On House Hunt, we're tracking the highs... and lows... It's just too expensive. ...of ordinary Kiwis across the country... Getting a house is very important. ...as they hunt for their first home in one of the most overpriced markets in the Western world. This time ` it's the day of reckoning for Jess and Simon... A lot of people are going to go home disappointed. ...as they go to auction for their dream home. Now I've got to stop myself from getting excited and overbidding. And in Wellington, our new immigrants Sam and Maria are locked out of the property market in more ways than one. How do you open this? LAUGHTER Copyright Able 2015 Wellington, NZ's capital of government, capital of wind and capital of culture ` just don't tell the Aucklanders. But the cold breeze of change has been blowing through lately, with cuts in civil services and a pull-back in the arts, leaving a bit of a flat property market. Nonetheless, Wellington remains desirable, compact and fashionable. Its reputation for taste makes it an ideal choice for newlywed retail professionals Sam and Maria. You were nervous. (LAUGHS) I was. This couple met on a course in their home town of Delhi, and the rest is history. He proposed to me on our second date. (LAUGHS) I feel like she's the right one for me. He's a romantic. Sam and Maria are working long hours to achieve their dream of settling in NZ, juggling several customer service jobs between them. If you told him to work 24 hours, he'll do that. It's not always about the money. It's my goal which I want to achieve and where I want to go. The big goal right now is to own a home in NZ and leave behind the rental market doldrums. This place where we're renting at the moment is pretty good, but we have to aim for something better. Back home I have a big bedroom to myself. I was literally occupying the whole first floor of our home, so I'm used to having a lot of space around me. They're desperate for more space, especially wardrobe space. Lots of clothes. Lots of clothes. They don't even fit into my closet at the moment. (LAUGHS) And it's not just Maria. I do love clothes. He has more clothes than me. (LAUGHS) Our dates are mostly just shopping dates. (LAUGHS) Just to do shopping. (LAUGHS) You always want to be` look handsome, you know, when you've not got married yet. (LAUGHS) But their drive for a house is more than just a desire for a wardrobe. We are planning to start a family later this year, so it would be really good if we get the house before that. Sam and Maria's maximum budget of $400,000 won't get them a three-bedroom house in the central city, so they're starting their search further out in the suburb of Naenae. This was once a state house suburb where low-income families could get a start in life. Now it's investors getting a start as the government clears the staties off its books. Local agent Anania Randall thinks it could be perfect for first-home buyers like Sam and Maria too. I think you'll like the inside of this one. Hope so. (LAUGHS) Hopefully. The first place he's showing Sam and Maria is this tidy three-bedroom house on Chapman Cres. It's well kept, with an updated kitchen and bathroom and a generous yard, and it has a modest CV of $245,000. Come on in. Thank you. Let's have a look at the living room. We've got gas heating. It's been painted right through. It's the first place they've seen, and so far, so quiet. Come on through and have a look ` a good look around. What will they make of the bedrooms? It's good. It's been done up well. Good. Only the wardrobes are small ` that's our only concern. Maybe not use it as a bedroom. Maybe a study? Yeah. With the first one relegated to study status already, there's just two more left to make an impression. This could be a bedroom. BOTH LAUGH This one is also facing towards the sun as well. Yeah, on a bright sunny day, this might bring in a lot of light. The master bedroom. That's a good size bedroom, actually. Yeah. So the room's big enough, but how about the wardrobe? That is quite small, I think. Especially with our clothes. (LAUGHS) I don't think it's going to fit in here. These houses were built for folk with simple wardrobes, not shopaholics like these two. Does Maria have the perfect solution? The best that we can do is convert that room into a walk-in closet, but otherwise it gives you a very good feel. Nice vibes. Yeah. SING-SONGY: Oh, and there's the kitchen. Around the corner, keen cook Maria finds the heart of this home. This is beautiful. The fruit trees, the view. I'm going to be cooking here, and you'll be washing there. Then we'll be having breakfast here. (LAUGHS) Hope you've got you're ready to sign on the dotted line, Sam. Maria's already moving in. There's a lot of storage space. The bedroom has less storage than the kitchen. (LAUGHS) Maybe some of our clothes in here. A kitchen wardrobe, why not? But will that be enough to make up for the smaller bedrooms? The house is beautiful. It's been done up very well, but our only concern is the storage spaces because they seem too little for us, yeah. It's a good property but, uh, not what we are exactly looking for. Yep. Sam and Maria are keen to keep hunting. But