Young couples

What is an option fee? An option fee is a payment (deposit) of no more than one week’s rent that must be refunded or used as rent if y...
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What should we consider when deciding whether or not to buy a larger home?

While moving to a bigger house can be an attractive prospect, it is also a significant commitment. When making your decision, consider the following:
  • If your current home is not big enough for the size of your family, then moving to a larger home will probably be more urgent.  This could result in you paying a higher price for your new home.  If your need is less urgent, you'll have more time to evaluate housing options, and to find a great deal.
  • While a larger home will have a number of attractions for you, it will also likely be more expensive to maintain on an ongoing basis.
  • Speak with a financial advisor to assess your current situation and see if you are able to comfortably service a bigger home loan. Consider what might happen in the event of a personal financial shock or increased interest rates.
  • Review any other debt you have (e.g. credit card, car loan, hire purchases etc.) as these debts or facilities can negatively affect your ability to borrow. Make sure debts are either paid up-to-date, or paid off entirely before investigating or applying for a new mortgage. Lenders often ask to see the last 3 or 6 months of any debt related financial statements.
  • Tools such as a home loan calculator can help you assess your options and budget for a new home. Most New Zealand bank websites make this functionality available for you to use.
If you’ve decided that moving to a larger property is right for you, talk to a First National Real Estate agent about selling your current property and finding your dream home. First National Real Estate has over 400 offices across Australia and New Zealand, with property coverage in all major towns and cities.
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