New data from realestate.co.nz suggests the rental market is becoming more favourable for tenants, with rents easing slightly and more properties available to choose from.
According to the latest figures, the national average rent in February 2026 was $629 per week. That is down from $642 in February 2025, indicating a softening in rental prices over the past year.
At the same time, supply has increased. The total number of rental listings in February was 6.2% higher than a year earlier, while new listings entering the market rose 0.7% year-on-year.
Together, these trends suggest the balance between supply and demand has shifted, giving renters greater negotiating power and more choice than they have had in recent years.
What this means for tenants
For tenants, a larger pool of available properties can create opportunities. When renters have more choice, landlords may need to price properties competitively or offer flexible lease terms in order to attract suitable tenants.
This can make it easier for renters to compare different properties and potentially negotiate on price, especially if a home has been sitting on the market for some time.
However, the rental market can change quickly, particularly in high-demand areas or during busy moving periods. Renters who find a suitable property still need to act promptly, as well-presented homes in desirable locations can attract strong interest.
What this means for property investors
For property investors, an increase in listings can create a more competitive environment. Landlords may need to focus more on presentation, pricing and tenant experience to keep their properties occupied.
Even in softer rental markets, well-maintained properties in desirable locations often continue to perform well. Investors who understand local market conditions and set realistic rental expectations are typically better placed to secure reliable tenants.
While short-term conditions in the rental market can fluctuate, many investors view property as a long-term strategy. Over time, rental income can help cover holding costs, while property values may rise as the population grows and housing demand increases.
Property investment also plays an important role in providing housing for renters across the country.
Whether you’re looking to purchase an investment property, refinance an existing rental or review your lending structure, it helps to understand how current rental conditions affect the numbers. Contact us to discuss your options and how they fit your long-term plans.
