Number of households

IBISWorld forecasts the number of households to increase by 1.0% during 2024-25 to 2.02 million. This relatively slow growth, compared with historical averages, is a result of New Zealand's expected slowdown in net migration from the surge of the previous year. The easing of COVID-19 pandemic restrictions in 2021-22 boosted migration during the year. However, tightened visa rules in the face of near record migration will limit migration moving forward, subduing increases in the number of households in the country.

Statistics New Zealand defines three main categories of households: family, other multi-person and one-person. A family household contains two or more people usually living together. It includes at least one couple or parent/child relationship. Other multi-person households include groups of unrelated people usually living together. Finally, a one-person household includes one person usually living alone. The 2018 New Zealand census (latest available data) shows that family households remain the largest household type, by a significant margin, at 69.3% of all households. This is a slight decline from 70.5% in 2006. One-person households are the next most common, at 21.9%. This is a 0.7% decrease from 2006.

Statistics New Zealand also breaks down households into owner-occupied; rented; and provided free categories. Over the long-term, the proportion of owner-occupied households are declining, while rentals are increasing. However, the percentage of households that are owner-occupied has remained relatively steady over the past five years, at 64.6% of households. Rented households account for 32.1%, and households provided for free make up the remaining 3.3%.

There has been a significant increase in the number of dwelling consents issued during the period, in response to an undersupply of houses. This increase in the supply of the houses has supported growth in the number of households. Overall, IBISWorld forecasts the number of households to increase at a compound annual rate of 1.8% over the five years through 2024-25.