The latest overview of New Zealand property values confirms what many buyers and sellers are already sensing: the sharp correction phase is behind us, and the market has moved into a period of consolidation.

While values remain below their peak, recent movements suggest the pace of decline has slowed significantly.

Short-Term Movement: Little Change Over Three Months

Over the three months to December, national median property values fell by just 0.3%.

This modest shift indicates a market that is no longer under heavy downward pressure. Instead, values are broadly holding steady as buyers and sellers find a new balance.

Annual View: Small Dip Over 12 Months

Looking at the past 12 months, national values edged down by 1.0%. In the context of the sharp declines seen in 2022 and 2023, this is a relatively minor adjustment.

It reinforces the view that 2025 was more about stabilisation than continued correction.

From Peak: The Big Picture

From the market peak, national property values remain around 17.6% lower. While this sounds significant, it reflects the unwinding of an unusually rapid price surge during the boom years.

Importantly, not all regions experienced the same rise — or the same fall. Some areas are still well below their peaks, while others have already recovered a meaningful portion of earlier declines.

What’s Driving the Current Stability

• Mortgage rates easing from recent highs
• Improved affordability compared to peak levels
• First home buyers providing consistent demand
• Listings remaining healthy but no longer surging

Together, these factors have helped bring greater balance to the market.

Why This Matters

For buyers, a stabilising market offers more certainty and less urgency. For sellers, it means pricing expectations need to be realistic, but conditions are no longer deteriorating.

For the market as a whole, this phase lays the groundwork for gradual recovery rather than another sharp cycle.

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The big takeaway

New Zealand’s property market has largely found its footing. Values are only marginally lower over the past year, short-term movements are small, and the biggest adjustment from the peak is now behind us.

As 2026 unfolds, further gains are likely to be slow and uneven — shaped more by regional conditions than national momentum.

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Source: Cotality – NZ Monthly Housing Chart Pack, February 2026