With many metro housing prices quickly becoming out of reach for most, hard-working first home buyers are considering purchasing a plot of land or an established home in a non-metro, rural or regional area of the country. For many in New Zealand, this could be the way forward in property investment and family security. Mortgage Masters is proud to be one of the leading investment property mortgage brokers in the country and we understand that purchasing land in a rural area might be the perfect long term investment. We are here to outline some pros and cons of moving regional, so you can decide whether this is the right move for your property investment.
The Benefits of Country Living in New Zealand
Living rural is all about taking life at a slower pace, enjoying the little things, spending more time outside and with family and enjoying the things you just don’t have time for when you’re living inner city. The prices of rural and lifestyle property plots are of course also more bang for your buck, as the global pandemic sees property values continue to rise. Many are cashing in their capital gains from metro areas and moving further out of town and many first-time home buyers are considering this change of lifestyle as well. Data shows that the average asking price in Auckland is $931,339, whereas the average for the rest of the country (rural areas and lesser-dense cities) is only $430,000. This shows a huge difference in budget and space and realistically, makes living rural a lot cheaper than living metro. Whether you’re looking to retire or you’re just thinking about beginning to start a family, regional living has many benefits. Freedom, health, space, opportunity, quiet, safety and peace are among the most popular reasons to move out of the city, but depending on your lifestyle, there may be some cons to consider as well.
The Possible Cons of Buying Regional
- Fencing: The largest potential extraneous cost when buying regional is the replacement of the property fencing. Make sure that you check out the fencing of the property before you buy, as this may add a huge fee to your move.
- Water: Many lifestyle blocks aren’t connected to council water supplies and use bore or rainwater collection instead. This is not a problem if you know about it, but make sure you check the quality of water and any potential replacement costs.
- Sewerage: One of the most important things you need to know about rural property before you buy is whether it uses a septic sewerage system or a council provided one. If the property does have a septic sewerage system, this shouldn’t be a problem as long as it’s consented to and in good working condition. These systems can be extremely expensive and messy to replace, so be wary of properties with ageing or any damage.
- Internet: Rural property usually does have internet and cell coverage; however, some areas may be a little patchy. It’s worth getting your phone out when inspecting the property to check the reception.
Choose the Best Mortgage Broker in Auckland
Choose the best mortgage broker in Auckland here at Mortgage Masters, for all your property advice and home loan information. We are a leading investment property mortgage broker, and we offer all clients a completely free consultation.
