Hi Everyone,
Could anyone please tell me a but about Tokoroa in NZ? I’m looking at buying a cheap IP there and am wondering what you all think about it?
Anything you can tell me would be a great help.
Thanks alot!Hi Bonnie
Use the search function on PI to find out about Tokoroa as quite abit has been said already.
Also use the search function on http://www.propertytalk.co.nz for Tokoroa as well.
The cheap houses have gone. Prices have gone up quite a lot as the investor bubble has reached Tokoroa.
Check out the addresses carefully as some of the Property Managers won’t manage properties in certain streets.
Happy searching.
Regards
Hi Bonnie,
Muppet is correct when he says that prices have gone up in the last 12 mths in Tokoroa. He is very knowledgable about this area.
When I was last there in May, I managed to still find property $20,000 under valuation. There will always be good deals for the serious investor. Determination is a powerful thing…
I have found that there are good streets and bad streets in every town of NZ. We have been lucky with our investing in Tokoroa, as we have some great long term tenants who look after our properties as good as their own. There are good and bad people everywhere. The trick with investing in NZ I think, is to find a great Property Manager who you really click with, as you are trusting them to find you suitable tenants.
Always use caution and due diligence, but don’t let other people’s opinion deter you from finding a good deal. I would strongly advise you to take a quick trip to NZ and actually visit Tokoroa if you intend investing there. That way you make up your own mind about it, and are not clouded by other people’s prejudices.
Try this website for houses in Tokoroa. I have found Jenny extremely good to deal with. http://www.lambertons.co.nz
Happy hunting,
Del [biggrin]
….Banks will lend 70% of the valuation of the property in Tokoroa. I believe some will lend 80%, however not the one that I used.
What is the problem?????????????????
HI all,
just a quickie – why do the properties state the “Capital value of $37,000” while it is on the market for $46K?
DO they want me to try to argue the price to the $37K? Can some one elicidate (…”Please explain!…”).sorry to be so goofy.
Cheers
C@34
Hi Calvin,
It is the Gov’t valuation. Australia does similar things, and it is found on our rates notice. I believe NZ updates theirs more often than Australia does.
These days since the boom in NZ, you cannot use the CV as a price guide very often (in most towns). It’s always worth a try though!
Regards,
Del
Hey Wilanddel,
I’ve just been looking at the links above (just to have a look) – I’m not really in a position to purchase at the mo. and I noticed that a lot of the homes are Fibro/Weatherboard style homes. Is that the norm for established houses of there?
Of the few that were brick, they weren’t even the most expensive. I know you can modify the Fibros easily (half the Town I live in is Fibro) but I’d prefer Bricks. What is the norm now days? And, in the price bracket up to $260K there wasn’t that much available. Was I looking in the wrong area?Appreciate your feedback!
Cheers
C@34
Lending value in Tokoroa for non residents is 80%. I have 3 banks that will do this. If purchase price is under $50k then a registered valuation may be needed.
GV is governemnt valuation which is updated every 3 years. Values in the market will vary in comparison as some GV’s could be 6 mths old and another area 2 yrs old. The same area will have the same updated GV but Invercargill may be different to Tokoroa. Updated valuations are done statistically with no inspection of the property so 2 houses in the same street could have the same GV yet one could be rough and the other tidy.
Regards
TerryHi C@34,
I have just listed one of our houses in Tok for sale with an agent (2 days ago). It is a brick & tile house in a good area of town.
It is for sale for $70,000, and is rented out to (excellent) tenants at $135pw. Sorry if this sounds like an ad, because it’s not meant to. There are very few brick houses in Tok and very few come up for sale. I know mine will sell quickly at the price that it is listed at. (It is worth it)…
There are definitely not as many houses for sale in Tok now compared to 12 months ago when I bought. There may have been around 100 houses for sale under $100K a year ago, but now probably only 20 to 30 or so. The real cheap ones (if there are any) I wouldn’t consider these days, as they probably have big problems with them.
Caveat emptor – a lot of cheap houses need serious work done on them. Always get a building inspection done if buying sight unseen. I don’t suggest to anyone buying sight unseen in Tok, unless you know the area.
Again, sorry if this post comes across as an ad, because it is not meant to.[blush2]
Regards,
Del
Hi all,
As Del said it’s best to go and have a look at Tok and get a feel for the place. There are certainly some parts of town to be avoided. The property managers will generally point you in the right direction. (I have dealt with Century 21 in Tok).
regards,
Rod.
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