Auckland’s housing market shifts in buyers’ favour: Peter Thompson draws on 45 years of experience to explain market cycles and human behaviour

After more than forty years at the helm of Barfoot & Thompson, Peter Thompson, managing director of New Zealand’s largest privately owned real estate company, speaks calmly and confidently about the market’s rises, falls and recoveries. ‘Property always comes back.’ Looking back on a career spanning 45 years, he has long since learnt to navigate cyclical fluctuations with composure: ‘It is only a matter of time.’

As an industry leader, he has accompanied New Zealand’s property sector through cycle after cycle. In his view, every fluctuation is worth recording, and every figure has a story behind it. As the country’s largest and most influential privately owned real estate company, Barfoot & Thompson’s sales data has also become an important reference for those monitoring the market, both within and outside the industry.

 

Barfoot & Thompson’s latest market data for May shows Auckland’s housing market continuing to gather momentum and entering a period of opportunity for buyers. Stable prices, ample choice and buyers’ expectations of an imminent market turn are driving a significant rise in sales. Lower-priced apartments have broadened the pool of buyers, while the premium and rural markets are recovering together, suggesting renewed activity across several parts of the market. For homebuyers, this could be one of the best opportunities in recent years to enter the market and secure value for money.

 

Specifically, Auckland property sales rose by more than a quarter from the previous month. Stabilising prices have brought value for money to its strongest level in recent years, attracting buyers keen to take advantage of this pricing window. The median price was $928,500 and the average was $1,085,000. Listings remained plentiful, with 1,855 new properties coming onto the market, a nine-year high. The premium market remained resilient, with an average of 57 properties priced at $2,000,000 or above selling each month. Rural and lifestyle property sales also surged year on year, with total sales approaching $80,000,000, the highest level of the year.

 

For investors and homebuyers, Barfoot & Thompson’s data updates offer an excellent way to follow the latest market developments. But for Peter Thompson, who has experienced decades of industry change, his outlook has always been shaped by people as well as the market.

 

Throughout YIJU’s exclusive interview with Peter Thompson, he repeatedly returned to a core belief: ‘Look after your people, and they will look after everything else.’ This is both a cornerstone of Barfoot & Thompson’s culture and a guiding principle of his leadership.

 

An experienced view of cycles: property always rebounds

 

Reflecting on 45 years of market change, Peter Thompson said: ‘The past few years may not have been the toughest, but they are certainly among them.’

 

He noted that, whether during the stock market crash of the late ’80s, the Asian financial crisis of the 2000s, the COVID pandemic or recent international geopolitical turmoil, every downturn has brought uncertainty. Yet property has always rebounded in the end. He firmly believes:

 

‘Staying positive, getting back to basics, meeting clients face to face and building trust are the keys to getting through a downturn.’

 

His understanding of property cycles is clear and grounded in experience: ‘The market is like a clock. If 12 o’clock represents the hottest point in the market and 12:30 is the bottom, we are roughly between 40 and 45 minutes past 12.’ He predicts that continued falls in interest rates, recovering consumer confidence and greater liquidity will bring a meaningful market recovery in 2025.

 

‘There is still motivation to buy now. If a home is priced reasonably, it will sell,’ he said. ‘But if you are still expecting the premium seen at last year’s peak, that is essentially unrealistic. Over the coming year, house prices will rise by no more than 2%–3%, and some areas may even see slight declines.’

 

He also acknowledged the significant influence of global politics and economics on the market. ‘Any major overseas event—such as war, exchange-rate movements or political uncertainty—immediately affects local buyers’ confidence.’ He said that once an external event disrupts the market, it usually takes three to four weeks to regain its rhythm. This sensitivity to the pace of market cycles comes from experience accumulated through countless fluctuations.

 

When facing challenges, Barfoot & Thompson benefits from its robust structure.

 

‘We have 88 branches. By moving funds flexibly, our top 50 branches can support the operations of our bottom 10. That gives our staff a sense of security.’

