Want an online tool to help you find the right rental revenue?
If you're hunting for an investment property, one way to begin the search is to use one of the online suburb-seeking tools offered by banks to speed up the process of identifying which suburbs you have the most buying power in.
For example, at www.suburbseeker.asb.co.nz, you simply enter in your budget (type in the amount you have, the amount you can borrow, or the amount you expect to sell your house for) then select the suburb you’d like to buy in. The software will return an estimation of what percentage of properties you can buy in the suburb with your budget, what the median value is, and how much and how often property values change there. For example, type in that you have $1,000,000 to spend in Otangarei and Suburb Seeker says you can afford 100% of properties there. However that same million lets a person afford fewer than a quarter of the properties in Remuera – where the median property price is given as $1.75m. Basically, look out for a nice high affordability percentage (50-100 percent) and that tells you the ideal places to buy.