Retirement village operators

[Bjauck]

removed interest deduction for property owners which caused many to sell and many others not to buy which helped contribute to a housing crisis as investors left the market for long term rentals
RB and labour caused an artificial boom in house prices by printing to much
now people will get destroyed in housing by the rate rises caused by this

anyway some hope is returning as witnessed by retirement stocks rising the last week odd as the leader of this madness has gone

During the Covid fall in in interest rates, Certainly Labour could have put a cap on residential mortgage lending and the LTV easing should not have gone ahead. In NZ especially that was an invitation for a residential land price bubble and hey presto! It happened. From April - December 2020 LTV restrictions were lifted. The RBNZ/Government waited too long before tightening LTV.

https://www.rbnz.govt.nz/regulation-...o-restrictions

[Bjauck]

The housing stock has increased recently at the fastest rate in a long, long time.

Not having policies aimed at bringing the cost of housing down isn't the same as helping house prices increase, nor actually stop them from continuing their decrease for a while yet.

That is true. Although if prices are falling it probably means that his policies will be stimulatory to arrest the fall?

[nztx]

That is true. Although if prices are falling it probably means that his policies will be stimulatory to arrest the fall?

how could they, if they are mostly are pointing in the opposite direction, along with economic conditions ?

There could be not one sale & could that be interpretted in how many ways ?

[bull....]

dear bull.
We are on different planets here.You say "ordinary people'...are you serious ....are you taking the pee.
Do you honestly believe that having a staggeringly world beating country of house price appreciation is something to celebrate ????!!!!!
Do you believe a sustainable economy should be reliant on house price increases !
This will be my last post on this thread.

of course a economy shouldnt be overly reliant on housing for growth as a big % of GDP , but it is in NZ due to lack of policy to encourage small business to grow to big business.
house prices will rise over time due to inflation so cant stop that but correct policy can stop run away prices.

[alokdhir]

of course a economy shouldnt be overly reliant on housing for growth as a big % of GDP , but it is in NZ due to lack of policy to encourage small business to grow to big business.
house prices will rise over time due to inflation so cant stop that but correct policy can stop run away prices.

https://www.nzherald.co.nz/nz/brings...KHDWVHJJYDIHE/

As per U current govt policies responsible for this kind of pain ? Really ....IMO policies of all the historic govts including Nationals have equal role to play to make only way to save is property syndrome which is most imbibed in NZ then anywhere else ...it was so easy to leverage your credit rating with Banks to take as much loan as possible on even interest only mortgages as property was only up kind of investment over a reasonable period ....almost everyone was on this gravy train thus making the prices unrealistic compared to even higher per capita countries ...I fully understand most here are big " Landlords " and they get offended or threatened when someone tries to bring some sense into one sided market . Even U as PM of NZ wud have taken strong steps to WEAN away people from investment property craze ...RBNZ always requested Govt to take policy decisions especially against property market so that they can do their job with smaller rate hikes to control inflation etc ...as housing market was the biggest source of expanding money supply ...they needed Targeted policies against this particular asset class for obvious reasons . As we are over dependent on property for our wealth thus we feel most pain with rate hikes too ...it took 50-70 years to create this mindset ...it will take sometime to correct it ...this shud be helping Shares and productive assets long term . I fully support this change ...though understand it will cause some pain in the interim ...but its the right way to go for long term good of NZ

[bull....]

last mth performance

RAD 27%
RYM 13%
OCA 10%
SUM 8%
ARV -3%

whats up with arv ? opportunity for catch up or something wrong ?

[Bjauck]

... As we are over dependent on property for our wealth thus we feel most pain with rate hikes too ...it took 50-70 years to create this mindset ...it will take sometime to correct it ...this shud be helping Shares and productive assets long term . I fully support this change ...though understand it will cause some pain in the interim ...but its the right way to go for long term good of NZ

Older home owners and investment residential property owners vote in much greater proportions than non-owners and younger folk. As Ardern discovered you need to tip-toe around their vested interests to win the Treasury!

[alokdhir]

Older home owners and investment residential property owners vote in much greater proportions than non-owners and younger folk. As Ardern discovered you need to tip-toe around their vested interests to win the Treasury!

I fully understand your point and politics of it ...maybe younger folk need understand that they need participate more in politics if they want their plight understood better ...no point in just complaining on blogs etc

[dobby41]

That is true. Although if prices are falling it probably means that his policies will be stimulatory to arrest the fall?

It would be unwise to expect that - as I said, he said there wouldn't be policies to exacerbate the fall rather than have policies to stop it.
A falling housing market is good overall - in the long term.

[bull....]

retirement sector stocks moving higher again today. amazing how jacinda leaves and a more down to earth fella like hipkins arrives and says some positive comments around property and the sector begins to takes off. will it continue guess we will see as the yr unfold's.
eithier its a oversold bounce or a geniune bargain time ?