Investment Property in Dunedin

Investment Real Estate in Dunedin

Dunedin property investment can be a worthwhile venture if you are selective with the areas you choose to invest in. If not, you could find that your investment suffers due to low rental yields, dwindling demand, and slow property price growth in many parts of Dunedin .

Get Our Latest List of Investment Property in Dunedin

Search Map of Dunedin Investment Real Estate

Dunedin ( duh-NEE-din; Māori: Ōtepoti) is the second-largest city in the South Island of New Zealand (after Christchurch), and the principal city of the Otago region. Its name comes from Dùn Èideann, the Scottish Gaelic name for Edinburgh, the capital of Scotland.

With a population of 126,255 at the 2018 New Zealand census, Dunedin is New Zealand’s sixth most populous city. However, due to historic, cultural and geographic reasons the city has long been considered one of New Zealand’s four main centres. The urban area of Dunedin lies on the central-eastern coast of Otago, surrounding the head of Otago Harbour, and the harbour and hills around Dunedin are the remnants of an extinct volcano. The city suburbs extend out into the surrounding valleys and hills, onto the isthmus of the Otago Peninsula, and along the shores of the Otago Harbour and the Pacific Ocean.

Archaeological evidence points to lengthy occupation of the area by Māori prior to the arrival of Europeans. The province and region of Otago takes its name from the Ngāi Tahu village of Otakou at the mouth of the harbour, which became a whaling station in the 1830s.

In 1848 a Scottish settlement was established by the Lay Association of the Free Church of Scotland and between 1855 and 1900 many thousands of Scots emigrated to the incorporated city. Dunedin’s population and wealth boomed during the 1860s Central Otago Gold Rush, and for a brief period of time it became New Zealand’s largest urban area.

Today Dunedin has a diverse economy which includes manufacturing, publishing, tourism and technology-based industries. However, the mainstay of the city’s economy remains centered around tertiary education, with students from the University of Otago, New Zealand’s oldest university, and the Otago Polytechnic, accounting for a large proportion of the population; 21.6 per cent of the city’s population was aged between 15 and 24 at the 2006 census, compared to the New Zealand average of 14.2 per cent. In 2014 Dunedin was designated as a UNESCO City of Literature.

Get Our Latest List of Investment Property in Dunedin

The financial stability of Dunedin has translated into a real estate market that rewards forward planning and a willingness to look beyond areas of traditional affluence.

Buy to Rent in Dunedin

Renting out your Dunedin buy-to-rent investment property can grow wealth and income.

Whatever your goals with investment property in Dunedin are – preparation is key.

Set goals based on how much rental yield will be required and the local rental yield rates in Dunedin and be prepared to change your initial outlook.
Thoroughly research the Dunedin location with a special emphasis on fringe areas outside the main Dunedin metropolis that may be valued lower than their better-known neighbors. Rental yields of around 5% are still attainable in certain areas of Dunedin.
Ensure that your target investment property in Dunedin appeals to professionals. This is a demographic that ensures maximum income and low voids.
Finding and vetting suitable tenants is a job ideally left to the professionals. Working with an established letting agent such as Physis Realty with local knowledge and experience of property legislation will give you the best chance of success.
You may think that managing your Dunedin properties yourself is an easy option, but are these savings justifiable when you run into Dunedin red tape? Physis Realty Dunedin office in downtown provides you with peace-of-mind and leaves you time to plan your next move in the growing Dunedin buy-to-rent sector.

With our expert guidance, investing in Dunedin provides the secure knowledge that your money is working harder than it would in a local Dunedin bank and that future generations of your family will be left with substantial capital growth assets.

We are always happy to advise on buying investment property in Dunedin, where we have been established for over 35+ years. Physis Realty has been a firm fixture in the Dunedin property market through good times and bad. Our experts have seen it all and our portfolios continue to outperform.

Flipping Investment Property in Dunedin

Flipping property in Dunedin

Flipping property is when we advise clients to buy a Dunedin property below market value, renovate it and then make a profit by selling it at a higher price, all within a few months, and often before the Dunedin market has a time to react to the renovation.

The Flipping Strategy in Dunedin

Investment property flipping in Dunedin is a simple strategy. You find a property that is in need of renovation from our list and purchase it for a low price. These type of Dunedin real estate investments are sometimes referred to by professionals as ‘distressed’ Dunedin real estate.

What is distressed Dunedin property:

Dunedin property in need of renovation
Dunedin real estate with a change of purpose and use
Oversold Dunedin property
Bank repossessions in Dunedin

Put simply, long term investors in Dunedin purchase the property, renovate it and make it a lot more attractive to potential buyers.

Calculate profit that you make from Dunedin investment property flipping:

Final Selling Price less Cost of Purchase less Costs = Profit

Here is an example:

Dunedin property purchase price: $220,000

Renovation costs: $20,000

Other costs: $25,000

Property sale price: $400,000

Profit: $135,000

Experienced property developers in Dunedin use a minimum profit value of 22% when looking at potential Dunedin projects. The reason for this is because there are lots that can go wrong in Dunedin property flipping and working on a potential margin of 22% should still leave a good margin of error.

Luxury Property in Dunedin

For luxury property investors hoping to add a superb property in Dunedin to their luxury real estate investment portfolio, Physis Realty is a trusted partner.

Click Here for the Physis Realty Facebook Page

A world leader in luxury real estate with a portfolio comprising some of the most sought-after real estate in Dunedin, Physis Realty caters particularly to high net-worth individuals and families. A luxury real estate investment in Dunedin should be entrusted to only the highest-quality agency.

Featured