How to Make an Offer on a House in New Zealand — A Step-by-Step Guide

You've found the property. Now what?

Making an offer in New Zealand is a formal legal process — not just a handshake or a phone call. Getting it right protects you financially and legally. Getting it wrong can be costly.

Here's how it works.

The Sale and Purchase Agreement

To make an offer on a house in New Zealand, you sign a Sale and Purchase Agreement with your proposed price, conditions, and settlement date. Hayden Roulston

A sale and purchase agreement is a legally binding contract between you and the seller. It sets out all the details, terms and conditions of the sale — this includes things such as the price, any chattels being sold with the property, whether the buyer needs to sell another property first, and the settlement date. Settled

The standard form used across New Zealand is produced jointly by the Auckland District Law Society (ADLS) and the Real Estate Institute of New Zealand (REINZ). The current version is the 11th Edition, updated in 2024 with plain-language rewording, clearer condition sunset clauses, and explicit recognition of electronic signatures. Hayden Roulston

Critical rule: Before signing any Sale and Purchase Agreement, you must engage a solicitor to get independent legal advice. Once signed and accepted, the agreement is very hard to alter, so it's crucial to get it right from the start. Thefirsthomebuyersclub

Conditional vs Unconditional Offers

This is the most important distinction to understand.

Conditional offer — your offer is subject to one or more conditions that must be satisfied within a specified timeframe. Common conditions include:

• Finance — gives you time to get formal loan approval from your bank. Include this even if you have pre-approval — pre-approval is conditional on the property being acceptable security to the lender. Thefirsthomebuyersclub
• Building report — allows you to commission an inspection and be satisfied with its findings
• LIM report — gives you time to receive and review the Land Information Memorandum from council
• Sale of existing property — if you need to sell your current home first

If one of your conditions is not satisfied within the specified timeframe, you can cancel the agreement and get your deposit back. You must act in good faith — you can't use a condition as an excuse to back out for unrelated reasons. Hayden Roulston

Unconditional offer — no conditions. If your offer is accepted, the sale is final. Before making an unconditional offer, make sure you have found out everything you need to know about a property and have no unanswered questions. Consumer Protection

In practice, unconditional offers are used at auction (required) and sometimes in competitive deadline sale situations to beat other buyers. Never go unconditional without completing your due diligence first.

What Goes Into the Offer

Your sale and purchase agreement will include:

• Purchase price — your offer amount
• Deposit — the standard deposit is 10% of the purchase price, but this is negotiable. Some buyers agree on 5% or a fixed dollar amount. The deposit is paid once the agreement goes unconditional and is held in the agent's trust account until settlement. Hayden Roulston
• Settlement date — typically 20 working days after going unconditional, but negotiable
• Conditions — what you need satisfied before going unconditional, and by when
• Chattels — chattels are personal property not fixed to the property that can be removed without causing damage. It's important to ask what chattels would remain in the house — if it isn't included on the list, the vendor is within their rights to take it. Settled Common chattels include curtains, dishwasher, heat pump, light fittings, and floor coverings.

How the Process Works by Sale Method

Price by negotiation / advertised price:You submit a written offer via the agent. The seller can accept the offer, reject it, or make a counter offer. You can negotiate on price and conditions until you reach agreement or one party walks away. Settled

Deadline sale:All offers must be submitted by the deadline date. The seller can accept offers at any time — they don't need to wait for the deadline. Let the agent know straight away if you're interested, as the property may sell before the deadline. Settled Conditional offers are allowed.

Auction:All bids are unconditional — do all your checks and reports before auction day. If you win, you pay the deposit on auction day. Consumer Protection You will see what others bid but won't know the reserve price.

How to Negotiate Effectively

Do your research first. Know what comparable properties have sold for in the suburb. Your agent should provide this, but you can also check recent sales on OneRoof, homes.co.nz, or ask your solicitor to pull LINZ records.

Don't lowball unnecessarily. In Christchurch's current market, an insulting offer can damage the relationship with the vendor and agent before negotiations even begin. Start at a reasonable position with room to move.

Consider more than price. A shorter settlement date, a larger deposit, or fewer conditions can make a lower offer more attractive than a higher conditional one. Know what the vendor wants — your agent should find out.

Don't waive conditions to win. Always include finance, building report, and LIM conditions. Allow sufficient time for all conditions — don't create tight timeframes. Thefirsthomebuyersclub Waiving conditions to look competitive is how buyers end up with expensive problems.

Multi-Offer Situations

If another buyer submits an offer while yours is being considered, the agent will typically initiate a multi-offer process. In a multi-offer process, all potential buyers should submit their best offer. The seller doesn't need to accept the highest offer and can negotiate with anyone who submits. Settled

When you're told it's multi-offer, submit your genuine best offer — not a figure you plan to improve later. You may only get one shot.

The Christchurch-Specific Angle

In Selwyn and Christchurch's mid-market, deadline sales dominate. This means you typically have a few weeks to do your due diligence before the deadline — use that time well. Commission your building report early in the campaign, order your LIM promptly, and get your finance confirmed so you can move quickly if needed.

For properties in older suburbs — Papanui, Riccarton, St Martins — always include a building report condition. The post-earthquake repair history of properties in these areas makes it non-negotiable.

The Practical Checklist

Before you sign:

• Mortgage pre-approval confirmed ✓
• Solicitor briefed and available to review the agreement ✓
• Building inspector identified and available ✓
• LIM ordered or ready to order ✓
• Settlement date confirmed with your bank and solicitor ✓
• Chattels list reviewed and correct ✓

This article is for general information only and does not constitute legal advice. A Sale and Purchase Agreement is a legally binding document — always have yours reviewed by a qualified New Zealand property lawyer before signing. Settled.govt.nz is an excellent free resource for buyers at every stage of the process.

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