Repayments on a $250,000NZD Mortgage
 

Hi
We will have roughly £100,000 equity from our house which converts into aound NZD250,000 meaning if we were to purchase a house for NZD500,000 we would need to get a mortgage. Does anyone know what the repayments each month would be on NZD250,000 and if we bought a house around Christchurch would this be a realistic figure for a three bedroomed house.
Thanks

Re: Repayments on a $250,000NZD Mortgage
 

Our friends live CHCH and bought there house in Avonhead for $340000. A £300000 mortgage will cost about £1050 fortnightly.Check the NZ banking websites they normally tell how much it will cost

Re: Repayments on a $250,000NZD Mortgage
 

http://www.approved.co.nz/resources/...calculator.php


i have been sent this before may need a bit of tweeking but at least you get a rough idea:thumbsup::thumbsup:

Re: Repayments on a $250,000NZD Mortgage
 

Thanks for your replies, what is the interest rate at the moment?
That was a good price of $340,000 maybe we won't need to get such a high mortgage after all. Hubby will be earning around $50,000 ish and hopefully i'll get a job too when we get out there. Just hope we can also afford to eat:)

Re: Repayments on a $250,000NZD Mortgage
 

i think between 9.8 & 10 %

Re: Repayments on a $250,000NZD Mortgage
 

If you had a 30 year mortgage on $250,000 at 10% you'd be paying around $2,100/month. About $25,000/year.

Your husbands $50,000 income would come to around $39,000 after tax.

So...after taxes and the mortgage you've got $14,000/year to live on.

I'd be looking to find a second income/buy a cheaper house if I were you.

Re: Repayments on a $250,000NZD Mortgage
 

Fitzandindiana, why on earth are you wanting to buy a house, don't you read the property news in NZ :confused: ?

If you do decide to buy please be aware that
1. The exchange rate is pretty poor at the moment
2. People who do buy houses invariably buy houses that are more expensive than they'd planned to buy. Historically you don't get much for your money in NZ although that is starting to change now.
3. You will need a second income, $50 grand a year will go nowhere.

Re: Repayments on a $250,000NZD Mortgage
 

Not sure I agree, I think you get a lot of house for your money in NZ, more than UK.

Re: Repayments on a $250,000NZD Mortgage
 

Don't think you will be able to borrow 250k on a 50k wage.

Go to one of the bank mortgage calculators - looks like about 170k would be your limit. (Westpac have one)

I agree, 50k is not enough to live on, and you will need two people working to keep your heads above water.

we're all different of course, so you'll get lots of views here, so keep asking questions :)

Good luck

MaryMc

Re: Repayments on a $250,000NZD Mortgage
 

I agree. We got 6 beds, 1991 one off 'architect designed' (apparently!!) art deco style house, 2/3 living areas, huge kitchen diner, office, rimu flooring, laundry, 2.5 baths, huge hallway entrance area, extensive gardens, driveway, cellar, big garage in very nice neighbourhood away from hoons and boy racers..down an ever so quiet cul de sac, loads of trees, rural views of mountains, a very big pool, in April 2005 cost $440,000.

Not worth that much more these days.

We have spent quite a bit of money on it getting to to a reasonable standard of heat/insulation...but we are hopefully looking being here 20 years or so.

We will never get the money back on it but I see a house as a home 1st and investment a big second.

What could you get for £165,000 odd in the UK in april 2005?

The house is getting on for 20 years old and it looks brand new. This one was well built (albeit without C/h and D/glazing) both having been installed since our ownership.

Its a nice big shed.:rofl:

Re: Repayments on a $250,000NZD Mortgage
 

Contact www.mortgagelink.co.nz

Very good, they sorted out a great draw down mortgage for us at a great rate.

Cost us nothing to use them other than the legal fees for the drawing up of the papers..and the bank paid most of those charges!

Re: Repayments on a $250,000NZD Mortgage
 

I think its good that you are asking these sort of questions and some good info has been given already on this thread. As somebody said, it might not be the best idea to buy a property straight away with the way the market is and your lack of knowledge of it too. But the affordability of it all is still an important consideration for you further down the line.

My own view - families with $50k income do not typically live in $500k homes. Just as in the UK 25k pounds income is not normally sufficient for buying a 250k pounds home, even if you had 40-50% equity. Hope that makes sense - I think I've got the relative values about right.

