More and more people than ever are turning to renting in New Zealand, because the average property price to buy is so high. It is also becoming easier to borrow money which means the outlook is good for lower interest rates, thus creating a greater turnover and more borrower demand.

The latest report from Roost Home Loan Affordability shows that October experienced deterioration when compared to the previous month. People are now spending more than half their monthly wage on renting, up nearly 2 per cent since September.

That said, it is more affordable than ever to own a property in New Zealand, with the affordability index currently in the mid 50s per cent. It reached a peak back in 2008 when affordability reached 83.4 per cent.

“Home buyers are heartened by the more solid outlook for low interest rates” explained Rhonda Maxwell, spokeswoman for the mortgage company, Roost. “Banks remain very competitive and the potential for further falls in fixed and floating mortgage rates is strengthening the appetites of home buyers.” she added.

Preparation for anyone considering a move to New Zealand should include planning for the transfer of your pounds into New Zealand dollars. For information on how to do this safely and save money when doing so, speak to currency exchange specialist Smart Currency Exchange.

To understand the full step-by-step process to buying a property in New Zealand, collect The Overseas Guides Company’s ‘New Zealand Property Buying Guide’