At the start of 2025, New Zealand’s rental market is quietly undergoing one of its most significant changes in the past ten years — rents are falling, listings are soaring, and tenants have more bargaining power than ever. While this shift is great news for renters, it means landlords will need to adapt strategically to stay ahead.

🔼 Listings Hit Highest Levels in 10 Years

According to the latest data from Trade Me Property, the number of rental listings in March 2025 was up 41% compared to the same month last year — the highest volume seen since 2014. For tenants, this means more choices and less pressure to compete for a single property.

Gavin Lloyd, Director of Trade Me Property, commented:
“Renters can feel more confident when looking for a home — there’s more choice now, and tenants have stronger negotiating power than they’ve had in years.”

💰 Rents Are Dropping — Tenants Could Save Nearly $800 a Year

Meanwhile, nationwide median weekly rents have started to decline:

  • In March 2025, the national median rent dropped $5 compared to February (a 0.8% decrease)
  • Compared to March 2024, it’s down $15 per week (a 2.3% decrease)

That adds up to an annual saving of nearly $780 — a significant win, especially for families or long-term renters.

📍 Regional Rent Trends: Most Areas Down, Some Holding or Rising

Not every region is seeing falling rents, but the majority are heading that way.

Largest year-on-year rent drops:

  • Taranaki: -4.8%
  • Hawke’s Bay: -3.1%
  • Canterbury: -1.8%
  • Auckland: -1.4%
  • Wellington: flat (no change)

Regions with slight rent increases:

  • Otago: +5.0% 
  • Waikato: +2.7%
  • Nelson/Tasman: +1.7% 

Even in the areas where rents are going up, the increases are modest, showing that market momentum overall is slowing down.

👥 What This Means for Renters

For renters, this is a golden opportunity:

  • More listings = more options
  • Better chance to secure a good property at a fairer price
  • Stronger position to negotiate rent or request improvements

Whether you’re renting for the first time or looking to move, now is a great time to explore your options, with far better value than this time last year.

🏡 What This Means for Landlords

For landlords, this market shift is a clear sign that expectations must evolve:

  • You can no longer rely on tenants lining up — competition is real
  • Properties that don’t stand out may sit vacant longer
  • Professional, responsive property management is now more important than ever

The NZ rental market is in transition. For renters, it’s a great time to secure better deals. For landlords, it’s a moment to rethink, refresh, and realign your strategy.

Whether you’re looking to rent, move, or improve the performance of your investment property, this market shift is one worth paying attention to.