Wellington rents outpace Auckland

Rents for three-bedroom houses in Wellington have risen 18 per cent since last May as incomes and employment growth in the home of central government has outpaced the rest of the economy.

Rents in the capital for three-bedroom houses topped those in Auckland in August for the first time.

Figures obtained by interest.co.nz from the Department of Building and Housing show the median rent for Wellington three-bedroom houses rose to NZ$440 a week by August from NZ$380 a week in May last year, taking rents their above Auckland levels, where the three-bedroom median has risen from NZ$420 a week to NZ$430 a week.

The national median rent has been flat at NZ$300/week in the last three months having risen from NZ$280 at this time last year.

Heavy new supply of properties onto the rental market as "accidental" landlords take their properties off the market for sale has depressed rent growth, along with the slowing economy.

- INTEREST.CO.NZ