Originally posted by Anthonyacat
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IMO you are better off in educating yourself on the share market until you can afford an IP when $150 is a drop in the bath, ie 50% depending on how many other obligations you have.
I actually am finding my NZ PPOR far cheaper than the rent we were paying for a 2 bedroom sh!t box with party animal neighbours 4 nights a week and mouldy carpet underlay. Our interest only and all rates and essentials works out $50pw cheaper to buy, and it just got cheaper (ugggh timing).
Who knows how long we will be in level 4 isolation and the impact on property prices, if people lose 30-40% that is 30-40% more the banks will be asking of rental properties, thats why Im only prepared to buy knowing if the sky should fall down, I can still afford it. Minimum deposit is not the way to go IMO and never was regardless of this virus.
I agree with most of your reply, I just feel a lot of people who jumped on the IP thing, thinking it is a sure bet are just a can short of a six pack.
Not only is it cheaper, but I have a 10yo master built, architect designed and project managed house, with a view of the ocean on one side and a gorgeous big pohutukawa on the other with a gorgeous lawn and large single level decking, a $90k brand new kitchen (electric rubbish drawers are more hand than I use to think), I get Tuis and Kereru and faintails making beautiful NZ noises all day, we have the higher end HRV with heating and cooling, Gas rennai Fire place, gas cooking (missed this a lot), gas water, double glazing everywhere, much faster fibre due to less WIFI congestion (20+ vs 3-4 makes a big difference), 2yo quality carpet court carpet lush stuff in the bedrooms etc, lovely hardwood in the cooking/dining areas, central air cond (split heat/cold etc). All for $50 less per week.
I did however negotiate 40% off the GF (estimated ~15-20% MV) which of course made a difference, but if you are at the stage of buying IPs you should know how to buy homes for much less than asking price).
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