Rental Prices Rise $130 Since Covid

New data reveals a substantial 25 per cent increase in the national median weekly rent since the March 2020 lockdown, jumping from $510 to $640, according to Trade Me’s latest Rental Price Index.

Trade Me Property's Customer Director, Gavin Lloyd says looking back over the last five years we can see how the pandemic impacted the rental market.

"The pandemic disrupted the housing market significantly from the minute the first lock down was announced," says Lloyd.

"The ‘stay home, stay safe’ mandate led to increased demand, on what was already a very tight market, couple that with rising inflation and job losses, the pressure led to some big swings in rental prices in the months and years that followed."

Wellington remains the most expensive main centre to rent

Wellington remains the most expensive main centre for renters in Aotearoa according to Trade Me’s February rental data.

The median weekly rent in the Wellington and Auckland regions decreased by 1.5 per cent month-on-month. Despite this, Wellington holds the top spot at $665, just ahead of Auckland at $660. This comes at a time when Wellington is also facing economic headwinds.

According to Mr Lloyd, “a 'perfect storm' is brewing in Wellington's rental market, fueled by population pressures, limited rental supply and rising interest rates.

Bay of Plenty takes the title for the most expensive

The Bay of Plenty was the most expensive region to rent at $680 per week, up 1.5 per cent year-on-year. $20 more than Auckland and $15 more per week than Wellington.

“Both property and rental prices are taking off in the Bay of Plenty as many Kiwi want to move closer to the People’s Choicest suburb in Aotearoa, Pāpāmoa.

“It’s a beautiful part of our motu so it’s no surprise Kiwi are wanting to live here.”

Marlborough's rental rise

Marlborough's rental market is also making headlines this month with significant rental growth. The region saw a substantial 9.1 per cent year-on-year jump, bringing the new median weekly rent to $600.

Other regions across Aotearoa experienced more varied fluctuations. Canterbury remained stable, with the median weekly rent holding steady at $580.

Rental swings for larger properties

This month's rental market data revealed a drop in median weekly rents for larger homes.

While urban dwellings experienced more subtle adjustments, houses with five or more bedrooms saw dramatic changes across major cities.

Auckland witnessed a 6.1 per cent decrease, bringing the median weekly rent to $1,080. Wellington also experienced a substantial drop of 8.7 per cent, settling at $1,100.

In stark contrast, Christchurch saw a remarkable 15.6 per cent uplift, pushing the median weekly rent to $1,040 – nearly a $100 increase from January's $950.

In contrast the urban rental landscape showed more moderate fluctuations. Townhouses in Auckland and Wellington both saw declines, with Auckland dropping 3.5 per cent to $695 and Wellington falling 4.8 per cent to $700.

In Christchurch, apartment median rental prices dipped slightly by 2.9 per cent to $505, while units saw a modest increase of 4.4 per cent, reaching $470.

February 2025

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