Purchasing in Wellington post Earthquake

[donna]

Wellingtonians are not going anywhere! They love the place - shakes and all.

[artemis]

I have all loans secured against one property, in which there is still a truckload of equity. If that is a possibility for a buyer it may avoid the bank/insurance issue if the secured property is insured. When I've bought in the past, the bank preapproved and only wanted to see agreement for S&P before releasing the funds. No builder's report, insurance, other faffing around. Easy peasy.

That was before all the current restrictions came in but might work. Certainly not having to get insurance at the moment gives a buyer an edge. Bit of a risk to carry until insurance companies lighten up again but might be worth taking.

[eri]

"Damage to over a dozen government buildings should send a signal to the Government that it needs to increase the resilience of its services by spreading its operations around the country."

In the past, Lawrey said, it made sense to have the civil services in one place but due to modern communications technology it was now possible to run them from regional centres around the country.

"If technology can make it possible for scientists, doctors and academics to collaborate across times zones, it must be possible for more government services to be based outside of Wellington," he said.

Lawrey also believed relocating the departments to the provinces was a good idea because it would add more highly qualified, talented and skilled people into regional centres.

He said it would potentially save taxpayer money due to high rent costs of rents in Wellington and make it easier for government employees to own their own home.

http://www.stuff.co.nz/national/nz-earthquake/86568476/quakes-reignite-debate-over-relocating-civil-services-to-regions

[big fella]

good to hear Donna. we don't need anymore people in Auckland its like sardines in a tin can as it is

[eri]

nelson to new plymoth

keep'em on a short leash

[Wellington Broker]

Youi are insuring new business and IAG have announced this afternoon they will accept transfers of existing cover.

Also if you need a bank who don't want a building report let me know

[Don't believe the Hype]

You're right... Not much will sell until properties can be insured... Will be interesting to see what happens at today's auctions.

Update on the auctions -

Harcourts down this way have added an insurance clause into their auctions contracts to provide buyers confidence to bid..11 out of 15 houses sold with a further 2 sold prior (possibly before Monday) which is better than I expected maybe the insurance clause helped that. Of the 4 that didn't sell one had serious code of compliance issues so was not a certainty to sell.

Overall a a good outcome given the week we've had!!

From a price perspective while this is only one example the below property sold for $240k, 60% up on the Feb13 selling price not bad for a couple of cans of paint, curtainsa good clean

Within the expected selling range


Porirua, 126 Champion Street

[propertybuyingNZ]

From a price perspective while this is only one example the below property sold for $240k, 60% up on the Feb13 selling price not bad for a couple of cans of paint, curtainsa good clean

Within the expected selling range

Hey Hype,
Guru shows it was sold in Sept 2014 for 195k, and no sale mentioned in Feb 2016? (or did you mean Feb 2013?)
anyhow, makes it 10% growth per year.

[Don't believe the Hype]

Hey Hype,
Guru shows it was sold in Sept 2014 for 195k, and no sale mentioned in Feb 2016? (or did you mean Feb 2013?)
anyhow, makes it 10% growth per year.

the previous sale I was refering to was Feb13 - sold for $151k... I didn't see the sale in sept 14 but that is neither here nor there... Feb13 to Nov16 delivered 60% growth in a location many of the 'experts' said there was no capital growth potential.

This location is a positive cash flow location and it delivered a strong CG

[pooky]

An update from the insurance council..which was updated again today I think. the interesting stuff is about 2/3rds down.

http://www.insurancebusinessonline.co.nz/nz/news/breaking-news/insurance-body-icnz-brokers-deal-for-home-buyers-227066.aspx

[pooky]

On radio now. For lower North island to CHCH
Basically insurer's will let new buyers take over the existing insurance policy of the seller.
They won't allow you to increase the sum assured
They won't be issuing new policies at this time.

[Davo36]

Yep, they only like the money to flow one way.

They like to collect the premiums, but they don't like to pay out.

[propertybuyingNZ]

2 more 7.5% or over gross yield multi flat properties did not sell on auction last week. One of them used to have sliding issues was fixed by specialist contractors. Noone put in any bids.

Anyone is actively buying , looking to buy in Welly? Would love to hear your reasoning and experience.
Cheers

[Nick G]

Peter A is and I am sort of looking now but unless something amazing pops up more likely in Jan/Feb since I've been a bit lax in getting finance lined up. Quite quiet in the last week or so, folks don't realise they can get insurance from the vendors perhaps.

[propertybuyingNZ]

I'm looking to put in a tender in 2 days but I need to just a few hoops and even wondering if I shall bother.

I have seen 2 properties what I quite fancied on numbers but was 100% sure will be snapped up and interest will be high, and then turned out these are still on the market. Makes me question the best approach. Probably let the tender fail and just put in an offer afterwards.
Definitely with sunset clause just to keep the pressure on.