PHOTO: REINZ sales data from 2019-2020 proves it’s possible to get on the Auckland property ladder for under $500,000. Photo credit: Getty.
Getting onto the property ladder in Auckland is a challenge, but there are bargains around.
With interest rates at all-time lows and forecasts that house prices could drop 5-to-10 percent, first-home buyers could finally get a look-in.
But with current property sales figures showing strength and as Auckland is notoriously expensive – it’s not easy to find a bargain. For buyers who are willing to shop around, it is possible to buy a 3-bedroom home for under $500,000 – they just have to look in the right areas.
Although Auckland’s median price for a 3-bedroom home is currently $866,000, there are entry-level homes well-below that. The city commute would be longer and buyers should remember that a first-home is often a first step on the ladder.
“Your first-home is highly unlikely to be your ‘forever’ home, so it’s about getting a foot on the market and gradually moving ‘up’ the ladder over time and as your financial situation, lifestyle and needs change,” REINZ chief executive Bindi Norwell said.
One way of getting onto the property ladder is to buy a ‘do-up’ in a less-desirable area.
According to Real Estate Institute of New Zealand (REINZ) sales figures over the 12 months from June 2019 to June 2020, the top five cheapest 3-bedroom family homes in Auckland sold for prices between $320,000 and $425,000.
Auckland’s top five cheapest 3-bedroom homes sold in 2019/2020
- 3/27 Lagoon Drive, Panmure (townhouse), sold for $320,000 in September 2019
- 11 Kona Crescent, Henderson (townhouse), sold for $330,000 in July 2019 (freehold section)
- 14A Frank Hewitt Street, Pukekohe (residence), sold for $394,000 in January 2020 (freehold section)
- 2/37 John Walker Drive, Manurewa (residence), sold for $416,000 in April 2020 (cross lease section)
- 2/61 Redcrest Ave, Red Hill (residence), sold for $425,500 in February 2020 (cross lease section).
Source: REINZ (excludes apartments, units and homes with remediation issues, including leaky buildings and fire damage).
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