Digital Nomads’ Impact on New Zealand’s Rental Market

Published on October 5, 2025 and written by Cyril Jarnias

New Zealand: A Prime Destination for Digital Nomads

New Zealand, with its breathtaking landscapes and unique lifestyle, has become a preferred destination for digital nomads—mobile workers who combine travel with digital employment.

Impact on the Rental Market

This trend is not without consequences for the local rental market, sparking growing interest in the country’s real estate and socio-economic dynamics.

Rent Pressures in Major Cities

As major cities become increasingly attractive, rental price pressures intensify, reshaping New Zealand’s housing landscape and presenting new regulatory and adaptability challenges.

Understanding the Digital Nomad Phenomenon in New Zealand

Digital nomads are professionals who work remotely using digital technologies while traveling worldwide. This category includes remote employees, freelancers, and entrepreneurs alike—all enjoying unprecedented geographic freedom to balance work life with exploring new cultures.

New Zealand has emerged as a favored destination for these nomadic workers for several reasons:

• Exceptional Quality of Life: The country is renowned for its spectacular natural landscapes, preserved environment, and relaxed atmosphere, offering an ideal setting to combine work and well-being.
• Advanced Technology: The country’s technological infrastructure allows digital nomads easy access to modern collaborative tools essential for remote work.
• High-Performance Internet Infrastructure: New Zealand provides reliable broadband internet access even in remote areas, a crucial asset for those whose productivity depends on stable connections.
• Networking Opportunities: Dynamic coworking spaces exist in major cities like Auckland and Wellington. These venues foster exchanges between international and local professionals, encouraging rich network development.

Attractive Factors	Details
Quality of Life	Varied landscapes (beaches, mountains), high safety
Technology	Collaborative tools available everywhere
Internet	Widespread broadband even in isolated regions
Networking	Modern coworking spaces; frequent tech events

The growing arrival of digital nomads has a tangible cultural and economic impact on local communities:

• Cultural Exchange: Their presence enriches New Zealand’s social fabric through continuous sharing of international experiences. This blending stimulates open-mindedness among both residents and newcomers.
• Innovation: The constant influx of fresh ideas fosters local entrepreneurial innovation; some digital nomads occasionally launch their own startups locally or engage in innovative community projects.
• Positive Economic Effect: Since they often work for foreign employers but spend locally (accommodation, dining, leisure), they directly inject foreign currency into the national economy without competing with the local workforce.

“Working facing the mountains of Abel Tasman National Park transformed my work routine. Here I found a welcoming community ready to share practical advice… It’s inspiring!”

— Sophie M., French freelancer temporarily based near Nelson

“Meeting people at tech events allowed me not only to expand my network but also my skills through informal peer sharing with people from around the world.”

— Lucas R., German web developer based in Wellington

In summary:

• New Zealand strongly attracts this new mobile generation through relaxed immigration policies (specific visas up to 12 months depending on profile), rare environmental quality, and solid digital infrastructure.
• The benefits are multiple: stimulation of off-peak tourism, cultural revitalization in urban or rural areas, and strengthening of the country’s innovative positioning on the international stage.

The Rise of Coliving and Its Effects on the Real Estate Market

The rise of coliving in New Zealand is closely linked to the growing influx of digital nomads attracted by the quality of life, exceptional landscapes, and dynamic tech scene. Since the pandemic, coliving spaces have experienced accelerated popularity: this housing model particularly appeals to nomadic workers seeking flexibility, community, and all-inclusive services.

Attractive Coliving Features for Digital Nomads:

• Contract flexibility (short or medium-term rentals without heavy commitment)
• Common spaces promoting exchange and professional networking
• Included services (cleaning, high-speed wifi, coworking spaces)
• Community activities (workshops, social events)
• Strategic locations in vibrant urban centers or near iconic natural sites

These advantages meet the expectations of a mobile generation prioritizing geographic freedom and an environment conducive to remote work. Digital nomads thus choose coliving not only to reduce fixed costs but also to break the isolation often associated with remote work.

Feature	Main Advantage	Impact on Digital Nomads
Flexibility	Adaptation to frequent moves	Stay according to their projects/contracts
Community	Facilitated networking	Quick creation of professional connections
All-Inclusive Services	Time savings/simplified management	Focus on their activity

The Massive Arrival of Digital Nomads Transforms the Local Real Estate Market:

• Notable increase in rental demand in major cities like Auckland and Wellington.
• Upward pressure on urban rents: some central neighborhoods have seen prices rise up to +15% in two years.
• Rapid development of hybrid offers between traditional housing and coliving adapted to temporary needs.

This shift pushes real estate developers and hospitality sector players to reinvent their offerings: several recent projects testify to local dynamism. For example:

Recent Examples in New Zealand

• Outpost Central Wellington: residence focused on workplace wellness with integrated fitness space.
• Nomad Colive Auckland: “all-in-one” model combining modular accommodation, 24/7 shared offices, and personalized management via mobile app.

Studies indicate that over one-third of new residential spaces created since 2023 now include a “coliving” component, permanently altering New Zealand’s real estate landscape. This evolution tends to democratize flexible housing centered on collective experience rather than individual ownership.

The Importance of High-Speed WiFi for Attracting Nomadic Clientele

The number of digital nomads in New Zealand is experiencing significant growth, driven by the global rise of remote work and the search for better work-life balance. Between 2019 and 2022, the global digital nomad population increased by 131%, reaching at least 40 million individuals—a movement from which New Zealand aims to capture a growing share by adapting its visa policies to facilitate welcoming these mobile workers.

Access to reliable high-speed wifi has become an essential condition for this lifestyle, as it directly determines digital nomads’ ability to conduct their professional activities remotely. By January 2025, New Zealand’s internet penetration rate had already reached 96.2% with over five million connected users; however, digital nomads’ specific expectations go beyond mere access: they seek fast, stable connections enabling video conferences, rapid transfer of large files, or simultaneous management of cloud tools.

Accommodation choices are profoundly influenced by this:

• The “guaranteed high-speed wifi” criterion consistently ranks among the top requirements when selecting housing.
• Numerous testimonials emphasize that a bad experience (frequent outages or slow speeds) immediately leads to changing accommodations or leaving negative reviews significantly impacting the location’s reputation.
• International platforms now include measured bandwidth in their advanced filters to meet growing needs.

This phenomenon is transforming New Zealand’s rental market:

Required Adaptations	Opportunities for Property Owners
Fiber installation or improvement	Increased valuation on platforms
Clear communication about actual speeds	Potential for premium pricing
Multiple outlets/work spaces	Longer average rental duration

Property owners are thus incentivized to invest in technical improvements (fiber optics, wifi repeaters), adapt their spaces (creating ergonomic work corners), and highlight these advantages in their communications. Some testimonials report occupancy rates increasing by up to +30% after certifying very high-speed internet access.

“I chose my apartment solely because it guaranteed over 100 Mbps everywhere in the unit—it’s non-negotiable for my work!” shares Lucas F., French freelance developer temporarily based near Lake Taupo.

In conclusion: the growing demand from digital nomads is now permanently shaping New Zealand’s rental offerings, making high-speed wifi not only an expected service but also a decisive marketing argument and potential source of additional revenue.