Forum Replies Created
We used to deal with this industry daily in our old jobs – never saw anyone ask for a receipt but some people put these services on eftpos and credit card believe it or not [blush2]
I Buy Property http://www.cashflowproperties.co.nz
Best Move – Getting Started early and young
Worst Mistakes – neglecting management
Books – Peter spanns first and second – recognises a balanced approach and welcomes other assest classes as part of an overall stragey
I Buy Property http://www.cashflowproperties.co.nz
can move away from ppor for a time but still nominate it as principle – idea was so people who were forced to move away for work and rent house were not penalised by paying tax upon sale – but can only have one ppor at a time
I Buy Property http://www.cashflowproperties.co.nz
hi gross – seems like that is the way to go when heading off into these foreign markets. got to join forces.
10% Yield Deal available NOW!!!
I Buy Property http://www.cashflowproperties.co.nz
They got it. My husband thinks that the agent used us to see how low the vendor would go and then call their best mate and say ” come and put an offer on this house you can get it at a great price”.get and expiry clause in your offer – first ask where the vendors are, local? when could an offer be presented if you made one? the base the expiry according to that information, will reduce the amount of time for other “offers” to be conjured up.
10% Yield Deal available NOW!!!
I Buy Property http://www.cashflowproperties.co.nz
Fixed interest rates are on the rise in NZ.Without getting to much into it westan there is alot of information that you are putting out there that is just your opinion which is fine. That’s the point of forums.
You are a long time contributor and people respect your opinion but some of the stuff you are saying is out of date or not true – the fixed rate comment is one example.
There is currently fixed rate discounting all over the TV and radio here in NZ. There are heaps of other examples in the tread but that is just one.
10% Yield Deal available NOW!!!
I Buy Property http://www.cashflowproperties.co.nz
That is what makes the proeprty cycle go round…. those that pull the pin when the other sheep start bleeting”(noise sheep make when they are looking for thier young!)…. and those that know that if they stick to what they know then they will also make great profits out of a market that is going backwards or flattening sideways.Sage words Kiwi
and sometimes the sheep just won’t stop bleeting and it becomes hard to hear anything else.
10% Yield Deal available NOW!!!
I Buy Property http://www.cashflowproperties.co.nz
i think its time to sit down n get a plan together and a guide for the future to get u going in the right direction.great idea – physically write it down and give a copy to someone you trust who can give you a nudge every once in a while – 19 – there are going to be sooooo many destractions alway the way.
I Buy Property http://www.cashflowproperties.co.nz
i think its time to sit down n get a plan together and a guide for the future to get u going in the right direction.great idea – physically write it down and give a copy to someone you trust who can give you a nudge every once in a while – 19 – there are going to be sooooo many destractions alway the way.
I Buy Property http://www.cashflowproperties.co.nz
hi peter – just one thing wanted to add to your comments- very risky and not good practice to tell half truths etc when you made your 5% is the norm comment you could have blown it there in the credibility and integrity stakes. Long term you are going to get more deals/opportunities with ethical negotiating. Hard line can still be taken without compromising ethics. Well done on the victory though.
cheers
I Buy Property http://www.cashflowproperties.co.nz
Hi Westan,
Do you want me to tell you that it is a good idea to invest in NZ again?
Are you in or out of NZ – your website says you still do NZ as does your recently changed tag line. It is a curious position given you are so vocally negative about NZ.
Can’t have it both ways my friend.
Regards
Don
I Buy Property http://www.cashflowproperties.co.nz
Westan says
As the economy slides i expect buyers will vanish- after all its all about supply and demand- thats whayt drives up markets.Local NZ Data (just todays news stories not hard to find the facts if your look)
International monetary fund, new zealand government and world bank say –
Print this pageUnemployment Lowest For 20 Years
10/05/2006 11:01 AM
NewstalkZB
The number of New Zealanders on the unemployment benefit has reached a 20 year low.Since Labour took office in 1999, the number of people receiving the benefit has dropped by more than 116,000.
There are currently 44,549 people receiving an unemployment benefit.
Minister for Social Development and Employment David Benson-Pope says the last time levels were this low Billy T James was New Zealand’s most popular entertainer and women were wearing leg warmers.
He says the total number of people receiving a benefit is now 283,000, down more than 117,000 since 1999.
Find this item at:
http://xtramsn.co.nz/businessandmoneyNZ Finances In The Black
05/05/2006 04:31 PM
Reuters
The New Zealand government is effectively debt-free and its strong fiscal position is a major reason the economy will comfortably weather the current slowdown, the Finance Minister said.Michael Cullen said accounts for the nine months to March 31 to be released on Friday would show the government’s assets were more than its liabilities, the first time it had been in such a position since records began in 1972.
