sign uplog in
Want to go ad-free? Find out how, here.

The ratio between New Zealand house prices and rents | the Rent Ratio

Rent ratio

The data on this page relates the median house price to the annual house rent. It is a benchmark that is used internationally in the reviews of housing affordability, and is just one of a number of measures that can monitor this. For comparisons to US housing markets, see this NY Times review. The market peak referred in the following table differs for each city/district reviewed, and is specific for that city.

        Rent ratio
  Population House price Rent Mar-21 Feb-21 Mar-20 Peak % Fall
                 
New Zealand         5,120,000 826,300 $25,740 32.1 30.3 27.2 32.1 0%
                 
Whangarei District             98,300 988,000 $25,480 38.8 39.4 35.3 44.6 -13%
                 
Auckland metro         1,717,500 1,120,000 $30,101 37.2 35.9 32.0 37.2 0%
 - North Shore            225,800 1,350,000 $33,540 40.3 38.8 33.8 40.3 0%
 - Waitakeres             204,500 988,000 $30,160 32.8 33.3 29.5 33.3 -1%
 - Auckland City            444,100 1,385,000 $36,140 38.3 36.0 32.3 38.3 0%
 - Manukau             368,500 1,065,000 $32,240 33.0 32.1 31.6 33.0 0%
                 
Hamilton             176,500 780,000 $26,000 30.0 28.8 24.8 30.0 0%
                 
Tauranga             151,300 901,000 $29,640 30.4 31.6 25.5 31.6 -4%
                 
Rotorua              77,300 650,000 $25,480 25.5 24.7 18.6 25.5 0%
                 
Gisborne              50,700 630,000 $27,040 23.3 22.9 18.4 27.7 -16%
                 
Hastings              66,300 721,000 $27,820 25.9 24.4 22.7 29.9 -13%
                 
Napier              88,000 737,000 $26,520 27.8 29.7 21.6 29.7 -6%
                 
New Plymouth              86,100 612,500 $24,700 24.8 22.2 24.6 25.4 -2%
                 
Whanganui              48,100 521,000 $20,800 25.0 22.6 18.8 25.0 0%
                 
Palmerston North              90,400 650,000 $23,400 27.8 28.2 21.1 28.2 -2%
                 
Wellington metro            487,700 882,700 $30,181 29.2 29.5 25.2 29.5 -1%
 - Kapiti Coast              57,000 880,000 $27,040 32.5 28.1 26.0 32.5 0%
 - Porirua              61,000 960,000 $29,900 32.1 34.9 25.6 34.9 -8%
 - Upper Hutt              47,100 $554,150 $30,680 18.1 17.3 18.7 22.5 -20%
 - Lower Hutt             111,800 801,000 $31,200 25.7 25.6 22.9 29.0 -12%
 - Wellington              40,800 1,060,000 $36,920 28.7 29.8 22.4 29.8 -4%
                 
Nelson              54,600 682,000 $26,780 25.5 26.3 24.0 28.5 -11%
                 
Christchurch City            394,700 600,000 $23,920 25.1 24.2 21.9 25.1 0%
                 
Timaru District             48,400 430,000 $19,760 21.8 21.5 20.0 22.1 -1%
                 
Dunedin             134,100 650,000 $25,324 25.7 25.8 22.9 26.0 -1%
                 
Queenstown-Lakes              47,400 1,185,000 $30,680 38.6 32.8 41.5 42.3 -9%
                 
Invercargill              57,100 430,000 $20,280 21.2 19.4 18.7 21.6 -2%

 

Median house price:

Median house prices are as reported by the Real Estate Institute of New Zealand. Although the REINZ series is more volatile than the QV equivalent, there is a highly positive correlation between the two series. The REINZ series is more current and offers an earlier indication of market trends.

Rent: The median rent is as sourced from the Department of Housing and Building (DBH) and their Tenancy Bond database.

Disclaimer

IMPORTANT – PLEASE READ

No reader should rely on the contents of this report for making a specific investment or purchase decision. The information in this report is supplied strictly on the basis that only overall market trends are being reported on, and that all data, conclusions and opinions expressed are provisional and subject to revision. If you are making a specific investment or purchase decision, you are strongly advised to seek independent advice from a qualified professional you trust. The conditions and disclaimers set out at www.interest.co.nz/terms-conditions are applicable to this report as well.

This report is made available on these terms only, and neither JDJL Limited nor www.interest.co.nz will accept any responsibility for any actions taken on the basis of information in this report, nor for any error in or omission from this report.

Contact:

For sources, definitions, and methodology, please contact:

David Chaston, Publisher
www.interest.co.nz
JDJL Limited
206 Jervois Road, Herne Bay
Auckland, New Zealand

Phone: +64 (0)9 360-9670
Mobile: +64 (0)21 997 311