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 ` in Wellington, will Bonnie and Matt's dreams of prefab living come true, or will it all come crashing down? I was just nervous waiting to hear back, cos I just wanted to be put out of my misery. And the race is on for animal-lovers Monique and Chris to find their first home in Hamilton. I remember reading that if you don't have a house by the time you're 40, um, then it's not really looking too good for you. Copyright Able 2015 Hamilton, on the banks of the Waikato River, is NZ's largest inland city. Parks, gardens and a thriving cultural precinct make it truly desirable, and with the new Waikato Expressway shortening the commute to Auckland, house prices are starting to skyrocket as the big-city folks, squeezed out of their own market, head south, but that's making it harder for first-time buyers to get on the ladder. Animal-lovers Chris Forsyth and Monique Wanner are Hamilton natives. After four happy years together, they want to get their own slice of the fountain city. Hamilton is just` It's just where I` where I've always lived, I guess, so maybe I` just cos I don't know any different. (CHUCKLES) I don't know. We both love the outdoors and just getting back to nature as much as we can, really. I think that's one of the reasons why we're still here. It's just a gateway to just so many different landscapes. Chris is a sales rep, and Monique works full-time for a construction company, supplementing her income by working as a massage therapist. With two substantial incomes, this disciplined duo have amassed a sizeable deposit. I know that a lot of people do struggle to save, but fortunately, and I think the way we've both been brought up, just always having a nest egg. That nest egg is the key to security and prosperity. With a top budget of $450,000, they want three bedrooms, two bathrooms and a large section for their dogs. Despite rising prices, they're confident they can get what they want within budget. I think you can get good value in Hamilton. I think Hamilton's still reasonably... cheap. The place they rent now is sweet, semi-rural, spacious and silent, except for the odd cow. (BELLOWS) We just love it here. But... Mm. Yeah, especially with dogs, and we also have a cat, so the property that we're in at the moment is perfect. We're surrounded by paddock land. Happy with their lot, they haven't been in a hurry to become homeowners until now. I remember reading that if you don't have a house by the time you're 40, um, then it's not really looking too good for you, so it's definitely something that we'd rather get on to sooner rather than later, cos I think it's important to have a house as an investment. Plus there's a great big highway going through just down the road. The place they're renting is in the path of the new Waikato Expressway, so with its future uncertain, they've decided the time is right to move on, and they're taking a practical approach to house-hunting. I think it's best not to get emotional about houses because that's when you start pushing your budget higher and higher, and that's what, uh, real estate agents want you to do. Mm. The first place they're viewing is in Chartwell, an established north-eastern suburb that's been the place to be for decades. With four bedrooms, a recent reno, heaps of room outside and a CV of just $370,000, it could be ideal. Hey, nice to meet you. Jo. Hi. Chris. Local agent Jo Foley is ready to show and tell. Thank you. Thank you. Make yourself at home. Have a good look round. Cheers. It seems the garden is more important than the house, so Chris and Monique are outward bound. Quite nice, isn't it? Yeah, it is quite nice. Yeah. Except for that house right there. Yes. Probably the` My only concern is just the privacy. Like, we can almost hear them talking, so... Mm. Yeah, definitely have to get used to that. The dog's happiness is always front of mind, so will this space keep their tails wagging? Can you see the dogs here? Yeah. They'd be all right here. The kitchen's pretty flash and comes sunny side up. Nice outlook. Like the table here. Island kitchen. Yeah. Yeah. Yup, and then you can, you know, prepared your food and look out on to the living. So.... In the living area, Monique spots a must for frosty Waikato mornings. Hey, I like that fireplace ` instant heat. BOTH CHUCKLE Not what we're used to. That would be fantastic. Yeah. It's a good start, but will there be more instant heat in the bedrooms? Average size? It's probably a double room. Yeah. Mm. Yeah, you can fit a double bed. If you can fit a double bed, it's a double room, isn't it? The bathroom is modern and low profile. It's very tidy. It's very low, isn't it? That's, um` I don't think I've ever seen it so low. This is different too. His-and-hers thing. I haven't seen that too often, actually. But if they're not careful, the neighbours will be checking out his and hers. Your neighbour's looking right at ya. That is true. The master bedroom is generous and bright,... Very very light, isn't it? A lot of sun. Yeah, a lot of sun. It's gonna be cooking. Yeah. It's` It's hot. ...but for Monique and Chris, that's not a selling point,... This is a hot room, isn't it? Very very hot. Mm. Yeah. Not so good in the summer. ...and neither is the proximity of the neighbours. There's your neighbours again. Yup. (CHUCKLES) Hi. (CHUCKLES) So far they're underwhelmed, but downstairs, there's a welcome