Buying a Section

[globetrecker]

We're interested in buying a section in a new, developed subdivision. We haven't been able to find a good website about how to buy sections in NZ. We've never purchased land before, so this is a new experience esp. in a new country. Any experiences out there with buying sections and things to watch out for, questions to ask?

[globetrecker]

Just found some answers on this from a different thread that I must have missed.

[NAP]

One thing to look out for is "covenants" on the land.
These state what you can and cant do with the land.
For example - you may only be allowed a one story house. You may only be allowed to store your vehicles in a garage and not have them "on display" outside. You may only be allowed certain building materials for your house etc.

We bought land a few years back and my goodness some of the covenants were ridiculous. Best to look for a section/land with no covenants or read them with a fine toothcomb.

You will need a lawyer too.

Some areas can come under a "natural beauty" stamp and can be hard for "foreigners" to purchase. Check with lawyers on this.

If you have kids - make sure the section/land is in the catchment area for where you want to send them to school - and check with schools about possible rezonings.

Look out for where the power and water will be brought too - e.g. - will it come up to where your section is or will it just be to the entrance of the sub division - costs involved in then getting these to your house.

Get a LIM report - this will check if what the area is like for subsidence and slippage etc. Will also do checks on the earth. Check with council about the area and future plans re: new roads that might cut through your land. Check that resources will give you planning permission

Do not believe all that the real estate agent says! Do your own research too!

These are some of the main things - if I think of others I'll come back to you

[Kanga]

Before you sign anything take your offer contract to a solicitor and get them to check it over and ensure you have every get out clause under the sun and a few weeks to make your necessary checks. Have fun

[Super_BQ]

Because of the way houses are built in NZ, make sure you picka NORTH FACING section. So many new houses are built with the garage tacked right on the north side of the street entrance.

True about the covenants but it doesn't mean you can't get a dispensation clause as terms of buying the section. The covenants are there for a good reason. I've not came across any restrictive convenant that is too unreasonable in NZ.

LIM report is kind of a waste of time on a new subdivision development. The reason is that local city councils will require soil testing and the works before the land can get titled. It's not as easy as it was in the old days where people did have to look carefully because there were virtually no requirements to sub-divide sections. Today, it's a whole can of beans (and soil testing is one of them). If the soil tests come up that the ground is soft, then local CC will require all houses to be built with a suitable type of foundation to accomodate the soft grount (in case of subsidence).

Cellphone towers are another thing to look out for.

[globetrecker]

This was great info! Thank you--will definitely be using these suggestions.

[Kiwi Mac]

Biggest thing to watch out for is the cost of the bloomin house you want to build on it!!

That might make your eyes water.

[Carey]

Try to haggle; if 2 selling agents are involved, go from one to the other and see who will beat who down. Worked for us!

Good luck!

[Dave in NZ]

Hi

This may help you

http://www.consumerbuild.org.nz/publ...-selection.php

[Ngeru]

True about the covenants but it doesn't mean you can't get a dispensation clause as terms of buying the section. The covenants are there for a good reason. I've not came across any restrictive convenant that is too unreasonable in NZ.

It depends on what you call restrictive I suppose, there are heaps of new Stepford Wife type of 'estates' come new 'towns' or 'villages' where the restrictions are laughable. i.e. you can't hang your washing outside, must keep your grass cut to a certain length and can't build a wall or fence along the front boundary.

http://www.pegasustown.com/ has to be one of the most extreme.