Us Kiwi’s like to roll up our sleeves and renovate houses. It makes the home your own, and has the potential to add value. Which is the best age for a home to DIY, and where should they be?
How Old Should The Homes Be?
Rule of thumb suggests that properties built before 1940 command a 38% price premium over properties where the roof or walls require repair.
Newer homes, especially modern ones don’t yield as much from extensive renovation. Your best bet for modern homes are actually the newest ones from 1990 – 2010. This could be a large number of factors, some which include the leaky homes crisis that plagued homes built during this time.
Popular also during this time is the “McMansion” style of house building. Larger rooms could contribute to simpler DIY renovations such as splitting rooms into 2, thereby increasing the number of bedrooms within a house.
Villas are the Big Winners
The biggest price uplft was seen in historic villas between 1900 & 1910, with a 67% increase when in good condition. However, historic villas command a premium price anyway, with most sitting around $1.4M.
They’re rare too. Only 59 were sold in the year 2016. Other historic buildings made up less than 500 sales in the Auckland area at the same time. These houses are hard to come by, and when done up, can achieve some eye watering results.
Mt. Wellington is the Place to Be!
46% increase on renovated modern properties and 31% increase on established properties show that Mt. Wellington is on the rise.
It’s also affordable! Ok, by Auckland standards at least. A do up here could cost as little as $530k here and after a reno could go for $770k.
Tradies In Luck
If you’re one of Auckland’s tradespeople, chances are this is the most cost effective way of getting onto Auckland’s property ladder. This is especially true if you know your way around a builder’s report. Some small fixes that can change a property’s category from ‘Good’ to ‘Moderate’ are no match for a skilled tradie.
Unfortunately, for those unfamiliar with a tool belt, some renovations can be a nightmare. Large jobs, such as fixing a leaky home, can prove very costly and not worth it if you’re planning on flipping property.
Check out our Interactive Map
The data we used was 2016 sales prices compared for properties in ‘Good’ condition to those with a less than good building condition classification. This is done through walls and roof specification from council records and building consents.