 

Peter Thompson said the company’s ongoing property management income plays a crucial role during downturns: ‘When sales dry up, property management keeps us going.’

 

Leadership rooted in values

Barfoot & Thompson’s four core values—diversity and inclusion, putting people first, family and giving back to society—guide everyday decisions and long-term strategy. ‘Our staff represent 76 different ethnicities, and women now outnumber men among our salespeople. That has only happened in the past 18 months. We advocate equality and put it into practice,’ Peter Thompson said proudly.

 

The company’s family ownership also gives it flexibility and the ability to act decisively. ‘Stephen Barfoot and I can meet in any office and make a decision on the spot. In a large company, you have to go through a board and layers of shareholders. We can move quickly and adapt.’

 

Peter Thompson’s leadership places greater emphasis on people than on issuing orders. ‘We asked staff what change they most wanted to see, and they said they wanted to see senior management more often.’ He took that to heart and began making unscheduled branch visits. ‘I hold different staff meetings every week and try to get around as much as possible.’

 

Developing leaders as well as top salespeople

 

Peter Thompson places great importance on developing leadership. He pointed to a common industry misconception: that a top salesperson will make a good manager. ‘Selling and leading are completely different skills,’ he said. ‘That is why we established a leadership training programme. We look for people with passion, as well as results.’

 

He has put that belief into practice himself. After his older brother Mark died in 2002, Peter Thompson took over the leadership role and grew under pressure. He sought advice from several prominent mentors, including Sir Ralph Norris, Sir Stephen Tindall and Sir Peter Leitch.

 

‘Every one of them told me: give back to the community. That is the only way to build a truly lasting business.’

 

He took that advice to heart. Since then, Barfoot & Thompson has donated more than NZ$900 to the Starship Foundation and has been a long-term sponsor of the Auckland and Blues rugby teams. The company also actively supports community sport and a range of grassroots groups.

 

From cautious expansion to embracing a new era

 

For much of Barfoot & Thompson’s history of more than a century, the company has focused on Auckland, maintaining a 44% market share. Peter Thompson acknowledged that he used to be the person ‘putting on the brakes’. ‘We focused on Auckland because 55%–60% of the country’s property transactions took place here. I thought that if we covered Auckland thoroughly, we would be secure.’

 

But the Christchurch and Kaikōura earthquakes made him recognise the risk. ‘Our CEO asked me at the time: “What if something happens to Auckland?” That completely changed my thinking.’ The company now owns 50% of Hamilton’s Lodge Real Estate and has established a presence in Tauranga. Both ventures have been successful.

 

Humble, responsive and consistent

 

Despite a packed schedule, full working days, constant emails and evening community commitments, Peter Thompson remains approachable. ‘If someone sends an email and has not received a reply after 36 hours, that is poor service,’ he said firmly. ‘Responding quickly is an important part of success.’

 

For him, success is about more than numbers; it is also about the difference he makes.

 

‘Seeing first-home buyers receive their keys, or helping older people move into a rest home—that is what makes this work special. We are involved in some of the most emotionally significant moments of people’s lives. It is a privilege.’

 

Speaking about the future, Peter Thompson said calmly: ‘When I step down, I want the company to be better than when I took over. I believe it will be.’

 

Barfoot & Thompson’s influence has already spanned five generations. His vision seems not merely achievable, but almost destined to become reality.

 

Memorable quotes from Peter Thompson:

 

• ‘Look after your people, and they will look after everything else.’

• ‘Leadership and sales are different skills. You need passion as well as results.’

• ‘We are in the people business as well as the property business.’

• ‘When I step down, I want the company to be better than when I took over.’

• ‘Responding quickly is an important part of success.’

 

Barfoot & Thompson is the real estate agency that knows Auckland best

Barfoot & Thompson accounts for 1/3 of Auckland home sales, 

far ahead of every other real estate agency.