In this episode, we are again joined by Clara Kim from the Juno KiwiSaver Scheme. In the show, we discuss the different types of KiwiSaver funds that you can typically invest in.  These include Conservative, Balanced and Growth funds. We detail the different asset classes that each of these would typically hold, as well as the growth rates we'd expect each fund to have, before going into the final returns we'd expect an investor to generate over 35 years (starting at age 30, and retiring at 65).  To find out more about property investment, head to the Opes Partners website. Juno Kiwisaver Scheme Disclosure: Pie Funds is the issuer. Go to junokiwisaver.co.nz to download the disclosure statement.

In this episode, we are joined by Clara Kim, educator at the Juno KiwiSaver Scheme. In the show we talk about a campaign that Juno is currently running – the $108K payday.  The purpose of the campaign is to bring New Zealander's attention to the size of the fees charged by some KiwiSaver providers. We discuss the different models KiwiSaver providers use to charge fees, and the impacts that has on your potential returns.  We then discuss what to look for, generally, in a KiwiSaver provider. To find out more about property investment, head to the Opes Partners website. Juno Kiwisaver Scheme Disclosure: Pie Funds is the issuer. Go to junokiwisaver.co.nz to download the disclosure statement.

In this episode, we are again joined by Clara Kim from the Juno KiwiSaver Scheme. Clara travels around New Zealand schools talking to Kiwi teens about money.  In the show, we discuss the questions she gets asks: from Kiwi teen boys, Kiwi teen girls, and the questions she asks them back. To find out more about property investment, head to the Opes Partners website. Juno Kiwisaver Scheme Disclosure: Pie Funds is the issuer. Go to junokiwisaver.co.nz to download the disclosure statement.

In this episode, we are joined by Clara Kim from Juno Kiwisaver for 5 episodes all about KiwiSaver. In the show, we discuss KiwiSaver contributions, why you need to be in KiwiSaver and why the KiwiSaver scheme was launched in the first place. To find out more about property investment, head to the Opes Partners website.  Juno Kiwisaver Scheme Disclosure: Pie Funds is the issuer. Go to junokiwisaver.co.nz to download the disclosure statement.

In this episode, we give an update on the NZ property market based on the REINZ monthly update. Median house prices are up 6.6% on the last year, but there is significant variation around the country. Manawatu-Wanganui us up 24.1%, but Auckland is only up 0.2% and the West Coast is down 7.5%. We also go into depth about how median house prices are calculated and what they mean (and what they don't mean).  As usual, if you want to learn more about property investment, head to the Opes Partners website. 

In this episode, I (Ed) quiz you on which suburbs had the highest and lowest growth over the last 18 years (Jan 2000 to Aug 2018). This is both in terms of percentage and dollar growth. The results really will surprise you.  I also discuss some of my thinking about what I thought the results would be before and after knowing the answers, and where I got my initial guess wrong.  To learn more about property investment, head to the Opes Partners website.

In this episode, we are again joined by Dean Blair from FoxPlan and we talk about why your spending won't go down in Retirement. When speaking with people nearing retirement, part of their plan is often to reduce their spending – perhaps often to spend half as much as they currently do.  The issue is that we spend more during the weekends and when we are on vacation. Retirement is the longest vacation of your life. This is why building wealth and preparing is so important.  To learn more about property investment, head to the Opes Partners website.  

In this episode, we are once again joined by Josh Graham from Roost Mortgages. And we discuss the Queenstown Property Market.  Queenstown has a unique property market due to the impact of tourism and its landscape. The lake and high mountains reduce the amount of land available for housing in central Queenstown, and hotels with big pockets crowd out some land that could otherwise be used for housing.  Because the economy is primarily driven by tourism, most young people are working in low-paid hospitality, making it hard for them to enter the housing market. And high building costs continue to push house prices higher. If you want to learn more about property investment, head to Opes Partners website.

In this episode, we are once again joined by Josh Graham from Roost Mortgages. And we discuss whether you can get an interest-only loan forever. The general rule of thumb is that an interest-only loan period will run for 5 years. At the end of those 5-years you can apply for another 5-year period.  However, the bank will always consider whether you can afford the higher principal and interest payments once the interest-only period has finished. This is because once the interest only period has finished you will need to pay off the principal of the loan over the remaining period. For instance, if you took out a loan on a 30 year term and went interest only for the first 5 years, you would need to pay down the principal in the remaining 25 years after the interest only period has finished.  We also discuss interest only mortgage calculators, and why investors use them i.e. to limit the contributions they need to make to the property.  

In this episode, we are once again joined by Josh Graham from Roost Mortgages. And we discuss that even if you think you can afford a mortgage at the current interest rates, the banks may not approve your application.  The reason is that banks have higher servicing 'tests' that they run your mortgage application through. This means that even if you go on a 3.65% interest-only loan, they will test you on principal and interest at 6.95% in some cases.  We discuss ways to combat this, and also what it all means for property investors and first home buyers.  If you want to learn more about property investment, head to Opes Partners website. 

In this episode, we are joined by Josh Graham from Roost mortgages. In the show, we answer the questions we received from the audience at our recent Queenstown property investment seminar. Here, we discuss what happens if interest rates were to spike. We start off detailing the reasons why we think interest rates are not likely to go up in the foreseeable future, before talking about how you can structure your investment properties and finances to protect against this eventuality. Of course, if you are keen to learn more about property investment, then head to the Opes Partners website.

