new housing standards


PHOTO: Wellington, NZ – RNZ / Richard Tindiller

Real estate agents fear there could be serious effects for home buyers and sellers in Wellington with IAG turning down more customers in the capital.

Some in the real estate industry said it had become far harder to get insurance in the capital in the past six months, and premiums were on the rise.

Two weeks ago, IAG, which owns State, AMI and NZI, started turning down homeowners in the capital – but has insisted it is not a blanket policy.

Banks will not lend money on uninsured property and real estate agent Euon Murrell said the effects of IAG’s move were already being felt.

He knew of one potential buyer who was declined insurance on Wednesday.

“They wouldn’t transfer the policy from an existing one to a new purchaser, they said, ‘No, go elsewhere.’ ”