Dunedin Rental Market Update - July2024

(Most recent Tenancy Services data May 2024)

Tenancy Services recorded a modest increase in the median weekly rent from $470 per week in May 2023, to $480 per week in May 2024.

The number of bonds lodged decreased from 264 in May 2023 to 237 in May 2024, with the closed bonds decreasing by 15% for the same period. 

The average number of rental listings available on TradeMe in May 2024 was 311, which is a 20% increase on the number of listings available in May 2023. It has been further reported from data collated by realestate.co.nz that rental listings across New Zealand have increased by 40% from the previous quarter, while demand has only increased by 2.5%. 

There is speculation that the increase in supply of rental properties throughout New Zealand is linked to shorter term rental properties being offered as longer-term tenancies due to less demand within that market. There has been further speculation that this reduction in demand has been caused, in part, by less domestic travel as a result of the increased cost of living.

As competition to attract quality tenants increases as a result of this increase in supply, further strategies are being applied to ensure properties are being rented. These include price adjustments, ensuring professional photography is used, increase in the number of viewing times available each week and engaging directly with those who enquire about rental properties to ensure that their needs are aligned with the rental property.