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Useful Information
This section provides you with useful information related to making a house purchase. You might want to print this out to refer to at a later date.
What are the costs involved?
Below is a summary of the approximate costs associated with buying a home, to help you as an indicative guide only for budgeting purposes.
Please refer to the glossary if you are unfamiliar with any terms.
Summary of the approximate costs
| Costs | Description |
|---|---|
| Valuation fee | Where a registered valuation is required the cost of a valuation starts from NZD 550*. |
| Legal fees | This covers conveyancing of the loan. It can cost between NZD 1,000 - 1,500*. There may be additional costs, for example if you are setting up a trust. |
| Lenders Mortgage Insurance | Lenders Mortgage Insurance premium payable by you if you are borrowing 80 - 90% (we can advise you of the approximate cost once details of your loan are known) |
| LIM report | It may be advisable for you to get a LIM report, this can cost from NZD 350* |
| Builder's report | Your solicitor may advise you to get a Builder's report, this can cost from NZD 500* |
| Removal fees | The cost of transporting your belongings. This obviously depends on where you are moving to, where you are moving from and what belongings you have. It costs upwards of $500*. |
| Home insurance | from $360 p.a.* HSBC can assist you with this, click here to find out more |
* Please note, the costs indicated above are approximate only, should only be used as a rough guide and are subject to change, every case will be different.
Fees and charges
Fees and Charges may apply to your HSBC home loan, please refer to our Personal Financial Services Fees and Charges
Early repayment for fixed rate home loans
If you pre-pay your home loan before the end of the fixed rate period you may be charged an early prepayment loss recovery.
Buying tips
You may be on top of everything, however here is a quick list of tips to bear in mind when buying your home. Apart from getting a valuation if you are concerned about the value of a property you are interested in, you may want to get a Builder's report if you have queries about the structure of the property.
Ask a friend
If you are looking to buy a property and you've seen one that you absolutely love but something is niggling away at you, seek advice from a friend who has had more experience with buying property.
Use logic
Find a consistent way to compare the features of the properties you've visited in your search, for example, location, light, heating, quality of bathroom and kitchen fittings, even your 'gut feeling' as you first walk into the property.
Take your time
Although you may feel under pressure to put in an offer, perhaps because an agent has mentioned there are other interested parties, remember that it is a large, legally-binding commitment and that you need to feel confident. Do things in your own time and if you have doubts, don't ignore them.
How much is it worth?
If you are in doubt about the value of a property you are looking at, it is advisable to find out more by way of a registered valuation.
Useful websites list
Here are some useful consumer websites you might find it helpful to refer to:
www.qv.co.nz - Quotable Value Limited's site offers online NZ property valuations as well as other property services
www.yellowpages.co.nz - Online directory to help you find businesses in your area
www.reinz.co.nz - The Real Estate Institute is the professional body for the real estate industry in New Zealand
www.aucklandcity.govt.nz - Auckland City Council website, a source of property information in the Auckland region, it is also possible to order a LIM for a property you are interested in
www.wellington.govt.nz - Wellington City Council website, a source of property information in the Wellington region
www.ccc.govt.nz - Christchurch City Council website, a source of property information in the Christchurch region
www.terralink.co.nz - Provides ownership, sales, valuation and building consents information
www.adls.org.nz - Auckland Law Society administers the legal profession for the Auckland district which covers the area from Thames / Coromandel to North Cape and includes metropolitan Auckland
Glossary
There is a lot of home loan-related vocabulary which can be confusing. The Real Estate Institute of New Zealand has put together a glossary of the terminology used in the process of buying a house, which you may want to refer to.
