Buying Property in New Zealand: A Guide for Australian Buyers

The good news? Australians enjoy some of the most favourable property-buying rights of any foreign nationals in New Zealand. The challenge lies in understanding the rules, navigating lender policies, and managing the logistics from across the Tasman. This guide breaks it all down: who can buy, how the lending process works, what costs to expect, and how to prepare for a smooth purchase.

Can Australians Legally Buy Property in New Zealand?

Yes, you can – without needing Overseas Investment Office (OIO) consent in most cases.
Under the Closer Economic Relations (CER) agreement between New Zealand and Australia, Australian citizens and permanent residents are treated almost the same as locals for residential property purchases.
You can freely buy:

• Existing residential homes

• New builds and off-the-plan developments

• Investment properties

• Holiday or second homes

The only limitation applies to “sensitive land” – large rural properties, coastal sections, or land near reserves – which may still require OIO consent under the Overseas Investment Act 2005. Read our full article on how the OIO applies to offshore property buyers.

Always have your lawyer check the property’s land classification before signing an agreement.

What Kind of Property Can Australians Buy?

Australians have broad access compared with most international buyers. You can purchase:

• Owner-occupied homes or holiday houses

• Rental investments or new developments

• Commercial property (subject to normal OIO thresholds)
  You don’t have to live in New Zealand to own property here. However, if you’re planning to move permanently, buying as a soon-to-be resident may help you qualify for more flexible lending or lower deposit requirements.

Can Australians Get a Mortgage from NZ Banks?

Yes – but expect stricter conditions than local borrowers.
Most major banks (ASB, BNZ, Westpac, ANZ) and some non-bank lenders (such as Pepper Money) will consider Australian citizens or PRs for home loans, even if you live and earn in Australia.

Here’s what to know:

• Deposit requirements: 20–30% is typical. LVR limits usually cap lending at 70–80%.

• Foreign income scaling: Australian-sourced income is usually discounted by 10–20% to allow for exchange-rate and currency risk.

• Loan types: Both principal-and-interest and interest-only loans are possible, though interest-only terms are more tightly assessed.

• Documentation: Expect to provide Australian tax returns, payslips, employment contracts, and recent bank statements.

Working with a mortgage broker experienced in cross-border lending is the easiest way to find a lender comfortable with your income type, visa status, and property goals. Read our guide on how overseas income is assessed for mortgage applications.

Do You Need to Be in NZ to Buy?

No – the process can be completed entirely from Australia.
You can:

• Complete remote identity verification via certified or video-witnessed documents

• Appoint a Power of Attorney for a lawyer to sign on your behalf

• E-sign documents (where accepted by the bank)

• Settle remotely, with your solicitor managing the handover in NZ
  Just allow extra time for notarisation, couriering, and anti-money-laundering (AML) verification.

Click to see our full guide on buying property remotely

What Taxes and Costs Apply?

Owning property in NZ comes with a few ongoing and transactional costs.

Key taxes and charges include:

• Bright-line test: Profit from a property sold within 10 years (or 5, depending on purchase date) may be taxed as income.

• Rental income tax: If you rent out your property, that income is taxable in NZ.

• Non-resident withholding tax: May apply on NZ interest or investment returns.

• Double tax treaty: NZ and Australia have a DTA, so you won’t be taxed twice on the same income.

Typical purchase costs:

• Legal & conveyancing: NZ $2,000–$4,000

• Bank & valuation fees: NZ $500–$1,000

• LIM report: NZ $300 ±

• Building inspection: NZ $400–$800

• Currency transfer fees and FX margins

Get our full break down on tax implications as an offshore buyer

What Documents Will You Need?

Personal ID

• Passport

• Australian driver’s licence or proof of address

• PR or citizenship documentation

Financial Evidence

• 3–6 months of payslips and bank statements

• Australian tax returns or Notices of Assessment

• Employment contract

• Proof of deposit funds (and source of funds)

Property & Loan

• Sale and Purchase Agreement

• Valuation report (ordered by the lender)

• AML/CFT forms and declarations

Read our full mortgage application document checklist.

What’s the Buying Process?

1. Contact a NZ mortgage broker to assess eligibility

2. Apply for pre-approval with supporting income and ID documents

3. Search for a property in NZ (remotely or via an agent)

4. Sign a Sale & Purchase Agreement (conditional if needed)

5. Get a property valuation ordered by the bank

6. Obtain full approval and complete loan documentation

7. Work with a NZ lawyer or conveyancer to settle remotely

Read our step by step guide on applying for a NZ mortgage from overseas.

Typical timeline:

• Pre-approval: 3–10 working days

• Property search: varies

• Settlement after contract: typically 3–6 weeks

Common Mistakes to Avoid

• Assuming you’re exempt from all OIO rules

• Expecting 90–95% lending (most need 20–30% deposit)

• Overlooking Bright-line tax when reselling

• Using the wrong loan structure (interest-only without exit plan)

• Ignoring FX and transfer costs

• Delays from uncertified or incomplete documentation

Key Takeaway

Australian citizens can buy residential property in NZ without OIO consent – but you’ll still face deposit and documentation hurdles.

Start early, talk to our NZ-based mortgage advisors about your options, and we can help you navigate a smooth path towards your New Zealand property goals.