The property market is "as good as it's ever been" if you're a mortgage broker - but high demand means it's not great news for everyone.
Mark Collins, the chief executive officer of Mike Pero Mortgages, told Magic Talk the market is heating up.
"[There's been] years of underinvestment, no matter what Government has been in power they haven't been able to build enough homes fast enough," he told host Peter Williams.
"And now you've got COVID, so a bunch of cashed-up Kiwis are coming back and that will heat the market for sure".
The Reserve Bank released data this week which showed the highest lending month since 2014 with more than 7.3 billion being lent for mortgages. As well as this loan-to-value (LVR) restrictions and record-low mortgage rates mean first home buyers are in a good position.
In May, the Reserve Bank removed LVR restrictions for 12 months, effectively allowing banks to lend more money to those with deposits less than 20 percent of the property value, including first home buyers and investors.
Collins says 25 percent of those in the market now are first home buyers - which is great for him.
"Lending environments have become more complex - first home buyers need more hand-holding so young people come to us, because we do the heavy lifting."
But all this demand from people returning and the low rates mean there is pressure on the market.
John Bolton, chief executive at mortgage broker firm Squirrel, says "upgraders" - people who have repaid some of their mortgage and want to take advantage of low interest rates to buy something better. - are driving prices up.
"What we're seeing in this market is upgraders coming back into the market saying 'I went through COVID, I want a better house...they're back and they're back strong."
"In a very low rate environment, people are borrowing more money and prepared to pay more for the same house...hence house prices are going up," Bolton added.
House prices in New Zealand have soared up by more than 14 percent to $685,000 in October - up from $596,956 in 2019.