'Mum and dad' investors are back in the property market

'Mum and Dad' investors are returning to the New Zealand property market, with their share of purchases rising from 21% to nearly 25%, according to Cotality data. This comeback is driven by smaller-scale investors expanding their portfolios, particularly in Auckland, Christchurch, and Hamilton.

These buyers are finding value in the current market, often choosing new-builds due to lending rule exemptions. Key factors encouraging their return include:

- Lower interest rates

- Reinstatement of Mortgage Interest Deductibility

This trend is expected to continue.