Continued Strength In The Lifestyle Property Market

Data released today by the Real Estate Institute of New Zealand (REINZ) reveals intriguing dynamics in the lifestyle property market. For the three months ended February 2025, there were 12 fewer lifestyle property sales compared to the three months ending in the previous month, marking a slight decline of 0.9%.

In total, 1,387 lifestyle properties changed hands during this period, which is an impressive 18.3% increase from 1,172 sales in February 2024 and a slight dip from January 2025's 1,399 sales. In the year to February 2025, lifestyle property sales increased to 6,181, a rise of 682 properties (12.4%) compared to the previous year. The total value of these sales reached a striking $6.96 billion.

The median price for lifestyle properties sold in the three months ending February 2025 stood at $957,500, reflecting a $24,500 rise (+2.6%) from the same period in 2024. Notably, the median price for Bare Land lifestyle properties sold during this period was $425,000, down $15,000 (-3.4%) compared to the previous year. The median price for Farmlet Lifestyle properties appreciated significantly to $1,100,000, marking a $40,000 increase (+3.8%).

The REINZ rural spokesman commented that despite a slight dip in sales this month, the overall trend in lifestyle property transactions over the past year indicates a robust market, with sales soaring by over 12% and a remarkable total value of nearly $7 billion.

Nine regions experienced an uptick in sales compared to February 2024, with Auckland (+53 sales) and Waikato (+50 sales) leading the way. On the other hand, Nelson/Marlborough (-11 sales) and Gisborne/Hawke’s Bay (-2 sales) saw the most substantial declines in sales over the same period. When comparing to January 2025, five regions reported increased sales.

Interestingly, eight regions saw an increase in median prices for lifestyle blocks in the year to February 2025, particularly the West Coast (+57.3%). However, the largest drops were noted in Southland (-19.2%) and Nelson/Marlborough/Tasman (-13%).

The time it takes to sell lifestyle properties increased by six days, averaging 79 days to sell this February compared to the same time last year. Southland reported the quickest sales at just 56 days, while Northland had the longest wait at 103 days.

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