Buying a House in New Zealand

Below is a quick checklist for you to refer to if you are thinking of purchasing a property in the near future. It is by no means the complete process but an overview and helpful guide.

1. Organise You Finance

Before you start looking for the property of your dreams, you need to know how much money you can spend on your dreams. Get yourself down to your mortgage broker, bank and finance expert, talk to them and find out how much you can afford and what packages are available to you. Try and account for extra unforeseen costs such as moving and insurance costs. Once you know how much you can afford to spend it's time to look at your requirements.


2. List Your Requirements

Get yourself a pen and paper and get everyone who is moving to sit around and discuss what you need in your new property. It is a good idea to break your list into Necessities, Niceties and No No's. This means that you can break your searching into what you really need i.e. 3 bedrooms and close to schools, what you would really like i.e. Swimming Pool and what you really do not want i.e. close to major road. Once you have made this list you can clearly identify properties that may be potential homes for you and your family.


3. Check out Areas and their Prices

If you are set on an area to move to and you know you have the finance available to you, go ahead and start looking. However many do not know which area they would like to move to. Do some research, on the internet, in local papers and property pages to find out potential areas and the prices of properties. You can quickly eliminate and area if the average price is well above your affordability.


4. Property Legalities

Once you have found a potential property, make sure to check out its title. Is it freehold, lease, cross lease or unit title? If the property is on a lease, make sure to check out the length of the lease, the cost per year. Research apartments and flat's extra fees such as body corp etc.


5. Building Inspections

With older properties it is a good idea to get a building inspection, especially if you have no experience in this area. Older properties can hold many surprises for the buyer, the vendor may not even know about them. If you are in doubt get a property checked out by a professional, especially potential expensive repairs such as foundations and piles.


6. Enlist a Solicitor

If you are this close to purchase, enlist the services of a Solicitor and listen to them, that is what you are paying them for.


7. Auctions or Offers

If the property is for sale by auction, register your interest with the agent prior to the auction. Ensure everything is in place as you, if successful, will have entered an unconditional contract. You need to ensure you have the deposit available to you on the day of the auction. A good real estate agent will explain the entire process and answer any of your questions.

If the property is a normal sale, you can use your solicitor to help you make your offers, remember it is a negotiation so start low and work up to your max price.


8. Putting Your Money Down

If the property has been auctioned, you pay your deposit on the day. Otherwise you will pay a deposit of about 10% once an agreement has been reached over the price of the property. A deposit will be held in the agent or the solicitors trust account for a minimum of ten working days.


9. One Last Viewing

You have the right as the purchaser to inspect the property one last time before settlement. This is to ensure the property is in the same condition to when you inspected the property first.


10. Enjoy your new Home



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