Buying a house

Homes for sale are advertised in several places:

• There are several real estate agents (link to external website, new window) located in Dunedin city. They sell houses for the property owner in return for a percentage of the selling price. Real estate agents advertise the property, they host ‘open homes’ (a specific time during which you can visit a home to see if you like it), they arrange auctions, and so on. Most major real estate businesses have websites that advertise houses for sale all over New Zealand.
• The Otago Daily Times (link to external website, new window) newspaper prints advertisements of houses for sale in its Wednesday and Saturday issues. It shows if houses for sale have an 'open home'. You can buy the Otago Daily Times from supermarkets, dairies, and bookshops, or subscribe for delivery to your home.
• Trademe Property (link to external website, new window) is another website where houses for sale are advertised. This site will also display ‘open home’ times.
• Realestate.co.nz (link to external website, new window) collects information about properties for sale from many different sources.

Buying a house without legal help can be very difficult. You do not have to have a lawyer, but it is highly recommended that you employ one. The lawyer will advise you on the legal aspects of buying a home. This may include checking titles, valuations, mortgage agreements and finance arrangements to make sure everything is legal.

There are many Dunedin lawyers (link to external website, new window) who can help with buying a house. Community Law Otago (link to external website, new window) can also help with legal advice.

There are rules about who can buy property in New Zealand. Usually, people who are not residents cannot buy homes to live in. You can find information about exceptions to this law on the Land Information New Zealand website (link to external website, new window). The laws about property ownership changed in October 2018. The Overseas Investment Office (link to external website, new window) administers New Zealand’s overseas investment laws, but investment opportunities other than property are available.

Visit Land Information New Zealand (link to external website, new window) for more information.

Banks and mortgage lenders offer finance/loans for houses with varying rates of interest and conditions. The amount they lend may depend on your income, your other assets and the amount of deposit you can make. Remember to research well to find the best deal for you.

The Dunedin City Council holds a lot of information about houses in the city. Before buying a house, you should:

• Buy a Land Information Memorandum (LIM) (link to external website, new window) about the property. The LIM contains all information the Council holds about a property (such as consents for building and any alterations) or any issues that may affect it, e.g., past drainage problems or land stability.
• A search of the DCC rates register will give information about the amount of rates the property owner will get charged each year (rates are the amount the Council charges you for its services, i.e., water, sewage, roads, footpaths, street lighting, community grants, etc.). It also shows a selection of aerial photographs and maps for each property.
• The city’s District Plan and the partially operative Dunedin City Second Generation District Plan (2GP) are also available online. Simply put, these plans show how different areas of land in the city may be used, e.g., for housing, farming, industrial or commercial purposes.

Building inspections by a professional such as a builder, electrician or independent valuer are highly recommended, so you can find out about any problems with the house before you buy. Sometimes a bank will insist upon a building inspection before granting a loan.

Most New Zealand houses are unfurnished when bought, however some come with ‘chattels’ such as curtains, carpet, or kitchen/laundry appliances. When you first inspect the house, ask your real estate agent which chattels will remain in the house if you buy it.

Your property should have Dunedin City Council recycling and rubbish bins on site.

• Settled (link to external website, new window) has some helpful information for first home buyers, for buying a home and for selling a home. It has some useful checklists on the resources page (link to external website, new window) as well as videos and online tools to help make the process easier.
• Housing New Zealand (link to external website, new window) has a helpful website for first home buyers, including information about Kiwisaver, first home loans and if you want to buy the Housing New Zealand home you are currently living in.
• The Ministry of Housing and Urban Development (link to external website, new window) has useful information about emergency housing, transitional housing and public housing.