I agree with muppet.

I’ve been there a couple of times, it seems like a nice town. I put offers in on a property there about 2 years ago, but it didn’t work out.

If the prices have moved, it’s probably getting hard to make the numbers work. I seem to remember then there was a couple of streets to be wary of and there were quit a lot of…[Read more]

Rod.

it’s actually Laura at C21 (not Linda).

Unless things have changed in the last week [biggrin]

Rod.

I think it’s just Tok. This was the 3rd time I’ve been there and I’m sure it’s rained every time.
I still like the place though.

You’re right about NZ being green compared to OZ, Melbourne looked very dry when flying back in yesterday – and we’ve had a mild summer.

Rod.

the main problem with Tok seems to be the weather [biggrin]

In my last 5 days in NZ Tokoroa was the only place that rained and also the only place I needed more than shorts and a T-shirt. (Though I did notice you were in shorts, must be used to it being local).

Judging by my flight home yesterday, I reckon half of NZ must be in…[Read more]

I’m just thinking aloud, I know nothing about US structures.

Rod.

there still seems to be plenty of interest in NZ.

I’m heading over in a few weeks to do some inspections on the ones I have over there. I’d like to purchase a couple more in NZ, maybe later this year. If the numbers work!

Rod.

I’ve found that a decent insurance broker can organise a certificate for settlement very quickly if required.

Rod.

Very low at the moment, I’ve spoken nto both property manager’s there and also to locals (including a niece who is looking for a place to rent) and there is a a shortage of decent rental property.

2. What are capital growth prospects like in the town?

Long term probably ok, short term – who knows. There seems to…[Read more]

Long Distance and mobile are a little cheaper, I wonder who’s network they are using.

The selling point is probably the free ACN to ACN calls, sounds good, but only works if you can get…[Read more]

I’ve bought 2 IP’s now sight unseen. However in both cases they were in locations I was familiar with (and had been to) and were subject to building/pest/finance etc.

I also go the agent to provide lots of digital photos and in one case got a relative in the area to check the property out as well.

regards,

Rod.

Rod.

Only you can answer this question. You need to figure out where you want to be in 1,5,10 years time and assess which type of property will help get you there.
If you’ve a high income and only plan to purchase a few properties then a -ve geared high capital growth property may be the go.
If you’d rather not put money in every week from…[Read more]

regards,

Rod.

With a wrap you’ve effectively sold the property (under long terms) so the building and chattels now belong to the purchaser.

I think with a lease option, the vendor may still be able to claim deprecitaion as you haven’t actually sold the property, you’ve only sold an option.

regards,

Rod.

You should be able to claim depreciation on your NZ tax return. I don’t think you’ll be able to claim NZ depreciation on an Aussie tax return.

regards,

Rod.

What market segment did you have in mind?

regards,

Rod.

“The company is also giving consideration to extending its wood processing operations through construction of a new world-scale sawmill.”

They don’t even mention a possible location.

Wait and see.

regards,

Rod.

There’s no point going overboard if you don’t need to, but you obviously don’t want to put cheap stuff in if the tenants are expecting top…[Read more]

If you do a search back through the forums you’ll find many places have been mentioned in the past.

Of course every town has it’s own special set of potential risks which need to be considered.

good luck,

Rod.

Got any info to support this assertion?

regards,

Rod.

If you can possibly manage a few days though, I would recommend going over and driving through some of the areas to get a feel for the place.
Things can be quite different when you’re “on the ground”…[Read more]

Some of the posts in this thread seem to be missing. Now it makes even less sense!!

regards,

Rod.

somehow I knew you would respond [biggrin]

I have nothing for admiration for what you have achieved, and it’s clearly your passion that has got you this far down the path in a relatively short time. The point I was trying to make is that it would be nice to be able to have a balanced discussion on property (and other investments)…[Read more]

There’s lots of good information on this site, and not just about CF+

However, you do highlight the most irritating thing about this site. Which is the almost evangelical fervour which is unleashed whenever something about the book(s) or CF+ property is questioned. There are many ways to financial independence, CF+ property is just one of…[Read more]

There are certainly possibilities in NZ, but they do have throw up a whole other set of risks. Not a problem as long as you are aware of them and take them into consideration.

