Buying a House
This is an important process and we recommend that you take your time looking around different types of properties before you decide to buy and also to consult a solicitor before signing any purchase documents. As with all cities, different areas offer different types of housing and facilities. We welcome you to talk to our recruitment team for further advice about which areas may suit you and your family's needs best to help you when looking at properties.
The following information is a summary of some key things to expect when buying a house, but is a guide only.
- A lawyer is required for all purchases in New Zealand
- Offers are usually made below the asking price and negotiated from there
- When making an offer, you must do so in writing through the real estate agent on a 'sale and purchase agreement'
- The agent then presents your written offer to the vendor, who may reject it, accept it, or who may counter-offer. The counter-offer negotiation process then may go back and forth a few times until agreement is reached.
- Most contracts are made conditional upon their solicitor approving title, the purchaser obtaining suitable finance, a satisfactory LIM report, and/or a property valuation
- A LIM report is a Land Information Memorandum - this is held at the local city council and provides information about the building, any past building consents approved, reports related to erosion, flooding, planned motorways or roadways and so on.
- You can also create your own conditions, bearing in mind that these may be less attractive to the vendor considering your offer
- There is no 'gezumping' - once the vendor accepts your offer (by signing the written contract), then you have reached a deal. The deal is now only subject to the conditions either party has put in the contract.
- Deposits are usually 10%, but are sometimes more or less. This is negotiated with the vendor, through the property agent. Deposits are not usually paid until the contract has gone unconditional (ie all the conditions have been met)
- Auctions are another common way of selling a property - talk to your real estate agent regarding this process in New Zealand.
- The Consumer Build website (partnership with Department of Building and Housing) has useful information regarding important checklists when buying a house.