PHOTO: Real estate agent John McCracken said the market was still busy despite COVID-19. Photo credit: Getty
By Charlie Dreaver for RNZ
Not even COVID-19 has put a stop to runaway house prices – with first home buyers spending up to $200,000 more than expected for their first home.
And measures introduced by both Labour and National aren’t cutting the mustard according to those wanting to get their foot on the property ladder.
Real estate agent John McCracken said the market was still busy despite COVID-19.
“Certainly with the low interest rates and the LVR being removed, a lot of the first time buyers have been in a position where they might have had a smaller deposit, they’re now able to purchase and with the interest rates where they are, they’re they’re certainly making use of those levels,” he said.
However, he did note there are challenges for those wanting to buy their first home.
“First home buyers are still competing against investors and a lot of the first time buyers are pre-approved but they’re not necessarily pre-approved to bid at an auction,” he said.
Knowing how tough it can be to find a first home is Mikayla*, who bought a house on Auckland’s North Shore in February – after two years of searching and six building reports.
“We would find often there’s moisture issues that came back in the building reports that weren’t obvious from the naked eye.
“Then when we would get a successful building report, and we’re really happy with it, the prices obviously just go like way over CV and just be out about out of our reach,” she said.
Her and her partner’s budget began at $750,000 but eventually went up to the $950,000 mark.
Siobhan Richards has spent 19 months looking for a home for her partner and son in Auckland.
READ MORE VIA NEWSHUB
