New Zealand house prices have soared 16 per cent in past year, a 15-year record

New Zealand's house prices have gone up by 16.1 per cent in the last year, according to the CoreLogic house price index.

It marks the largest increase since 2006.

Auckland's average home now costs more than $1.2 million, the first time it has ever cracked that number.

Across the rest of the country, 14 of the 19 regions are seeing record-high asking prices.

The national average house price is now $845,000.

First home buyers now make up just 23 per cent of this year's market, a number which the Government will be hoping to increase with its latest announcement.