{
  "id": 27998,
  "title": "Property market's 'longest and deepest downturn' in 30 or 40 years",
  "url": "https://urgent.news/2026/07/31/property-markets-longest-and-deepest-downturn-in-30-or-40-years",
  "topic": "business",
  "section": "Business",
  "published": "2026-07-31T21:33:04.000Z",
  "source": {
    "name": "RNZ Business",
    "slug": "rnz-business",
    "url": "https://www.rnz.co.nz/news/business/855215/property-market-s-longest-and-deepest-downturn-in-30-or-40-years"
  },
  "original_language": "en",
  "account": "New Zealand's housing market is experiencing its longest and most severe downturn in the past 30 to 40 years, according to property data firm Cotality. In July, the national median property value fell by 1 percent to $804,303, following a similar drop of 0.3 percent in June. The market's performance varied across regions, with Dunedin and Christchurch showing slight increases, while Hamilton, Wellington, Auckland, and Tauranga experienced declines. First-home buyers have been a significant portion of the market, but investor activity has been less enthusiastic. Property economist Kelvin Davidson noted that lower prices and a surplus of available properties may create favorable conditions for these buyers, though they are also growing more cautious due to rising costs, flat rents, and concerns about upcoming elections and potential changes in tax policies. Investors are particularly wary about cash flow and the possibility of further capital gains tax. The property market has been struggling since 2022 and 2023, with minimal signs of improvement. Factors such as economic uncertainty, conflict in the Middle East, and inflation are contributing to the downturn. Mortgage rates have remained relatively stable, but short-term interest rate increases are likely. While the pipeline of new housing supply remains substantial, it could help alleviate some pressure on property values. Notably, Invercargill recorded the most significant property value increase over the past year, up 8.2 percent, likely due to strong performance in the farming and tourism sectors. Overall, the property market is in a state of stagnation, with buyers holding significant buying power but vendors not compelled to sell at reduced prices.",
  "summary": "New Zealand's housing market is going through the longest and deepest downturn in 30 or 40 years, property data firm Cotality says.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}