Market Comment - July 2025

Christchurch Rental Market Update: July 2025

At Rentworks Property Management, we’re dedicated to keeping you informed with the latest insights into Christchurch’s rental market. Here’s our update on the current trends for landlords and tenants as of July 2025.

Balanced Market with Increased Supply

Christchurch’s rental market remains steady, with a 10-12% increase in rental stock since January 2025, particularly in two-bedroom townhouses and apartments. This has slightly extended letting periods to 21-23 days, compared to 18-20 days in late 2024. Demand continues to hold firm, driven by Christchurch’s population growth and its appeal as an affordable, vibrant city. Suburbs like Halswell, Wigram, Burnside, and Riccarton are seeing consistent tenant interest due to modern developments and proximity to key amenities.

One-Bedroom Demand and Student Activity

One-bedroom townhouses and apartments are leasing steadily, especially in the central city and university-adjacent suburbs like Riccarton, driven by professionals and students seeking independent living. Three- and four-bedroom family homes continue to rent strongly in areas like Halswell, Wigram, and Burnside, supported by steady family demand. The student market is surging as viewings commence for next year, and competition is high for properties near the University of Canterbury and other educational institutions.

Healthy Homes Deadline Update

The Healthy Homes Standards compliance deadline passed on 1 July 2025, and all rental properties must now meet these requirements, including heating, insulation, ventilation, and moisture control standards. Non-compliance can result in fines of up to $7,200, and tenants can report issues to the Tenancy Tribunal. At Rentworks, we’ve worked closely with our owners to ensure their properties meet these standards, minimising risks and maintaining tenant satisfaction. We thank all our owners for their efforts in ensuring compliance across our portfolio.

Legislative Changes Supporting Landlords

Recent tenancy law updates continue to benefit property owners. Since 1 April 2025, landlords can claim 100% of mortgage interest as a business expense, up from 80%, providing financial relief. The Residential Tenancies Amendment Act 2024, effective 1 May 2025, offers greater flexibility in managing fixed-term tenancies, streamlining operations for investors.

Infrastructure and Development Trends

Christchurch’s rental market is supported by a 10% increase in building consents in 2024, particularly in southern suburbs like Halswell and Wigram. These areas are attracting tenants with modern homes and improved infrastructure, such as enhanced transport links, boosting long-term rental demand. The city’s ongoing development reinforces its appeal as a strong investment market.

Guidance for Property Owners

With increased rental supply, competition is slightly higher, but well-maintained, competitively priced properties are leasing within two weeks. Isolated cases of incentives, such as a week’s free rent, have been noted, but this is not widespread. Rentworks is focused on securing quality tenants through strategic marketing and thorough vetting, ensuring optimal returns for your investment.

Outlook for the Coming Months

Christchurch’s rental market is well-positioned for stability, with demand expected to strengthen through the spring leasing season. Long-term, population growth and infrastructure improvements will continue to support rental demand.

Partner with Rentworks

Rentworks Property Management offers expert, tailored services to maximize your investment. Contact us today for a market appraisal or to discuss how we can help you navigate the Christchurch rental market, including ensuring ongoing compliance with Healthy Homes Standards.