Gap widens between national for sale and rental markets

Gap widens between national for sale and rental markets

As the ‘for sale’ market continues to charge ahead, there is some good news for tenants as rents stagnate in Auckland, Wellington and Christchurch, according to the latest Trade Me Property Rental Index.

Head of Trade Me Property Nigel Jeffries said the national median weekly rent across the country in March was $430, unchanged from February and up just $10 a week compared to a year ago.

“It’s not an easy time to be a landlord, particularly one who has bought a rental property recently as they won’t be getting the assistance they want with their mortgage. Of course, tenants will be happy because they’re seeing very stable rents in most parts of the country.”

Mr Jeffries said rents and prices had “drifted apart” significantly. “We’ve crunched the numbers and a tenant in Auckland would need to pay rent of $500 per week for 32 years before spending as much as someone buying a typical property at the city’s average asking price of $834,500.”

The full report is available here

ENDS

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