NZ 1st homebuyers are ScReWeD...

[Arbitrage]

around 5%. Rarely vacant for more than a week which retains cashflow. Good capital gains too. Tenants are mainly professionals which avoids many of the horror stories of landlords elsewhere.

[POSSUM THE CAT]

Arbitrage how many of these professionals are "P" Lab owners or operators. They need to be able to afford the rent

[Ptolemy]

around 5%. Rarely vacant for more than a week which retains cashflow. Good capital gains too. Tenants are mainly professionals which avoids many of the horror stories of landlords elsewhere.

So yields are about 2% below the 2 year fixed mortage before rates, maintenance, and other costs.

On a 500k house capital gains would have to average approx $15k above inflation to just break even.

Doesn't sound like a great investment but I know I am in the minority on this thread. Property always doubles every 7-10 years right? Regardless of how overpriced it is from the start point.

[fungus pudding]

So yields are about 2% below the 2 year fixed mortage before rates, maintenance, and other costs.

On a 500k house capital gains would have to average approx $15k above inflation to just break even.

Doesn't sound like a great investment but I know I am in the minority on this thread. Property always doubles every 7-10 years right? Regardless of how overpriced it is from the start point.

Gross yields are =/- 2% below mtge rates. Rates, insurance, and the biggie that gets overlooked, maintenance wipe a fair chunk of that out.

'Property always doubles every 7-10 years right? Regardless of how overpriced it is from the start point.'

Nope - it sure doesn't.

[Arbitrage]

You can argue the theory as long as you like. I have been implementing my strategy of leveraged property investment since 1985 with amazing results. I have the numbers on paper in front of me and am starting to look at buying another property in the same radius (5km from Queen St) in the next 6 months.

[fungus pudding]

You can argue the theory as long as you like. I have been implementing my strategy of leveraged property investment since 1985 with amazing results. I have the numbers on paper in front of me and am starting to look at buying another property in the same radius (5km from Queen St) in the next 6 months.

I'm not arguing anything. All I know is that of my acquaintances who have a good stock of residential property, the vast majority have to have a job to provide a living.

[Arbitrage]

Their objectives may be capital growth rather than an independent income.

[AMR]

Hi Arbitrage are you looking specifically at houses or considering apartments now?

[Dr_Who]

You doomsayers may have your day.

The tax uncertainty and tightening by China to cool their property market may have an effect on the NZ property market.

[JBmurc]

You doomsayers may have your day.

The tax uncertainty and tightening by China to cool their property market may have an effect on the NZ property market.

The likely increase in interest rates will be kick in the guts for many in dept property owners 9%-10% will soon put a lid on growth

coming inflation worrys?