Thinking about buying a house in NZ?
Nov 4th 2005, 11:27 pm
#1
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Posts: n/a
Thinking about buying a house in NZ?
You may find this item from the TV current affairs programme "Close Up" interesting:
http://www.tvnz.co.nz/view/video_ind...eo_index_group
Click on the video item "Close Up: Interest Rates"
http://www.tvnz.co.nz/view/video_ind...eo_index_group
Click on the video item "Close Up: Interest Rates"
Nov 5th 2005, 7:06 am
#2
Forum Regular
Joined: Sep 2003
Posts: 83
Re: Thinking about buying a house in NZ?
Originally Posted by livewire
You may find this item from the TV current affairs programme "Close Up" interesting:
http://www.tvnz.co.nz/view/video_ind...eo_index_group
Click on the video item "Close Up: Interest Rates"
http://www.tvnz.co.nz/view/video_ind...eo_index_group
Click on the video item "Close Up: Interest Rates"
Can't seem to access the site - could you summarise it for me?
Thanks
Kathryn
Nov 5th 2005, 10:09 pm
#3
Guest
Posts: n/a
Re: Thinking about buying a house in NZ?
The interview was with property investor Andrew King.
Interviewer began by saying that interest rates are on the way up and could go up again before Chirstmas. NZlanders currently owe 114 billion dollars in mortgages and a new home buyer will have an average mortgage of £200,000 dollars.
The questions were - are higher interest rates are likely to cause property prices to fall and is this a good time to buy, or sell, property?
Response from the interviewee was that it's always a good time to buy and sell property. Conditions in the housing market may soften and the number of transactions could fall, but he didn't believe there will be a crash as he could see nothing that would cause this.
But if people continued paying high prices for housing then the reserve bank could raise interest rates again. Interviewer then suggested that there would be a possiblity that interest rates may not go up.
Interviewee thought that people will continue to buy and borrow, most people - if they don't HAVE to sell a house - will simply take it off the market if they don't get what they want for it. Therefore the number of transactions may fall but prices may not.
He said that first time buyers should probably wait and save higher deposit to have a lower mortgage, renting is comparably affordable to owning a home at the moment, so it renting looks like a very good option.
The people in real trouble will be those with investment property whose rental yeilds are starting to fall (floating rates are now at 9%) i.e. those who didn't plan well when buying investment properties, didn't forsee rises in interest rates and haven't accounted for that in their budgeting. Their 18 months / 2 years fiixed rate mortages are now dropping out so they could find themselves in difficulty.
Interviewer began by saying that interest rates are on the way up and could go up again before Chirstmas. NZlanders currently owe 114 billion dollars in mortgages and a new home buyer will have an average mortgage of £200,000 dollars.
The questions were - are higher interest rates are likely to cause property prices to fall and is this a good time to buy, or sell, property?
Response from the interviewee was that it's always a good time to buy and sell property. Conditions in the housing market may soften and the number of transactions could fall, but he didn't believe there will be a crash as he could see nothing that would cause this.
But if people continued paying high prices for housing then the reserve bank could raise interest rates again. Interviewer then suggested that there would be a possiblity that interest rates may not go up.
Interviewee thought that people will continue to buy and borrow, most people - if they don't HAVE to sell a house - will simply take it off the market if they don't get what they want for it. Therefore the number of transactions may fall but prices may not.
He said that first time buyers should probably wait and save higher deposit to have a lower mortgage, renting is comparably affordable to owning a home at the moment, so it renting looks like a very good option.
The people in real trouble will be those with investment property whose rental yeilds are starting to fall (floating rates are now at 9%) i.e. those who didn't plan well when buying investment properties, didn't forsee rises in interest rates and haven't accounted for that in their budgeting. Their 18 months / 2 years fiixed rate mortages are now dropping out so they could find themselves in difficulty.
Last edited by livewire; Nov 5th 2005 at 10:14 pm.
Nov 6th 2005, 3:01 am
#4
Forum Regular
Joined: Nov 2005
Location: london-temp
Posts: 31
Re: Thinking about buying a house in NZ?
Originally Posted by livewire
The interview was with property investor Andrew King.
