NZ 1st homebuyers are ScReWeD...

[Steve]

quote:Originally posted by cantab

Foresters aren't too happy either.

Being involved in a forestry partnership, I don't like the way that the rules could be changed half way through the game.

Take nothing for granted...

[cantab]

quote:Originally posted by Steve

quote:Originally posted by cantab

Foresters aren't too happy either.

Being involved in a forestry partnership, I don't like the way that the rules could be changed half way through the game.

Take nothing for granted...

I agree Steve, one couldn't be sure that some way down the track a deforestation tax wont apply to post 1990 forests, or even that permission wont have to be sought to cut down the same trees. The carbon credits proposed to be confiscated from foresters amount to something like $13,000 to $20,000 a hectare. The foresters are fighting back by refusing to allow the government to enter private forests to measure the carbon credits. Officials calculated that NZ would be a net beneficiary under Kyoto, they got their sums wrong and now foresters have to pay for the officials stuff-up and the governments decision to sign up for Kyoto. The government plans to give incentives for new planting but based on their track record of moving the goal posts when it suits them how could anyone be confident over a 28 year timeframe?

[Steve]

I haven't even tried to quantify my proposed "loss" yet. Better to wait and see what eventually passes...

[Crypto Crude]

<center>OCR RISE WIDELY EXPECTED </center>
"the reserve bank of NZ is widely rxpected to increase interest rates this week....
The offical cash rate will be reviewed on Thursday as part of the banks quarterly monetary policy statement.....
Business correspondent Roger Kerr says it is inevitable that the bank will increase the OCR quarter of a percent, after months of threats, That would see the OCR rise to 7.5%"....

After last OCR announcement there was a 90% chance that OCR would rise this time, and was factored into exchange rates back then....will see exchange rates higher for longer....
This is good because when it swings the other way then it will be more severe....
Looking forward to a close certainty on thursday....
This could start the downturn in property that I and many others have been expecting for along time...
bump it up.... bump up those debt payments....
[8D]
.^sc

[duncan macgregor]

SHREWD CRUDE, I expect most people have a fixed rate mortgage if they have half a brain. All it will do is give all you anti property owners a rent hike. Property price is ruled by the cost of replacement, you should know that. The price of land wont drop {they dont make any more][:o)]. The price of material wont drop or the cost of building compliance. The most you can hope for is a forced sale. The govt is screaming out for more houses to rent from landlords to sublet to the poor. Perhaps you think builder developers are screwing the public?. They are listed very high up in the bankrupsy listings along side lawyers that gamble.
macdunk

[Crypto Crude]

not everyone is on fixed rate mortgage....
eventually they will come off their Fixed rate term, and have to reset at higher rate.
[8D]
.^sc

[Mick Jagger]

To Duncan and other property bulls who refuse to accept that land/housing/property ever does anything but go up...

Putting the numerous benefits of property investment to one side - such as the ability to borrow cheap money for other assets, keep your wife and kids happy, the tax advantages due to no CGT in this country etc...

and thinking about whether it should continue to rise or not, I'm interesting in your reasoning as to why this boom is so different to the others in the past... in real terms long term house price inflation has only been 2% per annum... and anytime this has ever got severely out of whack, like in the 50's, and again in the 70's.. the price either fell strongly in a short space of time (70's), or pretty much stayed flat for a long period of time (in the 50's where it didn't move in real tersm for 15 years)... I really would like you guys to tell me why this boom is different? What is different about the current environment that should mean that what has happened every time in the past will not occur again? the reason I ask is that whenever people get really bullish and say things like "but its different this time, its not overvalued" the alram bells start ot ring for me...

also, with comments like "land will only ever go up because they don't make any more of it" - isn't that true of every commodity on earth that is useful to humans? Gold, minerals, oil, copper, alumina etc... Does that mean that no matter what price any of these rise to we shuold blindlessly buy more of them because "since there is a finite supply, it is impossible for them to ever be overvalued?"

[Bling_Bling]

Hold on tight guys, we gonna have a bumpy ride. The property market will be affected by the equities market. If the stockmarket drops some more so will the property market. Credit squeeze will come soner or later.

[vivins]

Slightly off topic. But my mother is a real estate agent and she said the other day "I have seen more mortgage sales in this past month than in the last 12 years in the business". I have a feeling things could get very interesting in the next few years

[Steve]

quote:Originally posted by vivins

Slightly off topic. But my mother is a real estate agent and she said the other day "I have seen more mortgage sales in this past month than in the last 12 years in the business". I have a feeling things could get very interesting in the next few years

That's what the astute buyers are waiting for...