quote:Originally posted by Pennywise

and prices doubling every 7.8years or 10 years it doesn't matter...

look how much capital is pumped in to the "do up" and renovations to get these figures. They never take into account the amount of $$ constantly thrown at houses in NZ esp areas of high mainentance...ie our 80-100yr old villas.

his calcs are floored from word go.

I would love to know the TRUE figures minus all labour and capital inputs to house maintenance.
You can never get true figures about anything. If i give you the true figures of my share investing for instance, then draw a comparison to yours i think you will find its chalk and cheese.
Property is much the same, what is good for one is not so good for another. When i look at a house to buy to rent out as an example this is what i look for.
1, exterior maintanance free for at least ten years other than a quick paint job [3days work for me].
2,I know c steel or decramastic tiles are good for 35 years i deduct the age of the house to see whats left.
3 I know its a paint and paper job every 5-7 years
4 I sell the house before a major repair is due at the top of the property cycle.
5, I only invest enough in the house for the rent to cover everything, and expect the house price to double in value in ten years time.
6, By buying right i expect a ten pc deposit to start the ball rolling, then look forward to the extreme rises and falls in the market place.
7 extreme rises is a time to sell extreme falls is a time to buy.
Property is much easier to understand than the sharemarket dont miss out by being negative. macdunk