Rental supply spikes while demand dwindles

Across the country the number of properties listed for rent surged 12% to an all-time high year-on-year in May, according to Trade Me’s latest rental price index but demand fell 8%.

There were significant regional differences in the figures. Wellington’s listings lifted 45%, followed by Marlborough 24%, Auckland 16% and Manawatu/Whanganui 5%.

However, listings in Northland, Waikato, Hawke's Bay, Taranaki, Nelson-Tasman, Otago and Southland dropped compared to a year ago, while there was no change in Canterbury.

All regions apart from Canterbury and Southland had a drop in demand from prospective tenants, with the biggest declines in Nelson/Tasman, down 28%, Northland 19%, and Taranaki 15%. Southland, up 8% and Canterbury, up 21% were the only regions to see demand for rentals climb when compared with May last year.