Welcome back to our blog! Today, we'll delve into the costs you need to consider when purchasing a property in New Zealand. Beyond the initial deposit, there are various expenses that may catch you by surprise. Let's explore these hidden costs and learn how to plan your budget wisely.

Lawyer Fees:

One important cost to bear in mind is lawyer fees. While different lawyers charge varying amounts, most offer a "Property purchase package" at around $1,000 to $2,000 NZD. To ensure you get the best deal and services that suit your needs, it's advisable to compare prices and offerings from multiple lawyers.

Property-Related Reports:

Depending on the property's condition and loan type, banks may demand specific reports before approving your loan application. There are three main types of reports:

Property valuation, approximately $1,000 NZD.
Building inspection report, costing between $300 to $400 NZD.
Watertightness report, with an estimated cost of $500 to $600 NZD.

Please note that these reports might not always be mandatory, and the expenses can vary based on the property and bank requirements. Some optional reports, like drug testing or having the lawyer review title documents, could incur additional costs.

Moving-In Expenses:

Beyond the purchase itself, there are various costs associated with moving into the property. These may include moving expenses, buying furniture and appliances, renovation costs, and even reconnecting utilities if they were disconnected before settlement. The total amount spent on these expenses will depend on your personal needs and preferences.

Conclusion:

When buying a house in New Zealand, it's crucial to consider these additional expenses beyond the property's deposit. To avoid any unforeseen financial burdens, it's essential to conduct thorough research, compare prices, and budget accordingly. Remember, the information provided in this blog is general in nature and doesn't constitute personalized financial advice. Always consult with your loan advisor before making any decisions.

Thank you for reading, and if you need further assistance, feel free to get in touch with us.

Disclaimer: The content in this article are provided for general situation purpose only. To the extent that any such information, opinions, views and recommendations constitute advice, they do not take into account any person’s particular financial situation or goals and, accordingly, do not constitute personalised financial advice. We therefore recommend that you seek advice from your adviser before taking any action.