Foot on the ladder
What it really means to be entrylevel in the Auckland market.
Tim Carter, Manurewa branch manager In Manurewa, our average sale price is around $675,000. Most of the people who come to us looking to buy are in that price range — and they’re firsthome buyers or investors. There’s plenty of opportunity here, and in nearby Takanini. We’ve got a great community-focused development, the McLennan project, which is aimed at first-home buyers.
It’s common, and really practical, to buy through KiwiSaver, but it does mean that it’s harder to buy at auction, as this requires you to be unconditional. While we’re seeing a rise in the “Bank of Mum and Dad” in Auckland, with parents pitching in to get their kids into their first home, out here in Manurewa that’s always been the way. It’s not just mum and dad, it’s entire families helping out to get a young couple over the line.
When looking ahead, a lot of how the market progresses will depend on what the Government does in regards to legislation — as well as the stock that’s available. Here in Manurewa, we sell a lot of older homes, many are ex-state houses and the reality is that they’re often a bit of a do-up. Many properties are also being redeveloped under the new Unitary Plan. It’s interesting times.
For the younger people wanting to get into the market, they’ve simply got to start saving as soon as possible — and be realistic about what they can afford. Your first property is not going to be a four bedroom, ultra-modern home, so it’s good to see your first purchase as a stepping stone. The idea is to just work on getting into the market, and once in you’re in you can gradually start to move up to the next level.
At Barfoot & Thompson, we’re seeing young couples who came to us for the first time three or four years ago and now they’re selling, with the ability to buy something much better than their first home. Often they’ve put a lot of effort into the property to get it up to a higher standard — it’s an exciting next step for them.
With property, it’s not where you start, it’s where you finish.