NZ 1st homebuyers are ScReWeD...

[duncan macgregor]

DR WHO, You generalize to much. Property developers are not all the same, neither are real estate agents. I only sell at my sell price, and only buy at my buy price regardless of what stage in the cycle the market is at. I dont rely on banks to prop me up into leverage positions where i am forced to sell. If the maket crashes its good i buy, if it goes the opposite way i sell.
This year i sold a lifestyle property about $80000 above what some panic cover his bum valuer valued it at. I also bought a new B&T at $125000 below its initial starting price. I do it all my way, my sell price, my buy price thats it take it or leave it, if anyone tells me different i sack them.
The people you generalize about are the mug punters, that run with the herd, getting boxed up in the corners trapped by their own greed, and stupidity. There is always great bargains to be had at any stage in the market, and you can sell anything that the market wants at anytime. People die, they get married, have children, they retire into lifestyle properties, the world still goes round along with the market. Macdunk

[Brut]

Real estate agents will tell you anything to get a sale. I am in the process of moving back from Kerikeri to Christchurch & inquired about a property on Cashmere Hills. I asked the Agent if the property was sheltered from the North West winds (as the last house I owned on Richmond Hill in Sumner was belted during the summer months) & was told "nor westerlies" are not very common in Chch. She didn't realise I grew up in Chch!

[The Great Gold Guru]

Yep, Viaduct Harbr in Auckland AMR. Leasehold land is the killer , people just don't want to know !!! Too many unknown's , you can hardly blame them. The America's Cup sure caused a few people to get caught in the Auckland waterfront apartment market hype ... paying the price now !!!

I'm renting in Devonport ... we have just moved to Auckland from Blenheim , we want to buy but will leave our money in our vineyard and dairy farm investments till late next year of early 2010. Pull out half then and buy our dream villa near Cheltenham Beach. We have been keeping an eye on the the market since the turn of the year. Some properties that were listed then are still stuck on the market now , no price reduction, no fresh marketing , 2 open homes per weekend .... the quality of some agents is very questionable , seems they can't tell the vendors the truth ... "you just won't sell your home in this environment at this price , you need to drop your price by at least 10-15% to have any chance" ... lots of deluded people still ... vendors and agents.

[POSSUM THE CAT]

The Great Gold Guru I am helping somebody look for a property in west Auckland. Most of real estate agents are still telling their clients it will be all over by Christmas. Saw the best bit of BS on saturday agent rushed an asian family to an auction handed a list of sales in the area over the last two years gave them a quick tour of property and talked them in to paying roughly the top price for a house in good condition for the area. (this is my impression of the way the realestate agent acted) When house needed about $80000.00 worth of renovations to put it into good condition. Now they will use this sale to inflate value of all property in the area.

[Crypto Crude]

brut-Real estate agents will tell you anything to get a sale. I am in the process of moving back from Kerikeri to Christchurch & inquired about a property on Cashmere Hills

Oh goodie... hes coming back... He must be missing the main event NC...
Brut,
its so true about real estate agents... they are worse than car salesmen...I say this because Real estate agents grind away at both the buyer and the seller whereas car salesmen can only grind on a buyer...
Real Estate agents go to the seller and say one thing and then say completely the opposite to a potential buyer, in these tough market conditions they get more and more desperate...
as in possums example, sometimes they manipulte the buyer to the point where little grinding needs to be done on the seller... More and more often now, its becoming a mixture of twisting buyers and sellers upside down, its never been this bad....
its a game of Trickery...Tom Foolery...

Real estate agents are so good that they could sell a toy car with a jet engine in it to a car salesman and get top dollar...hahaha...

Do not trust REINZ, property magazines, bulls, agency or organisations that stand to lose on a pesonal level through being honest, NZ property Mag is one...
You can usually trust the press, you can trust this thread, and you can trust a bear...
Its pretty bad in the US at the moment... We are only 6 months in, 2 years to go...

.^sc

[Crypto Crude]

future buyer here at rock bottom prices..
If things fall into place as Ive planned then the life long loan term will not be required...turning 30yr sentence -> into 10yr walk in the park...

.^sc

[Brut]

SC, yes that's the only reason I am moving back to chch so I can attend the National Convention.

My old mate Serpie has been kind enough to rent me one of his Rental Properties to us, hopefully he is not reading this as he should be getting it ready

I'm cashed up now so looking forward to having a good look around at the Chch market. Houses up here in Kerikeri are just not selling, so there are alot more rentals properties available.

[duncan macgregor]

future buyer here at rock bottom prices..
If things fall into place as Ive planned then the life long loan term will not be required...turning 30yr sentence -> into 10yr walk in the park...

.^sc

SHREWDY, Your inexperience is showing. The bargain can be better bought in a rising market. I prefer looking for bargains in a booming market. You will find mortgagee auctions are best in boom times with a quick flick off. Times like this you are stuck with it waiting on the market to turn. There might be lower prices but harder to sell which makes bargain hunting in the good times a better paying proposition. Macdunk

[minimoke]

If things fall into place as Ive planned then the life long loan term will not be required...turning 30yr sentence -> into 10yr walk in the park...

If you look upon your mortgage as a millstone then it will be a life time sentence. However if you see it as a commitment to repay someone for the privilege of levering one asset for growth in other assets then its not a “sentence” - its a tool. Don’t let debt scare you – just be aware of your ability to repay!

[Halebop]

There are studies that demonstrate highly indebted companies on average perform worse than their less indebted peers. I struggle to see how individuals would fare any differently. Debt works in rising markets, that's where the story ends. But debt also restricts ability to take risks at the same time as it increases default risk. Creativity and innovation are negatively impacted by tighter budgets (I know the semantics about creativity on a shoestring but the data doesn't support it).

We've just seen the impact of the "clever" Basel Accord theories - suggesting home lending is low risk and allowing lower capital ratios for both lenders and borrowers actually increases the risk profile, skews values and destroys the low risk argument. It hilarious that a product that was less than 10 years old could have a 1 in 10,000 year risk event tagged to it. There are too many bloody clever poeple around and not enough rational intellect to recall property corrections and what might cause them? We already have sages talking about a 1 in 100 year property event in Australia as if it should be some sort of surprise.