New data from realestate.co.nz suggests that adding bedrooms and bathrooms can have a significant impact on a property’s asking price, although layout and liveability remain crucial considerations.
In 2025, the national average asking price for a one-bedroom home was $483,000. That figure rose to $641,000 for two bedrooms and $844,000 for three bedrooms. Larger homes commanded even higher prices, with four-bedroom properties averaging $1.217 million and five-bedroom homes averaging $1.680 million.
However, the biggest jumps in value appeared when bedrooms and bathrooms were combined.
Average asking prices were $988,000 for a three-bedroom, two-bathroom home and $1.376 million for a three-bedroom, three-bathroom home. A four-bedroom, two-bathroom property averaged $1.174 million, while a four-bedroom, three-bathroom home averaged $1.691 million.
Realestate.co.nz Spokesperson Vanessa Williams said space continued to be a strong drawcard for buyers. “Kiwis are still attracted to more space and see value in that, whether it’s to accommodate a growing family, work-from-home flexibility or future-proofing an investment,” she said.
Renovations require careful planning
While the numbers show a link between additional bedrooms and bathrooms and higher asking prices, Ms Williams cautioned homeowners against assuming any renovation would automatically deliver a higher sale price.
“We know bedrooms and bathrooms affect average asking prices but before homeowners embark on a renovation, liveability needs to be factored in,” she said. An awkward layout that squeezes in an extra bedroom at the expense of living, dining or entertaining space may limit buyer appeal.
Ms Williams added that not all renovations delivered equal returns. Buyers were typically drawn to homes that suited their lifestyle, so homeowners needed to think carefully about whether they were renovating for their own needs or future buyers.
For sellers, this data reinforces the importance of understanding what buyers value in their local market. For buyers, it highlights why two homes with similar floor areas can attract very different price tags.
If you are working with any sellers who are considering renovations or buyers who are looking to transact in 2026, feel free to connect them with us for guidance on the finance side of their plans.
