Residential apartment living is a common form of home ownership for thousands of people around the world including New Zealand’s largest city, Auckland.
If you are looking at purchasing an inner city apartment in Auckland New Zealand, whether as an investment property in Parnell (for example) or, as your next home in the CBD, you will find the following buying tips helpful.
Knowing What You Need
Although it seems obvious, the type of apartment you buy should reflect the lifestyle you are planning for the future. Think about such aspects as household numbers, proximity to local amenities, including your place of work, the sorts of work and leisure activities you enjoy and the length of time you expect to live in the home.
Knowing What You Can Afford
Speak with your bank manager or financial services consultant to pre-determine your budget level and perhaps obtain pre-approval from the lending institution prior to going out ‘to buy’. This puts you in a position where you are able to make ‘a cash offer’ on an apartment that meets your requirements.
Knowing What is Available
Newspapers, real estate publications, real estate offices and the online listings are all good places to begin your search on the latest listings to the market. A few real estate websites allow you to receive automatic notification of properties that may suit your needs – thus ensuring you don’t miss any potential opportunities.
Knowing Local Values
Research sales in the Auckland City, New Zealand areas you are looking and maybe attend a few listed auctions of properties to help establish current values. Attend as many open homes as possible – a fantastic way to identify the various residential apartments available, and thus helping towards narrowing your search.
You’ve Found Your Perfect Apartment
When you find a property that suits your requirements, ask the agent for sales statistics of similar properties in the area. If the property is to be auctioned, obtain a copy of the auction agreement and send it on to your solicitor. Remember, when purchasing at auction, you must pay a 10% deposit on the fall of the hammer. It is also a very good idea to arrange a building inspection prior to purchase and also obtain a copy of the LIM report. We also recommend you organise an independent valuation.
Concluding a Sale
Once your offer has been written and negotiations are finalised you will sign a Sale & Purchase Agreement and pay a deposit; usually 10% of the sale price. Copies of the contract will be sent to your solicitor and yourself.
Property Settlement Day
This is when ownership of the property is transferred to you and financial transactions are completed. Prior to settlement day you may request a pre-settlement inspection of the property to ensure nothing has changed in its status since purchase and agreed chattels are in place. Once all settlement procedures have been finalised the keys will be released to you.
In conclusion, choosing the right residential apartment in Auckland City, New Zealand comes down to knowing what you need; what you can afford and knowing exactly what’s available at the time you are ready to buy.
By: Phil Horrobin