For a move to central Auckland, conduct a thorough financial assessment, research the real estate market, monitor interest rates and government policies, and engage in open family discussions. This comprehensive approach ensures well-informed decisions aligning with long-term goals. Consult with professionals for personalised guidance.
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“I need some advice for my situation. We have a property that has two separate houses. My family of four lives in one house, and my parents live in the other house. It’s a great property; everyone has their space, and we help each other out a lot, but it is in an area that is far from our other family, and the zoned high school is not ideal. We are looking at the idea of moving into central Auckland or nearby suburbs. But finding the right property for all of us is tricky and many are in bad condition from recent floods. We would also have to get a bigger mortgage due to the increase in price; our current one is shallow. The market doesn’t seem great, and with interest rates at the moment, should we wait? or try to move before foreign buyers come back with the new govt?”
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I can provide some general advice for the situation described. Remember that this advice may not cover all aspects of the specific situation, and it’s always a good idea to consult with a financial advisor or real estate professional for personalised advice.
Financial Assessment:
Begin by thoroughly assessing your financial situation. Understand your current income, savings, and the potential impact of taking on a larger mortgage. Consider the feasibility of managing increased mortgage payments and whether your budget can accommodate the higher costs associated with a move to central Auckland.
Real Estate Market Research:
Dive into the details of the central Auckland real estate market and nearby suburbs. Look into recent property sales, market trends, and the condition of available properties, especially in the aftermath of recent floods. This research will help you gauge the current state of the market and identify any potential challenges or opportunities.
Interest Rates and Government Policies:
Stay informed about prevailing interest rates and government policies affecting the real estate market. If interest rates are favourable, it might be advantageous to secure a mortgage. Additionally, consider how potential changes in government regulations, such as those related to foreign buyers, could impact the market and your decision-making process.
Long-Term Planning and Family Discussions:
Consider the long-term implications of the move. Assess whether being closer to family in central Auckland aligns with your broader life goals. Engage in open discussions with all family members to understand their perspectives, needs, and concerns. Aligning everyone’s expectations is crucial for a smooth transition and ensures that the decision caters to the collective well-being of the family.
A comprehensive approach involves a detailed financial assessment, thorough market research, staying updated on interest rates and government policies, and open communication within the family. This will equip you with a well-rounded understanding to make an informed decision about whether to proceed with the move to central Auckland or to wait for more favourable conditions.
Hope this helps.
Regards, Clive Fernandes (Financial Adviser)
Director – National Capital
Disclosure: I am the director of National Capital, a KiwiSaver advice firm. The views expressed in this article are the views of the author. The information provided is of a general nature and is not intended to be personalised financial advice. You may seek appropriate financial advice from a Financial Adviser to suit your individual circumstances or contact National Capital.