Interviewer began by saying that interest rates are on the way up and could go up again before Chirstmas. NZlanders currently owe 114 billion dollars in mortgages and a new home buyer will have an average mortgage of £200,000 dollars.
The questions were - are higher interest rates are likely to cause property prices to fall and is this a good time to buy, or sell, property?
Response from the interviewee was that it's always a good time to buy and sell property. Conditions in the housing market may soften and the number of transactions could fall, but he didn't believe there will be a crash as he could see nothing that would cause this.
But if people continued paying high prices for housing then the reserve bank could raise interest rates again. Interviewer then suggested that there would be a possiblity that interest rates may not go up.
Interviewee thought that people will continue to buy and borrow, most people - if they don't HAVE to sell a house - will simply take it off the market if they don't get what they want for it. Therefore the number of transactions may fall but prices may not.
He said that first time buyers should probably wait and save higher deposit to have a lower mortgage, renting is comparably affordable to owning a home at the moment, so it renting looks like a very good option.
The people in real trouble will be those with investment property whose rental yeilds are starting to fall (floating rates are now at 9%) i.e. those who didn't plan well when buying investment properties, didn't forsee rises in interest rates and haven't accounted for that in their budgeting. Their 18 months / 2 years fiixed rate mortages are now dropping out so they could find themselves in difficulty.
Interviewer began by saying that interest rates are on the way up and could go up again before Chirstmas. NZlanders currently owe 114 billion dollars in mortgages and a new home buyer will have an average mortgage of £200,000 dollars.
The questions were - are higher interest rates are likely to cause property prices to fall and is this a good time to buy, or sell, property?
Response from the interviewee was that it's always a good time to buy and sell property. Conditions in the housing market may soften and the number of transactions could fall, but he didn't believe there will be a crash as he could see nothing that would cause this.
But if people continued paying high prices for housing then the reserve bank could raise interest rates again. Interviewer then suggested that there would be a possiblity that interest rates may not go up.
Interviewee thought that people will continue to buy and borrow, most people - if they don't HAVE to sell a house - will simply take it off the market if they don't get what they want for it. Therefore the number of transactions may fall but prices may not.
He said that first time buyers should probably wait and save higher deposit to have a lower mortgage, renting is comparably affordable to owning a home at the moment, so it renting looks like a very good option.
The people in real trouble will be those with investment property whose rental yeilds are starting to fall (floating rates are now at 9%) i.e. those who didn't plan well when buying investment properties, didn't forsee rises in interest rates and haven't accounted for that in their budgeting. Their 18 months / 2 years fiixed rate mortages are now dropping out so they could find themselves in difficulty.
av mortgage rate of 200,000 pounds? crazy, mayb in aklnad everywhere else for an 'average home' brick 3 bdroom, average neighbourhood etc youd be lookn at 200-300,000 NZD! in chch, wellington, tauranga, hamilton etc..check out average house prices = a deposit of 5-10% shed be a bloody nice place for 400,000-500,000 NZD
Nov 6th 2005, 3:46 am
#5
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Posts: n/a
Re: Thinking about buying a house in NZ?
Originally Posted by livewire
...£200,000 dollars.....
£ key too close to $ key.
Nov 6th 2005, 8:37 am
#6
Just Joined
Joined: Aug 2005
Location: Auckland
Posts: 18
Re: Thinking about buying a house in NZ?
I've been wondering a lot about whether/when to buy a place in NZ.
Pretty sure I will rent first so I can figure out where I want to live but more importantly get a feel for the housing market and know what is a fair price and whether the market is stable. This is important because I will be using most of my savings as well as capital from current house so I can live virtually mortgage free hopefully.
another plus side of renting is that I don't have to wait for my place in the UK to sell before I can leave
I've had enough waiting for the visa to come through, don't think I could stand waiting another 3 months for the house to sell before I get to Auckland. Roll on the new year 
A very helpful topic, thanks.