Aus is certainly tougher at the moment, there are positive cashflow properties around but in many cases the overall quality of the asset may be…[Read more]

As Sue mentioned, the first thing to do is a good assessment of the existing properties, with a view to the overall situation without rushing into anything.

There are probably many options, I certainly wouldn’t rush into selling without having a good idea of how selling fits into the overall plan.

Feel free to…[Read more]

Welcome to the forum Phil, you’ll find plenty of information here. The real part though is not just having the info, but having the will/motivation/desire to use it.

regards,

Rod.

As Del said it’s best to go and have a look at Tok and get a feel for the place. There are certainly some parts of town to be avoided. The property managers will generally point you in the right direction. (I have dealt with Century 21 in Tok).

regards,

Rod.

For the trust to be a NZ trust, the trustees (or a majority of them) must be NZ resident. If you aren’t a NZ resident you will either need someone in NZ to act as trustee or set up a NZ company to be a corporate trustee. Just beware of the NZ audit requirements for companies with >50% non NZ ownership.

regards,

Rod

If you’re talking about rental income, then I would have thought either the trust in NZ would have to pay tax on the income if it retained in the trust. Or if you distribute it then you are liable. I don’t know if rental income to the trust can be…[Read more]

It’s good to see you’re human after all.[biggrin]

regards,

Rod.

Yes this a trap. This is where an offset account…[Read more]

Much of this has been discussed here before (many times) do a search and you may find many of the answers. Also check out http://www.propertytalk.co.nz there’s some good info there as well.

regards,

Rod.

regards,

Rod

Rod.

However if the NZ IP is in your name (not a NZ trust or company) then I would think you should declare the earnings in OZ as well irrespective of whether you physically transfer the funds.
You should get a credit in Oz for the tax paid in NZ though.

regards,

Rod. (I am not an accountant, talk to a real one).

If the NZ property isn’t the security for the loan then you should be able just to do an international funds transfer. If the property is the security then it would be more difficult, I don’t know if Aussie lenders will accept NZ properties as security for loans.

Maybe one of the mortgage brokers here knows the answer.

regards,

Rod

As mentioned above, most NZ lenders won’t lend to a foreign company (so if you have an Aussie trust with a corporate trustee it may be difficult).

You can set up a NZ trust, but the trustee must be NZ resident (otherwise it isn’t a NZ trust).
If the settlor and beneficiaries are non NZ resident then the trust will be…[Read more]

As previously mentioned. Insurance is about the same, solicitor is around $1000, banks shouldn’t charge application fees. (I’ve been able to get the bank to make a contribution toward my legal fees). Property manager, I pay 10% in one town, 8% in…[Read more]

you’re right, they do.

regards,

Rod

As both monopoly and westan said, make sure the property stacks up in all respects – not just…[Read more]

Hi mini,

I don’t think…[Read more]

I’ve done both, used equity for some deposits, used cash for others. Personally I like a balance of CG and cashflow properties as that’s what fits my strategy. Yours may be different.

Don’t be too influenced by the pace that others have invested at, only you can decide what is right and comfortable for you. You…[Read more]

I don’t think you should get blasted for just telling the truth.
Unfortunately there are a lot of uninformed opinions and an unwillingness by many (not all) to do even basic research. I guess the forum really is a reflection of real life!

regards,

Rod.

There’s also the wind farm project.

regards,

Rod.

Yes I’m aware of that, that’s why I do have insurance. Like many here I don’t wish to advocate one over the other. I invest in both and will continue to do so.

regards,

Rod

Seriously, is there no topic you won’t hijack to tell everyone how good NZ is? [biggrin]

regards,

Rod

However I get the impression that many of those here know more about the theory of how not to lose on shares than the reality.

Westan’s right, it is certainly possible to lose >50% overnight on shares. Obviously if you have suitable risk and money management techniques then this one event won’t wipe you out. But many traders…[Read more]

However, my recollection is that purchasing costs are not immediately deductable. Some get added to the cost base for CGT purposes. Others can be depreciated over 5 years.

regards,

Rod.