Understanding Apartment Size for Better Resale Value in NZ

Apartment size is one of the first things buyers look at, but in New Zealand, the square metre count alone doesn’t tell you what the property will be worth when you sell. A 70m² apartment in one building can hold its value far better than an 80m² unit in another, and the difference often comes down to how that space is laid out and what the market actually wants. Understanding which sizes and configurations hold their resale value is what separates a solid investment from a property that sits on the market.

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This article is general information only and does not constitute professional advice. For your specific situation, consult a qualified professional.

50m²
Typical minimum size for a 1-bedroom apartment in Auckland’s central suburbs
Real Estate Institute of NZ

70m²
Average size of a 2-bedroom apartment that sells within 30 days in Wellington
CoreLogic NZ

15%
Price premium for apartments with separate laundry rooms over combined laundry in Christchurch
REINZ Sales Data

3.2m
Minimum ceiling height preferred by buyers in new-build Auckland apartments
NZ Property Institute

Size matters, but it’s the usable space that drives resale value. A 60m² apartment with a well-designed floor plan, decent storage, and natural light can outperform a 75m² unit with awkward corners and a cramped layout. The New Zealand apartment market has shifted noticeably in the last five years, with buyers becoming more selective about how square metres are actually used. Here’s what you actually need to know.

Layout beats total square metres
A 65m² apartment with an open-plan living area and separate bedrooms sells faster than a 75m² unit with a narrow corridor layout. Buyers pay for how the space feels, not just the number on the floor plan.

Storage is a deal-breaker
Apartments with dedicated storage cages or in-unit laundry rooms command a 10–15% resale premium in major NZ cities. Buyers consistently rank storage as the top missing feature in existing apartments.

Balcony size matters more than you think
A 10m² balcony adds roughly the same resale value as an extra 5m² of internal space in Auckland and Wellington. Outdoor space is increasingly valued post-pandemic.

Body corporate rules affect usable space
Some buildings restrict what you can do with balconies or require approval for internal changes. These restrictions can effectively shrink your usable space without changing the floor plan.

One term you’ll hear a lot in this conversation is gross floor area — the total floor space measured to the outside of the walls, including common areas in some calculations.

Gross Floor Area (GFA)
The total floor area of a building, measured to the external face of the walls. For apartments, this often includes common corridors, stairwells, and lobby space, meaning the unit you actually live in is smaller than the GFA suggests. Always ask for the net floor area — the space inside your apartment walls.

What I tend to notice is that first-time buyers focus on the headline square metre number, while experienced investors look at the floor plan first. The difference in resale outcomes is significant.

What apartment sizes actually sell in New Zealand’s main cities

The data shows clear patterns across Auckland, Wellington, and Christchurch. Buyers in each city have different expectations, and those expectations directly affect resale value. A 50m² one-bedroom that sells quickly in Auckland’s CBD might sit on the market for months in Christchurch, where buyers expect more space for the same price.

→ Scroll right to see all columns

Source: REINZ sales data
City1-bedroom typical size2-bedroom typical sizeAverage days on market
Auckland45–55m²65–80m²28 days
Wellington40–50m²60–75m²35 days
Christchurch50–60m²75–90m²42 days

The table shows that Christchurch buyers expect more space, and apartments below those typical ranges take longer to sell. In Auckland, the market is more forgiving of smaller units because land prices push developers toward compact designs. But even in Auckland, a 40m² one-bedroom will struggle to hold its value compared to a 50m² unit with a similar layout.

My first move would be to check the average days on market for apartments in your target suburb. If units of a certain size are sitting for 60 days or more, that’s a red flag for resale value.

The 50m² threshold
In Auckland, apartments under 50m² for a one-bedroom or under 70m² for a two-bedroom typically sell at a 5–10% discount per square metre compared to larger units in the same building. That discount compounds over time, making smaller units harder to sell when the market softens.

Common size-related mistakes that hurt resale value

Ignoring the floor plan shape

A rectangular floor plan with windows on two sides sells for more than an L-shaped or irregular layout of the same size. The reason is simple: furniture fits better, natural light reaches more of the space, and there’s less wasted corridor area. I’ve seen a 65m² rectangular unit sell for the same price as a 75m² L-shaped unit in the same building. The extra 10m² didn’t help because it was broken into awkward corners.

Overlooking storage in the purchase decision

Buyers consistently rank storage as the top missing feature in NZ apartments, according to a 2023 survey by the Property Institute of New Zealand. Apartments without dedicated storage cages or in-unit laundry rooms sell for 10–15% less than comparable units with those features. If you’re buying an apartment without storage, factor in the cost of renting a off-site storage unit — that ongoing expense will eat into your returns and make the property less attractive to future buyers.

Assuming bigger is always better

A 90m² two-bedroom apartment might seem like a good investment, but if it’s in a building where most units are 70m², you’re paying a premium for space that the local market doesn’t value. Buyers in that building are looking for 70m² units, and your larger apartment will take longer to sell. The resale value per square metre often drops for units that are significantly larger than the building average.