Rich
Pretty sure I will rent first so I can figure out where I want to live but more importantly get a feel for the housing market and know what is a fair price and whether the market is stable. This is important because I will be using most of my savings as well as capital from current house so I can live virtually mortgage free hopefully.
another plus side of renting is that I don't have to wait for my place in the UK to sell before I can leave
I've had enough waiting for the visa to come through, don't think I could stand waiting another 3 months for the house to sell before I get to Auckland. Roll on the new year A very helpful topic, thanks.
Rich
Nov 6th 2005, 9:21 am
#7
Forum Regular
Joined: Sep 2003
Posts: 83
Re: Thinking about buying a house in NZ?
Originally Posted by livewire
The interview was with property investor Andrew King.
Interviewer began by saying that interest rates are on the way up and could go up again before Chirstmas. NZlanders currently owe 114 billion dollars in mortgages and a new home buyer will have an average mortgage of £200,000 dollars.
The questions were - are higher interest rates are likely to cause property prices to fall and is this a good time to buy, or sell, property?
Response from the interviewee was that it's always a good time to buy and sell property. Conditions in the housing market may soften and the number of transactions could fall, but he didn't believe there will be a crash as he could see nothing that would cause this.
But if people continued paying high prices for housing then the reserve bank could raise interest rates again. Interviewer then suggested that there would be a possiblity that interest rates may not go up.
Interviewee thought that people will continue to buy and borrow, most people - if they don't HAVE to sell a house - will simply take it off the market if they don't get what they want for it. Therefore the number of transactions may fall but prices may not.
He said that first time buyers should probably wait and save higher deposit to have a lower mortgage, renting is comparably affordable to owning a home at the moment, so it renting looks like a very good option.
The people in real trouble will be those with investment property whose rental yeilds are starting to fall (floating rates are now at 9%) i.e. those who didn't plan well when buying investment properties, didn't forsee rises in interest rates and haven't accounted for that in their budgeting. Their 18 months / 2 years fiixed rate mortages are now dropping out so they could find themselves in difficulty.
Interviewer began by saying that interest rates are on the way up and could go up again before Chirstmas. NZlanders currently owe 114 billion dollars in mortgages and a new home buyer will have an average mortgage of £200,000 dollars.
The questions were - are higher interest rates are likely to cause property prices to fall and is this a good time to buy, or sell, property?
Response from the interviewee was that it's always a good time to buy and sell property. Conditions in the housing market may soften and the number of transactions could fall, but he didn't believe there will be a crash as he could see nothing that would cause this.
But if people continued paying high prices for housing then the reserve bank could raise interest rates again. Interviewer then suggested that there would be a possiblity that interest rates may not go up.
Interviewee thought that people will continue to buy and borrow, most people - if they don't HAVE to sell a house - will simply take it off the market if they don't get what they want for it. Therefore the number of transactions may fall but prices may not.
He said that first time buyers should probably wait and save higher deposit to have a lower mortgage, renting is comparably affordable to owning a home at the moment, so it renting looks like a very good option.
The people in real trouble will be those with investment property whose rental yeilds are starting to fall (floating rates are now at 9%) i.e. those who didn't plan well when buying investment properties, didn't forsee rises in interest rates and haven't accounted for that in their budgeting. Their 18 months / 2 years fiixed rate mortages are now dropping out so they could find themselves in difficulty.
Thanks livewire for the summary - theinfo in it could prove very useful.
Nov 7th 2005, 7:43 am
#8
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Joined: May 2005
Location: Canberra, ACT
Posts: 1,222
Re: Thinking about buying a house in NZ?
Just out of interest, what is the housing situation like in the Uk, still dropping?
Been checking the net for job situations, found 20 pages! lol
looks like UK is in dire need of skilled migrants..Mmm..
Been checking the net for job situations, found 20 pages! lol
looks like UK is in dire need of skilled migrants..Mmm..
Nov 7th 2005, 8:12 am
#9
Banned
Joined: May 2005
Location: Manchester
Posts: 307
Re: Thinking about buying a house in NZ?
Originally Posted by Rascal
Just out of interest, what is the housing situation like in the Uk, still dropping?
Been checking the net for job situations, found 20 pages! lol
looks like UK is in dire need of skilled migrants..Mmm..
