- Canterbury is the fastest-growing region, attracting Aucklanders seeking affordable housing and study opportunities.
- Christchurch offers lower house prices, with buyers getting more value compared to the North Island.
- Increased migration boosts economic activity, with expectations of up to 5% house price growth.
Canterbury is New Zealand’s fastest-growing region, according to the latest migration figures, and real estate agents are feeling the effects of the population surge.
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Aucklanders on the hunt for cheaper housing are among those shifting to Christchurch and its neighbouring towns.
Census spokesperson Dr Rosemary Goodyear noted in June this year that “housing affordability and study opportunities are likely to be strong factors for drawing so many people to Canterbury and Otago from the North Island”.
“House prices are typically lower in Canterbury than in much of the North Island. Fifteen to 29-year-olds made up one-third of people who moved to Canterbury from the North Island between 2018 and 2023,” she said.
Scott Muirson, whose business, SM Property, deals with buyers looking for new-build properties, has first-hand knowledge of the shift south.
He moved his family from Auckland to Christchurch at the end of last year, after selling their West Auckland townhouse for over $1.5m. For the same amount, they were able to buy a five-bedroom, 340sqm home on 2.1ha of land, with a pool.
In his day job, Muirson says he has three to five North Islanders arriving every Friday to house-hunt over the weekend. “They’re flying down to look at our houses. Last weekend I had one from Palmerston North, one from Napier, one from Wellington and one from Auckland.”
Some were open to buying townhouses in the city because they wanted to be in good school zones.
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Christchurch-based mortgage broker Gareth Veale, of GV Financial Services, told OneRoof that Christchurch was winning over more and more North Islanders.
“I think it’s due to prices, but also the city is much vibrant than it used to be. People just feel better here,” he said.
Veale, who handles mortgage applications for many new Christchurch residents, said two groups stood out in particular: younger people looking to buy their first home and migrants who found Auckland too expensive.
In Auckland, a budget of under $1m meant a townhouse “with caveats”, he said. “Here, for $800,000, you get a brand new three or four-bedroom house in places like Halswell or Rolleston.”
Veale said his Christchurch clients were generally looking for standalone homes in the $750,000 to $1.5m price range. “I’m not seeing a lot of lower-end townhouses. I think there’s a bit of a glut of those. A lot of them are vacant.”
Christchurch-based mortgage broker Gareth Veale says the city is "much vibrant than it used to be. People just feel better here.” Photo / Supplied
Harcourts agent Cameron Bailey said Christchurch was a magnet for buyers around the country. “We’ve seen people move into Christchurch from all areas. We’re working with some people from Arrowtown at the moment who are moving up,” he told OneRoof.
“Christchurch is going to be a wonderful place to live. There’s so much infrastructure being rebuilt after the earthquakes. We’ve got the new stadium and all that’s starting to come online.
“Prices are still so affordable compared to the rest of New Zealand for what you get, bang for buck.”
Bailey said one theme he was seeing was established homeowners selling expensive homes in Auckland and buying the equivalent in Christchurch for much less. “We don’t always know their background, but we do see a lot of people moving down for lifestyle. They might be selling a $3m or $4m house in Auckland and buying the same house here for less, taking a million off the table,” he said.
Homes in the Christchurch suburb of Kennedys Bush. Photo / Peter Meeham
“It makes life easier, especially if you’re in a transferable career like engineering or banking. Christchurch is definitely on the shopping list.
“One advantage of moving here is that for the same money you’d spend on a townhouse in Auckland, you can get a proper house with land in Christchurch.
“They’re still being sold to investors, people who want lock and leaves. But like Auckland, we’ve got a lot of townhouses available. It’s one of the harder markets to sell in at the moment.”
Graduates from further north who stay on after finishing their degrees do occasionally buy homes. “People start to build a life here after three to five years. They get involved in the community, church, social groups, all of it,” he said.
“I’ve also sold a few houses to Aucklanders buying for their children while they’re at university. They also buy a city pad for themselves to stay in when visiting Christchurch.”
Harcourts agent Cameron Bailey: “Prices are still so affordable compared to the rest of New Zealand for what you get, bang for buck." Photo / George Heard
Harcourts Belfast agent Geoffrey Twiss had noticed an increase in Auckland-based investors looking for property. “I had a couple of properties that sold sight unseen to Aucklanders recently, and people from Nelson as well. Investor activity has really picked up in the last couple of months,” he said.
“One was on Rubber Glen Avenue, next to Canterbury University. That was off-market. I’ve met a few Aucklanders recently looking for properties around the university. They are happy to buy sight unseen if the return stacks up.”
The latest OneRoof house price figures show the average property value in Christchurch had grown by 2.4% ($19,000) in the 12 months to the end of October to a new high of $805,000.
CBRE director of residential research Tamba Carleton said confidence in the housing market was strongest in Canterbury, noting that the region was “at the front of the recovery curve”.
“People are a major driver of what happens to housing markets. An influx of new residents to the Canterbury and Otago regions is creating growth in economic activity, which attracts further migration and investment into these regions. The positive momentum in both areas is undeniable.”
She said evidence from her Canterbury team suggested “the market is starting to feel bubbly, almost like it was at the beginning of the last boom”.
She said that well-presented homes in the first home buyer market appeared to be popular at the moment in Canterbury, and highlighted that around 70% of valuers recently surveyed by CBRE expect house prices to increase by up to 5% over the next year.
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