Falling house prices have brought more and more properties within the reach of first-home buyers wanting to use the First Home Grant.
Bayleys head of insights, data and consulting Chris Farhi says around a third of Auckland properties sold in the last six months fell within the scheme's price cap of $875,000 for the city.
Farhi says the caps were designed to reflect the bottom quarter of house prices in any region, but prices rose so rapidly during the post-Covid period that they overtook the caps, leaving many first-home buyers out in the cold.
But the market downturn and last year's upping of the price caps for new and existing homes have boosted first-home buyer fortunes.
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According to the latest monthly figures from the Real Estate Institute of New Zealand, Auckland's median sale price has fallen 23% from a peak of $1.3 million in November 2021 to just over $1m.
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This has put more Auckland homes below the $875,000 cap for KiwiSaver contributors wanting to qualify for a First Home Grant of between $3000 and $10,000 to top up their deposit.
“If you take the last six months around a third of the properties in Auckland sold below the $875,000 [cap],” Farhi says.
Separate figures from Kāinga Ora, the government's housing arm, show that 2030 homes were bought using First Home Grants in New Zealand in the final quarter of 2022, including 721 in Auckland.
For those looking to buy with the First Home Grant, OneRoof has provided an interactive table with the caps for each district and a selection of eligible homes in each of the three biggest regions and cities.
AUCKLAND
There's no shortage of Auckland homes on OneRoof.co.nz that have a search price of $875,000 and below. Of the 4200 homes available to buy at the time of writing, close to 1600 of them were listed with a fixed price.
Bayleys agent Jos Varley has a four-bedroom 1970s-build terraced home with an internal access garage for sale for $771,000. The house, at 4/8 Wood Street, in Papakura, was most recently owned by an architect and has been tastefully renovated to take full advantage of its Mediterranean-style design
Inside the stylishly-dressed house at 4/8 Wood Street, in Papakura. Photo / Supplied
Priced at $679,000 is this two-bedroom apartment at 202B/160 Hobsonville Point Road, in Hobsonville. Photo / Supplied
On the market for $579,000 is 4F/80 Richmond Road, in Ponsonby. Photo / Supplied
Buyers looking for something newer can get an apartment at 202B/160 Hobsonville Point Road, in Hobsonville, for $679,000. “It’s great for first-home buyers as it has two bedrooms and two bathrooms – ideal for a flatmate situation,” says the listing agent, Harcourts’ Anna Byron.
Closer to the city centre is a 44sqm one-bedroom apartment at 4F/80 Richmond Road, in Ponsonby, which has been priced at $579,000. Agents Charlotte and Hamish Kofoed declare in their listing ad: “Ignore the CV and ignore what our vendors paid for this top-floor apartment home. They have pressing plans and have given us clear and urgent instructions to sell”.
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CHRISTCHURCH
At the time of writing, there were more than 500 Christchurch properties listed on OneRoof.co.nz with a search price of up to $550,000 (the cap for existing homes), and 235 new-build properties with search prices of up to $750,000.
Priced at $499,000 is a two-bedroom new-build home at 4/38 Wellington Street, in Phillipstown.
The townhouse, which is listed with Harcourts agent Richard Dawson, was designed by architect Andrew Evans and has a rental appraisal of $450 per week.
4/38 Wellington Street, in Phillipstown, has a $499,000 price tag. Photo / Supplied
Seeking offers over $479,000 is 121B Harewood Road, in Papanui. Photo / Supplied
Another new-build home that falls within the cap is 2 Antill Street, in Woodend, Waimakariri. The three-bedroom home, which is listed with Total Realty agent Russell Hume and is near completion, is seeking offers over $659,000.
Those looking for an existing home can check out 121B Harewood Road, in Papanui, a two-bedroom brick and tile home which is looking for offers over $479,000 and is listed with Total Realty agent Mary-Ann Windle.
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WELLINGTON
The price cap for Greater Wellington is $750,000 for existing homes and a high $925,000 for new-builds. The region has suffered the country's steepest house price decline, with its median sale price down 25% to $750,000 from a market peak of $1m. That has put more homes within sight of the First Home Grant.
On OneRoof.co.nz, at the time of writing, there were just over 900 properties for sale with a search price of $750,000 or less, 170 of which had an asking price.
32A Tennyson Street, in Petone, Lower Hutt, is priced at $665,000. Photo / Supplied
A two-bedroom off-the-plan townhouse for sale for $810,000 at 44/10 Trieste Way, Paraparaumu, Kapiti Coast. Photo / Supplied
32A Tennyson Street, in Petone, Lower Hutt, is a two-bedroom starter home with an asking price of $665,000. Listed with Ray White agents Linda Goss-Wallace and Ray Wallace, the easy-care property has a modern kitchen and is immediately opposite the golf course and a stone’s throw from the boutique shopping and cafes in central Petone.
First-home buyers have a chance to significantly up their budget for a Wellington new-build, and at the time of writing there were 83 new-builds in the region listed on Oneroof.co.nz with a search price within the $925,000 cap.
Priced at $810,000 is a two-bedroom townhouse at 44/10 Trieste Way, in Paraparaumu, Kāpiti Coast. The off-the-plan home in the Florian development is designed with a generous outdoor entertaining space and within walking distance to Coastlands and the train station. It is listed with Tommy's agents Jason Lange and Alexia Stoddart.
