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NZ Property Investor June 18

The New Zealand Property investor magazine provides readers with information you can use to successfully invest in residential property. You can learn from the experts, read the stories of your fellow investors and keep up to date with the latest house prices and rental statistics.

New Zealand
NZ Property Investor Magazine Ltd
12 Issues

in this issue

2 min
go-getter strategies for growth

As we go to print, the Government has announced a $3.8 billion spend on housing in the Budget 2018, which includes 6400 more state houses to be built by 2022, $170 million for emergency housing and further insulation subsidies for low-income families. As rental providers, it’s our business to provide healthy homes for Kiwis and this Budget offers up a couple of opportunities to help us do so. Previous insulation subsidies for low-income earners end this month, but the new insulation announcement will mean more home-owners will be able to insulate their homes. While this doesn’t offer much to landlords, it will mean other providers will have to step up their game – such as ANZ who are now offering interest free insulation loans – to capture the landlord market, before…

2 min
real estate disruptors

In a New Zealand first, it is now possible for buyers and sellers to conduct their real estate negotiations completely online through a licensed agency. Licensed online agency, Proppy, has launched a new negotiation tool which enables sellers to view and manage multiple offers from an online dashboard - negotiating in their own environment and in their own time. Proppy co-founder Tyson Walker says the tool is a game changer for an industry that has largely avoided any major digital disruption. “We believe the time for hefty commission fees is up and the digital revolution is calling time on the expensive bricks and mortar real estate model.” The tool cuts down on the time and stress involved in a sale by putting the seller in the driving seat of the sale, with support from…

1 min
alarm bells

Consumer NZ testing has revealed that ionisation alarms give much less warning of smouldering fires – like those caused by faulty electrical wiring, curtains draped over a heater, or a hot ember igniting upholstery foam. This means it is less likely residents can get out of a property safely. Consumer NZ head of testing Dr Paul Smith says the testing confirmed ionisation models were great at detecting flames, but not so good with visible smoke. “The four ionisation alarms in our test were faster at detecting flaming fires (burning oil and wood) but much slower at detecting smoke from smouldering foam.” All smoke alarms will respond to a fire, eventually, he says. “The difference is whether they respond to visible smoke. A smouldering fire can fill a home with deadly smoke long before it…

1 min
don’t neglect rentals

The Tribunal has ordered Rotorua property management company, McDowell Real Estate Limited, to pay $3,000 in damages for failing to fix up serious problems in one of the rental properties it manages. The property was damaged when a water pipe in the ceiling burst and the roof was not fully repaired. This caused the house to be cold, damp and draughty – which would not have been the case if the repairs had been done properly when the damage occurred. While the tenants informed their landlord of the issue, nothing was done for over a year, and the tenants had to tape up the holes in the ceiling with cardboard. Eventually the MBIE Tenancy Compliance and Investigations Team got involved. Tenancy compliance team manager Steve Watson says the most concerning thing about the case…

2 min
budget overlooks investors

Finance Minister Grant Robertson’s first Budget didn’t contain any surprises, but it did commit to building 6,400 new state houses over the next four years at a cost of over $4 billion. This will be partially funded by a $234.4 million Budget allocation and partly funded by Housing New Zealand borrowing up to $2.9 billion and also investing funds from its operations. Housing and Urban Development Minister Phil Twyford says the plan will mean 1,600 new state houses are built a year, which exceeds their earlier commitment of 1,000 state houses a year. This commitment is critical because too many New Zealanders are hurting as a result of the housing crisis, he says. “The single most important thing the Government can do to solve the housing crisis is to build more affordable homes.” The funding…

1 min
interest-free insulation loans on offer

ANZ chief executive David Hisco, says the bank will be making $100 million of the loans available to its home loan customers to help with insulating their properties. Cold, damp and mouldy homes are a major problem in New Zealand and result in many health problems, expensive energy bills and the degradation of properties, he says. “We want to help New Zealand resolve this major social, environmental and economic problem. “Properly installed insulation can transform an unhealthy home literally overnight and vastly improve the quality of life – particularly for children.” Hisco says insulating the floor and ceiling space of an average three to four bedroom home would cost about $5000-$7000. “A $5000 interest-free home insulation loan would cost a home owner about $100 a month to pay off over 48 months.” The interest-free loans, which…