Mr Mouncher said the blaze would have been caused by a build-up of flammable gasses from inside the vehicle before a flashover has occurred.
At least three of the injured youths were visiting the property and from Hamilton, Gisborne and Auckland.
"When the police turned up they were all huddled together in the shower trying to cool themselves down."
Police would continue to investigate the incident over the next few days but he said it appeared to be a "tragic accident I believe rather than anything else". "It would be a different story if they intentionally tried to set fire to themselves but I don't think they'd want to be doing that very often."
As for sniffing fly spray, Mr Mouncher said it was "the last thing I would have thought you'd be wanting to sniff, considering it kills flies".
"I'd hate to think to what it does to your insides."
Fire Service northern shift manager Scott Osmond said the group managed to flee the burning vehicle before firefighters arrived at the scene.
The Fire Service was alerted to the blaze by surrounding neighbours.