Wealthy buyers eyeing up New Zealand since Iran war started

The conflict in the Middle East has prompted increased interest in multi-million-dollar New Zealand properties, the head of a luxury real estate company says.

Changes to the so-called Golden Visa came into effect a year ago, and Immigration Minister Erica Stanford recently updated the investment that had been made so far.

Changes to the Overseas Investment Act came into effect on 6 March.

Investors from Germany and the United States have reportedly already made purchases.

Sotheby's International Realty managing director Mark Harris told Nine to Noon there had been increased interest from foreign buyers since the rule changes were announced, even before they came into force.

"We've also had more recently a pick up out of Asia again, out of Hong Kong.

"It's interesting looking at our web traffic, has really picked up in the last month from the UAE so you've got to think that the AIP is encouraging these guys but we've obviously got a geopolitical situation that's unfolding in the Middle East and that's generating a lot of web traffic and interest as well I think in New Zealand."

He said there was now interest from across all the United States, where previously those looking to buy here were predominately from the West Coast.

"Noticeable pick up particularly from the US, and countries like Germany and Switzerland lately."

While the immigration changes allowed foreigners to buy home worth more than $5 million , there was more interest in the $10-20m category, Harris said.

"The ones that we've got are generating quite a bit of interest in that sort of ultra high end so I'm sure there'll be contracts coming forward."

The southern lakes region - Queenstown and Wānaka - were the most popular areas, though there was still interest in Auckland's harbourside suburbs, he said.

And he thinks the interest in New Zealand is sustainable.

"I think the interest in New Zealand is not going to go away."