[b&k]

We're in London at the moment going through the emigration process but don't expect to move until June 08.

We have some spare money which we want to use wisely. I have been thinking about buying a holiday home with a view to renting it out most of the time. When we were in NZ, we loved Lake Tekapo and think it would be a wonderful place to go and relax. So this is where we thought we'd focus our efforts.

With the proceeds of our London flat we hope to buy a house in NZ when we arrive. This is assuming we can afford to keep the holiday home in Tekapo!

Has anyone else bought a holiday home? Have you had any trouble renting it to tourists? Can anyone offer any advice on the Lake Tekapo area?

[Avalon]

Cant actually help on this - but it may worth your while looking at propertytalk.co.nz and seeing if theres any info on there about holiday homes. Its a forum for property investors - so it may be a bit more than you are after.

You would need advise from a good accountant and a lawyer.

On property talk - if you look at the forums - you will find that as well as having an NZ forum - theres is one for the UK. I know some people on the UK forum also have property in New Zealand.

Its possible worth looking out for a guy called Monid - hes in teh UK but comes to NZ regularly it looks like - and I think he may be able to help you.

I only know the basics - and I have no idea about tax and legal implication if you want to buy while in the UK.

HTH

Hxxx

[Moorf]

Tekapo is one of our favourite places here.

I can't help with holiday home prices etc, but I do know that if you haven't been to Tekapo for a year or two you'll be very surprised - swathes of subdivisions have gone in at hugely elevated prices, but not much improvement in terms of town facilities.

[b&k]

Hi Moorf,

It was Dec 2005 when I was last there. The sun was shining, the lake glistening, the lupins in flower and the Southern Alps were cloud-free.

It's one of my favourite places too.

I've noticed the prices of the new subdivisions. Not exactly cheap by local standards! There's also a new resort going in called Bluewater where you can buy a "lake house" at inflated prices which is managed by the resort for you for a large percentage (54% + other fees).

My vision is to sit out on my deck with a glass of wine looking out towards the lake. In order for this to happen, I think I'll have to pay through the nose. It doesn't matter if I'm not lakeside, as long as I have a good (guaranteed) view.

[veronica]

agree with moorf, but you wouldn't have trouble renting it out in the peak winter ski season or the mid summer either.

[tick tock]

Hi there. we have a holiday home in wanaka and find that it is only rented out during the ski seaon and odd times at Easter and Christmas. We have it through a rental agent. You might like to consider this.

It is not worth renting out a house for less than 4 days ( cleaning fees, up keep etc). Most people stay less than this time, prefering to take in as many destinaons as poss, and want to therefore go into motels. Houses only seem to do well when people want to spend extended time in one place.

We use the house firslty for ourselves and if we can get a little extra rental on top of that we are happy. Dont look at this as a money spening operation

[dean1968]

A reputable property investor advises against investing in rental property less than 20,000 people in an area. If you can live with it with no tenants for long periods of time empty then fine. And there is no monkey (mortgage to service) on your back fine. And can get good long term tenants fine.

Every case is different...

The census usually resident population count for Lake Tekapo is very small.