Regional Rental Review: Kaikōura District

Exploring the Rental Market in the Kaikōura District

The Kaikōura District, nestled between rugged mountains and the Pacific Ocean, is renowned for its natural beauty and marine wildlife, making it a magnet for tourists year-round. This strong tourism appeal has led to a noticeable tilt toward short-term rental properties, particularly in peak seasons, as homeowners seek to capitalize on higher nightly rates from platforms like Airbnb. However, this trend can strain the availability of long-term rentals, impacting local residents and seasonal workers who require stable housing.

While short-term rentals offer flexibility and potentially higher returns, long-term rentals provide consistency and help sustain community cohesion, an increasingly important factor in small, tourism-driven towns like Kaikōura.

What is happening with rents?

The Kaikōura District is sparsely populated with an estimated population of only 4,410 (2024). When you have a small population, monthly rental data can fluctuate. As of July 2025, there are only 222 bonds lodged with Tenancy Services with a median rent of $525 per week.

On average, there are only 5.5 bonds lodged each month year ending July 2025 with only 3.25 bonds being closed. Interestingly, the highest median rent* was recorded in May 2017 with an amount of $650. The region suffered a large earthquake in November 2016, and this spike could be attributed to this.

*Source: Regional Economic Activity Web Tool: MBIE

Bond Data

The amount of bonds spiked also in 2017 (234 bonds, August 2017) as demand for accommodation would have been high with work being carried out on major infrastructure projects around the region post the earthquake.

The amount of bonds dropped to sub-200 in 2020 but we have started to see an increase in the last 12 months.

Investors may consider shifting their properties from short-term to long-term accommodation.

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