Tool shows buyer ‘right’ suburbs

House hunters on a budget will now be able to narrow their search thanks to an online tool which helps establish if their dream suburb is within reach.

ASB Bank has launched its Suburb Seeker tool, which provides buyers insight into the percentage of properties within a certain budget in each suburb around New Zealand.

The Suburb Seeker tool was codesigned by property valuation provider Valocity and ASB. The data originated from historical sales for the area provided by councils and Land Information New Zealand.

Updated weekly, ASB general manager product and strategy Carl Ferguson said the tool would help those searching for a home make the most of their time.

“House price movement has been rapid in recent months and buyers are often unknowingly looking in areas where the price has moved on.

“They invest time, money and effort searching for a house in locations they’re unaware they can’t afford.”

He said the tool provided a “realistic snapshot” of the housing market giving buyers, at all levels on the property ladder, the ability to focus their search on an area they are more likely to get into.

It differed slightly from other property sites in that it gave the percentage of properties in that suburb that sold at a particular price range.

Other property sites tended to give the suburb’s median values, or the sales prices of homes sold nearby.

New Zealand Property Institute chief executive Ashley Church said it was a “fantastic” idea that had the potential to help people focus on what they could afford.

However, he said the tool should be used more as a guide than a definite source of property prices.

“They are useful as a guide, but it’s ultimately down to what a property sells for.”

The tool showed about 25 per cent of properties in Auckland, barring the apartment rich central business district or outlying suburbs, were “affordable” at $600,000 or less — the price cap for first home buyers to get a KiwiSaver grant.