Bay of Plenty median weekly rents increased from $380 to $420, compared to November 2015. In Tauranga, the median weekly rental hit $450, up from $420 a year ago, while in the Western Bay the median rental was $387.50, up from $350. Rotorua median rentals rose from $285 to $325 over the period.
Ross Stanway, chief executive Realty Services, which has the Bayleys and Eves agencies, said the general feeling was that rental demand was easing slightly.
"Compared to this time last year, which was frenetic in terms of tenants seeking properties, that has eased a little bit," said Mr Stanway. "There is still demand, but it's slightly less heated than it was 12 months ago."
He noted that the market could change rapidly, and said landlords would generally set their rentals at a rate that both attracted good tenants and was competitive.
However, the change in investor deposit rates was definitely having an effect, he said. In some instances it had created an easier pathway for first-home owners, because they no longer had to compete with investors for the same type of property.
"But it will definitely have an impact in some places where there are fewer homes available for rent because the homes that normally an investor would have bought are now going to be owner-occupied."
The national median weekly rent increase was the first in four months, and hit a record high of $445 in November, up 3.5 per cent on this time last year. Around the country, rents increased everywhere except Gisborne, down 14.3 per cent, and Canterbury, down 4.2.
"It's been a subdued year for the rental market, but this jump in November looks like the first of the typical summer increases," said Nigel Jeffries, head of Trade Me Property. "Rents almost always increase in January as rental stock hits the market and landlords seize the chance to reassess the value of their rental property. We're seeing some decent median weekly rent jumps already, particularly in Auckland and Wellington, and we suspect more increases are imminent."
There is still demand, but it's slightly less heated than it was 12 months ago.
Dan Keller, managing director of property management company Rentpro, said the rental market had slowed down a little as rents pushed up, and there were signs of resistance over the $500 per week mark. But there were still not enough rentals to meet demand.
The new investor deposit regime was definitely having an impact, he said.
"A few investors have sold up, or sold out because the market has been quite good, and now there is very little advantage going into residential investments in comparison to commercial."
Overseas workers struggle to find rentals
It took Nathan Hansen five months to find a rental after he shifted to Tauranga from Australia.
He stayed at a caravan park in Papamoa when he began working in the kiwifruit industry.
He spent two months in a cabin, then the next two in a tent before staying with friends for about a month while he was on the hunt for a rental.
He unsuccessfully applied for about seven rentals through Trade Me and only secured a home through a friend of a friend who worked in the real estate industry.
He has been in his new Bellevue two-bedroom rental for about two weeks, paying $360 a week.
Mr Hansen (pictured right) said he could get a three-bedroom home for roughly $300 in Australia so he was surprised at the price of rentals.
"It's fricken hard to get a house around here," he said.
"Wages are lower yet the cost of rentals is much higher. When I first got here, I thought 'Wow, how do they do it?'
"I have never had to save so much before."
What do you think?
Send your email to editor@bayofplentytimes.co.nz to have your say.