Ed’s view: What does an economist think?
Investors often ask: “Can I buy an investment property for under $500k?”
And yes, it is still possible to buy an investment property for under $500,000 in New Zealand.
In fact, there are many towns where the median house price sits below that level.
Even in areas where the median price is higher, say $600,000, a significant proportion of properties may still sell for less than $500,000.
The bigger question isn't whether you can buy under $500,000.
It's whether those properties are in the right locations and are suitable investments.
At Opes Partners, the entry-level properties we typically recommend start at around $550,000. In 2026, that would generally buy a New Build, 2-bedroom, 1-bathroom townhouse in Christchurch with a car park.
That doesn't mean investors aren't successfully buying for less. Many people continue to purchase investment properties below $500,000 around the country.
The challenge is that cheaper properties are often in smaller towns. Or they are older homes that need more maintenance and money spent on them.
If you're considering an older property, remember the deposit is higher at 30%, and you need to budget for renovations and ongoing upkeep.
As a rule of thumb, a meaningful investment property renovation in 2026 can easily start at around $80,000.
So while there is no single "right" price for a first investment property, a budget of $550,000 is often a practical starting point. That's for investors looking to buy a modern, low-maintenance property in a major centre.