up in Auckland, it's crunch time for this North Shore duo. Childcare worker Jess and warehouse manager Simon were dismayed to find their average earnings were completely insufficient to buy an average house. Luckily, Mum and Dad have come to the rescue with a bit of help... We'll do the deposit for you just so that it gives you peace of mind so you can go into an auction. And then we will pay you back. ...and some advice, whether they want it or not. Do not go beyond your limit. They're looking in Beach Haven, one of the last entry-level suburbs on Auckland's North Shore ` if by entry-level, you mean figures still starting with a six. They've fallen in love with this renovated three-bedroom weatherboard home in Melba St, but a rival offer has brought the auction forward to today. They're crossing all their fingers and toes it'll be theirs. I'm feeling really nervous about the action. It's the first auction that we are going to that's a serious option for us, which is actually making it a lot more real. We've got the butterflies, and I've got to stop myself from getting excited and overbidding when we don't actually have any more money. Hopefully everyone here is thinking the same. Auckland auctions are seldom underattended, and this one is busting like a Dominion Rd bus. Jess and Simon have spent the last 24 hours getting their finances together, and $615,000 is their maximum limit, not a cent more. Good afternoon. Welcome. Robert Tulp is my name. I'll be your auctioneer. Melba St in Beach Haven is how we know the property. A lot of people are gonna go home disappointed. < One person's gonna celebrate tonight. I wish you the best of luck. The offer that has brought this auction forward is about to be revealed as the opening bid. It's make-or-break time for Jess and Simon. The price that we sell the property, unless we see something higher, is $630,000, buyers. < That's my threshold. If you hear value, buyers, bid now... At 630,000, the starting price has cut them out of the running before the auction has even begun. < 31 and two and three. < Four now. Five. 36. 37, eight and nine. That was brutal, eh. It was awful. (LAUGHS) I thought that we might have at least been able to put our hand up at some point, but obviously` We got completely blown out of the water. Yeah, we never had a chance. Folks, at 671, are we letting it go by? I'll count it down. I'll sell it. Three, two ` it goes ` one. It's yours, sir. Congratulations. Give a round of applause. Far out. With the successful bid nearly $60,000 above their top limit, this auction has left them in its dust. You all right? Yeah, I'm just being stupid. (LAUGHS) I knew I couldn't afford it in the first 10 seconds, like... (LAUGHS) < Are you OK? Yeah, I was a little bit sad. We'll find you something else. Don't worry about it. Yeah. Yeah. We'll find you something else. OK, yeah. I just wish I at least had the chance to bid. Didn't even get to play the game! I'm very disappointed. I didn't expect it to be quite so emotional. I didn't realise I` how much I really liked this house, I think. Despite their parents' help, the house was out of Jess and Simon's league. Their options are to wait, buy cheaper or delve deeper into Mum and Dad's wallet. POIGNANT MUSIC In Wellington, new immigrants Sam and Maria are on the hunt for a home with enough space for the clothes they have and the kids that will come. After a three-bedroom Naenae house failed the test, they're looking closer to the centre of Lower Hutt. This tidy two-bedroom unit is smaller, but it promises a more modern interior and it's closer to work. With a rateable value of $340,000, it's all about location, and agent Anania hopes it might fit the bill. Wow. Beautiful. Beautiful. That's pretty` (LAUGHS) We said the same word. Very well set up. Good space for a TV as well. It's beautiful. This kitchen is even more attractive than the last, and Maria is even more sold. You can connect with the people sitting there and they'll enjoy all that you're gonna cook for them. It looks like this house is already set up for family planning. How do you open this? I'm stuck in here now. Though they may need to do a bit more prep themselves. Finally. (LAUGHS) (LAUGHS) We'd get rid of this if we had it in our house. (LAUGHS) So, this is one of the bedrooms. Wow, that's really good space. It's really bright. The bedroom is bright, airy and big, but will the same apply to the wardrobe? OK. BOTH LAUGH Same thing again. It's a small closet. It was probably huge in the 1950s. But there is one silver lining. Aw, it's really cute. LAUGHS: Look at the monkey. Is that the distant patter of tiny feet? Can we go ahead and use this room as a kid's room in the future? Yeah, I think that'll be a good idea. It's ideal. It still has to sink in; we might be doing it one day. So does this two-bedroom unit tick all their boxes? How'd it go? It's beautiful. The kitchen area and the living are connected, so that makes a big impact. So, this property is up for tender. The rateable value's 340. It's going to be in the higher threes, up to 400 range,... Yep, yep. ...so it's on the edge of your budget. I think it's a good property. Only