Property Investment Information

With hundreds of emails being posted on the Herald website, it seems that my comment on coffee and cars has created quite a stir and considerable debate. Four short sentences, but a week later and the phone still hasn’t stopped ringing.

I seemed to have polarised the community. Many replies have said that it can’t be done and that I’m a hypocritical baby boomer who is out of touch with generation X’ers. However many people have agreed with me and it was pleasing to see that Herald reporter Simon Collins checked my figures and confirmed my belief in an article he wrote.

To clarify, my comments were not a criticism of generation X’ers. I was trying to point out that it has ALWAYS been difficult to obtain your first property and that it takes time and a bit of sacrifice to achieve it. In addition, I was not trying to suggest that everyone can own their own home or that everyone should. It’s your choice how you lead your life and your life will evolve based on the choices you make. Renting provides great value and allows you to live in accommodation that would cost a lot more if you owned it yourself. Read the rest of this entry »

Source: NZ Herald

What’s the answer for Aucklanders trapped in the affordability squeeze?

Property experts say those facing a lifetime of renting must change their ideas if they want to get on the housing ladder. Read the rest of this entry »

Source: NZ Herald

Average rents have risen faster than wages in the past five years and are tipped to jump further in the next two years as the rental market catches up with Auckland’s soaring house prices.

Property Investors Association vice-president Andrew King predicted yesterday that Auckland rents could leap 20 per cent in the next two years. Read the rest of this entry »

From the NZ Herald

By Simon Collins

The average house in Otara, Auckland’s poorest suburb, is now just out of reach of someone on the national average wage.

Calculations for the Herald by Mortgage Brokers Association chairman Geoff Bawden show it would take $49,000 a year to service a $234,000, 30-year mortgage at current interest rates on the median-priced house sold in Otara last month – $259,000. Read the rest of this entry »

From the NZ Herald

A leading property investor has questioned why people on above-average wages cannot afford to buy a home after a report predicted dramatically falling home-ownership rates.

Property Investors Federation vice-president Andrew King said people on $70,000 a year had to look at their other spending – on things like coffee and cars – if they thought they could not afford a house.

“It might not be the house that you want to live in long-term, but you could buy a $350,000 house in Te Atatu, Glenfield, Panmure or Pukekohe,” he said.

“People should spend less money on coffee and brand new cars and overseas trips.

“It’s up to them to save more. This is a culture of ‘I want it now, I want everything and I deserve it’.”

Yesterday, the Government floated the idea of property developers being forced to build low-cost homes in new estates to ease Auckland’s housing shortage. Read the rest of this entry »