Property prices in Auckland continue to skyrocket and it appears that what is considered “affordable” is creeping closer to the $1 million mark.

Property experts say the perception of what is affordable or entry level in certain suburbs is changing.

Budget advisers say there is no such thing as affordable in Auckland any more and house-hunters may need to adjust their expectations if they want to avoid getting into debt.

A search on "affordable" and "first home" in the Trade Me websites by the Herald found real estate agents were listing several homes above $600,000. The properties were dotted all over the city, including in Orakei, Meadowbank, Mt Albert, Kingsland, Glen Innes, Grey Lynn, Albany, Milford and Papatoetoe.

Mangere Budgeting Services Trust chief executive Darryl Evans questioned the practice of advertising properties as first homes in the higher price range.

"It is advertised or suggested as being affordable, which most of us know it isn't. Too many will lose their home to mortgagee sale when purchasing high-priced homes.

"I don't believe affordable exists in Auckland any more, which is why we see many looking to buy outside Auckland or on the boundary in areas such as Papakura, Pukekohe, Tuakau and Pokeno. Many are moving further south but then you have travel costs to take into account. Sadly affordable is no longer in the reach of many first-homers."

Source and full story: NZ Herald