Homes big and small across the region are selling for higher than expected prices due to the increase in demand.

Many properties in the Illawarra are selling "very, very quickly" at the moment, according to agents.

With the state of the market at the moment, One Agency Elite Property Group agent Aaron Blackburn expects this will also be the case for the 1.6 acre property at 14 Trackside Drive, Kanahooka.

The property bordering Mullet Creek has only been on the market for three weeks but has already had a couple of offers of $2 million plus.

Mr Blackburn said the seller was looking for offers around $2.2 million.

Read more: Take a look inside luxury Wollongong units selling off the plan for $2.2 mil

"There has been a very, very strong response from both local and Sydney markets," he said.

"it is a magnificent property. Anyone would be lucky to get it especially in the market we are currently in where properties are selling, very very quickly."

Mr Blackburn added he wasn't surprised the property was popular, with a whole mixture of Sydney and Illawarra buyers looking to upsize.

"Working from home due to COVID is attractive for a lot of these buyers," he said.

"People love the fact it is in a gated community and it is 1.6 acres with a subdivision opportunity. They also love the rare fact that it is within close proximity to Wollongong CBD and highway access."

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