“We have spent and invested wisely, built up assets like the New Zealand Superannuation Fund and repaid debt to the extent that we can now celebrate an enviable status among developed nations,” Cullen said in a speech to a business group.
He said as at March 31 the government’s net financial position was a surplus of NZ$400 million ($256 million).
The government’s strong fiscal position had meant the country was in a position to face the short-term slowdown in growth.
“It is clear that, after an extended period of exhilarating growth, the economy has slowed down as a number of imbalances are corrected,” Cullen said.
“The consensus is that 2006 will be a year of very flat economic growth.”
Inflationary pressures remained uncomfortably strong, the current account deficit — 8.9 percent of gross domestic product in the fourth quarter of 2005 — was set to worsen, while the benefits of a 6 percent decline in the NZ dollar so far this year would take time to come through.
The economic downturn would also mean a reversal in the government’s fiscal position, and although a strong surplus was expected in the fiscal year to June 30, this was expected to be the last for some time.
“We will be moving into a significant cash deficit situation totalling around NZ$7 billion over the next four years, which will require some additional borrowing,” Cullen said.
The government would maintain its tight fiscal policy in the forthcoming budget to be delivered on May 18. ($1=NZ$1.56)
Find this item at:
http://xtramsn.co.nz/businessandmoney/0,,13276-5732250,00.html
©2006 Xtra LimitedIMF Says NZ Growth To Slow To 0.9%
05/05/2006 11:02 AM
Reuters
New Zealand, which is forecast to see growth slow to 0.9 percent this year from 2.2 percent in 2005, has substantial room to maneuver on monetary policy with inflation likely being little changed from 2005, the International Monetary Fund said.Inflation is projected to be 3.1 percent in 2006 compared with 3.0 percent the year before, the IMF said in its so-called Article IV review of the economy.
“With underlying inflation likely on a downward path, monetary policy tightening has paused for the time being, and there is substantial room for maneuver if the economy slows too abruptly,” the IMF said in a statement.
Find this item at:
http://xtramsn.co.nz/businessandmoney/0,,13276-5736465,00.htmlSo analysing the data we find that;
House price growth is easing not crashing.
The economy is slow and sustainable growth – not crashing
Inflation is in check sliglty higher than last year or .o1 percent higher .
Unemployment lowest in 20 years
Dollar lower increasing export demand and export contracts also increase buying power for overseas investors
Monetary policy plenty of room to move if growth slows to quickly – ie possible interest rates falls on the horizon.
just a few facts for those interested
I Buy Property http://www.cashflowproperties.co.nz
You must be very familiar with the country you are living in, must know the relevent laws and proceedures – eg. eviction of tenants, tax, lending etc.For most people, I would say why bother. There are plenty of opportunities here is Australia, so why take the extra risk and/or complicate things.
I agree with terry and would go further and say that you really need a serious plan. Why are you going off shore and what do you hope to achieve.
When I started buying in NZ my plan was to take a small amount of seed money fomr my oz portfolio and create a brand new stand alone portfolio in NZ. It is self supporting and completely seperate to my portfolio in Oz which we also keep.
In fact i find that this strategy works well in general. ie start small portolios within your overall portfolio and manage then to a point where they are self supporting and start again.
Perhaps you don’t need to see each individual property but always try and get to the area you are investing in and spend a few days looking around – combine that trip with a few meetings with your new solicitors, accountants, and independant realtors and property managers.
Remember that those feelings of fear may be irrational and could be stopping you from achieving your goal. Or it could be your gut telling you that it is a bad investment so you will have to work out which it is. RESEARCH-Research-research.
I Buy Property http://www.cashflowproperties.co.nz
Hi Flash,
You are on the money there- alot of long term investors are focusing on the south especially invercargill because of the areas economic future.
Just from this weeks press – quantas visited this week and are close to signing a deal to take the slots for weekly international flights. runway upgrade complete already taking 737 traffic.
Exxon Mobile (the worlds largest oil company) is in court with government wanting access to data about the great southern basin oil reserves – commentators are comparing the size of the reserves to that of the maui filed which produced oil for r30 years.
southland 4 out of 5 star asb bank economic rating – equal highest in the nation – auckland 2 out of 5.
employment growth 8 times national average
I just spoke to a builder about building some town houses on one of my sections and they are happy to do it but can’t start any new work for 18 months as they are busy building new homes for families that are moving this way for work.
Southland 3% of nations population – accounts for 18% of exports. Dollars back to historical levels so even more jobs this way.
Speaking of dolf – quest apartments have just opened up in competition to his living space services apartments – and new business is poping up all over the place, big and small, in competition with existing business or in other words the size of the market for goods and services is growing. These business are national franchises. If you have 500k to spend you can secure a pretty decent commercial property with one of these businesses as a tenant.
