September 2026 - Christchurch Rental Market Update

Spring brings more activity to the Christchurch rental market

Spring is here, and we're beginning to see the traditional increase in activity across the Christchurch rental market.

The broader economic and property picture remains mixed, but there continue to be encouraging signs for Canterbury landlords. Recent market commentary suggests rental conditions are gradually improving, with investors finding it somewhat easier to secure suitable tenants than they were earlier in the year.

Canterbury also continues to compare favourably with many other parts of the country, supported by relative affordability, a resilient local economy and solid long-term rental fundamentals.

What we're seeing at Rentworks

Our own August results reinforce that generally positive picture.

Vacancy across the Rentworks portfolio finished the month at just 0.22%, while our reported rent arrears were 0% — an excellent result and one we're particularly pleased with.

We're now well into our spring tenancy renewal season, with most tenants choosing to stay in their homes and renew for another term. At the same time, the normal seasonal increase in activity is beginning to show, with more properties coming to the rental market as we head into the busier spring and summer months.

While strong tenant retention is providing welcome stability for many of our owners, the increase in available properties means pricing and presentation will become increasingly important. Getting the asking rent right from the outset remains one of the best ways to minimise vacancy while achieving a strong return.

Short-term or long-term

There has also been an interesting development for Christchurch owners operating properties as short-term accommodation.

A recent MBIE determination upheld Christchurch City Council's decision to issue a notice to fix after finding that the short-term accommodation use of a residential unit constituted a change of use under the Building Act. That determination has since been appealed, so the final position remains unresolved.

While the case relates to the particular circumstances of one property, it has created some uncertainty for owners operating short-term accommodation in Christchurch.

We've successfully helped owners transition properties from short-term accommodation into the long-term rental market in the recent past. For anyone considering whether long-term renting might now be the better option, we're happy to discuss likely rental value, current tenant demand and what's involved in making the change.

A quick note from us

Most of the new properties we've taken on this year have come either from existing Rentworks owners adding to their portfolios or through recommendations from our clients.

We're very appreciative of that support and see it as a great endorsement of the work our team does.

If you know someone who is considering renting out a property, moving from short-term to long-term rental, changing property managers, or simply wants some advice about the Christchurch rental market, we're always happy to have an informal, no-obligation chat.

Looking ahead

As we move further into spring, we expect activity to continue increasing. More properties will come to market, but strong tenant retention, exceptionally low vacancy and 0% reported rent arrears across our portfolio give us plenty of reason to remain positive about the months ahead.

As always, we'll continue to monitor conditions closely and keep our owners informed as the market develops.