December ‘23 NZ Property Market Snapshot & Insights into the 2024 Housing Market

December 2023 NZ Property Market Overview

Welcome to the first update from Norfolk Mortgage Trust (NMT) for 2024, where we provide insights for our clients as part of our commitment to help you stay up to date with the dynamic world of property investment. Drawing from the most recent QV House Price Index for December 2023, we offer a summary analysis of the New Zealand housing market and what it means for your investments in 2024.

Understanding the Current Market

The end of 2023 witnessed a slight stalling in home value growth, with the national average home value increasing by only 0.6% in the December quarter, reaching $905,070. This is a notable slowdown from the 2.3% increase reported in November. However, cities like Rotorua and Tauranga showed more robust growth, highlighting the market’s varied nature.

Main Center Highlights
  • Auckland: Auckland’s housing market continued its upward trend, albeit at a slightly subdued pace. The average home value in Auckland rose by 1.9% over the December quarter, reaching $1,285,521. Despite this growth, Auckland’s average home value at the end of 2023 was 4% lower than at the beginning of the year.
  • Wellington: Wellington’s property market also saw positive growth, with the average home value increasing by 2.4% in the December quarter, settling at $858,227. This growth is consistent with the city’s previous quarter’s performance and is a significant recovery from the 18.6% average decrease experienced throughout 2022.
  • Christchurch: Christchurch continued to exhibit steady growth in the housing market. The average home value in Christchurch saw a 2.5% increase in the December quarter, rising to $752,974. Over the course of 2023, the average home value in Christchurch increased by 0.2%, showing a stable market trend.

These highlights reflect a diverse and dynamic housing market across New Zealand’s main centers, with each city showing unique trends and factors influencing their respective property values.

Key Trends

Despite the slowdown, Quotable Value (QV) Operations Manager James Wilson predicts a continued but moderate strengthening of home values in the coming months, followed by a potential slowdown as we move into Autumn. High net migration and the reintroduction of interest deductibility for property investors are likely to impact the market significantly. Yet, interest rates, expected to remain stable, will continue to play a crucial role.


As we reflect on the final quarter of 2023, the New Zealand housing market has presented a patch-work of growth patterns, characterised by regional variances and overall economic tightening. December 2023, in particular, marked a period of subtle yet significant shifts. Nationally, we observed a modest increase in the average home value by just 0.6%, concluding the quarter at $905,070. This rate signifies a deceleration from the more robust growth seen earlier in the year, with cities like Auckland, Wellington, and Christchurch displaying varying degrees of progress.

Looking ahead, the trajectory for early 2024 suggests a phase of moderate strengthening in home values. This period is expected to be buoyed by factors such as high net migration and adjustments in property investment policies. However, as we transition into the autumn months, the market is likely to experience a gradual easing. This anticipated slowdown aligns with traditional seasonal trends.

For investors and stakeholders, this evolving market landscape underscores the importance of strategic planning and informed decision-making. At Norfolk Mortgage Trust, we remain committed to guiding our clients through these nuances, leveraging our expertise to capitalise on opportunities and navigate potential challenges. As always, we continue to monitor the market closely, ensuring our advice and strategies are both current and forward-looking, tailored to support your investment goals.

For more information and the opportunity to discuss Norfolk’s approach to lending contact Norfolk Mortgage Trust today.

Download the Investment Guide