The dunedin paper – neighbour city has just done a – 10 page spread on the rise and rise of invercargill (got an email friendly verson if anyone wants to have a look) . BUT its a big country and we are investing all over the place and their are plenty of opportunites nation wide (please don’t buy in towns under 10,000 people without underlaying growth ) I just like to stick up for my adopted home town. There are some pretty good opportunities in chch and dunedin also.
I Buy Property http://www.cashflowproperties.co.nz
retail sales data
Australian Treasurer Peter Costello said that softer-than-expected retail sales data for March showed the economy was not growing too fast.“I think they were a little softer than was expected, but it shows that the economy is still ticking along, but not ticking along in any unsustainable way,” Costello told reporters ahead of Tuesday’s budget.
Australian Bureau of Statistics data showed on Monday that retail sales rose a seasonally adjusted 0.3 percent in March from February, slower than expected and softer than the strong growth of January and February.
Spending may be further tempered by last week’s interest rate rise and high petrol prices.
Costello welcomed the more moderate consumption growth.
“I thought that consumption two or three years ago was growing at unsustainable rates. I think it’s growing now at a much more sustainable rate,” he said.
However, a stronger-than-forecast 1.7 percent seasonally adjusted rise in quarterly retail sales will give a boost to first-quarter gross domestic product. Costello will hand down his 11th budget on Tuesday. A Reuters poll of 18 economists produced a median forecast of a A$13.3 billion surplus for 2005/06, and A$9.5 billion for 2006/07.
Retail spending recovered in the first quarter after a slack previous six months as households felt the bite from high petrol prices. Fuel costs have again risen to record levels since March.
The Australian central bank said last week in raising the official interest rate to 5.75 percent from 5.5 percents that it expected the solid pace of domestic spending to continue.
The Reserve Bank of Australia said in last week’s quarterly Statement on Monetary Policy that the rate rise should be sufficient to curb inflation pressures.
I Buy Property http://www.cashflowproperties.co.nz
thanks for the articles kiwi!!
I Buy Property http://www.cashflowproperties.co.nz
1. I plan on building my portfolio to at least 15+ properties in the next few years, depending on finances and market forces.
2. I do not intend to sell these in the next 15 years, as selling properties will not build my portfolio (unless of course there are ridiculous capital gains to be made!!)
3. If i am going to buy something I want to be able to get it at the lowest price possible. More pressure on demand (ie petrol prices, interest rates, etc) helps me with this.
4. Whilst the above will put short term pressure on demand, the population of Australia is increasing, and as a result long term demand will continue to increase.
4. Prices for property in 10-20 years will be much higher than now based on long term demand increasing.15 properties sounds like alot right!!!
Is it achievable over 5 years – Definitely.
Once your portfolio reaches a certain size things will get easier BUT only if your knowledge and mindset grows at the same time.
A while back I read some material steve put out somewhere about “taking a position”. I you are investing you need to know why and if you are not investing it should be based on fact rather than emotion.
cheers
I Buy Property http://www.cashflowproperties.co.nz
DLPP,
I would think coal is a very different proposition from iron ore or oil/gas for example.yes – you a right there would be a big difference.
and you will find that people are unlikely to accept that things are better in say wa right now than sydney,nz,us and many part of the world. I suppose all i am trying to say is that all growth is cyclical and that there may be timing issues with two significant market peaking at the same time eg property and resources. That is very simplistic but something to consider at least.
On the up side won’t matter where you are or what market you are in – – savvy investors will continue to make money.
I Buy Property http://www.cashflowproperties.co.nz
There will be more opportunity for cashed up investors, as the number of properties put up for sale is unlikely to fall, however the number of legitimate buyers will diminish. When supply exceeds demand, price falls and/or buyers are more willing to negotiate.can’t wait
with a long term view of real estate investing we see flatter markets as opportunities to acquire quality properties.
but avoid the first rounds of panic selling because typically this is when investors “shoot the dogs” in their portfolio’s. Problem low growth potential properties get sold first.
we always maintain 75% of debt on a fixed rate staggered to come of fixed at different periods.
as steve says – avoid emotion
Hi Jeff,
We have family in mining and just be careful about banking all your hopes on a resource fulled boom. especially one that comes at the tale of the property cycle (read property clock keiran trass). coal and gold mines can close overnight. now matter how well each establishment runs their mine they are a price taker in the world market and costs of production are largely fixed. I grew up in the nsw hunter valley and saw mines close off the back of low world coal prices – it happens overnight in a blink of an eye the whole demograhic and mood of a place changes. I used to work in the local pub which also suffered as did most business – not just mining related business.
cheers
I Buy Property http://www.cashflowproperties.co.nz
eve – always good to keep an open mind – there is no one right way to get things done and along the journey you will have to chance, adapt an be flexible – may as well get used to it from the start.
cheers
I Buy Property http://www.cashflowproperties.co.nz
