Buying guide
Mortgage sales NZ: What buyers need to know
Is it an opportunity or a risk?
AI summary
A mortgagee sale can be an opportunity to buy property for less but carries significant risks. These sales occur when a lender sells a home due to unpaid mortgage payments, often with fewer buyer protections.
Key risks include:
- Sale agreements that favour the bank
- No guarantees on property condition or chattels
- The sale can be cancelled before settlement
Thorough due diligence is crucial. Always engage a solicitor to review all documents and budget for potential repairs to mitigate these risks.
What is a mortgagee sale?
How are mortgagee sales different for buyers?
The good
The bad
Make sure you get good advice from a lawyer with experience in mortgagee sales if you're buying one.
How to protect yourself when buying at a mortgagee sale
You can specifically search for mortgagee sales on TradeMe - just use the keyword function.
Buyer beware
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