Property Market
5 min read
What's happening with Queenstown house prices?
Council area of Otago
Author: Ed McKnight
Resident Economist, with a GradDipEcon and over five years at Opes Partners, is a trusted contributor to NZ Property Investor, Informed Investor, Stuff, Business Desk, and OneRoof.
Reviewed by: Laine Moger
Journalist and Property Educator with six years of experience, holds a Bachelor of Communication (Honours) from Massey University.
What's happening to Queenstown house prices?
The average price of a Queenstown property is $1,919,519 (QV, February 2026).
Queenstown house prices are down 0.20% over the last three months (REINZ). And they are 1.85% up over the last 12 months.
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Quick Facts
- The average price of a Queenstown property is $1,919,519 (QV, February 2026)
- Over the last 3 months property prices in Queenstown have gone down 0.20%
- Queenstown property prices increased 6.38% per year (on average) in the 20 years between February 2006 - February 2026 (REINZ)
- The average rent in Queenstown is $750 per week (Tenancy Services, January 2026)
How are Queenstown property prices changing?
Queenstown house prices soared after the Covid-19 pandemic began. House prices started out 36% below the eventual peak of the market.
However, after that peak in November 2022, house prices fell 5.27% before bottoming out in December 2022.
Today, Queenstown house prices are down 4.53% compared to their peak. That means prices have risen 15.34% since the bottom of the market.
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Where is Queenstown in its property cycle?
At the absolute bottom of its property cycle, Queenstown was 23.92% undervalued.
Today, property prices in Queenstown are overvalued 36.53%.
That suggests there is a selling opportunity in Queenstown.
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Queenstown suburb prices
I track the value of 16 suburbs in Queenstown. The most expensive suburb is Wanaka, which has an average house value of $1,960,400. While the most affordable suburb is Luggate, which has an average house value of $1,118,300.
Over the last 24 months of all Queenstown suburbs (February 2024 - February 2026, Lake Hayes Estate had the fastest-growing house prices. They have gone up 10.62% over that period.
The suburb that fell the fastest over that period was Jacks Point. Property values in this suburb fell by 13.81% over those 2 years.
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What is the Queenstown rental market like?
Here's how rents are changing in Queenstown. Over the last four years (January 2022 - January 2026) the median rent has gone up $150 a week. That's 5.74% a year (on average).
Over the last 12 months, rents have gone up. They are up 8.70% ($60 a week) year on year.
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Are properties selling above or below CV in Queenstown?
One of the most common questions I get asked is: 'Ed, are properties selling above or below their Capital Value (CV)?'
Some call it the RV (Rateable Value) or GV (Government Value).
Why do people care? Well, if you go on TradeMe (or another website), you’ll almost always see the council’s valuation for the property. So even if the seller hasn't advertised a price, you can get a feel for what the property might sell for.
This table shows whether the average property is selling above or below CV across Otago.
The area in Otago selling the highest vs CV is Central Otago District where house prices are current selling 18% above CV.
The area in Otago selling the lowest vs CV is Queenstown-Lakes District where house prices are also selling 3% above CV.
Where do house prices grow the fastest in the Queenstown property market?
Where do house prices go up the fastest in Queenstown?
This map lets you find out for yourself.
Each area represents a different suburb, and the colour of the area represents how quickly house prices have increased over the past 20+ years.
The redder the area ... the quicker house prices have grown in that suburb.
The suburb in Otago with the highest capital growth rates between January 2000 and March 2026 was Lake Hawea, which grew at 8.0% per year. (Cotality)
The next highest growth suburbs over the same period was Ocean Grove (7.9% per year), and Brockville (7.9% per year).
Which suburbs in the Queenstown property market have the highest yields?
Gross yields vary widely depending on which suburb you chose to investigate.
So, which suburbs in the Queenstown property market have the highest gross rental yields?
Navigate the map to find the suburbs where houses produce the most cash for their investors.
The suburb in Otago with the highest yield is Normanby, which has an estimated gross yield of 8.2%.
That is followed by Forbury (6.5%), and South Dunedin (6.5%).
Other property markets to look into
If you found this article useful, then you might also like our analyses on the other property markets in New Zealand. You can read all about the Otago property market here.
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This property market information is for your general information. It’s not financial advice. See here for details about our Financial Advice Provider Disclosure. So Opes isn’t telling you what to do with your own money.
We’ve made every effort to make sure the information is accurate. But property markets change, and we occasionally get the odd fact wrong. Make sure you do your own research or talk to a financial adviser before making any investment decisions.
You might like to use us or another financial adviser.