We know what is squeezing the life out of the rental market

[Perry]

But looks like overseas buyers will be allowed to buy residential or lifestyle land if they build on it and then sell the property.

I remember reading that and wondering just how foreigners would find such a policy in any way encouraging.

So we need more housing but let's discourage certain folk with funds and the will to build.

What do you mean by that?

Or was it a heavy irony observation?

[artemis]

.....
What do you mean by that?

Or was it a heavy irony observation?

Not irony. I was meaning overseas investors with money and a wish to build here - why would they if they have to build then sell?

[Sharon]

In Hamilton we get snippets of Asian buyers investing. Not in huge quantities but they are in the market. This is mainly at upper end properties out of reach of average kiwi mum and dad investors. Even in hard times these rentals are in strong demand & at the minute simply not enough supply.
In view of the facts its very poor Govt policy and equally shoddy research.

[Perry]

In view of the facts its very poor Govt policy and equally shoddy research.

If I didn't know better, I'd say you almost sound surprised at that!

[Perry]

On the AIR BNB thing............ It wasnt worth it. $500 for coming in and cleaning, changing linen, towels and then washing and drying. Couldn't go away because I had to be back for cleaning, etc.Air BNB is definitely a very easy tool to use and made that part easy. But I am not sure how people make more money than a tenancy? Maybe not for a studio apartment anyway.

Some work - some don't. Living on the property could be the difference.

[Courham]

With mine on bookabach it worked out okay. I got to use it weeknights and the weekends I wanted but booked it most weekends and ended up getting similar return as a regular rental but being able to use it as well, so it worked for me.

Craig

[donna]

Very interesting comments on AirBnB experience. It's all the rage here in Kapiti and taking properties away from rental market. Weekly rents rising and tenants staying for fear of not getting another place - so yeah I see how the Air BnB wouldn't be that profitable yet restrictive. Thanks a lot for the feedback.

cheers,

Donna

[Nick G]

With AirBNB it's a hotel operation and most hotel operators, if not all of them, systemize and outsource everything down to sourcing and cleaning linen.

[donna]

AirBnB works well here in Kapiti as there's a lack of hotel/motel accomodation - so supply and demand at work.

cheers,

Donna

[Perry]

More in what seems like a never-ending cavalcade of LL / Tenancy / rental crisis type articles.

Landlords' fear and loathing of the New Zealand rental market
6 Feb 2018

New Zealand's rental market is not only troubling for would-be tenants, many landlords fear and loathe the ever-changing rules and diminishing profits, prompting some to pull their properties from the market. But not all landlords see the changes as a drug-induced road trip to Las Vegas - others are looking to Europe for ideas on how to perceive their proprietary role differently. Stuff asked three landlords to share their thoughts on the great rental squeeze.

Regulation and costs pushing landlords out of the market says property manager
6 Feb 2018

A property manager says many landlords are selling their rentals as increasing regulation and costs have made keeping their properties an unattractive proposition. Feedback from people exiting the market had indicated to Oxygen they were selling because of increasingly tight regulation and compliance costs.

[flyernzl]

Isn't it fascinating how every landord is expected to, and often boast that they do, keep their rental prices below the market average.

That's a statistical impossibillity, of course.

[Davo36]

Isn't it fascinating how every landord is expected to, and often boast that they do, keep their rental prices below the market average.

That's a statistical impossibillity, of course.

That's funny. It's like pretty much everyone thinking they're an above average driver!

[artemis]

That's funny. It's like pretty much everyone thinking they're an above average driver!

And a good sense of humour.

[Perry]

Isn't it fascinating how every landlord is expected to, and often boast that they do, keep their rental prices below the market average.

That's a statistical impossibility, of course.

That's funny. It's like pretty much everyone thinking they're an above average driver!

And a good sense of humour.

But who or what defines average? Be that rent, driving ability or sense of humour?

For nominally identical properties, would not a LL with no mortgage debt be in a position to accept a less-than-average rent?

[flyernzl]

He/she might be in that position, but why should they?

Is there any reason why an individual should settle for a lesser return on their money than that which a Bank requires?