Unlike Australia, New Zealand housing affordability continues to improve
Unlike Australia, New Zealand’s housing affordability continues to improve. And the charts below by Justin Fabo from Antipodean Macro tell the tale. New Zealand dwelling values fell slightly again in July, down 0.4% year-on-year. Values have now fallen for around 4.5 years after peaking in late 2021. In real inflation-adjusted terms, New Zealand dwelling values The post Unlike Australia, New…
New Zealand's housing market is showing signs of improvement, unlike its Australian counterpart. According to charts from Antipodean Macro analyst Justin Fabo, dwelling values in New Zealand have continued to decline, falling 0.4% year-on-year in July. This trend has persisted for approximately 4.5 years since the peak in late 2021. When adjusted for inflation, New Zealand's dwelling values are now at levels seen in late 2017, a 30% drop from their all-time high.
Similarly, New Zealand rents have remained stagnant, falling by just 0.1% in July. This trend has been ongoing for several months and is largely attributed to a significant decrease in net overseas migration, which fell to nearly 18,000 in the 2025-26 financial year, a stark contrast to the typical annual average of 46,000.
In comparison, Australia's housing market remains distressed. Despite a recent slight dip, dwelling values remain historically high. Moreover, advertised rents in Australia continue to grow at a much faster pace than wages, a situation exacerbated by Australia's ongoing immigration policies.
Written by urgent.news from MacroBusiness's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
