The market's not running on empty

March has brought a noticeable lift in pace across the Southland property market, and it’s fair to say things are moving. 

Across Invercargill, the median price reached $520,000, with 137 properties sold and a median of just 22 days to sell. Year-on-year, prices are up 8.3%, reflecting ongoing strength in the local market. Across the wider Southland region, the median price also sits at $520,000, with 212 sales recorded and annual price growth of 11.8%.

What stands out this month is the pace, with buyers not hanging around when the right property comes along. Buyer engagement remains high, particularly in the entry and mid-price brackets, with open homes seeing consistent turnout and a clear readiness to act.

Multiple-offer situations are becoming a feature again in parts of the market, particularly where homes are attracting broad appeal. This is contributing to a more energised feel overall, with a level of competition that has been less evident in recent months.

Nationally, the market isn’t flinching. Even with rising fuel costs and ongoing global uncertainty in the mix, activity has remained steady, showing a market that is adapting rather than pulling back.

Buyers are still active, just more considered in their approach, taking time to assess their options before making a move.

What is becoming increasingly clear is that the fundamentals behind the market remain in place. While external pressures are part of the conversation, they are not driving it. Instead, the market continues to move forward, grounded in local conditions and consistent demand.

Locally, a number of positive developments are adding to the region’s outlook.

Recent changes allowing a wider range of building products are expected to make construction more efficient, supporting both new housing supply and future development. At the same time, a $3.1 million government-backed loan to kickstart a new industrial subdivision near Gore signals further investment in infrastructure and employment opportunities.

Niagara Sawmilling’s $115 million expansion reinforces this, representing a significant commitment to the region and its long-term growth. Projects of this scale contribute to job creation and economic activity, both of which play an important role in sustaining housing demand.

Across Southland, commercial activity remains steady across both sales and leasing. Demand is strongest for high-quality office, retail, and industrial spaces, while older properties can take longer to transact or lease. In Invercargill, prime retail areas continue to perform well, with new businesses entering the market and steady interest in well-located, modern spaces.

The rental market across Southland remains steady, with modest growth of around 4% year-on-year despite softer conditions nationally. Strong long-term gains continue to support residential property as a reliable investment.

As we move deeper into autumn, the market shifts in tone. Open homes become more purposeful, with buyers focused on homes that feel warm, inviting, and ready for the cooler months ahead. These homes tend to leave a stronger impression.

Looking ahead, the region is carrying good momentum into the cooler months. Activity remains solid, with local investment and improving national conditions supporting a positive outlook.

We are also making a move of our own this month. We’ve outgrown our space… a good problem to have, and one we’re pretty excited about. With more happening than ever, it is time for a little more room, for our clients and for us.

From 28 April 2026, you will find us at 66 Don Street, Invercargill. We are looking forward to what this next chapter brings and look forward to welcoming you into our new space.

At Professionals Invercargill, we support our community at every stage of the property journey. Whether you are planning, reassessing, or ready to move, our experienced salespeople and property management team are here to guide you with clarity and confidence.

Visit: www.professionals.co.nz/invercargill to connect with our team.