The Property Academy Podcast

In this episode, Micky Limmer from Bayleys Canterbury joins the show to talk about the current dynamics of the Christchurch property market.  Micky mentions that the Christchurch property market tends to move in 5-year cycles, based on data crunched by Knight Frank, a valuation agency. From Micky's view, the Christchurch market has been flat for the last 3 years and he is seeing pent up frust...

In this episode, we discuss the Reserve Bank's announcement that it will use unconventional monetary policy to decrease interest rates further. The Reserve Bank has announced a $30 billion programme to purchase government bonds on the secondary market. This programme will operate over 12 months to decrease long term interest rates. That will likely have three effects: Lower long term interest rate...

In this episode, we discuss how to decrease your tenants' rent during the Coronavirus shut down the right way.  Some New Zealanders are doing it tough at the moment, struggling to get by. As landlords, that may include some of our tenants. That means that there is more risk that our tenants won't make their rental payments.  That's concerning because property investors still have mortgag...

In this episode, we discuss the proposed and accepted mortgage repayment holidays that the major retail banks will be offering due to the Coronavirus outbreak.  The Covid-19 outbreak will hit some New Zealanders hard. To make sure that property owners don't lose their homes due to loss of income, the Finance Minister, Grant Robertson has introduced this scheme.  If the shutdown has impac...

In this episode, we share the advice we are currently giving to clients while they are under isolation as part of New Zealand's coronavirus outbreak. The first is that it is best not to sign a contract to purchase property throughout this isolation period. That's because you won't have the opportunity to conduct due diligence properly while in isolation. You can't conduct a valuation, or do a site...

In this episode, Micky Limmer from Bayleys Canterbury joins the show to talk about the questions you should ask real estate agents when you are planning to sell your property.  Micky mentions that we should make sure that we respond well to the agent, since we'll be working with them for a few months. In addition to this, the agent will be nurturing the prospective purchasers of your property...

In this episode, Micky Limmer from Bayleys Canterbury joins the show to discuss how to get the most money possible when selling your properties. Along with the standard tips about ensuring the property tidy and clean, and the gardens well maintained, Micky also adds a few extra tips: paint the front step. When potential buyers come to your property they first thing they will do is bend down to tak...

In this episode, we discuss whether you can vote left and still be a landlord. We acknowledge that while National has more landlord-friendly policies, we vote for parties because of a wide range of policies. Even if one of those policies (or several) aren't in our direct interest, we can still identify with that party more than the other. We also mention the Opes Partners Instagram . Every second...

In this episode, we discuss gentrification. Gentrification occurs when a suburb or town begins to become more trendy and upmarket because the type of people who live in that area changes.  This is often the cause of long term social change, but also because of the fundamentals of the suburb or area.  Take Auckland's Ponsonby. Decades ago the suburb was considered a place for blue-collar...

In this episode, we discuss how to set buying rules for yourself. Buying rules are a concept in property investment where you set some restrictions about the sort of properties that you will and won't buy. Because property investment can become emotional, some investors will think 'but, I really like this house' and buy it anyway ... even if the purchase doesn't stack up from a numbers perspective...

In this episode, we discuss whether using equity in your home to purchase an investment property will increase your mortgage repayments.  When you use equity frim within your home to purchase an investment property, you typically take out a separate loan against your property, which is sometimes in the structure of a mortgage top-up.  You then use this loan as the deposit for your new in...

In this episode, independent economist, Tony Alexander joins the show.  Tony is one of the most respected economic writers in the country and for almost 25 years was the Chief Economist at the BNZ. He has arguably written more than any other person about the New Zealand economy and our property market. During this episode, Tony argues that despite the rhetoric often heard from the government,...

In this episode, independent economist, Tony Alexander joins Ed and Andrew to discuss how long interest rates can stay low.  Many listeners will think back to the 80's and remember how high interest rates were at the time. Some even treat it like a competition.  It was not uncommon at the time to see interest rates of 18-26%. Naturally, anyone who ever paid interest at that level is like...

In this episode, Tony Alexander, an independent economist, joins the show to answer: do we have a housing shortage in New Zealand? Being the good economist he is, Tony identifies that, as long as there isn't government interference in a market in the form of price controls, a free market can never have a technical shortage. Why? Because the market price will adjust to balance supply and demand.&nb...

In this episode, independent economist, Tony Alexander joins the podcast. Tony was the Chief Economist at BNZ for almost 25 years before striking out on his own. Here, Tony looks at the primary factors that lead to increases in house prices. The primary factors include: decreases in interest rates. As interest rates decrease, taking on more bank lending becomes cheaper and more affordable. That de...

In this episode, Tony Alexander joins Ed and Andrew on the podcast.  Tony Alexander was the Chief Economist at BNZ for almost 25 years and is one of the most highly regarded economists in the country. After leaving the bank late last year, Tony became an independent economist and now provides commentary around the country and is a highly sought after speaker. During this first episode, Tony b...

In this episode, we discuss how to transition from a capital growth property portfolio into a positive cash flow portfolio.  This is a topic Andrew recently covered on a webinar with the Auckland Property Investors Association.  An investor would typically start to transition their portfolio as they near retirement, and in the episode, Andrew suggests that you should allow about 5 years...

In this episode, we discuss the turnaround time it takes to get a mortgage approved in New Zealand.  Right now the banks can take up to 7 business days to open your email to and start to process your mortgage. They are incredibly short-staffed, but demand is also increasing.  Typically due diligence on a brand-new off-the-plan property will last 10 days. That means that there are only th...

In this episode, we reveal exactly how property coaches get paid and a few common misconceptions about property coaches.  There are different types of property coaches. Some like us source properties on your behalf and therefore will earn a commission when you choose to invest in a property. Others will charge you a fee to teach you how to do that sourcing and any renovations yourself. ...

In this episode, we discuss another fear that holds people back from getting start as investors – fear of the unknown. Perhaps there's something in the back of your mind holding you back from investing. This is common for first-time investors. It's the fear of the unknown. You might think: W hat happens if I suddenly lose my job? Or what happens if I don't have a tenant for a long time? Or just wh...

In this episode, we discuss how you can make your voice hear in regards to the proposed changes to the Residential Tenancies Act. The Auckland Property Investors Association saw that 363 people submitted on the ringfencing legislation. About 110 of those submissions were against ringfencing. So very few people participate in the legislative process. That means that your submission represents a lar...

In this episode, we are joined by Sarina Gibbon from the Auckland Property Investors Association (APIA). APIA and the New Zealand Property Investors Federation are currently representing the interests of landlords and property investors as part of the proposed changes to the Residential Tenancies Act. Sarina walks us through the significant changes and what they mean for landlords, including: The...

In this episode, we discuss what real estate agents think about the current state of the NZ property market.  This is based on a survey of Barfoot and Thompson Real Estate Agents conducted by independent economist, Tony Alexander. It showed that real estate agents increasingly have a positive view of the market and are seeing more activity at auctions and open homes.  We also discuss the...

In this episode, we discuss that you shouldn't always believe the data you read ... or rather that you should take the time to read into it more.  This is based on an article Ed provided comment on for Westpac. They wrote an article that suggested that gross yields for 1-bedroom apartments in Parnell were about x2 that of 3-bedroom homes. We discuss when you should read into more data and wha...

In this episode, we discuss another difference between investing in small towns and larger cities – deferred capital maintenance. Every investor accepts (and hopefully budgets for) the fact that their properties will require maintenance throughout the year. However, we also know that from time to time investment properties will require capital maintenance, especially if the property is older.&nbsp...