Still Waiting for Rates to Drop? Here’s Why That Could Cost You.
For the past two years, many would-be investors have been sitting on the sidelines - waiting for interest rates to fall. But in 2025, the property market has started to shift… and waiting could now mean missing out.
Here’s what you need to know - and why savvy investors are already back in the game.
The Market Has Already Adjusted
Interest rates peaked in 2024 and have begun a gradual decline in 2025. But here’s the thing:
Property prices already softened in response. In many areas, builders have offered sharper pricing, and developers are more open to negotiation - especially for off-market or pre-release new builds.
Waiting until rates drop further may just mean paying more for the same property later.
New Builds Are Holding Strong
Investors looking at new build properties benefit from:
Healthy Homes compliance
Tax deductibility (still available for new builds)
Lower maintenance costs
Greater appeal to tenants, especially in tight rental markets
As rental demand continues to climb in 2025, well-positioned new builds are being snapped up fast - especially in growth regions.
What Smart Investors Are Doing in 2025
Rather than trying to “time the market,” smart investors are:
- Securing fixed-term interest rates while they’re still elevated - then refinancing later
- Choosing properties with long-term growth fundamentals
- Working with experienced professionals to mitigate short-term cash flow risks
- Investing now - when buyer competition is lower and options are stronger
Risk vs. Opportunity
Yes, interest rates matter. But so does time in the market. Every month you delay is a month lost on potential capital growth, rental returns, and long-term portfolio compounding.
Ready to Take the Next Step?
Whether you’re new to investing or adding to your portfolio, we can connect you with investment-ready new build properties across New Zealand -backed by decades of industry relationships, and no pressure selling.
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