The property and real estate labour market in New Zealand is undergoing notable changes in 2025, with evolving hiring practices, skill shortages, and technological integration shaping the workforce landscape. Employers in this sector continue to face considerable difficulty in sourcing qualified candidates for key roles, particularly in commercial and residential property management, and facilities and operations positions. Recent figures show that 23% of employers are struggling to hire commercial property managers, while 20% face the same challenge with residential property managers. These shortages are driving employers to rethink their strategies, including considering applicants who may not have direct experience but fit well with the company's culture.
While demand has eased in administrative and account management roles, the recruitment landscape remains dynamic. Currently, commercial property managers, facilities managers, and residential property managers top the list of roles in demand. Recruitment efforts in 2025 are predominantly driven by replacement needs (36%), followed by business expansion (31%). However, the fact that 20% of businesses report having no hiring plans indicates a varied level of optimism within the industry.
Employer offerings have also shifted, with 56% of companies continuing to provide bonuses and remote work as standard benefits. In contrast, fewer employers are prioritising career development, which has seen a drop from 54% in 2024 to 36% in 2025. Additionally, the integration of artificial intelligence and automation is increasing, with over three-quarters of property teams leveraging these tools to improve operational efficiency. This includes the adoption of virtual property tours and AI-assisted workflows. With 66% of property teams planning to expand and 67% of businesses acknowledging that their teams are under-resourced, the sector remains under pressure to attract and retain skilled professionals.
"Employers are really grappling with under-resourcing, which is affecting both service delivery and team morale."
Peta Seaman, SA Managing Director at people2people, outlines the current pressures facing the property sector, highlighting a strong demand for specialist roles amid widespread staffing challenges. "The industry continues to face talent shortages, particularly in commercial and residential property management and facilities and operations roles," she notes, drawing attention to a trend that is shaping workforce planning across the board.
This persistent shortfall is leading many organisations to reassess their expectations and recruitment strategies. Seaman explains that, "64% of employers are open to training candidates who lack direct experience but align with their culture." This approach not only addresses skill gaps but also fosters long-term retention by focusing on cultural fit and internal development.
Seaman also comments on the motivation behind current hiring activities: "Most recruitment this year is being driven by replacements, making up 36% of activity, followed by business growth at 31%." This data suggests that many organisations are still in a stabilisation phase, replacing departing staff while selectively expanding where possible. Despite this, a significant 20% of businesses report no plans to hire, reflecting a cautious outlook amid economic and operational uncertainties.
Another key trend in the sector is the ongoing adoption of technology. Seaman states, "AI and automation are on the rise. Over three quarters of teams are now using AI to improve efficiency." The rise of virtual tours and AI-enhanced workflows is not just a technological shift but a strategic move to alleviate resource constraints and enhance client engagement.
However, the shift towards automation is not without its challenges. There is a growing need for upskilling and retraining to ensure teams can effectively work alongside new technologies. Seaman stresses the importance of this investment: "To stay competitive, employers will need to invest in upskilling, offer flexible benefits and continue embracing smart tech solutions." These actions will be critical for organisations aiming to maintain service quality while navigating a tight labour market.
Tips for Employers Navigating the 2025 Market
- Consider hiring for cultural fit and training for skills to broaden the candidate pool
- Prioritise flexible work and bonuses to stay attractive in a competitive market
- Invest in staff upskilling to align with emerging technologies and automation tools
- Regularly assess team resourcing levels and act swiftly to address gaps
- Emphasise internal career development to boost retention and morale
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