DaveW's Deals & Such

[Bluekiwi]

Louise, it certainly is a lifestyle change (for the better if you grab it with both hands and make a success of it). It is worth the divorce from the bank and in some cases the husband too. If he doesn't share your ambitions then he sure better make up for it in other departments!

Lol... you saying he needs to grab it with both hands Dave.

[DaveW]

Yes! :-)

Failing that, its good luck to them, the journey will be that much more difficult!

[DaveW]

The other thing Louise is now is a good time to do trading. If you can hold on to the property then good, but not at the expense of trading.

The recession is still lingering around but just look at the rural land that overseas investors have been buying and the re bound in commercial property, and gold.

You need to get working now so that you can enjoy the ride later. When the growth market comes again then it will come quite steep and inflation will be up there I'm predicting. Then you can enjoy more time with the family :-)

[DaveW]

Probably one of the most telling things is that the banks are back to 90% lending. Is that a sign of confidence?

[Davo36]

Yeah I was watching a Westpac ad on telly last night. It was the same or similar to ones they used to run 3-4 years ago. Basically selling the home ownership dream. You know, how fantastic it would be to move into your new home and how Westpac can help you do it...

So they would be a bit more careful than they were but they're keen to do the business.

[ATETA]

I totally agree with Bluekiwi

[Bluekiwi]

I totally agree with Bluekiwi

Can I congratulate you on your first post ATETA.

[ATETA]

Can I congratulate you on your first post ATETA.

Thank you

[Davo36]

So DaveW, what are our plans for this year? Are you still buying and selling? Looking to hold the odd one?

[DaveW]

Hi Davo36, yes still the same and probably won't stop... I enjoy it too much!

Are you thinking whether to keep or sell your papakura commerciall?

[eri]

i think he has to keep for a few years

at least until he's the market has improved

and he's forgotten all the blood, sweat

and bad words

[Davo36]

Yep that's about right Eri. If I sold it right now I'd maybe get my money back but no more.

If I wait a few years I reckon the rents will have gone up a fair bit and it'll be worth quite a lot more.

In the meantime I might keep my ear to the ground for undervalued property again. Paint and paper type stuff this time though. No getting involved with councils at all.

[Davo36]

Hi Davo36, yes still the same and probably won't stop... I enjoy it too much!

Are you thinking whether to keep or sell your papakura commerciall?

What is it you enjoy about it Dave? Finding a property that you can make some money on? The thrill of the chase? Is it (for you) analogous to sorting through old second hand goods and occasionally finding a real attractive antique that could be worth lots?

Finding a house that others have overlooked. Is that it?

[DaveW]

I'm in it for both money and fun, you meet lots of interesting people, and there is the satisfaction of turning a property that no one wants into one that everyone wants.. your papakura one is an example of that.

Being involved at the coal face is like having your finger on the pulse of the property market. At the end of December 2007 I thought something was wrong... it was like someone turned the tap from a sellers market to a buyers market. The tide had turned from greed to fear.. I found it interesting.

You should consider getting a valuation done after you have done the subdivision consent.. retail is very popular at the moment.

[DaveW]

Wow, hasn't this thread taken a back seat in time. Nevertheless, these posts of 9 years ago were on the mark for a housing boom. I'm glad I kept hold of property while at the same time improving my skills in commercial and land deals, in NZ and abroad.

But I now see so many investors getting into the housing market at its height. We need to prepare for times of change, housing returns are ridiculously low.

Reminds me of the Previous Investment Trap. I've copied it here for those who have never heard of it:

Previous-Investment Trap: The belief that time, effort, and money spent in the past must be considered when making a decision in the present. You know the old saying, "Don’t throw good money after bad.
"In every case, the question is: With what you have now, what is the best way to use that to get the most in the future?" What you’ve paid to get where you are now is irrelevant; those resources are gone and can’t be retrieved. Kiss the past good-bye.