"There's been a very good lift in activity for the last six weeks of the year. If that trend continues, real estate agents will be cautiously optimistic for 2011," Mr Snow said.
Industry publication Property Press was full to capacity - another sign that vendors' more sober expectations were buoying the market.
Media reports of a Queenstown property "nosedive" based on a report from valuer Hamish Goldfinch, of Queenstown, were inconsistent with trends now and probably largely reflected sluggish winter activity, which he said was worse than in previous years because of a "subdued" Australian market and because "recessionary effects were starting to show through".
In some cases, apartment values in the resort had dropped 40% to 50% - a phenomenon Mr Snow said reflected the market's isolation from the general residential market.
He said the apartment market was a speculation bubble that had now burst, revealing the "true market value" of apartments as owners dropped asking prices or simply took their properties off the market. Apartment sales were now "stable" at six to eight a month.
That seller realism was matched in the residential market. "Vendors are waiting to see the recession come to an end - vendors are realistic. The key to getting a property sold is getting it priced properly to match the market."
People selling houses had come to realise reduced house values were "hypothetical paper loss" that were a hangover from the pre-recession market.
"I think we can be confident that the worst of the downward movement has occurred - very likely we've passed through the lowest point of value," he said.
A marked improvement in section sales over the past eight months was also cause for optimism.
"It tells us people are buying sections to build on - that's very important for Queenstown because it flows through to the building industry in general. It tells us that, fundamentally, our property market is in shape," he said.
HOAMZ Real Estate Queenstown manager Fred Bramwell said the company sold 17 residential properties in December - well up on the same time the previous year.
"The market is OK; we've got lots of inquiries. It's as big as it's ever been. It's not all doom and gloom."
Mr Bramwell also agreed with Mr Snow's evaluation of vendors' changed expectations.
"Vendors who are realistic about where the market is will sell their property - those that aren't, won't," he said.
"People still like Queenstown ... there's plenty of people with money prepared to buy."
