Median Prices Climb As Lifestyle Property Sales Increase

The latest data from the Real Estate Institute of New Zealand (REINZ) highlights notable trends in the lifestyle property market. In the three months ending October 2024, 1,360 lifestyle properties were sold—an increase of 13.8% compared to the same period in 2023 but a slight dip of 4.2% from the preceding three months ending September 2024.

Year-on-year, the growth in sales is significant. Over the year to October 2024, 5,787 lifestyle properties changed hands, a 6.3% rise compared to the year ending October 2023. The total value of these transactions reached an impressive $6.45 billion, underlining the continued appeal of lifestyle properties.

The market has also shown resilience when it comes to prices. The median price for all lifestyle properties sold in the three months to October 2024 climbed to $960,000—a 3.2% increase from the same period in 2023. For specific property types, the trends were similar. Bare land lifestyle properties recorded a median price of $450,000, up by 2.9%, while Farmlet properties surged to $1,080,000, reflecting a 3.3% rise.

Shane O’Brien, Rural Spokesman at REINZ, commented, “The lifestyle market has been active across most regions as we approach the summer selling season in the lead-up to Christmas. Agents are reporting strong enquiries with good numbers at

open homes, with many also noting multiple offers at auctions or when sales close. Buyers generally have a good selection of properties, with strong listing numbers available. Additionally, agents report continued interest in some regions from buyers from Auckland and Wellington.”

Eight regions experienced an uptick in sales compared to the three months ending October 2023, with Northland and Waikato leading the way, reporting 69 and 57 additional sales, respectively. On the flip side, the West Coast and Taranaki saw the sharpest declines, with sales down by 11 and 8, respectively.

The median price for lifestyle blocks surged in 10 regions between the three months ending October 2023 and the three months ending October 2024, with Nelson/Marlborough/Tasman seeing a remarkable 12.9% increase and Manawatu Whanganui close behind at 12.8%. However, not all regions shared in the gains; the West Coast and Otago saw prices drop by 15.0% and 10.7%, respectively.

The pace of sales has slowed compared to last year. The median number of days to sell a lifestyle property now stands at 98 days—20 days longer than in the three months to October 2023. Canterbury remains the fastest-moving market, with properties selling in just 71 days, while Nelson/Marlborough/Tasman recorded the longest time at 134 days.

“The Canterbury markets are continuing to expand with available land, which mirrors the ongoing urban growth in the Waimakariri and Selwyn districts. Strong interest from outside the province continue to help drive sales activity in this area. However, this is not unique to Canterbury at this time, with areas such as Hawke’s Bay, Nelson, and Central Otago also reporting promising enquiries, but this has yet to materialise into confirmed sales,” concludes O’Brien.

Despite regional variations and extended selling periods, New Zealand’s lifestyle property market remains a dynamic sector, showing steady value growth and resilience in the face of shifting conditions.

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