Been checking the net for job situations, found 20 pages! lol
looks like UK is in dire need of skilled migrants..Mmm..
Nov 7th 2005, 9:15 am
#10
Forum Regular
Joined: Sep 2003
Posts: 83
Re: Thinking about buying a house in NZ?
Originally Posted by Rascal
Just out of interest, what is the housing situation like in the Uk, still dropping?
Been checking the net for job situations, found 20 pages! lol
looks like UK is in dire need of skilled migrants..Mmm..
Been checking the net for job situations, found 20 pages! lol
looks like UK is in dire need of skilled migrants..Mmm..
We have a 4 bed detached house in the Manchester area for sale if anyone is interested. We fly out on 8th January, so have priced it competitively, but no takers as yet - not best time to try and sell anyway just before Christmas.
So, if there are any of you who have already come back to UK or on your way and fancy house in Greater Manchester get in touch!!!!
Sorry for the shameless plug, but we need this house gone!!!
Kathryn
Nov 7th 2005, 9:20 am
#11
Banned
Joined: May 2005
Location: Manchester
Posts: 307
Re: Thinking about buying a house in NZ?
Originally Posted by kathm
We have a 4 bed detached house in the Manchester area for sale if anyone is interested. We fly out on 8th January, so have priced it competitively, but no takers as yet - not best time to try and sell anyway just before Christmas.
So, if there are any of you who have already come back to UK or on your way and fancy house in Greater Manchester get in touch!!!!
Sorry for the shameless plug, but we need this house gone!!!
Kathryn
So, if there are any of you who have already come back to UK or on your way and fancy house in Greater Manchester get in touch!!!!
Sorry for the shameless plug, but we need this house gone!!!
Kathryn
Nov 7th 2005, 9:36 am
#12
Forum Regular
Joined: Sep 2003
Posts: 83
Re: Thinking about buying a house in NZ?
Originally Posted by Debs70
How much and where?
It's a four bed detached, 7 years old, in Lees (between Oldham and Saddleworth). It's got separate lounge and dining room, conservatory, utility, ensuite etc and is on for £197k although we will accept offers. This is priced below others on the estate with a view to getting a quick sale.
Look at www.keymoves.co.uk for full details - don't specify area, it's only 4 bed detached in the 175 - 200 price range (but contact me personally if you're interested - we're willing to go lower on price if we avoid estate agents fees.)
PM me if you would like to view, and I will get in touch.
Kathryn
Nov 7th 2005, 12:15 pm
#13
Banned
Joined: May 2005
Location: Manchester
Posts: 307
Re: Thinking about buying a house in NZ?
Originally Posted by kathm
It's a four bed detached, 7 years old, in Lees (between Oldham and Saddleworth). It's got separate lounge and dining room, conservatory, utility, ensuite etc and is on for £197k although we will accept offers. This is priced below others on the estate with a view to getting a quick sale.
Look at www.keymoves.co.uk for full details - don't specify area, it's only 4 bed detached in the 175 - 200 price range (but contact me personally if you're interested - we're willing to go lower on price if we avoid estate agents fees.)
PM me if you would like to view, and I will get in touch.
Kathryn
Look at www.keymoves.co.uk for full details - don't specify area, it's only 4 bed detached in the 175 - 200 price range (but contact me personally if you're interested - we're willing to go lower on price if we avoid estate agents fees.)
PM me if you would like to view, and I will get in touch.
Kathryn
Nov 7th 2005, 7:21 pm
#14
BE Enthusiast
Joined: Jul 2004
Posts: 906
Re: Thinking about buying a house in NZ?
Originally Posted by Debs70
It's lovely, bit too out of the way though for us.. used to live in Littleborough but we've emmigrated to Urmston and want to stay around here
Seriously though know what your saying I always say to people it doesn't really matter if it is 12,000 or 200 miles you still don't know where the supermarket, library are or have anyone to pick up your kids if you can't get to school.
KAZ
Nov 7th 2005, 7:59 pm
#15
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Joined: Sep 2003
Posts: 83
Re: Thinking about buying a house in NZ?
Oh well - no harm in mentioning it was there!!!
Kathryn
Kathryn
