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Put some wellie into it

Catherine Deshayes

An investment in property in New Zealand and in particular it's capital Wellington, may not be an investment opportunity UK investors have considered in the past but given that Wellington is New Zealand's second largest urban area there is plenty of room for opportunity...

As the most populous national capital in Oceania, Wellington is also the country's political centre, housing Parliament and the head offices of all Government ministries and departments.

Wellington has been described as a heaven on earth, boasting numerous grand parks and gardens including rose gardens, begonia houses, memorial parks, observatories and playgrounds.

New Zealand is proving an attractive emerging market for some British buyers, not least because of the tax regime: there is no stamp duty, land tax, property purchase tax or capital gains tax.

The total value of houses sold was £7.9 million in March 2008, down 53.42 per cent down on the transactions recorded in the effervescent market of two years earlier.

Dan Johnson, Managing Director of TheMoveChannel.com, said, "With property price increases that have baffled the experts, a strong national economy and political system and some of Mother Nature's finest, Wellington has too much going for it to be overlooked."

Wellington property can return really excellent yields, according to Global Property Guide research. Luxury three-bedroom apartments yield around 7.5 per cent, while studios are around 10 per cent.

Wellington houses can also produce very good rental returns, at 10.2 per cent for the larger property.

Source: TheMoveChannel.com