Please note we are currently unable to cover property in New Zealand
Introduction – Although this country is way out of the reach of a weekend break for most Europeans, that hasn’t stopped holiday and second homes being snapped up in New Zealand by Europeans who simply love the outstanding natural beauty and clean fresh feel to the landscape. New Zealand is populated by a friendly multi-cultural, multi-racial society anyone who visits these far away islands has an unforgettable experience of stunning landscapes enchanting forests and white beaches that look like no one has ever set foot on them. Add to this mountain ranges that are a match in beauty for anywhere in the world you get an idea of what makes the magic of New Zealand and why so many people want to live here.
Although non-residents are usually allowed to buy houses in New Zealand, purchase of property does not give the buyer the right to live permanently in New Zealand. Property is purchased for holiday or second home purposes or as an investment to let to tenants on a long term basis. Although New Zealand is not a country beset by natural disasters, it has in fact suffered in the past from flooding. As recently as March 2007, almost 3 months worth of rain fell in Wellington in 36 hours leading to wide spread disruption. As well as flooding, New Zealand does suffer from seismic activity. The country is located at the intersection of two tectonic plates and many earthquakes have occurred in recent years. Rent records shows that the country usually suffers from one magnitude 6 earthquake each year.
Holiday Home Insurance New Zealand – Holiday home insurance is now available for property in New Zealand from the United Kingdom and usually a wide range of perils can be obtained including liability. If you are going to rent the property out to tenants on either a long or short term basis, you will need to inform the insurance company of your intention. If you are buying property in New Zealand with the sole intention of letting the property, you will need to check with a local solicitor if their are specific rules and regulations relating to let property. renting property in New Zealand is regulated by Residential Tenancies Act 2006.
Located in the south-western pacific ocean and noted for it’s isolation (Australia is some 1200 miles across the Tasman Sea) New Zealand consists of two main islands, the north and south island and a number of smaller islands including Stewart Island & the Chatham Islands. Although the whole country seems to be a living advertisement for the great outdoors, mother nature hides the fact quite well that New Zealand is also one of the worlds most developed countries, both politically and economically. The population is around the 4 million mark who enjoy one of the most open economies in the world. Although Wellington is the countrys capital city, Auckland, is also very popular with marginally higher property prices. Christchurch is the third major city and all three have strong property markets that deliver good rental yields.
Holiday Homes in New Zealand – buy prices for property in New Zealand have escalated quite dramatically in the last decade after falling back a little they seem to be surging ahead again although many agencies are predicating that a slow down is on the way. For investors, prepared to buy and wait though, New Zealand offers excellent investment opportunities. Whilst you will get a great deal more for your money than in many major European countries, you couldn’t exactly call them bargain prices. Buying property is a very straight forward and low cost affair, in fact it’s so trouble free that many New Zealanders themselves don’t even bother to employ the services of a solicitor. Of course for an overseas investor not familiar of the buying process, this would be unthinkable.
Locating property to purchase is straight forward, most areas have a large number of estate agents and like Europe, it is also possible to view properties online. When you have located the property you wish to purchase, the next step is to put in an offer, in New Zealand, this has to be in writing, you can do it yourself or ask your solicitor. The offer should include any items that you wish the vendor to include and will of course be made subject to survey and you being able to obtain a mortgage if necessary.
Once you have negotiated with the vendor and your price as been accepted, it is customary to put down a 10% deposit, this can be held by either your solicitor or the estate agent. Both parties then sign the sale contract that includes all the terms and conditions etc and the whole process can usually be completed in under a month. The contract is legally binding and there are financial penalties if either party pulls out of the deal before the completion takes place. Purchase costs in New Zealand are low, there is no such thing as stamp duty and the whole process is one of the simplest you will encounter anywhere in the world.
Assetsure provide overseas property insurance and holiday home insurance for the following countries…. Austria, Belgium, Bulgaria, Cape Verde, Chile, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Egypt, Hungary, Iceland, Ireland, Italy, Latvia, Lithuania, Liechtenstein, Luxembourg, Malta, Monaco, Montenegro, Morocco, Netherlands, New Zealand, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, South Africa, Spain, Sweden, Thailand, Turkey, United Arab Emirates, United Kingdom (UK) and Venezuela.