Auckland, Thursday 3 September 2026: New Zealand Master Builders are holding their ground through a difficult market, with forward work remaining resilient and recent homeowners overwhelmingly positive about their decision to build, according to Master Builders’ 2026 State of the Sector survey.
68% of Master Builders report a strong or steady pipeline, up slightly from 64% last year. The proportion describing their pipeline as critically diminished has also nearly halved, from 11% to 6%.
Master Builders CEO Ankit Sharma said the results showed a sector that had adapted to tougher conditions rather than one waiting for the market to rescue it.
“Conditions are still difficult, but our members are holding their ground,” Sharma said.
“Many Master Builders have been through economic cycles like this before. They understand how to manage risk, respond early and keep their businesses focused through a challenging period.
“The important point is that the work has not disappeared. Pipelines are holding up, and builders remain more confident about their own businesses than they are about the wider economy and construction market.
“No one is pretending everything is easy. Costs pressures remain challenging, customers are more cautious and finance and consenting can still make projects harder to get across the line. But what we are seeing is not a sector in collapse; it is a sector in transition - resilient, experienced and adapting to a changing market.”
Rising construction cost remains the most widely reported pressure, identified by 93% of respondents, while 87% identify weaker consumer demand as an issue.
Sharma said those pressures made it even more important to distinguish between difficult market conditions and a lack of work.
“A pipeline does not automatically become a viable project. Customers still need certainty around finance, cost and timing before they can commit.
“That is why confidence matters. Builders need customers who feel comfortable proceeding, and homeowners need confidence that they can get a quality project delivered.”
Homeowners give building a strong vote of confidence
The strongest positive signal in this year’s research comes from more than 600 people who recently built a new home or completed a major residential project with a Master Builder.
91% would recommend building to others, up from 88% last year. 75% experienced no significant delays, while 57% completed their project within or under budget.
Sharma said the results should give confidence to New Zealanders considering a build.
“91% of recent homeowners would recommend building. That is a very strong endorsement, particularly after several years of difficult economic conditions.
“For people who are ready to build, the message from those who have recently been through the process is encouraging. Most are getting through their projects without significant delays, and the overwhelming majority would recommend the experience to someone else.
“There never is the ‘perfect’ time to build. But these results show that homeowners are having good experiences and that capable builders are ready to work with customers to turn their plans into reality.”
Communication remains central to a successful build, and when things do go wrong, poor communication can quickly add to the uncertainty and frustration.
The builder sits at the centre of that relationship. 63% of homeowners turn to their builder for information, making builders the most-used source of guidance through the building process.
“Builders aren’t just there to deliver the home. For most customers, they are the person helping them understand the process, what is happening next and what decisions need to be made,” Sharma said.
“That brings real responsibility. When something changes or a problem arises, good communication can be the difference between an issue being managed well and a customer losing confidence. Clear, regular conversations about cost, timing, changes and expectations are fundamental to a successful build.”
Removing unnecessary uncertainty
Consenting remains one of the most significant areas where that uncertainty can be reduced. 68% of builders say their projects have been affected by consenting delays, and among homeowners who experienced significant delays, consenting was the main cause.
“We support high standards, but achieving those standards should not require unnecessary cost, delay or inconsistency,” Sharma said.
“A clearer and more proportionate consenting system would help builders deliver more efficiently and give homeowners greater certainty about when their project will start, what it will cost and when they can move in.
“The sector has weathered a difficult period, and its forward workload has held up. We now need to make it easier for viable projects to move from intention to delivery.
“And for New Zealanders thinking seriously about building, the experience of recent homeowners should give them confidence to have that conversation with a Master Builder.”
ENDS
Media contact:
Sam Farrell - Acumen on behalf of Master Builders
M: +64 21 120 5470
E: sfarrell@acumennz.com
Notes to editors
The business pressures question allowed respondents to identify more than one issue, so percentages should not be totalled.
The homeowner survey draws on the experiences of more than 600 people who recently built a new home or completed a major residential building project.
About Master Builders
Master Builders has been building the foundations of this country, its homes and workplaces for over 150 years. We represent quality-built environments where New Zealanders live, work and play.
We support our Master Builders with the services and expertise they need to run strong building businesses, work with government and the wider sector to lift standards, and advocate for a better-performing building and construction system.