Market Update February 2025

In 2024, Kerikeri's housing market improved, with around 10% more homes selling compared to 2023. However, many homes are selling for less than their official value, and prices have dropped by about 10-15% from their peak in 2022.

The Reserve Bank is likely to lower interest rates by another 0.5% in February, which could help make borrowing money cheaper. While this could give the market a boost, other factors like job uncertainty and fewer people moving to New Zealand are keeping demand from growing too quickly.

Right now, there are a lot of homes for sale, but this is more true in some price ranges than others. Because of this, prices are expected to stay fairly steady through the first half of 2025. Investors are starting to look at other options since interest rates on savings aren’t as high, but they’re also cautious because of higher mortgage rates and insurance costs. First-time homebuyers might have a chance to buy before investors come back stronger.

For those looking to "climb the property ladder" — meaning upgrading to a better home — this could be a good time. Some price brackets have compressed, and with lower interest rates, savvy buyers might be able to move up in property value without spending too much more than their current home’s price.

Feel free to stop by anytime for a coffee and a chat with one of our team members if you want to talk about the market more!