thing we what we talked about ` for three bedrooms, so that's our only concern with this property. Sam and Maria could do with more space, but it seems their budget is locking them out of a bigger house, unless Anania has a solution. We've got a new development ` Riverside Gardens. Yep. The deposit on those is 5% if you're a first-home buyer and you buy off the plan. That would be great, man. That will save us a bit of money. With new homes available for 5% deposit instead of 20, Sam and Maria could really spread their wings and think big. Hundreds of kilometres away on Auckland's North Shore, another first-home couple have had a wake-up call. Being out-priced by the opening bid at auction has sent them firmly back to square one. Is there anything else that's kind of similar? What's that? READS: Your first home. 409m2? Mm. And they're still feeling bruised by their last experience. Oh, it's going to auction. Auction. Do you know what? I hate that, though. Why don't they just put a price? It's so f` What do you, like` Just put a bloody dollar figure on it. They've decided to stay well away from auctions. Auctions are a nightmare. If you want to sell, they're perfect. If you wanna buy, don't go there. (LAUGHS) Just don't. It's terrible. These people are buying them as investment properties. We haven't been against one new couple. Yeah, we've been through a few auctions, and they just seem` Or one family. ...ruthless and, you know, out of` We were out of` Can't really participate. If you can't pay, you can't play. But when a couple like Jess and Simon can't afford entry-level Beach Haven, who's paying and who's playing? There's pretty much nothing here. We've only got five houses to look at. There's hardly anything available in their price range, but Jess and Simon may have a glimmer of hope. A local agent has tipped them off to house near the water in Beach Haven that hasn't yet hit the market, a real plus. With three bedrooms, it needs a bit of work, but it has a pool and a good location on Ranch Ave. At $615,000, it's at the top of Jess and Simon's budget, but it's not going to auction, so could it be worth a shot? What do you think? I love the colour. Yeah, nah, it's nice. There's a sweet fort. Somewhere for me to play. Somewhere for you to sleep when we're fighting. (LAUGHS) Simon's bedroom is sorted, but what about the rest of the house? That wallpaper's awesome. Whoever did that did a really good job. That is really cool. It's amazing. Oh, it's perfect being able to cook and live in the same area. You can't escape me ever. (LAUGHS) Yeah. I've got the fort outside. BOTH LAUGH There's something about this place that has Jess and Simon written all over it. There's a lot of natural light that's coming through. And it's quiet. Mm. You've got roads on each side; you don't have a neighbour. That's what it is. Oh yeah. You're not looking out your window into your neighbour's lounge Roads aren't usually associated with quiet, but it's a nice change compared to the tight boundaries that Jess and Simon are used to seeing. Oh. Oh, more wallpaper. Awesome! It's pretty cool in here. Very cool. In the bedrooms, there's even more flair. Do you think this will be big enough? No. If only there was more space. It's not going to be big enough for all of our belongings. This would be my big compromise ` is the size of the bedroom. The third bedroom's also small, but Jess has a cunning plan. I think we'd have this as our dressing room. Would be quite nice to have a little area where you can, you know, spend two hours getting ready to go out, not that you spend two hours getting ready to go. I wake up like this. BOTH LAUGH Look at this outdoor area. This is more than what we were hoping to find, actually. Yeah, really. You could really have some shindigs out here. Sounds like Jess and Simon have already started party planning, and it might just be a pool party. And bonus! Pool parties. It's a bit rustic. Yeah, I'd say it's been here... Feels solid enough. With Simon's seal of DIY approval,... It's got water in it. ...there's just the cocktails to take care of. A pina colada, please. We don't do those. Hanging out in my awesome` Well, what do you do? Water? Lion Red. BOTH LAUGH With an asking price on the house instead of a dreaded auction, Simon and Jess should dive in. They're asking 615 at this point. It's right at the top of our price. Yeah, that's a big worry. If someone else offers more, but I think what we could do is we could try and be a bit tactical and maybe go unconditional,... Mm. ...you know. Just try and` Agree to everything they want and see. I mean, we can only try. I really think that we should put an offer in. Mm. They decide to put in an offer of $610,000, but in a market like Auckland, will it even touch the sides? In Wellington, Sam and Maria have made an exciting discovery. If they buy a new-build house, they'll only need a 5% deposit instead of the usual 20, so they're checking out an option further up the Hutt Valley. Taita also used to be a state-housing enclave, but, controversially, many of the families who lived here have been moved out to make way for new developments. Agent Anania Randall