December 2025 Market Update

A steady finish to the year in Southland.

As we head into Christmas and start switching to holiday mode, Southland’s property market is wrapping up 2025 in a solid place. There is no frenzy, no panic—just a market that feels measured, considered, and quietly confident. Buyers are doing their homework, vendors are realistic, and well-presented homes are still finding their people.

There is a familiar seasonal buzz around town. Open homes are being squeezed in between Christmas errands, and homes are looking their best, filled with Christmas trees, decorations, and that warm festive feeling. It’s a time when buyers can picture family gatherings, summer living, and what the next chapter could look like.

Across the region, prices have held up well through November. Southland’s median now sits at $505,000, with Invercargill City around $500,000, and Gore continuing to show strong local demand. Days to sell are the shortest they have been in several years, showing that when a home is priced well and presented right, it does not hang around.

First home buyers remain the most active group, particularly at the entry and mid price points. Open homes are busy, conversations are thoughtful, and while competition for the right properties exists, buyers are taking a measured approach. Multiple offer situations are returning, but they are happening with intention, not emotion.

Nationally, house prices have remained resilient, and buyers are taking a measured approach rather than rushing in. With borrowing conditions easing slightly and interest rates steady, the market is balanced and considered — a trend reflected here in Southland. While sales volumes are a little quieter, this cautious optimism means buyers and sellers can make thoughtful decisions with confidence, knowing the region continues to deliver stability and value.

Our team is seeing first-hand how the property market is closely connected to wider community activity.

Changes around pet friendly rentals are influencing tenant and landlord decisions across Invercargill and Southland. Tenants now have more choice, while landlords are recognising the benefits of attracting long-term, reliable renters through flexibility.

In Gore, recent rate and value adjustments are prompting homeowners to reassess their plans. These conversations are leading to thoughtful decisions around affordability, timing, and long-term goals, all of which shape local market movement.

Tourism is also giving the region a lift, with cruise ship visits bringing fresh energy into Southland. The flow-on effects are being felt across hospitality, retail, and short-stay accommodation, adding to the festive atmosphere and confidence throughout the region.

Alongside this, investment in youth development and community initiatives reinforces Southland’s future-focused outlook. These factors support population retention, employment, and long-term housing demand.

As we head into summer and look toward 2026, the market feels balanced. Buyers have choice, sellers have clarity, and lending conditions are more supportive. It is an environment that rewards preparation, good advice, and realistic expectations.

At Professionals Invercargill, we are proud to support our community through every season. Whether you are planning ahead, reassessing your options, or ready to make a move, our experienced salespeople and property management team are here to guide you with clarity and confidence. 

We wish everyone a safe, relaxed, and very Southland Christmas and look forward to supporting our community and property goals in the year ahead.

Visit: www.professionals.co.nz/Invercargill today.

Team_December25_Christmas_1400x650

November

Office Award Badges_INV

 

FREE MARKET APPRAISAL

Recent Articles