Are you living in New Zealand? Do you want to own a real estate in the country? Are you looking for the prices and the best deals in the country? Well, look no further. In this article, we provide you with everything you need to know pertaining property ownership in the country.
The prices of real estate properties vary in the country depending on the following factors:
If you are in New Zealand looking for a property to buy, you might have to put the regions of the country into consideration. For instance, the prices in Auckland are higher as compared t other parts of the country. According to surveys, the prices in the region have gone higher by over 5% in the past one year. Other places that have seen significant changes in the increase in prices include Northland and Manawatu.
In New Zealand, the time to which you purchase a real estate property is also a factor. For instance, the prices are highest during the mid parts of the year. This is when most people are visiting the country for vacations and therefore the demands for such properties are very high. In that case, if you are a resident, choose the times when the prices have dropped for better deals.
What contributes to the high prices of properties in New Zealand?
According to research and surveys, the prices of real estate go up because of the following reasons:
The slow pace of development:
Generally, there is a slow rate of development in terms of real estate. This can be attributed to inadequate funds that investors in the country. It is hard for them to access mortgage loans because of the high-interest rates. In addition to that, there are strict policies regarding the same making it hard for investors to access it.
The rising costs of construction:
According to Westpac Acting Chief economist Michael Gordon, the rising costs of construction in the country can be another factor responsible for the high property prices. Investors are afraid they might run at a loss if they invest in the business and fail to get a ready market for their properties. It is harder for them to repay the mortgage loans they took as a result.
Here are some prices of acquiring real estate properties in some regions:
In Auckland (being the most expensive region in the country) the properties sell for a minimum of NZ$825000. The region is followed closely by Central Otago Lakes where the properties sell for NZ$694,500. Wellington has an average price of NZ$480,000.
When buying a property in New Zealand, the prices will depend on factors such as the region and the time of the year. Auckland region has the highest rates with properties there selling for over NZ$82500. When purchasing a real estate property in this region, be careful to consider the above factors.