Read Time: 5 minutes
First-time buyers often struggle with figuring out what a property is actually worth. They rely too much on real estate agents, CV values, and online estimates, which can all be misleading.
If you trust these sources blindly, you could end up:
❌ Overpaying for a property
❌ Making an offer that isn’t taken seriously
❌ Getting caught in emotional bidding wars
To determine a property’s real value, you need to ignore the following:
1) Real estate agents' price guides – Their job is to get the best price for the seller, not to give you an accurate valuation.
2) CV (Capital Value) – This is a rough government estimate that often lags behind actual market prices.
3) Website estimates – Automated property valuations on sites like Homes.co.nz or OneRoof are based on algorithms, not real market conditions.
Instead, you need to do your own research.
The more effort you put into research, the more credible your offer will be. Here’s a simple way to do it:
Find 5-10 recently sold properties that match the home you’re considering. Note:
✅ Location (same suburb)
✅ Size (house and land area)
✅ Bedrooms & bathrooms
Add extra details for context:
For each sale, write down:
This helps subjectively adjust your price based on what’s actually sold.
Now that you have data, determine:
✅ Your opening offer – A round number to start negotiations
✅Your max offer – A precise number (e.g., $721,600) that shows you’ve calculated it carefully
Why? A specific final number (down to the last $100) signals that you've done your research and factored in lending and savings.
Very few people win on their first offer — keep practising, and you’ll master the process in no time.