surprise. Hey, this is really unexpected, isn't it? Mm. That's really cool. Mm. With a separate living area, a bedroom, bathroom and utility, there's plenty of space down here, and it could be a perfect place for Monique to get hands-on with her clients. Hey, this would be good for my massage. Could do my massages in here, and it's nice and private. BOTH: Yup. No, I like this. Mm. Yeah. This house is going to auction in a matter of days, so agent Jo wants to know if Monique and Chris are serious contenders, but like many first-time buyers, they're reluctant to reveal their top dollar. So, what price bracket are you guys looking in? We're sort of looking around 350 to 400. This house actually isn't in that price bracket. It's higher than that. I've had feedback above that. We sold the front property for $511,000... < Really? ...last year. Yeah. So we would expect that it's going to be somewhere around that at this point in time. > This property is probably not really the one for you. Mm. Yeah, no, I mean, you're right; that probably would push our budget quite a bit, and we were, sort of, more looking at the CV. It's a simple misunderstanding many first-time buyers make. Monique and Chris assumed the council valuation would've had some bearing on the price. The CV is definitely not a guideline of true market value. In general, most properties that are in good areas that have been done up to this standard are selling well above the CV. OK. That's really good to know. Yeah. I can't believe how much the houses, um, in the area are selling for around here. Sort of, uh, amazed us a bit. And it just kind of makes me feel like we do definitely have to act sooner rather than later, because, um, prices are going up. Mm. But this is viewing number one. They remain upbeat. I don't think we're being unrealistic with, um, our expectations of what we can afford. I still think that the right house is out there, you know? So... Yep. Concerns of privacy and a higher-than-expected price tag mean this place is out. Time for Monique and Chris to regroup and explore some other options. In Wellington, American imports Bonnie and Matt are looking for a warm, dry family home and think building a prefab house could be the way to go. If we could achieve this as a first home but in` in a first-home budget, we would be really lucky. I think so too. Before they can commission the build, they need to secure some land, so they've put in an offer of $183,000 on a section in the popular suburb of Paparangi. You're the third person that's come to us about the site. Oh. If you` That's the thing, is securing it. It's, like, doing my head in. I don't know how many developers are interested. Yeah. It's being sold by closed tender, and they're hoping the personal touch will put them ahead of the pack. Just to reach out and try to, you know, connect with them to say, you know, we're the people behind, you know, this` this faceless process. After a night of nail-biting, they have their answer. We made an offer on the section that we liked, and we were one of 19 people to make an offer on the place, or something like that, and, yeah, it just wasn't, uh` yeah, it wasn't enough money. It's a blow, but they're dusting themselves off and moving on. I'm kind of used to the rollercoaster, so you get excited about something and then disappointed, and then you just kind of` you just need to turn it off, and just, 'OK. Next one.' We're kind of used to that. With their dreams of building on hold, they're checking out another option in one of their favourite suburbs, Churton Park. This four-bed 1980s home has a CV of... It's close to good schools, and it's an easy 15-minute commute from the city, but will it be the warm, dry home that they're hoping for? Let's go on inside. Eldest daughter Elsie's off to claim her bedroom, but Bonnie and Matt make a beeline for the living room. Well, we'll go up there in a second. Yeah, this room's nice. The carpet seems nice and new. Paint job looks pretty decent. It definitely feels warm in here for being, kind of, a chilly, cold day, so that's a good sign. Warm is good. Bonnie and Matt have had enough of cold, dark and damp, but is the kitchen up to scratch? Definitely bigger than our current kitchen. Yeah. I mean, it's a bit '80s, '90s, but it's better than '60s. (LAUGHS) Yeah, no, this is definitely workable. We're moving on up in the decades. 20 years newer is not to be sneezed at, and the business end of the kitchen is a delight. This sink is really big. That will be really nice, cos I'm just constantly washing dishes, constantly, bottles and the whole 9yd. So certainly, it's a nice space, so it's good. And a little second living area, which is always good with all the extra stuff we seem to have with kids, huh? Yeah. > What do you think? Bonnie and Matt are making all the right noises, but will this place get the gurgle of approval from youngest daughter Gwen? ...toys in here. (BABBLES) Mm, that's right. So far, so good, but upstairs, it seems the frantic pace has tired Elsie out,... Rest time. It's rest time? Are you gonna sleep in your` in a new room? Why don't you go pick one out? Master bedroom. There's no wardrobe. I know. ...and Bonnie soon spots another potential issue,... It's, like, a soft spot. Mm, looks like it. > ...but it's not enough to put Matt off. He's even finding the silver lining through the rain clouds. I think you'd get all-day sun up here since this is facing