What's going on in the Auckland rental market right now?

Author: Ed McKnight

Our Resident Economist, with a GradDipEcon and over five years at Opes Partners, is a trusted contributor to NZ Property Investor, Informed Investor, Stuff, Business Desk, and OneRoof.

Reviewed by: Leah Cockroft

Business Development Manager & Opes Liaison with over 7 years of experience in Real Estate/Property Management in Auckland.

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The Auckland rental market is constantly changing.

Sometimes rents are up. Sometimes they are down.

Sometimes it’s easy for property investors to find a tenant. Sometimes it’s easier.

As an economist, property investors often ask me: “Ed, what’s going on in the Auckland market right now?”

So, in this article, you'll learn:

What's happening with rents in different parts of Auckland?
What’s the average rent in Auckland?
How much do rents increase in Auckland?

You’ll also get the inside scoop of what our property managers are seeing on the ground.

This is all to keep you informed about what's going on in the Auckland rental market.

The median rent in Auckland is $660

The median rent in Auckland is $660 (June, 2023). That's up $20 a week (3.13%) since the same time last year.

How hard is it to find good tenants at the moment? Tony Alexander runs a survey of property investors, in conjunction with Crokers. Their survey covers the whole of New Zealand. But, Auckland investors will make up a significant proportion of the responses. According to this survey, a net 21% of investors say that it is harder to find good tenants.

That means there are more investors who say it is hard to find good tenants compared to the number of who say it is easy to find good tenants.

Looking at TradeMe data, there were 2,150,000 rental listing searches in July (2024). That's down 10% compared to the same time last year.

On top of that, there were a total of 5,902 new rental listings that came onto that site. That's up 50% on the same time last year.

So rental demand is down, but supply is up.

How long does it take to find a tenant? The average rental listing spends 22 days on TradeMe. That is up 29% year on year (+5 days).

Average rents in Auckland broken down by suburb

The suburb with the highest median rent in Auckland is Runciman. The median property rented for $1,250 / week, between February 2024 - July 2024.

The suburbs with the second and third highest rents in Auckland are Long Bay ($995 / week) and Dannemora ($935 / week).

On the other hand, the suburb with the lowest median rent in Auckland is Grafton. The median property rented for $409 / week.

The suburbs with the second and third cheapest rents are Otahuhu ($495 / week) and Auckland Central ($500 / week).

Use the map to find your suburb. The maps updates automatically every month. It currently shows data between February 2024 - July 2024. This is the latest available.

How is the rental market going in different parts of Auckland?

Rents around Auckland don't all go up at the same rate. Sometimes rents on the North Shore will be up, while in Manukau City they’re down.

Sometimes Franklin’s rental market will be calm, while Rodney is booming.

Here are the rents for the different parts of Auckland, along with how fast they are going up (or down).

This table automatically updates every month as new data is released.

The property manager's perspective

As part of my rental market update, I like to hear what property managers see. Here’s

the latest from our team at Opes Property Management (last updated July 2024) –

From Leah:

“I’m seeing a few things happening. Firstly, the number of rental listings on the market (the rental stock) is the highest it's been since 2018.

Auckland’s rental stock has risen by 40% in the last 3 months (REINZ). This will soften rents as there are a higher number of properties looking for tenants.

However, my advice to investors is to keep rents at the market rate and allow for a longer vacancy. Don’t drop your rent just to get a tenant in.

Over the year, you’ll be better off. But you might need to get through a few weeks without rent.

I’m also seeing a few new builds coming up for completion. This comes with its own complications. Let's say you bought a New Build back in early 2023. As part of that, they would have gotten a rental appraisal.

Back then, the Auckland Floods wreaked havoc on the rental market.. Both owner-occupiers and tenants had to move.

There were lots of people looking for rentals, but there was not much supply. This pushed up rents.

Now we’re in a more normal market. So, if you got a rental appraisal back in January - August 2023, the rent may be lower today than what the rental appraisal says.

It can be a drop of up to $100 a week.”

Ed McKnight

Our Resident Economist, with a GradDipEcon and over five years at Opes Partners, is a trusted contributor to NZ Property Investor, Informed Investor, Stuff, Business Desk, and OneRoof.

Ed, our Resident Economist, is equipped with a GradDipEcon, a GradCertStratMgmt, BMus, and over five years of experience as Opes Partners' economist. His expertise in economics has led him to contribute articles to reputable publications like NZ Property Investor, Informed Investor, OneRoof, Stuff, and Business Desk. You might have also seen him share his insights on television programs such as The Project and Breakfast.

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