Locals on the Hibiscus Coast may soon notice a resurgence in property investor activity as interest in the market gains momentum.

Recent data from Trade Me Property shows an uptick in searches for investment-related terms such as “income” and “rental,” with some searches experiencing double-digit growth since January.

Between July 2023 and July 2024, searches for “income” rose by 6.3%, while searches including “rental” jumped by 12.3%.

Interest in “investment property” saw the most significant increase, up by 41%.

The rise in investor activity follows legislative changes that have created a more favourable environment for landlords, including the reinstatement of some mortgage interest deductibility and relaxed Brightline test rules.

Gavin Lloyd, Trade Me Property’s Customer Director, noted that these changes are likely to encourage more investors to re-enter the market.

“Any surge in property investor activity is important news for owner-occupiers and first-home buyers, who have had more of the playing field to themselves over the last couple of years,” Lloyd said.

CoreLogic, a property analytics firm, echoed this trend in its latest report, with Head of Research Nick Goodall suggesting that smaller investors, especially “Mum and Dad” types, are beginning to test the waters again.

"As the gap between mortgage rates and rental yields narrows, it makes sense for some investors to take another look at the market," Goodall said.

Auckland-based investor Richard Gilbert, who owns several properties, believes it’s a good time to consider expanding a portfolio.

“If you’ve got the deposit and the financing stacks up, there’s no need to rush – take your time to find the right opportunity,” said Gilbert.

While signs of investor interest are clear, the New Zealand Property Investors Federation (NZPIF) cautions that potential hurdles remain.

These include rising costs for maintenance and insurance, as well as static rent prices.

However, Matt Ball, Advocacy Manager at NZPIF, confirmed that conditions are steadily improving, especially for well-funded investors who are ready to act.