Buying in a millennial market

Millennial-Home-Buyers

As the millennial generation step on to the property ladder, we see different trends emerging and more caution being taken when buying first homes. Deemed by some as the ‘pickiest home buyers’, Generation Y are turning the tides of real estate.

Where generations before had limited resources when buying property and considered their first purchase a lifelong family home, millennial’s have an overwhelming amount of information at their fingertips and consider their first home a stepping stone or starter property on the way to their big picture goal.

One thing that remains the same, buying a house is the biggest financial decision you will probably make. Ever. Can we help you? Absolutely, keep reading for our top tips for millennial buyers.

 

Define your goals

Figure out what it is you’re looking for and if you’re going it alone or with a partner/friend. Ryan Hardy, luxury real estate agent says, “Given that buying a home is such a big step, it’s important for you to educate and prepare yourself as much as possible in advance. This means clearly determining why you’re buying and what kind of home you’re looking for”. Define your house goals, whether it’s an investment property or your new family home. Facing the property market with a clear idea of what you want will make the process easier and much less daunting.

 

Examine your finances

Look at what you can afford and keep in mind that you may need to spend money on the property to personalise it further down the line. Speak to your bank and discuss the best plan of action and what your budget will stretch to. Remember, interest rates can change as economic conditions fluctuate, will you be able to afford your mortgage payments if they increase? Perhaps buy a property slightly under your budget so you have a safety net.

 

Talk to the professionals

Determining your budget or knowing a properties worth isn’t easy. Talk to the professionals and work together to find your dream home within your budget. There are many mortgage and payment options, a specialist can help you choose the right one for you. A real estate agent can review your property checklist and provide an option you may have overlooked.

 

Look beyond the great views

Know the property inside and out before buying, not preparing for necessary renovations or essential work takes its toll on the budget and you. Find an agent who provides you with detailed inspections and keeps you updated regularly.

 

Talk to one of our agents for more information.

Insulation Regulations For Rentals

NZ-Insulation-Regulations-Harcourts

Landlords are now obligated to provide warmer, drier and safer homes for their tenants. Any new, replacement or top-up insulation installed after 1 July 2016 in a rental home must meet the regulations that will apply to all rental homes from 1 July 2019. A landlord who fails to comply with the regulations is committing an unlawful act and may be liable for a penalty of up to $4,000.

Insulation is one of the most effective ways to save energy in a home since it keeps it warm in the winter and cool in the summer. And a warmer home is a drier, and healthier home. It is estimated that in one year a typical home can save up to $400 on energy bills by installing ceiling insulation. Adding underfloor insulation could save even more!

Recent studies in New Zealand have shown a link between insulation and health. The Wellington School of Medicine and Health Sciences study showed:

  • A significant drop in energy use when the houses were insulated.
  • Once the houses were insulated, they were drier and warmer.
  • People in insulated houses reported their houses were “significantly warmer”.
  • There was a significant improvement in the self-reported health of those living in the insulated houses compared to those whose houses were not insulated.
  • Adults and children in insulated houses reported visiting their GP less.
  • Adults and children in insulated houses reported that they were admitted to hospital less often for respiratory conditions.
  • Adults and children in insulated homes were significantly less likely to report sick days.
  • People living in insulated houses reported less visible mould inside their homes.

Who is exempt?

As New Zealand has many types of houses, the law allows for some exceptions to the insulation requirements, including where it is not ‘reasonably practicable’ to install insulation in certain types of property. These exceptions are not loopholes – they must be legally justifiable.

Due to the design or construction constraints of some property types, it is sometimes either not physically possible to insulate or would require major renovations to do so. Examples of types of properties that would meet exception criteria would be apartments where there is a habitable space above and below the apartment, houses constructed on concrete slabs where it is not feasible to install underfloor insulation, and homes with skillion roofs where there is no ceiling in place to install insulation above.

Other situations in which landlords may be exempted from the insulation requirements are:

  • Where within 12 months of the start of a tenancy, the landlord intends to demolish or substantially rebuild all or part of the property. In this case the landlord must, if requested, provide evidence of having applied for the necessary resource consent and/or building consent for the redevelopment or building work.
  • Where a property is purchased from and immediately rented back to the former owner-occupier – in which case a 12 month exception will apply from the date of purchase.
  • If a property does not meet the new insulation requirements, but a landlord can provide evidence that when insulation was originally installed it did comply with particular insulation requirements (such as the specifications outlined in the building consent or an Acceptable Solution or Verification Method) the property is excluded from new requirements, provided the insulation is in reasonable condition.

To read the full Insulation requirements, click here.

AGENT ADVICE: buying investment property in Queenstown

Queenstown is a confident property market and investors are benefiting from extremely high rental occupancy levels and year-round tourism.

Airport numbers have risen by more than 102 per cent in the last six years, the average median dwelling value in Queenstown jumped a third in a single year (2015-16), and the average house price has topped $1M. It’s easy to see why national and overseas investors continue to choose Queenstown, but there’s also a lot to consider. Continue reading “AGENT ADVICE: buying investment property in Queenstown”

KiwiSaver: How it works and why it’s great for first home buyers

kiwisaver

Home values have sky-rocketed over the past few years and it’s harder than ever for first home buyers to get a foot in the market. Government schemes such as KiwiSaver offer financial assistance but many people aren’t sure if they qualify and how much help they can get. Continue reading “KiwiSaver: How it works and why it’s great for first home buyers”

Expert panel lined up for Property Buyers’ Info Night in Dunedin

Buyers info night dunedin property

Join us this Tuesday 4th April for an evening of expert insight into the world of buying property.

Did you know that Dunedin dwellings are at their most expensive ever, at a median value of $350,000?

The local property market is gathering speed and buyers need to arm themselves with as much information as possible. Continue reading “Expert panel lined up for Property Buyers’ Info Night in Dunedin”

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