'Houses are half the price so it’s kind of crazy, right?'

Lucy Corrigan and Bradley Moorhead spent fruitless days hunting for a house in Auckland before the conversation widened as to whether they should move away from the big city with the spiraling house prices.

The first home buyers in their late 20s couldn’t find much for their $500,000 to $700,000 budget - but now they couldn’t be happier.

They have joined other first home buyers from Auckland and other towns who have sought refuge in under-valued Christchurch.

Lucy and Bradley’s new home - a three bedroom, two bathroom house and land package at Wigram Skies south of Riccarton - will be ready within the next few weeks.

Lucy says getting so much more house for their money is exciting but lifestyle was also a reason for the move. The keen rock climbers are enjoying the Port Hills, but leaving family and friends behind was tough.

The upside is they already have friends in Christchurch, some from Lucy’s home town of Wellington and some from Auckland, Bradley’s home town, who have also chosen to buy houses in Canterbury.

Lucy and Bradley could have afforded to buy in Auckland, Lucy says, it’s just what they could have afforded wouldn’t have been great.

They were finding they were looking at two bedroom or one bedroom properties further and further to the outskirts of the city which would have meant a lot of commuting.

Their search for a house turned into a soul search.

“We started thinking did we want to have children in Auckland and then why don’t we move out of Auckland.”

The median value in Wigram is $610,000 but for around $550,000 Lucy and Bradley will have three double bedrooms, an en suite, a walk in wardrobe, a garage and enough outdoors for entertaining and a spa pool.

They can jump on their bikes and cycle to the city in about 20 minutes and because they are driving less they have already given up one of their cars.

The earthquakes from ten years ago did cause them to pause in where they bought but they did their homework and decided on a new home in an area that didn’t get the soil liquefaction that some other areas did, and they both work in brand new, post-earthquake buildings.

And, they hope to make some money on their new build, says Lucy.

Lucy Corrigan and Bradley Moorhead moved to Christchurch from Auckland because houses in Christchurch were more affordable. Photo / Supplied

“The idea is that, hopefully, when we eventually sell we will sell for more than we built it for.”

There’s a good chance of that coming true. The latest OneRoof Property Report points out that while equity gains have not been as high in Christchurch as they have in other parts of the country, the city is under-valued and is believed due for a correction.

Justin Haley from Bayleys, said: “It’s a moving feast really but we are now so under-valued in comparison to the rest of the country it’s inevitable we must catch up.”

Mortgage broker Rupert Gough, from the Mortgage Lab, agrees, saying the garden city will probably be the next to move up in price.

He says moving to Christchurch is definitely not a silly idea for first home buyers in Auckland to consider, as long as they can get a job.

“There’s a bit of an emotional upheaval to it but houses are half the price so it’s kind of crazy, right?”

He hasn’t come across many clients considering Christchurch but says people do think about Auckland’s outskirts, like Pukekohe, and some consider commuting from Hamilton in their quest for cheaper housing.

Moving to Christchurch would be a good stepping stone on the property ladder, he says.

“I think there are good capital gains to be had in Christchurch, plus it has to average out over the country at some point so the ones that are lagging, like Christchurch, must come up.

“I think it’s a really good opportunity.”

He advises people take a trip down there to see where they might want to live, and to secure a job before they make the move.

Elyce Maxwell, a mortgage broker from the Mortgage Girls in Christchurch, says she has several first home buyer clients who have already moved from Auckland to Christchurch, often into new subdivisions in areas such as Papanui (median value $455,000), Bryndwr ($475,000), Spreydon ($425,000) and suburbs to the east.

One couple had never considered buying a home “and now they’re living in Christchurch they can. “They’re going to build their own home which is pretty exciting.”

She says there are a mix of people who come to the city for work or who come for a house.

“I think two of them we’ve had in the last couple of months have been coming down directly with the idea they can buy a house down here.”

Her company works a lot with first home buyers and she says people in Christchurch have the same stresses about starting out in the housing market as people anywhere.

“Of course they do, because I mean one of the biggest problems we’ve got in New Zealand is consumer debt.

“You have a look these days and you’ve got credit cards, personal loans, higher purchases, Afterpay, Oxipay.

“It’s all about the gratification now and then paying it off, and that all impacts on people’s affordability position.

“The home buyers in Christchurch have the same problem as the home buyers in Auckland, just in different areas, but everyone’s just as scared.

“It’s a lot of debt to get into for your first home and a lot of people haven’t looked into budgeting and all that stuff that goes with looking after their own finances.”