Where are the cheapest houses in New Zealand?

For many Kiwis, buying a house in New Zealand feels like an unattainable dream.

House prices remain high, even though they’ve been stable in recent months.

Today, the median house price in New Zealand hovers around $765,000 (REINZ, August 2024). In Auckland, that figure pushes up to $960,000.

But that still means that half of properties in New Zealand are selling for less than $765,000.

So where are these cheaper properties?

There are a couple of different ways to crunch the data. So let’s have a look.

Areas with the lowest median sale prices

One way to find cheaper areas is to look for the lowest median sale price.

Waitomo District, the cheapest area in New Zealand, has a median price of $305,000 (REINZ, August 2024).

That means half the properties in Waitomo District (in August) sold for less than $305,000. And half the properties sold that month sold for more than $305,000.

The areas with the lowest median sales prices are:

1. Waitomo District - $305,000
2. Gore District - $325,000
3. Buller District - $330,000
4. Grey District - $342,000
5. Clutha District - $345,500

This table breaks down the median sale price for each region in order of cheapest to the most expensive.

But this isn’t the only measure of where to find a cheaper property. So, let’s look at the chance of finding a more affordable property in your area.

Areas with the best chance of buying a house for less than $500k

Another way to find cheaper houses is to think about the chance of buying a property under a certain price. For example, the chance of buying a house for under $500k.

So where are the cheapest houses when you look at it from this perspective?

In Kawerau District, 91% of houses sold for less than $500k (in the 12 months to June 2024).

That means it's highly likely that you can find a cheap house in Kawerau District.

A while back, I released the chance of buying a house for under $500k. This was released on OneRoof.

It was so popular that I now update the numbers and release them here each month.

Over the last year, the areas with the most houses selling for less than $500k were:

1. Kawerau District - 91%
2. Ruapehu District - 88%
3. Buller District - 81%
4. Gore District - 78%
5. Clutha District - 77%

Let's look at the other end of the spectrum. There are no properties selling under $500k in Queenstown-Lakes District.

Of the 725 houses sold there over the last year, 0 sold for less than $500k (0.0%)

This excludes any apartments, townhouses and bare land. We’re just looking at houses in this analysis.

Auckland Region is similar. 157 of the houses sold in the last year had a price tag of $500k or less (0.9%).

You can use the map to look for your own region.

Where should I buy a house?

It’s important to say the cheapest houses in New Zealand won’t be the most luxurious.

Some may not even be liveable (depending on where they are).

And they may not be the best investments or in the best areas.

But, we often think of New Zealand houses as very expensive. And it’s true. They are expensive.

But, there are some areas where properties are substantially more affordable.

So, if you are looking for a house on the cheaper side, this is where you can find them.