If you contact Dulux they have “colour consultants” who are trained to pick colour schemes. When my wife suggested we use one for one of our major reno’s a few years ago I thought she was wasting our money. But the cost was only about $200 and you got a $200 voucher for the purchase of Dulux paints.

We didn’t use the voucher but the…[Read more]

My first reaction would be to look for a better deal – but just because it looks like trouble it isn’t necessarily so. Find a builder/renovator/handyman who you would trust to do the work and who is thinking along your lines, and get them to look at the property and tell you what they think needs doing and how much it will cost. Rising damp…[Read more]

NZ lenders will lend 80%LVR (I have even heard 90%LVR). But one thing I have discovered is that they will discount your Aussie income before putting it into their servicability formulas. For example if you are an Aussie earning the equivalent of NZD50k they will only count NZD40k of it when they calculate servicability. Whereas if you are…[Read more]

One thing that is important to consider the total return – which is independent of how you finance the property. In this case you are talking about 7.2% net rent yield. Sure, if you have a small enough loan the rent will cover the loan payments – but that ignores the return you should be making on “your” money (the deposit). You need to…[Read more]

Natalie Penn at elite mortgage brokers recently obtained 80% lend on a body corporate property for me. Nice rate too (better than the quoted rates from the banks).

Her email is natalie@elitemb.co.nz

Since we used her we have spoken to quite a few Aussies who had used her services and spoke highly of her.

ayen

I’m in Christchurch for a couple of days doing due diligence on a couple of projects (one an IP and the other a work related investment).

Isn’t it cold here! -4 this morning when I got up!

Andrew

It is agreed. Let’t meet for coffee 6:30-7:00 Friday at the Coffee Club, Knox City.

Andrew

Friday after work at Knox City sounds like a good plan for all the Melbourne KA2ers.

It would be good to get a coffee and discuss our KA2 plans.

Andrew

I have considered a similar structure to the one you describe.

I realise it is easy to transfer the title from a personal name to a trust name but what about the mortgage? Would the trust have to take out a new mortgage and purchase the property from the individual? How difficult is it to get a mortgage in the name of a trust?

Andrew

This begs a question – how often do mid priced properties give good cashflows? What about high priced properties?

Has anyone any opinions or experience?

Andrew

I did a similar deal in Australia recently and found it very difficult to get insurance. The issue was not the grey ownership but the fact that the property would not be occupied during the reno. (and couldn’t be under the terms of the contract I negotiated with the vendor). I ended up with “builders insurance” which cost over $1000 for 90…[Read more]

My map of NZ currently has 29 stick pins in it of towns that meet my criteria and I want some more data to whittle down my list![wacko]

Andrew

http://www.reinz.co.nz/marketfacts/graph/marketfacts.dll/results?selDistrict=99&selZone=30001&selPropertyType=1&selFromMonth=3&selFromYear=2004&selToMonth=2&selToYear=2005&btnGo.x=12&btnGo.y=10

I have also read conflicting views – that you have to pay your marginal rate on earnings in…[Read more]

The notes were supposed to reflect, in a concrete way, the value of exchanging ideas and networking. They weren’t meant to be specific answers to our or anyone elses problems.…[Read more]

Five of us got together over a coffee this evening. It was very good to meet. We are all coming from different angles but are all keen.

Some “gems” and opinions that came out of the conversation:
– deals are everywhere so it doesn’t matter too much where you decide to look.
– finance requires lots of attention. It…[Read more]