More than half of New Zealand property investors own fewer than five properties, according to one survey (thanks for the commentary, Troy!) but we think it’s probably a lot higher. The people responding to this survey are interested in investing; there’s a massive number of ‘accidental’ and uninterested landlords who won’t have been caught up … Continue reading Take your portfolio to the next level
New insulation funding criteria launches this month, providing 50% funding for insulating your rental in Auckland or Counties Manukau. To be eligible for funding, you need to be a private landlord of a house constructed prior to 2000, and your tenant must have a community services card. Check this site for more details. You can … Continue reading Are your rentals insulated?
An Auckland homeowner undertaking a renovation got some surprising variation in quotes from tradies – plumbing quoted at between $9,413 and $19,307; electrical work at between $14,850 and $24,445; a roof at between $15,525 and $29,250. That’s a pretty staggering total: the cheapest quotes on those three jobs are a whopping $33,000 higher. Possibly … Continue reading Auckland tradie quotes vary massively
The CBD suburbs, with their many apartments, are leading the way on yield. Central West is on top: with a gross yield of 6.2% it might scrape cashflow neutral. It’s certainly going to be easier on your pocket than Herne Bay, where million-dollar property will yield -0.9% – yes, that’s a negative yield, which … Continue reading Rents up – yields still low
Aucklanders could be charged between 3c and 40c per kilometre to drive around the city, if the Government’s new ideas for battling congestion are implemented. Whatever you think about paying tolls for driving – and it’s certainly controversial – if this goes ahead it will have an impact on Auckland’s housing market, too. Road … Continue reading Toll roads: how could they affect the housing market?
Stuff’s asking ‘What housing crisis?’ as a leasehold property in St Johns is listed for $1,000. The writer says it’s “surely a bargain”, but obviously it’s not, otherwise the vendor would have been able to sell it at the original price of $10,000. This property costs $38,000 a year in ground rent, plus your … Continue reading $1,000 leasehold Auckland house – but it’s no bargain
Auckland’s Unitary Plan is heading for a showdown on August 19. We can’t wait to see what happens when the Unitary Plan reaches the Auckland councillors – will they approve the final plan recommended by the Independent Hearings Panel? Will they reject part of the Unitary Plan, or reject the whole thing? As Interest.co.nz … Continue reading Unitary Plan update: will all hell break loose?
Manukau and Papakura are Auckland’s fastest-growing hot suburbs, according to CoreLogic data. Prices in those areas were up around 24% on the previous year, and this comes on the heels of a report that found 80% of South Auckland’s sales are to property investors. That will come as no surprise to any of you … Continue reading Hot right now: Manukau, Papakura, Hamilton, Tauranga
Ominous rumblings are coming from the Reserve Bank – it’s going to do something and chances are it won’t make your investing any easier. That’s because the Reserve Bank wants to let the lid off the Auckland property pressure-cooker and keep investors under control. What could it do? The number one candidate is debt-to-income ratios … Continue reading Make your move before October
Property investment can be both stressful and time-consuming. Finding the right property and building your portfolio can sometimes take almost as much time as your day job. But you don’t have to do the hard yards if you don’t enjoy it. In fact, if you don’t have a passion for property, this can derail or … Continue reading Stress-free property investment
I would love to be able to say “Yes, definitely, you are sitting on a gold mine – get ready to cash in!” Sadly, it’s not as simple as that. There are two parts to this question: Will the council allow subdivision on this site? Is it worth subdividing my site? The first question … Continue reading Can I subdivide my property?
Auckland house prices continue to move up in the latest monthly statistics. We still have strong demand, and strong under-supply. Interest rates are likely to head downwards. As a result house prices in Auckland are heading upwards in the short-term, and also long-term too.