Re: Repayments on a $250,000NZD Mortgage
 

I've been told by a few kiwi mates to put off buying until Sept/Oct as house prices are due to fall - anyone else know if this is the case?
I would do my own research but have my hands full with 2 small children, visas, checks, shippers, pets, containers & packing :eek: ....you all know what I mean!

Re: Repayments on a $250,000NZD Mortgage
 

I've been told this too.

I still keep looking though, just in case I find another dream home. Hope it doesn't turn out like the last one which ended up as a nightmare:curse:

Still waiting to sell the house in the UK, and anyway exchange rates are pretty yuk at the moment.

It'll all come together at the right time.....that's what I keep having to tell myself:thumbup:

Cheers

Catkin

Re: Repayments on a $250,000NZD Mortgage
 

Both NZ and UK house prices are due to plummet in the near future (and for a few years to come, no doubt) so I think it will be an 'Alice in Wonderland' situation for those trying to sell in the UK and buy in NZ.

Not the bit where she was running on the spot without going anywhere...the bit at the start where she was plummeting down a hole that never seemed to end.




Smileys!! No returns!!!! :rofl::D:lol::ohmy::eek:

Re: Repayments on a $250,000NZD Mortgage
 

OK. let's have the full story here so the OP can make a valid decision based on your information.

For a start it's in Palmy North and you've said in previous posts you had problems settling there at first.

You've obviously spent a lot of additional money getting the insulation and heating up to a reasonable standard. What has been your total outlay on the house? you've already said you would've paid another 100,000 for it you like it so much, and you've also stated that you've probably over capitilised on it.

It's also 20 years old, building control standards weren't great back in those days, out of interest did you have a full building inspection done on the house prior to purchase? if so what, if any, issues did it highlight?

Re: Repayments on a $250,000NZD Mortgage
 

Sounds like it's a very unique house, so would all the ins and outs really mean much to anyone else? Extremely doubtful.

Re: Repayments on a $250,000NZD Mortgage
 

Does it? a lot of houses in NZ are described as "architect designed". I know from personal experience that builders often regard that as being "poorly designed" and put their quotes up accordingly due to the possible problems they encounter when trying to iron-out difficulties in the practical implementation of the design. Not for one minute though am I saying that this is an issue for Genesis' house but I still think it would be a good idea for the him to expand a bit.

Perhaps other people would also like to give the OP some indication of how much they spent on their homes?

(I could tell you how much we spent on ours and how much we sold it for but don't want to raise expectations unrealistically)

Re: Repayments on a $250,000NZD Mortgage
 

Been in the house 3 years. It has been relatively problem free and we have spent money on it because we wanted to not because we had to. What we have spent on it is immaterial........we have 'overcapitalised' but that is not an issue for me. Its all paid for and affordable for us. The house is not worth a jot more (I imagine) for all the hard work and money spent on it. But we care not. Negative equity is not an issue. We did it with the long term in mind and even if we moved on sooner I have no regrets about the investment. Money is important but not THAT important.

The house was inspected and a few issues were bought up that have been dealt with. I know a bit about building work (self educated) and we have bought a sound, pleasing house...way more importantly in the perfect location.

We have more jobs earmarked and enjoy creating what for us is the perfect home. Some people spend money on hols, for others its boats etc..for us it is our primary residence.

I don't think I have ever said we had problems settling in Palmy (or ever any regrets moving here)....and even if so that is irelevant with respect to our domicile. I have said that our 3 year journey has not always been easy. Become a house husband from having been the main bread winner is always going to be a rocky road in Palmerston North, Nelson or Brisbane.

Re: Repayments on a $250,000NZD Mortgage
 

I'm trying to think of the OP and prospective migrants here Genesis, I think it would help if you could show just how much it really takes to "get a lot of house for your money in NZ". Not just in terms of financial cost but also time and effort

Although you spent £160 grand on it 3 years ago I think it would help people to see how much more it takes to get a house up to an acceptable standard, something that a migrant from the UK or any other developed country would find acceptable

You're right, whether or not you get the "investment" back is immaterial, if you intend staying in the house for many years it's worth every cent to get it to a level of comfort that you'd equate to what you've left behind.

I think most of what you've done has also been carried out by a lot of us in our NZ homes, we certainly ensured that double glazing, heating and an open fire were incorporated into our home when we built. We knew there was no way we'd get it back when we sold but felt it was the minimum we could live with.

