Summarised by Centrist
New Zealand’s mortgagee sales are on track to reach their highest annual total since 2020, OneRoof reports. Its September 27 report identified 313 properties this year, including 169 in Auckland.
The annual total rose from 238 in 2024 to 387 in 2025.
Property lawyer Kristine King said the figures capture only part of the financial distress, because many struggling owners sell before their lender steps in.
Some sellers discover they have “insufficient funds to repay the mortgage”, she said. King knew of one couple whose sale price was $250,000 below their mortgage balance. Banks had agreed to write off remaining debts in some cases negotiated by her firm.
Valocity analyst Wayne Shum linked Auckland’s higher numbers to its prolonged housing downturn and rising unemployment.
“It’s not just 2026 – it started in 2024, and there’s just a lagging effect.”
Mortgage adviser Vijay Gounder said forced sales can follow months of financial difficulty after borrowers leave fixed rates and exhaust repayment holidays.
ANZ’s Carl McCullough said the number of customers its hardship team was dealing with was “pretty flat”. The bank considers longer loan terms, interest-only payments and temporary repayment deferrals before pursuing a forced sale.
Re-published from the Centrist with permission
