Queenstown Market Update - April 2025
The last month or so has been interesting in the global consumer markets, with the USA introducing its tariffs, and the flow-on effect of how this will impact local consumer spending is yet to be seen. That aside, the NZ property market appears to be strong and on the up with buyer confidence improving month-on-month.
With falling interest rates, house prices remaining low, and plenty of choice, it’s definitely a good time for those looking to buy to enter the market. Let’s take a look at some of the REINZ statistics from the last month….
Buyer Activity
Owner-occupiers made up the largest part of the market this time around, but thanks to the falling interest rates, there have also been plenty of first home buyers and investors in the mix.
Real estate agents report that open home attendance has been steady across the whole Central Lakes region, with it definitely being a buyers’ market. There is plenty of choice right now for buyers, with them happily moving on to the another property if the sale falls through or the price isn’t right. This means vendors need to price accordingly if they wish to secure a quick and easy sale.
Auction clearance rates remain mixed, with some properties selling easily under the hammer and others turning to negotiations with potential buyers after the home has passed in again, a lot depends on the vendor's price expectations right now!
Local Sales Insights
The median house price for Queenstown-Lakes in March was $1,455,000. This is an increase of 0.3% in the month before and a decent increase of 7.8% this time last year.
There were 101 properties sold in March across the Queenstown-Lakes region, an increase on the 91 sold in February, but slightly down on the 118 sold this time last year.
Regional Sales
In Central Otago (excluding the Queenstown-Lakes region), the median house price was $820,000 for the month of March. This is an increase of 9.3% on the month prior and a year-on-year increase of 5.8%
As we’ve mentioned before, the Central Otago region is an interesting one as there are properties in the region on both sides of the extreme price scale, with some in Wanaka easily selling for $2+ million and others in smaller regions selling for under the $500K mark. This can often have a huge effect on the median house prices, depending on what has been sold in the month, and means the median house price is often skewed depending on the area you are looking in.
Across the wider Otago region, the median house price sits at $661,000, which is a decrease of 8.8% on this time last year. Across the region, there were 455 sales, which is up from the 380 properties sold last year. A good chunk of these (221) were sold in Dunedin.
The average Otago property was on the market for 44 days before it sold.
The Takeaway
So far, this year has started strong for the property market. We have had a number of people through our doors who are looking to secure finance and buy a home due to the favourable conditions we are seeing right now. Real estate agents are also busy, and expect buyer activity to increase even further as the year progresses.
While there is never a ‘perfect’ time to buy a home, right now it is looking pretty good with interest rates continuing to fall and the Official Cash Rate tipped to go even lower than first predicted. Add to that lower house prices and plenty of properties to choose from, and it really is a buyer's market indeed!
If you are thinking about buying a first home, next home, or investment property this year, then get in touch with our Queenstown mortgage advisors first. We can guide you through the current national and local market conditions and help you make smart financial choices that fit in line with your current and future homeownership goals.
Book your free appointment with our local mortgage experts and let’s see how we can support you in your property purchase.
Source: REINZ