wants Sam and Maria to see a show home in brand-new subdivision, Riverside Gardens. We are quite excited to see this house. Yeah. Houses here are selling faster than they can be built, and it's being actively marketed to Sam and Maria's demographic. Prices here range from $320,000 to half a million dollars. So will they like the flash new show home? JAUNTY MUSIC Come through to the lounge and have a look at this. Wow, that's amazing. Beautiful. Everything is modern. That's amazing. The best thing we can have. I think that that's something which we are looking for, I think, a new house. It's a new home, that's the main thing. There's nothing quite like a brand-new home ` no surprises and it seems everything they want in one big sugar hit. I can imagine myself in the kitchen here. I can imagine Maria's cooking here, and I'll be watching a movie over here. (LAUGHS) And a lot of storage, which we really need. The kitchen has more storage than the last kitchen had kitchen, but will the bedrooms have that all-important wardrobe space? Walk-in closet for both of us. Imagine all our clothes are gonna fit in there. A lot of space as well. Yeah, I like this. It's going well. This could be a kid's room or... Yeah. Yeah, right next to ours. There's a closet there. Let's see how big. Wow, this is big. It's really big. It's amazing. Even the future kids' room has a big wardrobe. Just as well if they pass on their shopping genes. And there's more. Extra storage! Yeah! Oh, we have another bedroom now. What we do with this? With room for their clothes, future kids, future kids' clothes and relatives, will Maria and Sam lose each other? We can change every week. (LAUGHS) From that to this and this to that. It's good when we are fighting, so it's separate. Wonderful. But, wait, there's more, through one more door. It'll fit two cars, definitely. Definitely. With a train station close by, they may not even need cars, but it could always become a giant wardrobe. Hey, guys. What do you think? Out of the world, beautiful. We're just ticking all the boxes now. There's storage. There's three bedrooms. Four bedrooms. Four bedrooms, but, yeah. There's no question this home has hit the mark for Maria and Sam, but Anania has to bring them back to earth. Well, it is a show home, so price-wise it's out of our range,... BOTH: Yeah. ...but we do have some other homes here. OK. > Two-bedroom and three-bedroom that are in our range. So the finish, everything else is pretty much the same. It's a good opportunity, I think. A show home is tailor-made to inspire dreams of happiness, and in this case, Maria is sold. It is what we wanted. Happy wife, happy life. She's that beautiful that it's so beautiful. BOTH LAUGH But as Sam and Maria are about to find out, house-hunting is rarely that straightforward. Up in Auckland, happy days have finally arrived for Jess and Simon. Their offer of $610,000 on the house in Ranch Ave was successful. They have a home. Had to move very quickly because before the first open home, it went with two other offers into a multiple bidder situation, and we were fortunate enough to get it. Needs a little bit of work to make it our own, but that's what we're looking forward to. Luckily, they've still got spare cash from their original budget to add some flair. We're really really happy and, um, just can't wait for that move-in date. And they don't have long to wait. Just a few weeks later, they've moved in, and they've wasted no time putting their stamp on it. Hello. Welcome to our home. We're so excited to be here. We have... put up our art wall, which has been a big thing for me because I still have about 13 pieces of framed art that I'm not quite sure where it's going, but that was very exciting. So, out here is our party patio, which has been so good. It's been really enjoyable. We've had lots of nice things to do out here, and we've got big dreams of getting eventually a projector so that Simon can watch games out here and a beer fridge and all of those things that a man needs. Even without the luxuries that a man apparently needs, these two know they're very lucky just to own a home. They're under no illusions that they could've done it alone either. We wouldn't have been able to do it without Simon's parents and my parents ` um, gave us the deposit because we had nothing but KiwiSaver. Save up $100,000; ridiculous that it's not going to happen. It's just` It couldn't be done. Well, yeah, it can be done. Well, it can be done by some people, but not us. With a lot of luck and some hard work, they've achieved the near impossible and become Auckland homeowners. It's awesome, eh. It feels like you've won Lotto or something cos, you know, the market in Auckland is pretty tough, and, you know, I think we've done really really well. Winning Lotto but paying a ridiculous amount for it every week. (LAUGHS) Oh. Yay! Next time ` will visa delays stop Sam and Maria buying their dream home? I just want to enquire regarding my wife's passport. And can combining incomes help death-metal singer Courtney and family get a foot on the property ladder? This is the only option if we want to buy in Auckland. Copyright Able 2015