New Zealand’s housing market softened in January as seasonal patterns and severe weather curbed activity, according to data from the Real Estate Institute of New Zealand. The figures point to a modest monthly decline in prices alongside weaker sales volumes at the start of the year.
Seasonally adjusted median house prices fell 1.2 per cent from December, while edging 0.4 per cent higher compared with the same month a year earlier. National home sales dropped 8.9 per cent month on month and were 0.6 per cent lower than in January 2025. The data reflect a slowdown typically associated with the summer holiday period, when market participation tends to thin.
REINZ said unusual severe weather across parts of the North Island also disrupted activity, adding to the seasonal lull. Chief executive Lizzy Ryley noted that interpreting market conditions between November and February can be challenging, as movements during this period often reflect recurring seasonal factors rather than underlying structural change. Once those trends were accounted for, she said, prices appeared broadly stable in January.
The latest figures suggest that while transaction volumes have weakened, annual price comparisons remain marginally positive. Ryley added that buyer confidence was rebuilding gradually rather than accelerating quickly, indicating a measured recovery in sentiment rather than a sharp rebound. The combination of subdued sales and relatively steady annual pricing highlights a market adjusting to near-term headwinds, with seasonal dynamics and weather-related disruptions complicating assessments of underlying demand.