This is what you've posted

Re: Repayments on a $250,000NZD Mortgage
 

Thank you so much for all your replies, we're not going for another two years as got to wait for son to finish university so hopefully the house prices will come down abit by then, although so will ours probably on the Isle of man:frown:

Re: Repayments on a $250,000NZD Mortgage
 

I had an inpection bot NOTHING on paper..had I the issues written on a report I could have possibly used the report as leverage. Anyways I was relatively lucky, the house was in good, sound condition.

The REAL problem came with the LIM. I did not get one. This resulted in finding out that one of the bedrooms was built outside the permitted building envelope. Thus I established that we were a bedroom short. I had to get an architect and an engineer to write reports and submit them to the council for acceptance. It cost about $1k all in all but was originally was quoted by a number of people $3k...phoning around got the price done. It was a stressful time!

I also should have kept quiet about being a newly arrived pom. They all think you are minted thus I am sure hold out for the highest price..I wanted the place thus paid what they wanted. Probably would have been better if I had said I was moving down from Hamilton and had been in NZ a few years.

With respect to the 'broke and the mortgage' its somewhat tongue in cheek. We do feel the pinch of the expenditure..there's no getting away from it. The CH cost $9200, the conservatory cost $28000, the down stairs DG cost $14000, the upstairs which is in the process of being done is $14750. A woodburner was $3000 and the dehumidifiers were all second hand off trademe. We have spent elsewhere on the garden, decor, kitchen, did one of the bathrooms etc...all added to the big bill.

We have arranged a draw down mortgage to pay for it all as we are not changing the money we have to pay for it which is in the UK because of the appalling rates. When our NZ investment is returned to us (hopefully!!) Sept 29th we pay off the expenditure.

I only started this issue as I disagreed with a post that you 'do not get much for your money'. I think that this house and many others like it show that you can get quite a bit for your money.

It had a log fire, an inset gas fire..(fake log type), hot air heating and 2 heat pumps when we moved in. we did not like any of these modes of heating (apart from the open log fire..but could never be arsed to get it going..find log burnersway easier) thus felt the urge to put in heating we liked.

Maybe most people would have just gotten on with it and not 'wasted' what we have spent around the place. Who knows?

Final point anyone who thinks of buying a house in NZ needs to think where the prices are going. Unless they are utterly in love and don't mind paying over the odds for the place WAIT!!

Pretty much all houses will be way cheaper in NZ in the next 12-18 months.

Re: Repayments on a $250,000NZD Mortgage
 

So, compared to what you thought you were going to spend before you arrived in NZ would you say that you spent more than you thought you were going to spend on a home?

(I think I remember reading one of your earlier posts where you said you took around 780,000 NZ dollars, bought a house within 4 days of arrival and that there was very little left now after the purchase, cars, and endless other stuff you needed to buy)

The reason why I ask is because promises of "cheap" housing was one of the main reasons why we left the UK to emigrate to NZ. I think we were probably taken in by "average" house prices and didn't realise that the market would be skewed so much by low quality, investment type properties.

Re: Repayments on a $250,000NZD Mortgage
 

I think if you uproot your family and move half way round the world for a cheap house, you're setting yourself up for a fall. There's got to be more to emigrating than looking for a cheap house :unsure:

However, it was a plus for us that we could afford to buy something *gorgeous* when we couldn't afford anything other than utter shite in the UK.

We have definitely spent much more than we thought we would and I think looking on Trademe, RealENZ et al gives a very false sense of the market here for exactly the reasons you describe.

Re: Repayments on a $250,000NZD Mortgage
 

Yep, $780k was the figure, we bugdeted on $600k for the house April 2005.

It cost $440k and I guess we will have spent well, well over $130k on it. So it stands us in at around $570k. Doubt very much if its worth that fortunately its worth is irrelevant. We have (hopefully) the balance (less cars etc) coming back to us in Sept to pay off the draw down.

I still believe that we do have an exceptional house in an even more exceptional neighbourhood. For me its the stuff of dreams. I could NOT live in a place like this in the UK, or for that matter anywhere else, except maybe Goa!

So I rest well with my comments that I believe you do get exceptional value for money in NZ for housing..well you did in April 2005. The Gv for this place is still only $550kish, houses are not getting GV..so I think if anyone was to buy this house they would still be getting a bargain...but its not for sale!!