Wellington Rental Market Update | September 2023
More inner-city apartments and townhouses have helped to stabilise Wellington’s historically tight rental market, Tommy’s Director of Property Management Harrison Vaughan says.
“Since its high point in February, we’ve seen about a 25 per cent drop in the number of properties available for rent.
“Interestingly, over half of these are one-two bedroom homes. “The rise of new urban housing, especially townhouses and apartments in the inner CBD, has really helped keep rental prices steady and brought more, smaller homes into the mix.” Wellington’s top weekly rent peaked at $660 in January before “settling a bit” to $650 for the last few months.
“This is still $40 more than what people were paying this time last year,” Harrison says. “But when it comes to the highest rents, Porirua is on top at $680, followed by Lower Hutt and Wellington City, both at $650.”
He says Wellington’s property landscape has been “abuzz” with seekers of quality residences. “Enhanced regulations and compliance have undeniably raised the rental property standards, providing Wellingtonians with superior options.
“At Tommy’s, this winter has been particularly active. In the span of the last 60 days, we’ve rented nearly 70 properties across Wellington, generating approximately 3,000 listing enquiries and almost 300 applications.” Tommy’s also has been collaborating with several embassies to address housing needs.
“A majority of families are comfortably settled, but a select few continue their search for premium, long-term rentals of up to five years,” Harrison says.
“These properties, while not reflective of median rent values, cater to a distinct segment of the market. “Looking ahead, we anticipate a surge in demand for student accommodations in the upcoming spring and summer months.
“This projection aligns with the annual influx of students securing housing in preparation for the 2024 year.”