From a purely residential property investment perspective, the numbers I feel simply don’t make for a compelling case for buying in Hamilton City (Waikato, NZ). Current interest rate settings with low rent yields along with the quality of housing stock make this proposition challenging.
If you need to invest in property, I feel better value could be found in other areas such as Pukekohe (satellite town to Auckland) and the larger urban centres in Canterbury and will be redirecting my search to those areas. Bear in mind that we are also in the midst of a nationwide rental glut.
The issues I’ve found with Hamilton (from purely a property investing perspective) is that large areas of Hamilton have been marked as potential flood zones. Much of the land appears to be built on relatively soft ground and the majority of houses have various issues including (but not limited to) the need to spend tens of thousands to get it up to Healthy Homes standards.
Other issues encountered during my search is that the rent appraisals given by different agencies across the city appear to be about 5-10% above the current market (for new tenancies).
With all that said, I wish to emphasize that this is from the raw perspective of investing. If you are planning to buy a place in Hamilton to move in to (as an owner occupier), then it will obviously be quite a different story and would strongly advise not letting the above dissuade people making the move to Hamilton.
Hamilton city from a living perspective I feel is generally good with the river, the world renown and highly regarded Hamilton gardens, commnunity gully restoration initiatives along with many pockets of Hamilton having exceptionally strong neighbourly community relations / vibe (unlike Auckland). Not to mention access to a full range of amenities as you would expect to find in cities.
Hamilton City Council have also been exceptionally responsive to any enquiries I’ve had. Particulary around obtaining property information files and other related documentation.