The New Zealand property market is quietly reshaping — and this time, it’s the first-home buyers (FHBs) setting the pace.
According to Cotality’s latest housing data, first-home buyers accounted for 28.2% of all property purchases in September 2025 — a new record for a single month. Over the September quarter, they made up 27.7% of total sales, showing remarkable resilience despite high interest rates and tight lending conditions.

FHBs driving steady demand

Behind the surge are Kiwis tapping into KiwiSaver deposits and the low-deposit lending allowances that banks have maintained for eligible buyers. The raw number of sales has also risen, as more young families and singles step onto the ladder after years of saving through the housing downturn.

While the broader market has remained cautious, this steady first-home buyer activity has helped anchor housing demand across most regions — especially in more affordable centres outside Auckland and Wellington.

Investors re-entering the market

The standout shift in recent months is the return of mortgaged multiple-property owners (investors). Their market share climbed to 24.4% in Q3 2025, the highest since early 2021.
Many of these buyers are smaller or newer investors targeting lower-priced existing homes and suburbs where rental yields remain solid. Declining new-build costs and better top-up affordability have also encouraged seasoned investors to refinance and expand again.

Owner-occupiers and movers steadying

Meanwhile, owner-occupiers (“movers”) — those selling to upgrade or downsize — remain quieter than usual. However, analysts believe this segment could soon pick up, as stabilising prices and early signs of rate relief encourage more households to make a move.

What it means for the market

Together, these trends suggest a market in transition rather than stagnation.

First-home buyers continue to anchor demand, proving the appetite for home ownership remains strong.

Investors are cautiously re-emerging, driven by more realistic pricing and improved borrowing capacity.

Movers may soon return, restoring balance between buyer groups.

While the property market isn’t roaring, it’s rebalancing — and that balance could be the start of a more sustainable recovery in 2026.

The big takeaway

First-home buyers have kept the heart of the market beating through tough times, and now investors are re-joining the mix.
If these trends continue, 2026 could see a more diverse, stable market — with opportunity returning for buyers and sellers alike.

Source: Cotality (CoreLogic NZ Limited) – “Market Share of Property Purchases, 2025.”