north. Bedroom two is big enough for one of the girls. Yeah. This room's a decent size, I think, for one of the kids. It's not too big, but, yeah, they'd fit in. Oh my gosh. Look at this. Oh, jeez. Yeah, that's not good. And it's just pooling right here. That's... disappointing to see. It's not a good sign. A worried Bonnie is keen to check the other bedrooms for signs of leaks. That's the only window with the puddle of water. This house may have the space they need, but can they see past the leaky window? It's first home, not dream home, so there's just things, um, at our price range we have to accept. The prospect of having to do some maintenance hasn't put them off. Ever practical, they're taking the glass-half-full approach to this place. It's kind of, like, what we're looking for, I mean, in terms of space and location and just, kind of, the` the finishings and stuff, and the price, really, is what we're looking for, so, yeah, it` it definitely ticks a lot of the boxes, um, but, yeah, you know, we definitely wanna have a proper builder's inspection done. So an offer of $417,500 goes on the table pending a clean building report. It's more than $7000 over CV, but will it be enough to secure their home? INTRIGUING MUSIC 1 In Wellington, Bonnie and Matt's initial offer of $417,500 for this 1980s home was rejected. Since then they've been entrenched in tough and lengthy negotiations. Took about a week to hear back. I was just nervous, waiting to hear, cos I just wanted to be put out of my misery. We were pretty far apart, but we moved, number-wise, um, to try to, you know, put our best foot forward. The vendor countersigned at $455,000, so Bonnie and Matt upped their offer to $432,000, and finally they got the news they were hoping for. The house is theirs subject to finance and the builder's report. I don't think I've really, you know, jumped completely, um, all the way in, but, yeah, it feels` it feels pretty good. I mean, I feel pretty sure that it's gonna happen, I guess. Really, the only condition that matters, making or breaking this thing, is the building inspection, so hopefully no big defects with the house, and` and this journey will, hopefully, be concluded. While Bonnie and Matt are nearly home and hosed, in Hamilton, Monique and Chris are just starting their search. They've got the same budget as Bonnie and Matt, but here, $450,000 gets you a bit more bang for your buck. The second place they're checking out is further north in Pukete. With three bedrooms, open-plan living, a big section and even bigger views, it's going to auction soon with a CV of $410,000. Hopefully it's more private than the last place. Wow. It's very different. I love the wood. Yes, nice open-planned. Yeah. Nice kitchen. I like the colours as well ` contrasts beautifully, actually. It's a good start, and despite the incessant rain, they can't fail to notice this house's key selling point. It's got really good views, eh? The sunroom is ideal for the discerning feline of the family. This is cool. (CHUCKLES) There's a little seated area out there too. I think the cat will love it here. BOTH CHUCKLE All about the cat. You can't help but think about your cat. So the cat's sorted, but is this place secluded enough for our clandestine couple? It's actually quite nice and private. There's a lot of foliage. So... Yup. A lot of maintenance. (LAUGHS) Oh, that's true. Monique's radiating positivity, but Chris seems determined to find flaws. I like open-plan, but then again, I also like, um, you know, sections in a house. There are two bedrooms on this level, and they're both a decent size. I actually really like it. Muscle. It's a bit stuck. < Just push it. (EXHALES) Reminds me of home. (CHUCKLES) Monique's already nesting, but will the upstairs feel like home to Chris? Wow. Look at this. Hey, this is cool ` completely separate living. Sort of. You know, you can look down on the other one. Chris is a hard sell, but determined Monique isn't giving up. It's got a very spacious feel, doesn't it? I guess just from the height. ...the raking` raking ceilings. Obviously, the master bedroom and en suite. Carpet in your en suite. Well, that's easily changed, isn't it? This is nice. But in the master bedroom, a familiar problem raises its head. If they buy this house, they'll have neighbours. This is a little bit of a shame. I guess it's just, sort of, more urban living, isn't it, to what we're used to. Mm. We could just tint the windows or something. Yeah. It's not` It's not bad. It's not a deal-breaker for me. After nearly a decade of rural living, Chris is in danger of becoming a recluse. Yeah. See? They've got their curtains shut ` probably always shut for privacy. Yeah. In their rental, the closest thing they've got to a nosy neighbour is a stray cow, so they're finding the prospect of urban living is a hard pill to swallow. I'm pretty fussy when it comes to residential housing in the city or, you know, in a residential area. So... I think what we're learning as well is that, you know, we are, um, probably a little bit more fussy than what we thought initially, so, uh, yeah,... < Mm. ...maybe just something to think about. Chris takes a quick swim around the section to be sure, but he's finding the whole prospect a bit watery. It'd be a shame to have neighbours again. (LAUGHS) Yeah, definitely. We have gotten used to having our own space, and it really is a luxury at the end of the day, and if you're