The median sale price for March was $353,000, which was up 11.2 per cent on February's median of $317,500, and up 30.7 per cent on March 2016's median of $270,000.
Professionals McDowell Real Estate co-owner Steve Lovegrove said, while the volume of sales was down on the same time last year, they were not down compared with other years.
"2016 was a massive exception because we were playing catch up. That flow of sales is still there but it is not as rampant. This is also impacted because the stock is not there.
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"We are starting to see new stock come on the market but we are the same as many other major centres in that there are more people wanting to buy properties than there are properties available to sell."
Mr Lovegrove said the increase in the median sale price could indicate the type of stock being sold.
"While the volume of sales was up in March 2016, the sale price was not as high because we had higher investor activity. Now we are seeing locals with confidence in values, families are moving into bigger family homes and empty nesters are downsizing.
"While our investor market is still active, Rotorua's market has activity across the board."
Mr Lovegrove described the current market as "confident but not in a boom".
"That's good, it's sensible and sustainable."
Ray White Rotorua co-owner Anita Martelli said she knew the March figures would show an increase.
"We have just been so busy with multiple offers on properties ... that has continued on into April so for us there is no sign of the market slowing."
She said the offers were coming from across the board with first home buyers active in the market.
"The properties first home buyers are looking at are also receiving multiple offers."
LJ Hooker Rotorua director and principal Malcolm Forsyth said he felt March figures were keeping pace with last year.
"There is not much interest in real estate in January, and February typically lags, so March is where you begin to see the trend. For 2017 it appears to be setting the tone for a buoyant year.
"The struggle is with the lack of stock on the market because some are reluctant to put their houses on the market because there is nothing to buy. But overall it is a positive picture for Rotorua with interest and activity across the board at a good level."