A message from our chief executive
Dear Property Owner,
Momentum is quietly building across New Zealand’ s housing market, primarily supported by the substantial recent regression in debt servicing costs, test servicing rates, and bank lending criteria.
April’ s sales results were incredibly resilient despite market momentum being influenced by short weeks and back-toback long weekends. Ray White transaction activity remained strong and lifted significantly above April 2024. Encouraging signs of market recovery continue to emerge, helping to counterbalance broader challenges, including job security concerns, international trade pressures, and geopolitical instability.
Where the cost of borrowing has fallen, residential listing numbers are at decade-high levels. With this, for the first time in many months, and despite international efforts to undermine economic optimism, the path ahead for homeowners may feel more defined by opportunity rather than uncertainty.
Later this month, we’ re expecting the Reserve Bank of New Zealand( RBNZ) to announce another 0.25 per cent reduction to the Official Cash Rate( OCR), which is a welcome step in the right direction, helping buyers and sellers to feel more confident that the cost of home ownership tomorrow will be lower than it was yesterday.
For buyers waiting on the bench, the changing landscape offers a reason to re-engage. For sellers, too, it’ s a timely reminder that the market is evolving, and those who read the play early are more likely to stay ahead of it.
Affordability continues to lead this leg of the rebound, with nationwide fundamentals lining up in a way that hasn’ t been seen since before the market correction.
Across our Ray White network, we’ re seeing particular strength in value-driven regions such as the Lower South Island, Christchurch and the West Coast. And, while value growth in Auckland and Wellington has been slower out of the blocks, the volume of property being sold in the country’ s biggest centre is seeing a positive lift.
Regardless of location, the cost of borrowing continues to ease, and excess listings, as they are absorbed, will contribute to a more active second half of 2025 compared to the first.
Since launching this document in the depths of the pandemic, born out of a real need from our network for timely, reliable guidance, we’ ve published 79 editions, each one delivering current insights and a balanced perspective to help Kiwis make confident property decisions, whether buying, selling or planning their next move.
We reaffirm the commitment in this edition, where we unpack what the latest developments mean for you, and hear from leading industry voices engaged in forecasting, auctions, property management and the mortgage market to provide the clarity, context and expert insight you need to navigate the month ahead confidently.
The market mightn’ t be a raging torrent, but it is moving – and those that understand the pace and pattern are bestpositioned to make the most out of it.
Please enjoy our 80 th edition of Ray White Now.
There are signs of recovery, with residential values and sale volumes moving higher. However, global volatility keeps decision-makers weary, and the lingering impact of cost-ofliving inflation weighs heavily on households.
For this reason, Kiwis are increasingly making decisions, even if they remain cautious.
Urgency in the coming months may be aided by expectations that policymakers will continue to ease monetary policy, while markets anticipate the OCR could fall as low as 2.50 per cent by year’ s end.
Daniel Coulson Chief Executive Ray White New Zealand
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