looking at more residential areas, you know, you're gonna have to compromise somewhere. So, yeah... But in the end, they decide this house would be too big a compromise, so their search continues. Further south, Bonnie and Matt have been dealt a devastating blow. The builder's report on Cunliffe St has turned up some worrying defects. The building report showed some high, uh, moisture readings in two walls in the bedrooms, and, um, I think we were just too risk-adverse and just decided to walk away, so it was quite a disappointing thing to actually get an offer accepted and then` and then not follow through with it. So... Down but not defeated, this resilient pair have found another option in the popular suburb of Paparangi. This three-bedroom 1950s weatherboard home has real potential and a rateable value of... It needs some updating, but Bonnie and Matt aren't afraid of a project. A really basic, modest home, um, but a great section, I think a lot of potential. We're thinking we would wanna renovate right away. We're quite content with the idea of, like, having a somewhat of a smaller house, you know, as long as it has, like, three rooms. Increasingly desperate to find a home, they're lowering their expectations. Basic and small is fine if there's no structural defects, and this place comes with added peace of mind. The vendor has supplied a LIM report and a builder's report, so that really just helps created some certainty going into the offer, and it` it said exactly what we wanted to hear, which was, 'Basic maintenance required, but it has good bones.' I mean, that's just, like,... (CHUCKLES) you know, pretty ideal. With only days till the tender closes, Bonnie and Matt don't wanna miss out again. They're offering $387,000 ` that's more than $20,000 over CV ` but it should still give them enough change for the reno. Will this place be third-time lucky? SEAGULLS SQUAWK In Wellington, the tenders for Bonnie and Matt's Paparangi possibility have closed. Their offer was one of the few that got into the ballpark, so they've been asked to compete in a blind-offer process. They came back and asked us to submit another bid, so, reluctantly, we offered some more money, and, supposedly, the other people offered more, and, um, they ended up out-bidding us by four grand, I think. Bonnie and Matt had to make their best offer with no idea what the competition would be and no opportunity for further negotiation. Their final bid of $391,000 missed the mark by just $4000. Needless to say, they're gutted after getting so close. Coming out of that disappointment, um, I think to cope with that, we... Sorry. (CHUCKLES) I feel really silly. Sorry. Um... (SIGHS) You just, like, um,... focus on the things you do appreciate,... (INHALES SHARPLY) and, um, yeah, we're quite lucky, and this is, like, so... You know, it's` it's` it's not, um... It's not that big of a deal in comparison to having your health and` and your family. So... Mm-hm. Bonnie feels burned by the real-estate business, and the disappointment is just too hard to take. It was just, like, so close, and then it was just taken away, so we kind of felt chewed up and spit out in the process, and I guess that's just some of the realities of buying a house at the moment, is that the buyer doesn't really have much power. But all is not lost. Facing the harsh realities of the market has made Bonnie and Matt more determined than ever to build their own home. We've been in contact with Matrix Homes, so they are exploring, um, an option for us in Churton Park, so we're gonna see if we can get a section up there that we can get a Matrix home on. We would be really keen to take that option if it becomes available. And they've got a message for others about to start their house-hunting journey. Patience and prepare to be disappointed... (CHUCKLES) are two of the biggest things from our experience. BOTH CHUCKLE Perseverance, patience. (CHUCKLES) Back up in Hamilton, a twist of fate has turned the tables in Chris and Monique's favour. The house that we live in is no longer needed for the expressway, so we are now, sort of, beginning to think that we might be interested in purchasing it. They say home is where the heart is, and it looks like Chris and Monique's hearts have always been in their rental. The more we look at other houses, the more we start to think, 'Well, hey, maybe we've got something, a really good opportunity, here.' If we bought it for a very reasonable price, then we could put some of our money towards doing it up and doing the things we know it needs. It's the ultimate happy ending for Chris. After living here for eight years, he's struggled to find anywhere else that matched up. Just something about it. Um, there's a lot of space. Uh, there's no neighbours or anything like that. But we struggled with the idea of not being rural. And it's just the set-up as well. It's perfect where we are, because we're so close to town and yet we're in the country, so we just love it here. Mm. Safe in their rural Waikato paradise, it's time for Chris and Monique to relax and enjoy the green grass. It's been a long, hard road for all our house-hunters. For some, the journey was paved with disappointment,... It will happen some day. Don't worry. It will happen. ...but the rest played the game, battled the odds and won the ultimate prize. In one of the toughest market for first-time buyers, they found a place to call home. LAUGHTER, APPLAUSE