Rental prices: Bay of Plenty overtakes Auckland as priciest region

Auckland has been one of the most expensive regions all year, but in December, the Bay of Plenty took the top spot. Photo / NZME

Rents have reached an all-time high, while the Bay of Plenty has become the country’s priciest area for tenants, new figures show.

Trade Me’s latest rental price index shows the national median weekly rent in Aotearoa has jumped to $625 for December - the first increase in almost six months.

Property sales director Gavin Lloyd said the data showed tenants were now paying an extra $45 a week.

“Many people will be watching the new Government in 2024 as recent legislation has reshaped the Reserve Bank’s focus to a singular mandate - to bring down inflation,” Lloyd said.

Bay of Plenty overtakes Auckland as priciest region

Auckland has been one of the most expensive regions all year, but in December, the Bay of Plenty took the top spot.

Rent went up by 11.7 per cent compared to the previous year, reaching a high of $670 per week. The Western Bay of Plenty surged by 14.2 per cent, and Tauranga rose by 7.7 per cent.

“Although we’ve witnessed a recent dip in rent prices in Auckland, it typically remains one of the pricier places to live, often rivalling Wellington. Normally, the highest costs are in regions with major cities, but this demonstrates that other areas have plenty to offer renters,” Lloyd said.

Marlborough was the only region experiencing a year-on-year decrease, with a decline of 0.9 per cent making the median weekly rent $530.

Southland kept its status as the most affordable place to rent, with a median price of $440 a week, marking a 2.3 per cent increase from November.

Demand slows in main regions

Across the country, demand for rental properties in December was down by 19 per cent compared to November, while listings were also down by 17 per cent.

This included Auckland (20 per cent), Canterbury (19 per cent), and Wellington (8 per cent), which all saw a decline in demand. However, Gisborne (up by 42 per cent) and Marlborough (61pc) stood out as the only two places that saw increased demand compared with December 2022.