Two Bedroom Units Outside of Auckland

[Purple Property]

I invest in brick and tile units in Auckland.

I'm finding due to serviceability and the fact that outside of Auckland prices are a bit cheaper, I'm starting to look at these same types of units in Hamilton particularly but also Palmerston North and New Plymouth.

Two bedroom units are able to be rented easily and are in demand in Auckland, but is it the same in these Regional Cities or do they attract a lower standard of tenant due to some sort of stigma it being in a unit block?

Would love to hear peoples thoughts.

[Beano]

I invest in brick and tile units in Auckland.

I'm finding due to serviceability and the fact that outside of Auckland prices are a bit cheaper, I'm starting to look at these same types of units in Hamilton particularly but also Palmerston North and New Plymouth.

Two bedroom units are able to be rented easily and are in demand in Auckland, but is it the same in these Regional Cities or do they attract a lower standard of tenant due to some sort of stigma it being in a unit block?

Would love to hear peoples thoughts.

Have you looked in wellington ?
They still have properties at a positive net yield
Units in Wellington are getting 6% Net Yield with funding at 4% its still a good margin

[Kbkiwi]

Definitely check out Wellington - the central city has highest average income in NZ, but apartments/units are significantly cheaper to buy than Auckland.

[HouseWorks]

The stigma factor and whether there is one largely depends on you. Similar to Auckland I would say. If they are well managed and tidy with reasonable looking tenants for neighbours then you can secure quality tenants. You have to be selective and be prepared to wait. If you are a bit picky which we are it pays to self manage I think. We own flats and units in Auckland and Hamilton.