Harcourts' Ilse Evans Explains the Latest Change to the Overseas Investment Act

The latest change to the Overseas Investment Act came into effect on 22nd October 2018, and from this date all purchasers of residential or lifestyle land or property, including people living in New Zealand, will need to complete a new document called a Residential Land Statement (RLS).

The reason for the change is that some overseas buyers will need to apply for consent to buy property in New Zealand from 22 October, and the RLS will ensure the correct information is collected by conveyancing lawyers. However this change has not affected the average price for Auckland, which had a 2.6 per cent rise on last year to an average $917,150, and Harcourts’ auctions and sales are growing busier as our days grow longer and warmer.

From that date overseas people will generally not be able to buy residential land unless they have a permanent residency visa and intend to live in New Zealand. You can find useful resources to help you understand the changes on the REINZ website by clicking the Advisory tab and scrolling across to the Overseas Investment Act hyperlink. Included in the resources are two basic flyers prepared by the OIO in consultation with REINZ, for purchasers and vendors to help them understand the new rules.

The OIO has also produced a useful online tool to help purchasers work out whether they require consent, which can be accessed on the REINZ website at http://www.reinz.co.nz . REINZ has also today released a Purchaser Acknowledgment Form that agents can ask purchasers to complete at the time of making an offer and before attending an auction.

Ilse Evans is an agent who you can trust to make recommendations that will ultimately result in sound strategies to ensure the maximum price is reached, so for more information on Harcourts Takapuna, real estate agents Takapuna and house auctions Belmont please go to http://www.ilseevans.co.nz .