Rental listings rise as tenants gain negotiating power

New Zealand’s rental market shifted further in favour of tenants at the end of 2025, with more properties available and rents easing across much of the country.

According to realestate.co.nz, there were 7,577 rental listings nationwide in December, up 15.9% compared with the same month a year earlier. New listings also jumped sharply, with 5,349 properties coming onto the market during the month – a 19.8% increase from December 2024.

Not coincidentally, rents have softened. The average asking rent in December was $626 per week, down 2.4% from $642 a year earlier. At the same time, 13 of New Zealand’s 19 regions recorded lower average asking rents than they did in December 2024, highlighting the broad-based nature of the shift.

More choice for renters

Realestate.co.nz Spokesperson Vanessa Williams said the lift in rental stock was changing the balance of power. “With stock building and competition among landlords rising, renters will continue to find themselves in a stronger position to negotiate on price or lease terms in 2026,” she said.

Ms Williams said the increase in new listings gives tenants more choice, allowing them to be more selective about where they live and what they are prepared to pay. For landlords, this means properties need to stand out in a more competitive environment.

Strategic steps for landlords

With more rentals available, investors may need to be proactive to minimise vacancy and protect rental income. Practical steps include:

• Pricing realistically. Setting rent in line with current market conditions can reduce vacancy time.
• Presenting the property well. Small improvements, fresh paint and good maintenance can make a property more appealing.
• Offering flexibility. Being open to longer lease terms or minor incentives may help secure a good tenant.
• Reviewing cashflow. Lower rents can affect returns, so it’s important to understand how changes impact your finances.
  
  

For property investors, a softer rental market can be a reminder to regularly review both income and lending arrangements.

If you own a rental property or are thinking about investing, we can help you assess how changing rental conditions may affect your cashflow and loan structure, and talk through your options for the year ahead.