NELSON PROPERTY INVESTORS ASSOCIATION
MARCH 2015 NEWSLETTER
PO Box 198 Nelson
MARCH 2015 NEWSLETTER
PO Box 198 Nelson
THINGS HAVE CHANGED FOR GLENN
BUSINESS AS USUALFor those of you who have not caught up Elizabeth, Andrea and I have sold our property management business.We keep commenting to each other how nice and quiet the phones are these days. I have the occasional self-doubt as to how well I will be able to fulfil the position of secretary and newsletter writer. Of course we still have our family portfolio of flats, houses, factories, shops, offices, workshops, and whatever to keep busy with. However I will now need, more so than in the past,information from you members who are still working at the coal face. Please pass on your stories of daily trials and tribulations. Things are always changing in our market and in the court processes. Minor changes can have a big impact on the outcome of some tenancy disputes.
THEMARKETI have just arrived home from another mountain summit. This time it was Kilimanjaro in Tanzania. 5895m ASL is a long way up. The air was thin, the temperature -12C, and my body was not happy. So arriving back home the world seems somehow different than it was two weeks ago when I left. The advertisements on TradeMe for Nelson city have gone from 87 at the beginning of the year to 137 today. Canterbury has gone from 1593 on 4 February to 1663 today and Auckland from 3701 to 3353. So what does this indicate? Well I think the summer is over. Holiday rentals are converting back to standard rentals and students are heading back to big city universities.
THEMEDIA AND UTTEREANCES FROM POLITICIANS AND SELF APPOINTED HOUSING SPOKESMEN
A major private landlord’s response to JohnKey’s state of the Nation report.
In John’s report he provided some of the figures of the money that is being spent on social housing in New Zealand.The statement is made that Housing NZ is the biggest provider of social housing in New Zealand. Actually private landlords are by a country mile the largest providers of rental housing to those in need. The last census recorded that there are 428,284 rental dwellings owned by private landlords. Of those the briefing paper to the 2014 Minister of Housingindicated that 300,000 people shared the $1.2 Billion Accommodation Supplement quoted by John. That averages out at $76 per week for those people who are renting in the private sector and are poor. Compare that with the 62000 in HNZ rentals who get Income related rent subsidies. They share between them $700Million which averages out at $217 per week each. Housing New Zealand also collects $457Million rent on their properties which averages at $136 per week average for all of their rentals. When those rents are added to the IRRS$217 + $136 = $353. This figure is for large and small rentals from Bluff to the Cape. So clearly the cost of providing state owned housing is not a cheap option.The average rent across NZ for all sizes of private rentals are actually less than this. The plan as outlined by the Prime Minister is to let some non-government organisations participate in the Income rent subsidy scheme. So this means that a few lucky people will receive something like 286% more than my tenants are entitled to. Fair enough if the chosen few are worthy. However as a landlord of several hundred dwellings in my city I know that there is no difference between my tenants and HNZ / social housing group tenants. I have in fact lost some good well behaved tenants to them and gained some lower grade hard to manage tenants from the public sector. It is not right to create inequalities in our society. This often leads to people becoming angry,dangerous, and desperate.
THE AMERICAN DREAM
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