14-12-2021, 12:33 PM
(14-12-2021, 10:16 AM)SueDonim Wrote: The Spinoff article is good. It does leave out other factors though, eg the fact that the cost of living is much less now that everything is cheap from China. There is no doubt that it is difficult for young people to get started, but not insurmountable as the actual sales data shows. The Wellington councillor quoted in the article does have a point. Although another factor making things tougher is when banks requiring property inspections prior to purchase. The days of buying a dunger and doing it up are also going by the by as the banks are reluctant to lend on such properties. So they have to be left to investors and traders.
Which takes me back to the original question that hasn't been answered yet: " How many investment properties is too many?". A couple of people have quoted investors with 90+ as being too many. I disagree if they are managed and maintained properly. That level of investment is a huge amount of work that would need to employ managers, thereby contributing to employment as well as housing. Such and investor might be rolling in wealth on paper from the recent price gains, or might be mortgaged to the hilt. They might even be feeling that it's too many. But how do Joe Public and/or the tenants know that a particular landlord has too many proprieties?
No but the main weekly cost after accomodation is food and that isn't cheap from China. So the cost of living isn't cheaper now. Sure you can buy crap you don't need like giant TVs cheap, but in the old days you could get stuff cheap from the op shop. It wasn't so consumerist.