The Dunedin property market is buzzing right now, offering heaps of opportunities for both buyers and sellers. With a mix of favourable economic conditions, population growth, and exciting new developments, it’s a prime time to dive into the real estate scene. Let’s take a look at what’s driving these positive changes and why now is the perfect moment to make your move.

Influx of New Residents

Dunedin is drawing in new residents like never before, thanks to its great lifestyle, top-notch education, and job prospects. The University of Otago and Otago Polytechnic are big magnets, bringing in students and professionals who need places to live. This steady stream of newcomers is boosting demand for housing and giving the local economy a nice kick, creating a positive cycle for the property market.

Rebound in Tourism

Tourism is bouncing back big time in Dunedin. Our city’s unique mix of heritage buildings, wildlife attractions, and cultural events are pulling in visitors from all over. This tourism boom is great news for the hospitality and retail sectors, which in turn supports commercial real estate. Investors are finding gold in short-term rental properties and hospitality ventures.

Economic Resilience and Interest Rates

Despite the global economic rollercoaster, Dunedin’s economy is holding strong. We’ve got a diverse economic base, including education, healthcare, and tech sectors. Plus, the outlook for interest rates is looking good, with potential rate cuts on the horizon. Lower interest rates make borrowing more affordable, encouraging both homebuyers and investors to jump into the market. Right now, you can lock in a rate of 5.59% for three years, even though the floating rate is still in the 8’s.

Infrastructure Enhancements

There’s a lot happening on the infrastructure front in Dunedin. Recent upgrades to the Dunedin Hospital and improvements in transportation networks, like road upgrades and better public transport, are making it easier for residents to get around and access amenities. These developments are particularly appealing to young professionals and families looking for convenience and quality of life.

Focus on Sustainability and Smart Living

Sustainable and smart living is becoming a big deal in Dunedin. New developments are incorporating eco-friendly designs, energy-efficient technologies, and smart home features. These innovations not only appeal to environmentally conscious buyers but also promise long-term savings on utility costs. Properties that prioritize sustainability are becoming hot commodities in the market.

Increased Activity from First Home Buyers

One of the most exciting trends right now is the surge in activity from first home buyers. Banks are more willing to provide pre-approvals, and at higher levels than we’ve seen in recent years. This ease of access to financing has led to first home buyers making up more than 27% of the market activity. Their presence is driving demand, which is pushing property prices up. This increased competition is great for sellers, as it often results in multiple offers and higher sale prices.

Market Trends and Daylight Savings

Dunedin’s median house price is now under $600,000, making it an attractive option for many buyers. August saw national average house prices drop to their lowest in 1250 days. Mortgage brokers across the country are recording a massive upswing in activity, with both investors and first home buyers getting pre-approvals. For the first time in years, first home buyers make up the largest group of buyers at 28%. With daylight savings giving agents more sunlight for evening open homes, the market is bustling. Even the Prime Minister recently sold a house!

Why Now is an Ideal Time to Buy and Sell

Given these positive shifts, now is an ideal time to get involved in the Dunedin property market. For buyers, the combination of favourable interest rates, diverse property options, and a strong local economy presents a unique opportunity to invest in a region with solid growth potential. For sellers, the heightened demand driven by migration, tourism, economic resilience, and the surge in first home buyer activity means properties are likely to attract competitive offers, ensuring a good return on investment.

So, what indicator or metric are you waiting for to get stuck in? Will you wait for two more OCR reductions? Will you wait for the average price to exceed the old peak of two years ago? The Dunedin property market offers a dynamic and promising environment. Embrace the positive momentum and seize the opportunities available by reaching out to me today.