• Login:
Welcome, Register Here
follow PropertyTalk on facebook follow PropertyTalk on twitter Newsletter follow PropertyTalk on LinkedIn follow PropertyTalk on facebook
Results 1 to 10 of 10

Thread: Net wealth

  1. #1
    Join Date
    Mar 2015
    Location
    Brisbane Wellington Auckland
    Posts
    807

    Default Net wealth

    The NBR rich list estimated only 500 individual in NZ with wealth over $50m.
    Hard to believe so few ...I thought 1pc of the population would be there ...

  2. #2

    Default

    $50,000,000 is a fairly high Net Worth - my bet is there is only one person on this forum at that level.

  3. #3
    Join Date
    Feb 2015
    Posts
    105

    Default

    So much talk about an individuals’ worth in some media posts.....I only ever calculate our net worth so when someone’s worth is being spouted, I often adjust it to see what the ‘net’ might be....assumptions made of course e.g. a younger property investor will probably only have 30% of the quoted worth. And I just love W.B’s (or was it C.M) words saying: it is only when the tide goes out, that you find out who was swimming naked.

  4. #4
    Join Date
    Sep 2004
    Location
    Hastings
    Posts
    14,876

    Default

    "When you want to look good on paper . . . . "
    Want a great looking concrete swimming pool in Hawke's Bay? Designer Pools will do the job for you!

  5. #5

    Default

    Quote Originally Posted by Minz View Post
    So much talk about an individuals’ worth in some media posts.....I only ever calculate our net worth so when someone’s worth is being spouted, I often adjust it to see what the ‘net’ might be....assumptions made of course e.g. a younger property investor will probably only have 30% of the quoted worth. And I just love W.B’s (or was it C.M) words saying: it is only when the tide goes out, that you find out who was swimming naked.

    I find this amusing too... people seem to be excited by the value of assets they control/own - the reality is until it's paid for they don't really own or control anything - they're pawns of the bank.

    No one wants to read about the guy/gal who works hard, doesn't take risks, spends within their means and over a lifetime creates a net worth of $10M+ what they want to hear about is the guy/gal who extends themselves to the limit... then buys an expensive suit and a his and hers Ferrari all on tick - then they interview these guys who will tell you about how they know better than everyone before them... eventually things go bad and it's someone else's fault.

    My take on this is people don't want to read about people just like them who are no smarter who do the basics right and over time get ahead because it makes them feel bad about their own position.

  6. #6
    Join Date
    Jul 2017
    Posts
    274

    Default

    Quote Originally Posted by Minz View Post
    So much talk about an individuals’ worth in some media posts.....I only ever calculate our net worth so when someone’s worth is being spouted, I often adjust it to see what the ‘net’ might be....assumptions made of course e.g. a younger property investor will probably only have 30% of the quoted worth. And I just love W.B’s (or was it C.M) words saying: it is only when the tide goes out, that you find out who was swimming naked.
    Looking at net worth alone is misleading. Some rich listers have their entire net worth at risk, whilst others don't.

    There were some really high net worth individuals who were property developers that subsequently went bankrupt - https://www.nzherald.co.nz/business/...ectid=10707062

    I recall a multi-billionaire who was the seventh richest person in the world at one time - https://en.wikipedia.org/wiki/Eike_Batista

  7. #7

    Default

    Quote Originally Posted by Chris W View Post
    Looking at net worth alone is misleading. Some rich listers have their entire net worth at risk, whilst others don't.

    There were some really high net worth individuals who were property developers that subsequently went bankrupt - https://www.nzherald.co.nz/business/...ectid=10707062

    I recall a multi-billionaire who was the seventh richest person in the world at one time - https://en.wikipedia.org/wiki/Eike_Batista

    This is true and a great example of why I ask on a different thread why people want to o into higher risk categories like commercial and property development once they've done well in a related but different field of residential property investment.

  8. #8
    Join Date
    Apr 2009
    Posts
    968

    Default

    Quote Originally Posted by Don't believe the Hype View Post
    This is true and a great example of why I ask on a different thread why people want to o into higher risk categories like commercial and property development once they've done well in a related but different field of residential property investment.
    Not every developer is a failure.
    Not every commercial investor is a failure.
    Not every residential investor is a success.

  9. #9

    Default

    Quote Originally Posted by DaveW View Post
    Not every developer is a failure.
    Not every commercial investor is a failure.
    Not every residential investor is a success.
    True
    True
    True

    The point I'm making is if you have a solid base - net worth - then chasing more whilst risking your base always amazes me. It amazes me more when you chase the big dollars risking your base in an unrelated field.

  10. #10
    Join Date
    Apr 2009
    Posts
    968

    Default

    Quote Originally Posted by Don't believe the Hype View Post
    True
    True
    True

    The point I'm making is if you have a solid base - net worth - then chasing more whilst risking your base always amazes me. It amazes me more when you chase the big dollars risking your base in an unrelated field.
    Everyone is different.
    A lot of investors choose to retire to the beach but I think more prefer to keep active.
    I've met some investors who wanted to do commercial from the start but they start with residential because that's all they know.
    Some find one commercial deal saved them from renovating house after house after house in a shorter time thus allowing them to spend more time with family.
    Some find they are great working with figures and can detect under rented commercial thus dramacally increasing value in a very short time.
    Some realize the true value of real estate is in the land and find an industrial holding on many acres.
    Some see an opportunity of a lifetime to fill a market need with tenants or buyers they already have.
    Some may have had a bad experience with residential tenants, compliances, tenancy tribunal, property managers..
    Some stumble upon a commercial where the vendor is willing to finance and so not having to sell or leverage any of their residential holdings.
    Some regularly switch between residential, apartments, and commercial depending on strategy.
    Some are saving taxes or taking advantage of the lack of a CGT.
    Some see your approach investing in residential-only as being risky.

    Each to their own it's what makes the real estate investing world so exciting.


 

Thread Information

Users Browsing this Thread

There are currently 1 users browsing this thread. (0 members and 1 guests)

Similar Threads

  1. What is wealth to you ?
    By tulips in forum Coffee Lounge
    Replies: 15
    Last Post: 08-09-2015, 09:06 AM
  2. Tax Free Wealth
    By NomoneyNotalk in forum Finance, legal and tax (NZ)
    Replies: 21
    Last Post: 17-09-2012, 10:22 AM
  3. Wealth Club
    By jasonsesuburbs in forum Australia
    Replies: 8
    Last Post: 22-04-2010, 06:24 PM
  4. The new wealth divide
    By muppet in forum General (NZ)
    Replies: 38
    Last Post: 11-04-2008, 01:08 AM
  5. Replies: 0
    Last Post: 02-03-2008, 09:29 AM
  6. XL - Wealth Dynamics
    By nutty in forum General (NZ)
    Replies: 19
    Last Post: 30-11-2007, 09:25 PM
  7. Concentrate on Wealth
    By muppet in forum Property Investment (NZ)
    Replies: 2
    Last Post: 16-10-2006, 09:36 PM
  8. How to Make Wealth
    By muppet in forum World in General
    Replies: 0
    Last Post: 03-08-2006, 01:31 PM
  9. Road to Wealth
    By mjj in forum Property Investment (NZ)
    Replies: 1
    Last Post: 30-12-2003, 10:18 PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •