Yeah - too true, that.
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2degrees posts maiden annual profit
17 May 2017
Originally posted by Stuff2degrees has posted its first profit, marking the end of a gruelling seven-year start-up period for the telecommunications underdog. The company posted a profit of $13 million on revenues of $703m for the year to December 31, confirming indications in a March filing to the Toronto stock exchange by its owner that it was in the black.
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Originally posted by Perry View Post2degrees posts maiden annual profit
17 May 2017My blog. From personal experience.
http://statehousinginnz.wordpress.com/
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Originally posted by Wayne View PostSo the short term pain will be a little greater as the losses are locked up.
The long term gain then will be a little longer as they use up those losses when they come into profit.
As for it driving rents up - bullshit!
Do the people who have no mortgage on a rental property charge less rent because they have less costs? No!
If your business model is so reliant on the tax break then it might not be such a sustainable business model.
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What seems to be lost in these arguments is that, to claim my 33c tax deduction I have to spend $1 of my income on mortgage interest, rates etc. first - providing a social benefit to a poor, hard-working Kiwi. I'm still 67c down on the deal! Damn right there better be some capital gain to look forward to.
And what happens in 10 years, when the stories are of "Landlord receives $2,000 per week rent AND PAYS NO TAX" (because of the previous 9 fallow years of building up the losses).DFTBA
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Originally posted by Perry View PostAn empty rental is an expensive rental.
For me across a very large portfolio we run at above 99% occupancy while targeting 96%.
We recently had a property vacate, it took 2 weeks to tidy up (internal paint, clean up) and had I not done that work could have had a gap in tenancy of only a few days. The property was tenanted for a 20% increase vs. the previous tenancy and based on the interest it could have been 30%.
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Nick Kearney points out to Labour the difference between a speculator and an investor, including taxation requirements. He also comments that this particular issue is going to overshadow Labour's overall housing policy, some of which is good. So far he is correct.
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Originally posted by Don't believe the Hype View PostVery true and you need to judge your market and market conditions.
For me across a very large portfolio we run at above 99% occupancy while targeting 96%.
We recently had a property vacate, it took 2 weeks to tidy up (internal paint, clean up) and had I not done that work could have had a gap in tenancy of only a few days. The property was tenanted for a 20% increase vs. the previous tenancy and based on the interest it could have been 30%.
Rents are based on supply and demand not cost plus.
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Originally posted by artemis View PostNick Kearney points out to Labour the difference between a speculator and an investor, including taxation requirements. He also comments that this particular issue is going to overshadow Labour's overall housing policy, some of which is good. So far he is correct.
A nice balanced piece of writing there hahaha. So far he is correct? Since this policy was announced this thread has only run to 7 pages. 7 pages of mostly yes men nodding and agreeing with each other. So I got to disagree with you there.
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Rents bear some relationship to costs, but it's certainly not linear.
I completely agree, rental levels are supply and demand. But supply is affected by costs.
If costs radically increased, over time you'd see rents go up more than they would have otherwise. Some landlords who were charging below market will bring theirs up to market (thereby bringing up the average) and some would sell their properties thereby decreasing rental supply.
There was a thing at APIA this month that shows rents diverging from inflation soon after the depreciation on buildings was removed. That's unlikely to be a coincidence.AAT Accounting Services - Property Specialist - [email protected]
Fixed price fees and quick knowledgeable service for property investors & traders!
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Originally posted by Anthonyacat View Postsome would sell their properties thereby decreasing rental supply.
There was a thing at APIA this month that shows rents diverging from inflation soon after the depreciation on buildings was removed. That's unlikely to be a coincidence.
It just annoys me when people run the 'well I'll just put my rents up' line when, as you say, the relationship is far from linear.
Be very careful with averages and statistics.
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They went up faster than inflation. Sorry, thought that was clear from the comment. If you're asking for the graph, I didn't get it - ask APIA?
AAT Accounting Services - Property Specialist - [email protected]
Fixed price fees and quick knowledgeable service for property investors & traders!
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Originally posted by Wayne View PostAnd when they sell their property one less family would need to rent - they now own - so reducing the demand.My blog. From personal experience.
http://statehousinginnz.wordpress.com/
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