The man was visiting from Australia and his fiancée watched yesterday's attempted rescue unfold from the shore.
In a statement, police said his body was recovered by members of the national dive squad at 3.50pm today.
Police said the man had been helping a young boy in the water when he got into trouble himself.
His parents and brother had flown in from Australia to support the fiancée, Otago Lakes central area commander Inspector Paula Enoka said.
The death will be referred to the Coroner.
The incident comes less than a week after Leeroy Kaaho (48), also known as Linkin Kisling, of Wanaka, died last Friday after going in to help his 10-year-old son, who survived.
A police spokesman said officers and ambulance crew were notified a person was in trouble in the water at the head of the lake, near the reserve, about 4pm yesterday.
Divers were called for last night and began work about 2pm today, operating from a Dart River Adventures jet boat.
An Otago Daily Times reporter at the scene today said flowers have been placed at the lakefront, ahead of three new signs put up by the Queenstown Lakes District Council in the morning.
The signs warn of multiple lake hazards, including a steep drop-off close to shore, a strong undertow and unstable footing.
Residents said the man police were searching for was not a local.
The community stationed people at the lakefront and they were taking it in turns to make sure people weren't swimming.
There was a very sombre mood in the town, the reporter said.
A Queenstown Lakes District Council spokesman said it would continue working with its partner agencies to consider all measures, including life rings and other flotation devices, which might stop similar incidents happening again.
Same spot where father died
Witnesses said the events of yesterday afternoon mirrored what happened last Friday.
The missing man was one of three people who went to the aid of a child after they got into difficulty close to the mouth of the Rees River.
The child and the two other rescuers made it back to shore.
The child had been with a family playing on a long sand bank that runs next to the river.
The witnesses believed the three rescuers, a woman and two men, were "Good Samaritans" and not related to the child in distress.
Witnessing the events was "sad to watch", one witness said.
The area near the wharf had a steep drop-off, at a nearly 45-degree angle going down to a 21m drop.
Eddies at the mouth of the Rees River made the area north of the wharf "treacherous", as they could pull unsuspecting swimmers out.
