Can I buy an investment property in New Zealand as a foreigner? |… (2024)

FAQs

Can I buy an investment property in New Zealand as a foreigner? |…? ›

While there are rules as to the minimum amount required and specific guidelines to how this must be done, the answer to the question “Can foreigners buy property in New Zealand?” is yes. To learn about all NZ investment rules and requirements for buying property in New Zealand for foreigners, check out our article.

Yes, any foreign buyer can buy an investment property within New Zealand. But, some foreign buyers will face more restrictions than others. If you're an NZ, Australian or Singaporean citizen, you have more options compared to someone who is Estonian, for example.

Investment property deposit requirements New Zealand

The banks generally require a 35% deposit to buy an investment property. These requirements are in force due to loan to value restrictions (LVR) imposed by the Reserve Bank that limit the amount of lending retail banks can offer to low deposit borrowers.

Can I invest in property in New Zealand? Overseas people without a residence class visa cannot usually buy a house or land in New Zealand. If you hold a residence class visa you may be able to buy property without restrictions or be granted consent by the Overseas Investment Office (conditions may apply).

Predicable capital growth – fixed returns over the long-term are reasonably reliable, with New Zealand property showing an upwards trajectory in median house prices over the last 25 years.

Moving to New Zealand as an American is relatively straightforward, but it involves several steps, including obtaining the appropriate visa. The process can be time-consuming and requires careful planning, especially if you are applying for a work visa or permanent residency.

To be ordinarily resident in New Zealand for residential property purchases, you must meet all four criteria: have a residence class visa. have lived in New Zealand for at least the last 12 months. have been physically present in New Zealand for at least 183 days of the last 12 months, and.

You must pay income tax on the rental income. To work out what you pay, you deduct your allowable rental expenses from your gross rental income. For your investment property, you'll need to use the actual cost method to see what tax you'll pay.

Working on the 20% deposit minimum, a $100,000 deposit will allow you to secure a loan with a maximum value of $500,000, which, depending on your property preferences and the region you're shopping in, could be more than enough for you to purchase your first home.

Investments requiring consent

Consent is required for investments by overseas persons in sensitive New Zealand assets. Such an investment can include: acquiring a sensitive asset (such as sensitive land) leasing a sensitive asset for more than 10 years.

Is New Zealand a good country to invest in? ›

New Zealand's thriving and stable economy and political system, creativity and innovation, ease of doing business and unmatched quality of life make it an attractive place to invest.

Invest in New Zealand

You must keep NZD $10 million invested in an acceptable investment in New Zealand for 3 years. We ask for evidence you have kept your funds invested at the end of the second and third years you are in New Zealand. You will have 3 months to provide the evidence.

Options for acquiring New Zealand citizenship by investment

According to the terms and conditions of the state programs, applicant should make a financial investment of at least NZ $3,000,000. The exact amount of investment depends on the chosen investment option.

There may be plenty of houses on the market, but now is still “not a great time for the average buyer”, says Gareth Kiernan, chief Forecaster, at Infometrics, but it is a better time than in late 2021 or early 2022 when it was clear that house prices were going to fall in the face of rising interest rates.

The property bubble in New Zealand is a major national economic and social issue. Since the early 1990s, house prices in New Zealand have risen considerably faster than incomes, putting increasing pressure on public housing providers as fewer households have access to housing on the private market.

Buying a property can be complicated, especially when you're not familiar with the process and haven't bought in New Zealand before. In New Zealand, the process for buying a property depends on which method of sale is used.

You can stay for up to 2 years on a visitor visa if you are aged 66 years or older and have NZD $750,000 to invest in New Zealand. You also need an additional NZD $500,000 to live on and an annual income of NZD $60,000 or more.

Single entry Visitor Visa

If you want to visit New Zealand for more than 6 months or extend your current 6-month stay in New Zealand, we consider issuing you a single entry visa. This lets you enter New Zealand once and stay for up to 9 months in an 18-month period.

The average house price in New Zealand is $927,284 as at Jun 2024. Over the last 12 months this has increased by 1.87%. Want to see the most recent numbers for your specific council area? You can find the data for every single part of New Zealand in the table below.

Generally, only residents and citizens can buy residential property in New Zealand, but there are some exceptions.