How to get started with very little money in a crazy Auckland market???!!!

[ralabbalar]

Auckland won't fall over any time soon. It would have to defy gravity to see falling prices with demand just getting stronger and stronger. So don't let scare mongering put you off. Just don't pay too much when you buy.
I would say 400K all in is going to be almost impossible but you may get into Manurewa on a cross lease in the 400's. Otherwise Waiuku, Tuakau or Pukekohe are all good options.

Thanks Bobsyouruncle...gotta start somewhere heh?!!

[Kbkiwi]

Auckland won't fall over any time soon. It would have to defy gravity to see falling prices with demand just getting stronger and stronger. So don't let scare mongering put you off. Just don't pay too much when you buy.
I would say 400K all in is going to be almost impossible but you may get into Manurewa on a cross lease in the 400's. Otherwise Waiuku, Tuakau or Pukekohe are all good options.

The above is complete bollocks.

Ignore the BS (and already widely disproven arguments) about various measures of "demand" being the be all and end all of price growth. This is utter nonsense.

There are many, many, many examples of popular international cities where despite heavy demand from people wanting to live there hasn't stopped extended price declines.

anyone thinking the auckland market is bulletproof are delusional.

[Anthonyacat]

In fairness, Bob didn't say it can't happen, just that it'd have to defy gravity. Things defy gravity all the time. Ever jumped?

[Bob Kane]

The above is complete bollocks.

Ignore the BS (and already widely disproven arguments) about various measures of "demand" being the be all and end all of price growth. This is utter nonsense.

There are many, many, many examples of popular international cities where despite heavy demand from people wanting to live there hasn't stopped extended price declines.

anyone thinking the auckland market is bulletproof are delusional.

Pin this quote to the board with a bring up in three years time.
I'll bet that Auckland house prices in 2020 will be higher than they are today.

[Bobsyouruncle]

You never take any notice of KB Bob. He's just a professional troll. The (s)care mongering brigade have to bash Auckland, who knows why. The key is to not pay too much, not avoid the best market int he country.....

[Kbkiwi]

You never take any notice of KB Bob. He's just a professional troll. The (s)care mongering brigade have to bash Auckland, who knows why. The key is to not pay too much, not avoid the best market int he country.....

Whos the troll - someone who fleeces people out of thousands of dollars by way way of "tutoring" - yet still manages to go bankrupt multiple times - or the person who tells people to ignore his BS statements?

"the key is to not pay too much, not avoid the best market in the country"

when the market in question offers nothing that can be classified as not in the "paying too much" category, it's very doubtful it's the best market in the country. Very few properties in Auckland are cashflow positive, and they are currently in capital value decline. Meanwhile, in many other parts of the country cashflow properties abound and properties are in capital value increase.

but by all means, if you are dumb enough to listen to the bobsyouruncles of the world - then you deserve to be parted from your money.

[Nick G]

Probably, but there's more to property investment than values.

Pin this quote to the board with a bring up in three years time.
I'll bet that Auckland house prices in 2020 will be higher than they are today.

[Nick G]

To the original poster - your money might go further if you buy a new apartment. Assuming its an investment you will get a lower deposit.

[kazzp]

I can't quite understand why with supposedly 1000 people moving to Auckland a week and a HUGE housing shortage I have had a tidy three bedroom in New Lynn on the market for a month with minimal interest - first time this has happened in the nearly ten years I've rented it out where it's hardly been vacant for a week. If there is such a huge accommodation shortage then every rental should have tenants literally lining up for it and rent prices should have increased hugely I would have thought through demand? The argument I've heard is that the sales and rental markets are different but people have to live something - if they can't buy they have to rent - so the two markets should be inexplicably linked. That to me doesn't add up so I sometimes wonder where all these housing shortage figures come from. I think we also have to keep in mind in Auckland definitely investors are playing a HUGE part in pumping up prices with around 40% of sales to investors. Same in Tauranga. That to me seems risky in itself - it's not a normal market when this happens it's pure speculation and it has got to mad levels. I personally would wait for a while and see how things pan out in the next few months.
Also decide if you want to plough money into your investment each week or want to buy something you can let tick over without having to worry. I prefer the latter option. May not have made as much as some bigger risk takers but I can sleep at night. Depends what's important to you. Every investor has different criteria and there is no right or wrong answer.

[Bobsyouruncle]

Maybe your ads are bad? I don't know any PM's with vacant properties, however I am out East not West.

[Nick G]

Small observation. I had to stop reading your paragraph 3 times to work out where I was up to.... have someone check the ad?

[Davo36]

Yeah can you link to the ad?

[flyernzl]

The street wisdom is that although the population numbers are up the rent demand is not.
Reason: people are packing in more to a house.