I agree with all the comments. The increase of close to 40% in these areas have lifted the 10 year growth rate fron 1-2% big deal. What that means is that these areas are over priced and there are to many investment properties there.

Save your money and invest in Melbourne Brisbane or if you what positive look to New Zealand

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

Hi Steve

An important issue should be the lack of people saving money in this country. There are not enough incentives. As you know in New Zealand with no capital gains tax no stamp duty and higher depreciation the government at least encourages people to save money. Lets not forget you can also borrow against a super scheme in New Zealand. Clearly a great deal of reform is needed in this country

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

You will often find that by purchasing a property for investment, will be tax deducable and often you can rent a better property than you could afford to buy and by purchasing a property and putting a tenant in you can buy a better investment property.

I think I have confused myself

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

If you are purchasing a property that will have high capital growth then an interest only loan will assist you with you cashflow and help you acquire more property

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

Hi Westan

I am hearing the same thing from agents I am speaking to however it has been a cold winter and with the lack of property on the market this is also helping to keep prices stable. This is also the same in Australia. It certainly applies in the inner suburbs of Melbourne. In New Zealand it will be intrsting once we see spring as to what happens to the market

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

Hi Dave

Naturally you should get some sound advise from either a property accountant or solicitor. However in Australia if you buy in your own name or a trust and you keep the property for at least 12 months you will only be taxed on 50% of the capital gain. If on the other hand you buy in a company you will only pay 30 cents in the dollar however you will be taxed on 100% of the gain. So unless you never intend to sell the property you are probably wise not to purchase in a company.

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

It is hard, you can find them in country areas but I think that they are not worth buying. You might try New Zealand. It still provides positive cashflow and growth

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

Also mark
Do not buy in a company name, otherwise you will pay capital gains on 100%. Only buy in a company if you intend to sell within 12 months

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

If you are investing in new zealand you need to establish the correct structures there may some protections. After all capital gains tax is a tax on profit. It is not about avoiding tax but being able to leave it in New Zealand

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

Even the New Zealand government realise that many of there own people will not have enough money in retirement. With a complusary super scheme, this will take years before it has any real impact on the economy. In Australia we have had this scheme since the early 1980s and most government figures are still indicating that most people will not have enough to retire on.

What I like about New Zealand is that it gives a separate income stream to Australian investors. If you buy in main cities and you can still get returns ranging from 6.5% to 10% or higher and you are looking for a long term investment then I believe it is a very safe investment. It is important to keep in mind that I do not buy property on behalf of clients for short term gains nore do I buy in Regional areas. I agree that many Australians are foolishly purchasing off the plan properties for high prices or so called high cashflow properties in over supplyed regional areas. Investing is about common sense. Would it have been better to buy property in New Zealand 5 years ago, of course. But where will prices sit in say 10 years.

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars