Boost To New Zealand’s Luxury Real Estate Market

Political and economic uncertainty in key offshore markets could have a silver lining for New Zealand's listless premium real estate market, says a luxury homes agent.

Real estate agent Caleb Paterson said a new 'try-before-you-buy' model was emerging locally, with some clients paying up to $30,000 a week to rent off-market homes while they "awaited clarity" on New Zealand's foreign buyer ban.

The Paterson Luxury director said the revamped investors' visa was fuelling the ultra-luxury rental market, and it good news for sellers of luxury homes who could not find a buyer.

"We're dealing with a lot of home owners in that luxury space and the market is not responding where they want [it], so now they're having to reassess all their options. So if someone's willing to come in and pay three times above what the normal weekly rental amount could be for a property, it frees up options for them. It means they've got extra income while they're still holding that asset waiting for the market to bounce back."

Latest Real Estate Institute New Zealand (REINZ) data showed a glut of premium homes languishing on the market. In Auckland, the median number of days to sell properties valued at $3.5 million rose from 42 days in March last year to 64 days in March 2025. Queenstown saw a median 95 days to sell luxury listings.