First-home buyers are on a record-breaking streak, accounting for 27 per cent of the market share.

CoreLogic's six-monthly First Home Buyer Report indicates first-home buyers are getting a foot on the property ladder, despite stretched affordability, high interest rates, and cost of living pressures.

CoreLogic chief property economist Kelvin Davidson says first-home buyers are sitting well above the long-term 21 per cent average share of the market, though the total number of deals is relatively low.

"FHBs (first-home buyers) are proving relatively more successful in buying their first home than at any other time," says Kelvin, with all six areas in the survey recording above-average shares of first-home buyer purchases.

Wider Wellington has held the strongest market share for FHBs with 33 per cent of purchases in the year to date, which was four per cent above the average range.

At the other end of the spectrum, first-home buyers in Tauranga held accounted for 21 per cent of the purchases, which is five per cent above average, with Auckland, Christchurch, and Dunedin also reporting a five per cent higher than average share. Hamilton is six per cent above for 2023.

Provincial markets show a similar trend with Invercargill holding the strongest market share for first-home buyers with 32 per cent of purchases, a significant 10 percentage points higher than the long-term average.

Kelvin says the typical first-home buyer often enters the market above the 'bottom rung', rather than starting from the bottom of the ladder.

"For example, $690,000 is lower than the median price paid across all buyers at $762,500, but it's significantly higher than the lower quartile across all buyers at $565,000.

"It wouldn't be a surprise to see FHBs continue to hold onto an above-average share of property purchases in the next six to nine months."

However, he says a change of government could bring investors back into the market in larger numbers, though there are other market factors to consider.

"To be fair, low rental yields and high mortgage rates, hence high 'top ups' from other income sources, could prevent a strong return from property investors.

"But this FHB Report probably still marks a line in the sand, and FHBs may start to see some competing buyers returning."

-RNZ.