Rents Flattening in NZ – Could STRs Be Your Answer to Higher Returns?
By: Scott Mears - Aspire PRO Enterprises
Recent data from Interest.co.nz reveals a striking reality for landlords across New Zealand: rental prices have hit a plateau. For the fifth consecutive quarter, the national median rent has stagnated at $600 per week, with no meaningful sign of upward movement.
This may come as a concern for property investors relying on steady rental growth to offset increasing costs—especially in an environment where insurance, rates and maintenance are all rising.
Source: Interest.co.nz
So, what’s a smart investor to do?
The Short-Term Rental Advantage
Short-term rentals (STRs), such as Airbnb-style stays, are emerging as a compelling strategy for maximising property returns in a cooling rental market.
Unlike traditional long-term leases, STRs allow landlords to:
✅ Charge a premium for location, flexibility, and amenities
✅ Adjust pricing dynamically to match demand (weekends, holidays, events)
✅ Reduce vacancy risk with better marketing and targeting
✅ Gain more control over how the property is used and maintained
In tourist-friendly or high-demand urban areas like Hamilton, Tauranga, or Queenstown, hosts are often generating 30%–80% more income compared to standard long term tenancies.
It’s Not for Everyone – But It Could Be Right for You
Short-term rentals aren’t a one-size-fits-all solution. They require upfront setup, great systems, and an understanding of hospitality. But for landlords who are willing to adapt, they can be the difference between a flat return and a flourishing one.
In a market where rents are no longer rising like they used to, thinking differently is no longer optional—it’s essential.
If you're sitting on a rental property that’s underperforming, or if you’re curious about converting to short stays, now is the time to explore what's possible.
Want help assessing your property for STR potential?
Let’s talk. We specialise in transforming rentals into high-performing short-term stays—done for you, start to finish. Either contact us today or fill in this form for a free, no obligation STR Appraisal.