Investor confidence is strong in Queenstown and more than a third of investors believe the market will improve over the next year.
The latest Colliers International quarterly commercial property investor confidence survey shows the confidence level has risen to 38% from the 26% recorded in March.
The managing director of the Otago and Southland business of Colliers International, Alastair Wood, said those surveyed had the option of saying the market would get worse, better or stay the same.
Mr Wood attributed "a combination of factors" to the increase, including investment rates decreasing.
"Investment rates are looking to be down, which makes property investment attractive."
He said the timely arrival of snow this year, in comparison with its late arrival last season, had added to the attraction of property.
"Last year was a pretty tough year coming off the back of the Christchurch earthquake and the delayed start of the ski season."
Investors were confident visitor numbers from Christchurch were in the recovery phase after numbers took a hit due to the quakes.
Real Estate Institute of New Zealand Queenstown spokesman Kelvin Collins said the confidence rise had been evident in northern regions and Queenstown was now picking it up.
He echoed Mr Wood, saying people were "confident that current interest rates are going to be low for a sustainable period", which he said made property investment popular.
"People are looking at property as an alternative investment to having cash in the bank."
