presentation. Tidy up, declutter and consider minor repairs. A fresh coat of paint, clean carpets and appealing landscaping can make a big difference.

Stage your home professionally. Staging helps buyers imagine themselves living in your space. Professionally styled homes often sell faster and for more.

Market it effectively. A good agent will know how to target the right audience through online listings, social media, email campaigns and open homes.

Be prepared to negotiate. While you want the best price, being flexible with settlement terms or other conditions can help seal the deal.

With the right strategy, sellers can still achieve a strong result – even in a market that’s lukewarm.