Zealand Sotheby’s International Realty Managing Director
Mark Harris
Budget
2026 reinforces macroeconomic stability, providing a
steadying influence for New Zealand’s property market
during a period of global volatility.
New
Zealand Sotheby’s International Realty managing director
Mark Harris says the Government’s latest Budget is best
viewed through a broader economic lens rather than as a set
of direct housing market interventions.
“From a
property perspective, Budget 2026 is considered and
disciplined,” says Harris. “It is clearly designed to be
noninflationary and to chart a faster return to surplus,
which takes pressure off the economy and helps anchor
longterm confidence for investors.”
While Budget
2026 does not materially change property policy settings,
that absence of disruption is meaningful in itself, he
says.
“In a market that has experienced policy
volatility in recent years, this Budget reinforces things at
a foundational level,” says Harris. “It adds a layer of
certainty and predictability at a time when global events
have unsettled confidence.”
The property market was
recovering steadily through late 2025 and early 2026, before
renewed geopolitical tensions in the Middle East dampened
sentiment.
“Global uncertainty has caused a degree
of caution in recent months, particularly around consumer
spending and decisionmaking,” says Harris. “However,
the market has proven reasonably resilient, especially when
viewed against ongoing overseas
instability.”
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Domestically, the Reserve Bank’s
decision this week to hold the Official Cash Rate has
provided further reassurance for prospective buyers and
investors.
“A stable interest rate outlook, combined
with a credible pathway back to surplus, sends a
constructive signal to the market,” he says. “That kind
of macro stability is critical for supporting property
activity over the medium term.”
At the same time,
Harris points to a sharp rise in international attention on
New Zealand property, particularly at the premium end of the
market.
“We are currently seeing nearrecord
levels of overseas website traffic and enquiry, driven
largely by geopolitical uncertainty offshore,” he says.
“There are increasing numbers of highnetworth
individuals reassessing where they want to live and invest,
and New Zealand continues to stand out as a stable,
rulesbased environment.”
This trend has been
especially evident within the Active Investor Plus (AIP)
residency-by-investments framework, which requires a minimum
of $5 million spent on residential property.
Year to
date, international engagement with NZSIR’s domestic
website has been driven by a broad mix of global markets,
with particularly strong growth in enquiry activity from the
United Arab Emirates (+116.7% year on year) and the United
States (+20.0%), alongside significant increases in website
traffic from the United States (+76.6%), United Arab
Emirates (+301.1%), China (+2,968.6%) and India
(+2,188.8%).
“At the upper end, particularly in the
$10 millionplus AIP category, enquiry levels remain very
strong,” says Harris. “Ongoing global conflict and
economic uncertainty are accelerating interest in
safehaven markets like New Zealand.”
Recent tax
changes in Australia are also influencing crossborder
investment behaviour, Harris adds.
“Changes to
capital gains tax and negative gearing in Australia are
prompting investors to look more closely at New Zealand,
which offers a comparatively simpler and more stable tax
environment,” he says. “Enquiry from Australia has
increased noticeably since those
announcements.”
Since the May Federal Budget
announcement, NZSIR has seen a significant lift in interest
in website activity from Australia. While New South Wales
continues to account for the largest share of Australian
traffic by volume, there have been clear pockets of growth
emerging across other states, particularly Queensland
(+39.0%), Western Australia (+54.4%) and South Australia
(+77.5%). This increase is also translating into action,
with enquiry volumes from Australia in May to date up 88.1%
year on year.
Looking ahead, Harris says the key
takeaway from Budget 2026 is not stimulus, but
stability.
“This Budget will not rapidly accelerate
the property market, but it does provide a steady foundation
for sustained recovery,” he says. “In uncertain times,
that kind of structured stability is what both domestic and
international investors are looking
for.”
About New Zealand Sotheby’s
International
Realty
New
Zealand Sotheby’s International Realty is a specialist
agency that focuses on the sale of premium property through
quality marketing and global networking. Founded in 2005 by
Mark Harris and Julian Brown, the NZ branch of the global
company has 28 offices nationwide – Northland, Auckland
Britomart, Auckland North Shore, Auckland Remuera, Auckland
South East, Waiheke Island, Hamilton, Cambridge, Rotorua,
Taupō, Napier, Ahuriri, Havelock North, Palmerston North,
Masterton, Greytown, Kapiti, Wellington, Hutt Valley,
Nelson, Marlborough,Wānaka, Arrowtown and its head
office in Queenstown. It is part of Sotheby’s
International Realty – the world’s leading luxury real
estate company – with a global network of approximately
1,110 offices and more than 26,100 affiliated independent
sales associates throughout 84 countries and
territories.It is through this unparalleled luxury
network that NZSIRis able toaccess and market
properties on an international level.In 2022/2023 NZSIR
was named Best International Real Estate Agency Asia Pacific
(5-20 offices) at the International Property Awardsand
alsowon Best Property Agency/Consultancy New Zealand at
the 2025 International Property Awards for the Asia Pacific
region.
www.nzsothebysrealty.com
