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

A key buyer group has been making a noticeable comeback.

Kelvin Davidson
Last updated: 13 October 2025 | 4 min read
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AI summary

'Mum and Dad' investors are returning to the New Zealand property market, with their share of purchases rising from 21% to almost 25% over the last 18 months. This nationwide trend is driven by smaller-scale investors buying a second property or expanding a small portfolio.

These investors are finding value in the current market, with new-builds a popular choice due to lending rule exemptions. Key drivers include the reinstatement of Mortgage Interest Deductibility and lower interest rates improving rental property cashflow.

The data shows a clear return

Who are they and what are they buying?

What’s driving the comeback?

Author

Kelvin Davidson Kelvin Davidson
Chief Property Economist, Cotality