NZ property market buyer and seller insights survey

We surveyed 1500+ Kiwi to understand current buyer and seller mindsets; and what that means for the property industry.

Overall market outlook for Spring 2024

Prices are lower, there’s a large number of properties being listed and vendors have reduced price expectations. Alongside changing economic factors we're slowly starting to see confidence return to the market, with 53% of Kiwi believe it’s a good time to buy.  

Despite 53.1% saying it’s a good time to buy, only 23.6% of buyers say they are able to find lots of properties that meet their budgets or fit their needs.

What this means: There may be more properties being listed at certain price points. Looking at your local market and pricing a home slightly outside those might help it move faster, if that’s a priority for a seller.  

Interest rates are commonly cited as the reason that someone says that it’s either a good or not good time to buy. 

What this means: For sellers - this indicates that mortgage rates staying the same or going down will likely have a reasonably significant impact on buyer confidence to transact, and may help with pricing discussions. 

There’s a gap in perceived value between buyers and sellers

Buyers are concerned about ongoing affordability, and quality of stock available. 

Sellers are concerned about getting the price they want for their house - and how long it will take to get it. 

Sellers are willing to wait for their expected price

Despite how long it will take to sell being a top concern, 60.2% of sellers are willing to either wait on or off the market, to get the price they want. 

What this means: Negotiations may be a bit trickier, as both buyers and sellers have less appetite to compromise. Agents can provide a lot of support here by working with both parties to hone in on what they are and aren't willing to compromise on to get a fair price, and using market data to set expectations.

Buyer vs seller value perceptions

Buyers like knowing what they’re getting into, possibly due to tighter finances - compromise on property condition is the next highest but trailed quite a bit further behind at 33.7%.

On the other hand, sellers believe size of the property is the second biggest factor after location that is going to make their house easier to sell.

What this means: A difference in perception may be one of the reasons leading to listings staying on site longer. Trade Me Property Customer Director Gavin Lloyd says he'd recommend buyers “get really clear on what you will and will not compromise on and speak candidly to a trusted real estate agent who can help you with your search."

The springtime opportunity

Overall, we're starting to see buyer and seller confidence grow as broader economic factors settle. Affordability continues to influence behaviour and there's still a gap between buyer and seller expections as the market changes. Agents are best positioned to bridge this gap between buyers and sellers by providing them with information and advice to support them on their property journey.