For many years now, savvy investors have been realising the beauty of the small but well-designed home. New Zealanders are increasingly enthusiastic about bijou townhouses and two-bedroom units – Baby Boomers may be horrified by the idea, but younger generations love the advantages of a more compact living space, especially those who have moved to … Continue reading The rise of the small house
There have never been more cranes on the skyline, with a record 47 at work across Auckland and an additional 51 throughout the rest of New Zealand. Is this going to rebalance the supply-and-demand equation that has been tilted so sharply towards demand? Well, it’ll certainly help, but around one in four of the cranes … Continue reading Record number of cranes on the skyline
British councils are using drones to fly over houses applying for planning permission and we wouldn’t be surprised to see this happening soon in New Zealand. Drones are officially known as unmanned aerial vehicles or UAVs. Their origins can be traced to the military in the 1960s but today smaller versions are used for all … Continue reading Drones hunt out unconsented builds
I was interviewed as a guest of the NZ Herald’s Economy Hub today. The hub consisted of me, NZ Herald Business Editor Liam Dann and Auckland Council Chief Economist Chris Park. Auckland House Prices have been a hot topic lately. I was asked when will this boom phase end. Whilst crystal ball gazing is a dangerous sport, … Continue reading Auckland house price growth for at least 2 years
Asking prices for Auckland houses hit a record high in February, rising by 2% to reach $817,000 on TradeMe’s property pricing index. That is a huge jump from February 2015, when the average asking price was $710,250 – meaning sellers want 15% more than they did this time last year. This takes asking prices in … Continue reading Asking prices – Auckland hits a new high
Since a surprise rezoning announcement in December, the Unitary Plan has been under fire from a vocal group of Auckland residents concentrated in the eastern bays. A seven-hour meeting (described as “the worst Auckland Council meeting of all time”) resulted in a back-down from the Council. What does this mean for you? This controversy may … Continue reading Unitary Plan opportunities may extend
The surprisingly hot housing regions in the REINZ’s February data were Hawke’s Bay, Wellington and Nelson/Marlborough. The Wellington market has been flat or only slightly improving for the past eight years, so significant boosts in sales and prices are a welcome change of pace for the capital. With new motorways improving access to Wellington and … Continue reading New hot housing regions: Hawke’s Bay, Wellington and Nelson
The latest OCR cut means banks are more competitive than ever, so now’s your chance to negotiate hard for a good deal. Your current lender won’t tell you about break fees unless you ask, but it’s definitely worth it if you’re one of the many people stuck on rates around the 6% mark. We’ve been … Continue reading Surprise OCR cut means lots of break fees
There’s been a bit of debate recently about whether ‘P’ testing between tenancies may be needed in order to meet the requirements of the Residential Tenancies Act. Remember, as a landlord it is your responsibility to provide a clean property, free from ‘P’ contamination. ‘P’ is a methamphetamine and is also known as speed, pure, burn, … Continue reading Compulsory ‘P’ testing between tenancies?
For most Kiwis, finding a property is a fun, sometimes frustrating activity that happens rarely in their lives. Even the busiest investors don’t buy more than a few properties in a year when you average out their portfolios. But I’m one of a handful of New Zealanders who finds properties for a living. That … Continue reading How to find the perfect investment property
There’s never been a better time to start a granny flat or small house project and here are my five reasons why: 1. You still can! Under the current Unitary Plan you won’t be able to build the kind of granny flat (a.k.a. minor dwellings) our clients particularly love. We don’t know exactly when the Unitary … Continue reading 5 reasons why it’s the perfect time to build a granny flat
When a $2.5 million property can’t attract a buyer at $100,000, you know there’s something very wrong. What could possibly reduce a property’s value by 96%? One little word: leasehold. While you own both the land and the building on your freehold property, you only own the building on a leasehold and you pay ground rent to the land’s … Continue reading Leasehold: only for the brave and well-informed
Auckland councillors have got cold feet about the latest proposals for intensification under the Unitary Plan. While everyone agrees there are too few dwellings to meet demand, there’s a major lack of consensus on what to do about it. Local ratepayers are protesting, a majority of councillors reportedly agree and the Property Council is “appalled” at the U-turn, blaming Baby Boomers … Continue reading Speed wobbles for Auckland intensification
With data not yet available for February, rent rises so far look modest. Anecdotal evidence, however, points to some major increases in rents across Auckland in the early months of this year. We’re hearing from property managers that rents have never been higher – up by between 10% and 20% on last year’s prices. There’s about whether rents can continue to increase: … Continue reading Rents are rising – the data hasn’t caught up yet
We get asked a lot of questions about the Unitary Plan, and the main one is this: When will it come into effect? Unfortunately, nobody has an official date, but the current prediction is mid-2016. I wouldn’t bank on it, though. On any project with this many people involved complications will crop up; I wouldn’t … Continue reading What’s happening with the Auckland Unitary Plan?
Auckland’s median house surged to $933,264 at 31 December 2015. All sub-region did well as shown in the infographic map below. However South and West Auckland (Waitakere) were particularly strong. This is great for the over 300 buildings the FUZO Property Group has completed for our clients in South and West Auckland going back to 2003. CoreLogic’s infographic shows the excellent growth in Auckland’s sub-regions in this FUZO Property informative property blog.
Government changes impact property investors. They can alter the supply and demand dynamic. The Reserve Bank of NZ made a few changes and the Government imposed the rest.
Following the Government’s budget announcements in May this year there are a number of changes that will kick in on Thursday, 1 October 2015…