Residential property in New Zealand is the most popular investment choice with the average Kiwi paying off their mortgage then using the excess income to purchase a house or block of flats for future capital gain.

The housing market in New Zealand has plateauxed recently making Closed Tenders and Auctions less attractive than Price by Negotiation (PBN) which is starting to become more common.

The price of houses in New Zealand has soared in the last few years which makes for many people selling their investment properties to (hopefully) repay their loan and realise the capital gain.

If you are looking at investing in Residential property make sure to purchase below the Government valuation, ensure the rent will cover all outgoings of the property and produce positive cashflow. This will give you an ability to purchase further investment properties with the instant equity you have in the value of your property and allow you to borrow more from your bank or mortgage broker.

Residentiall property is considered the best starting point in property investing, it gives you an idea of what managing properties in a small portfolio requires and helps in building equity for when you decide to make some serious future capital investments.