New Zealand’s median weekly rent has not moved in the last six months according to the latest Trade Me Property Rental Index.
Head of Trade Me Property Nigel Jeffries said the typical New Zealand rental property started the year with a median weekly rent of $450 and is yet to budge. “I’m sure these numbers will be a relief for the many tenants who have felt big rises in recent years. They’ll be pleased to see the brakes have stayed on but not everyone will be happy as a number of regions are still seeing strong rent inflation.”
Mr Jeffries said that while there was little movement this year, the median weekly rent was still up 4.3 per cent on June 2016 when the nationwide median weekly rent was $430. “Landlords are still seeing some gain on their investments – they’re earning over $1000 more on the typical property than they were a year ago.
Median weekly rents outside Auckland, Wellington and Christchurch were up 8.6 per cent year-on-year with the ‘star performing’ regions still showing growth. These regions include Northland (up 15.2 per cent), Waikato (8.3 per cent) and Nelson (8.1 per cent).
However Mr Jeffries said it was a mixed bag throughout the country in June. “While some regions continue to grow solidly, the double-digit jumps we’ve been seeing have reduced significantly.
“For example, in the Bay of Plenty the median weekly rent leapt from around $350 in June 2015, blasted up to $400 a week in June 2016 and peaked at $450 in April this year. But since then, it has plateaued and now sits at $430 a week, up just 2.4 per cent on a year ago. Tenants in the Bay will be pleased to hear the massive growth of recent years appears to be slowing for now.”
According to Trademe, The median cost for a standard 3+ bedroom, in Whakatane is $300 per week and in Kawerau around $200 per week.