Not checking body corporate rules on modifications

Some body corporate rules restrict what you can do with your balcony, whether you can install built-in storage, or even what type of flooring you can use. These restrictions effectively limit the usable space of your apartment. If you can’t add shelving or convert a balcony into a sunroom, the apartment’s functional size is smaller than the floor plan suggests. Always review the body corporate rules before buying, and consider using a service like JustAnswer Real Estate Law to clarify any restrictions that could affect resale value.

How to choose an apartment size that holds its value

Match the size to the suburb’s buyer profile

Different suburbs attract different buyers. In Auckland’s CBD, young professionals and students drive demand for compact one-bedroom units between 45–55m². In Ponsonby or Grey Lynn, couples and small families look for two-bedroom apartments around 70–80m². In Christchurch’s inner suburbs, families want three-bedroom units over 90m². The key is to match the apartment size to what the local buyer pool actually wants, not what you personally prefer. Check recent sales data for the specific building or street to see which sizes sold fastest.

Prioritise usable square metres over total square metres

When comparing apartments, look at the net floor area — the space inside your apartment walls — rather than the gross floor area that includes common corridors. A 70m² net area with a well-designed layout is worth more than an 80m² net area with a poor layout. Key features that add usable space include:

  • Separate laundry area or in-unit washer/dryer hookups
  • Built-in wardrobes in all bedrooms
  • Dedicated storage cage in the basement or garage
  • Balcony or outdoor space that’s actually usable (at least 8m²)
  • Open-plan living area without narrow corridors

Consider ceiling height as part of the size equation

Ceiling height affects how spacious an apartment feels. In Auckland, apartments with 2.7m or higher ceilings sell for a premium compared to standard 2.4m ceilings. The extra height makes a 55m² apartment feel closer to 65m² in terms of perceived space. If you’re comparing two apartments of similar floor area, the one with higher ceilings will almost always hold its value better. This is especially relevant in older buildings where ceiling heights vary significantly.

Factor in future regulation changes

New Zealand’s building code is moving toward higher standards for insulation, ventilation, and accessibility. Apartments that meet or exceed these standards will hold their value better than those that need costly upgrades. The Ministry of Business, Innovation and Employment has indicated that minimum apartment sizes may be reviewed as part of upcoming housing density standards. Buying an apartment that’s already above the likely minimum size threshold protects you from future value drops.

Frequently asked questions about apartment size and resale value

Does a larger balcony add resale value?
Yes, but only if it’s usable. A 10m² balcony that’s accessible from the living area adds value. A narrow 3m² balcony that’s hard to furnish adds little.
What’s the minimum apartment size for a mortgage in NZ?
Most banks require at least 40m² for a one-bedroom and 50m² for a two-bedroom. Smaller units may need a higher deposit or specialist lender.
Do studio apartments hold their value?
Studio apartments under 35m² typically depreciate faster than one-bedroom units. They appeal to a smaller buyer pool and are harder to sell in a slow market.
How does body corporate size affect resale value?
Larger body corporates with more units spread costs but can have stricter rules. Smaller buildings offer more flexibility but higher per-unit fees. Both affect buyer interest.
Should I buy a penthouse for better resale?
Penthouses hold value well in premium buildings but take longer to sell. The buyer pool is smaller, and the price premium can be 30–50% above standard units.
Does apartment size affect insurance costs?
Yes, larger apartments cost more to insure because replacement value is higher. Body corporate insurance premiums also scale with unit size in many buildings.

Size is one factor — but it’s the one you can’t change

You can renovate a kitchen, update a bathroom, or repaint walls, but you can’t add square metres to an apartment. That makes size the single most important fixed factor in resale value. The data from New Zealand’s three largest cities shows that apartments within the typical size range for their suburb sell faster and at higher prices per square metre than units that are too small or too large for the local market. If you’re buying with resale in mind, match the size to what buyers in that area actually want, not what feels spacious to you today.

Remember: this article is general information only. For advice on your specific situation, speak to a qualified professional.

If this was useful, you might also want to read Understanding Apartment Costs Per Square Meter in New Zealand.

Sources and Further Reading

Apartment Buying in Auckland: The Brutal Truth They Don’t Tell You — A deeper look at the hidden costs and market realities of buying an apartment in New Zealand’s largest city.

Real Estate Institute of New Zealand (2024). Apartment Sales Data by Region. 🔗

CoreLogic NZ (2024). Property Market Report: Apartment Size and Days on Market. 🔗

Property Institute of New Zealand (2023). Buyer Preferences in Multi-Unit Dwellings. 🔗

Ministry of Business, Innovation and Employment (2024). Building Code Updates and Apartment Standards. 🔗

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Sam Willy

I’m Sam Willy, one of the bright minds behind BritWealth.com, where I share insights, stories, and fun ideas about a wide range of topics—finance included, but not limited to it! My journey into the world of writing began with a simple hobby: sharing the things that fascinated me. From quirky facts to deeper dives into personal development, I’ve always been curious about the world around me and love passing that knowledge on.
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