Feeling nervous about purchasing your first property is completely normal. The number of steps, new terminology, and important decisions can feel like a lot to handle. #

Our goal is to break down the process into manageable steps. By providing clear answers, we help you build the knowledge and confidence needed to move forward. Think of this as your starting point for a successful purchase.

What is the first step to buying a house?#

The first step is organising your finances. Before you start looking at properties, you need to know your budget. This involves getting pre-approval for a home loan from a bank or mortgage adviser. Pre-approval gives you a clear understanding of how much you can borrow and shows sellers and agents that you are a serious buyer. To get pre-approved, you will need to provide information about your income, expenses, and deposit.

How much deposit do I need?#

Most lenders in New Zealand require a deposit of at least 20% of the property’s purchase price. However, some banks may accept a lower deposit, and government-backed schemes like the First Home Loan may allow you to purchase with a deposit as low as 5%.

What does a real estate agent do?#

A real estate agent facilitates the property transaction between a buyer and a seller. While the agent is contracted by the seller, they have a duty to treat buyers fairly. Their work is regulated by the Real Estate Agents Act 2008. An agent's responsibilities include marketing the property, providing information, facilitating viewings, and presenting offers.

Do I need an agreement with an agent to buy?#

You do not need a formal written agreement to have an agent help you find a property. However, the seller must have a signed agency agreement with their agent for the agent to market the property and claim a commission. Before you sign any documents, such as a sale and purchase agreement, the agent must provide you with a copy of the New Zealand Residential Property Agency Agreement Guide.

How is a property offer made?#

Making an offer usually involves signing a formal Sale and Purchase Agreement. This is a legally binding document, so you should always get legal advice from a solicitor before signing. You can make your offer conditional on certain things, like a satisfactory builder's report or securing finance. The most common ways to buy a property are by negotiation, auction, or tender.

What is the difference between a conditional and unconditional offer?#

A conditional offer has specific conditions that must be met for the sale to proceed, such as securing finance or a satisfactory building report. An unconditional offer has no such conditions and is legally binding as soon as it is accepted.

What happens to my deposit?#

When you sign a Sale and Purchase Agreement, you will likely need to pay a deposit. By law, this money must be held in an independent trust account by the real estate agency for at least 10 working days. The deposit cannot be released to the seller until specific conditions are met, such as the agreement becoming unconditional.

What legal checks are essential before buying?#

Completing due diligence is a critical step before your purchase becomes unconditional. It’s important to engage a lawyer early in the process to guide you through these checks. Key reports to consider include a LIM Report from the local council, a Builder’s Report from an independent inspector, and a Property Title Check performed by your lawyer.

How long does the home buying process take?#

The timeframe can vary significantly depending on your circumstances and the market. It can take anywhere from a few weeks to several months from starting your search to settlement day.

What is a settlement day?#

Settlement day is when the ownership of the property officially transfers to you. On this day, you pay the remaining balance of the purchase price, and your lawyer will register you as the new owner. You will then receive the keys to your new home.

Who to talk to next#

Your next step is to assemble a team of qualified professionals. These experts can provide personalised guidance for your situation.

• Mortgage adviser or bank specialist: They will help you understand your borrowing capacity and assist with loan pre-approval.
• Solicitor or conveyancer: This expert will manage the legal requirements, from checking the property title to finalising the settlement.
• Licensed real estate agent: They can provide insight into the local market and guide you through the process of viewing properties and making offers.

You can use our find an agent tool to search for a licensed real estate agent in your area. 

When you are ready to explore the possibilities, realestate.co.nz has the most property listings in New Zealand to help you find the life you are meant to live.

For media enquiries, please contact:#

Hannah Franklin | hannah@realestate.co.nz

Want more property insights? #

• Market Insights: Search by suburb to see median sale prices, popular property types and trends over time. 
• Switch your search to Sold to browse all residential properties that have sold — not just recent sales. See the most recent sale price and estimated current market value.