News

Wellington Market Update | May 2025

On the eve of winter, Wellington’s housing market has stabilised, with Tommy’s Real Estate sometimes selling properties for $200,000 above the buyer enquiry.

“Generally buyers and sellers are feeling cautiously confident that the market has stabilised and there are opportunities for both buyers and sellers,” agent Alexia Stoddart says.

“Despite the global uncertainty, most people in Wellington feel we are in a more stable environment.” Easing mortgage rates and increased listings are contributing to this. And while the Real Estate Institute of NZ reports Wellington’s median price slipped 2.4 per cent year-on-year in March, to $800,000, properties are selling significantly faster.

“The time to sell reduced from 44 days in February to 36 in March, which are the latest statistics we have from the Real Estate Institute,” Alexia says.

“But some are selling within the first week, which shows there is good buyer interest and generally pre-approval with finance ready to go.”

“The easing of interest rates has definitely helped with buyer confidence,” fellow agent Chris Robinson says. “There is more certainty on what owning a home is going to cost the buyer in the near future. Buyers are very active with a slight upswing in investor interest.”

In the meantime, Tommy’s is achieving “very good prices” for property.

“Sometimes it can can be $200,000 above the buyer enquiry — which certainly constitutes a fantastic price,” Alexia says.

“We are also selling above the new RVs in most cases. 

“While buyers still have plenty of choice, there is competition so offers would generally need to be above the BEO in a tender process.”

“Good homes are seeing more demand with unit title properties or units seemingly taking a little bit longer to sell,” Chris says.

“Buyers are mindful of outgoings in the current marketplace with body corporate fees and rates trending upwards.”

He says well-maintained properties that are ‘move-in ready’ are seeing strong interest. “Homes offering good sun, character, garaging and desirable locations with good amenities are usually getting the best outcomes at present.

“Investment properties are a bit slower, however. They seem to be just slightly starting to see more enquiry.”

Chris says freestanding character homes, family homes and first homes appear to be most in demand. “Their value is seen as higher with regards to on-sell ability down the track.

“Newer build properties over various levels and less land or maintenance fees are slightly less favourable at present. “City-fringe locations and good desirable family locations remain popular”

Alexia agrees. “Properties on the flat in sought-after locations are very popular, especially with three bedrooms and two bathrooms,” she says.

“These properties appeal to buyers who are wanting to downsize from the big family home and also small families that want easy access for elderly parents coming to visit. “City-fringe locations are also very popular if they have good sun and are low-maintenance.”