In this episode, we are joined by Josh Graham from Roost mortgages. In the show, we answer the questions we received from the audience at our recent Queenstown property investment seminar. Here, we discuss whether it is cheaper to use a floating interest rate, rather than a fixed interest rate. The short answer is no. However, there may be a reason that some property investors or first home buyers might use a floating interest rate for a portion of their loan.  Of course, if you are keen to learn more about property investment, then head to the Opes Partners website.

In this episode, Dean Blair and Ed discuss who's best interests your advisor really has in mind. Traditionally, investment companies attract customers based on free advice. Advisors would then earn their income from receiving a commission if their clients purchased a specific product.  Dean explains why this has meant that even well-meaning advisors will be seated on the opposite side of the table to the client, representing the best interests of their company and products.  The alternative is fee-for-service advice, where customers pay a fee to their advisor, thus freeing advisors from needing to recommend a specific product. This is what we mean by sitting on the same side of the table as your advisor.  To learn more about property investment in New Zealand, head to the Opes Partners website. 

In this episode, Dean Blair and Ed discuss what a good retirement plan actually looks like. So often in the podcast, we discuss the need for a plan, but not what one contains.  As an Authorised Financial Advisor, Dean spends a lot of time helping people create exactly these sorts of plans. And in this episode, he shares that a FoxPlan retirement plan addresses three area or circles:  1) The Bank (day to day cashflow)  2) Asset and Wealth Accumulation 3) Risk Mitigation We delve into each of these and consider how they work together. This is what we mean by total financial planning.  To find out more about property investment, head to the Opes Partners website.

In this episode, Dean Blair from FoxPlan joins us again to talk about whether it is too late to start sorting out your retirement plan. We agree that while it's never too late to get it sorted, the plans and tactics you use will be different based on your age and situation.  The key part of any retirement plan is understanding the risks you are taking and clearly seeing your options.  For more information about property investment in New Zealand check out the Opes Partners website.

In this episode, we welcome special guest, Dean Blair from FoxPlan to the show. During the show, Dean shares his personal story of how he was dumb with his money in his early days and how it affected him. He has now made it his mission to better help Kiwis make smart financial decisions. Dean will be joining us for a series of 5 episodes, where we'll talk about creating a wholistic financial plan. To learn more about property investment, head to Opes Partners website.

In this episode, we discuss another question posed by our youngest listener – Jackson ... "when you die, will I get some of the properties?" This is an important question because one of the key reasons people get started in property investment is to build inter-generational wealth ... and leave an enduring legacy for their children.  We discuss the need to set up wills, enduring power of attorneys, and the need to have proper insurance and risk mitigation programmes in place.  If you would like to find out more about property investment head to the Opes Partners website.

In this episode, we discuss what to look out for in a rental property. And it starts with understanding the type of investor that you are first – whether you are looking for capital growth or whether you are looking for yield.  If you're looking for yield, you'll realise that there are different tenancies that you could go for, each with their own benefits and drawbacks. We discuss room by room tenancies and Air BNB. These types of tenancies are going to be higher yield, but in order to access that you'll need to look for a very specific type of property.  If you're interested in learning more about property investment check out the Opes Partners website.  

In this episode, we discuss maintenance. One of the biggest complaints landlords receive from tenants is deferred maintenance. That's where tenants have reported maintenance issues and they haven't been actioned by the landlord.  The issue with maintenance is that it is hard to plan for. You don't know when things are going to break, what's going to break and how much it's going to cost. The only way to combat this is to budget and plan for it accordingly.  For more information about property investment, head to the Opes Partners website. 

In this episode, we discuss what do you do if you don't like your tenants. And we move on to speak broadly about tenancy law in property investment. This episode was inspired by one of our youngest listeners, 7 year-old Jackson, who asked his Mum what to do in this situation.  We cover the idea that your relationship with your tenant (as a landlord) is not a personal relationship, it is a business relationship, so it doesn't really matter whether you like them or not. What matters is whether they comply with the agreement you have in place and with the regulations under the Residential Tenancies Act.  For more information about property investment, head to the opes partners website. 

In this episode, we discuss one of the key fears that stops people from investing in property – vacancy i.e. the fear of not having a tenant. This is a fear we often see. If a landlord doesn't have a tenant then they need to cover the costs of owning an investment property entirely by themselves – the mortgage, rates, property management, insurance and maintenance. This would be crippling for many prospective Mum and Dad investors.  We walk through why this fear is often more imagined than real. And the strategies that can be used by regular investors to curb vacancy.  For more information about property investment, head to the Opes Partners website. 

In this episode, we discuss whether you should get your investment ideas and strategies for where tho invest from the headlines.  We talk through the fact that by the time the newspapers are writing stories about high growth areas, it is often too late. And we discuss that for Buy and Hold investors, it is more important to look at a market's fundamentals rather than following the quicks wins that are often depicted in the media.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In this episode, we discuss that there are only 2 core property investment strategies: Buy and Hold, and Flipping. Most other strategies people use are variations of the two. Buy and Hold investing is the 'get rich slow' strategy, where you buy an investment that you forecast will increase in value over time. Flipping is where you buy a property that is a bit 'run down' and then renovate it to increase its value.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In this episode, we discuss a study that was conducted by the Commission for Financial Capability as part of Sortd Money Week in September 2019. The study showed that parents would rather talk with their kids about sex and drugs, rather than money.  Parents would rather cover drugs (26%) and alcohol (27%) than tell their children how much they earned (14%) or talk about the risks of personal loans (12%). We discuss why this is such a problem for New Zealand, and out advice for what you should do about it.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In this episode, we discuss why interest-only mortgages are the preferred loan used by property investors.  We discuss how interest-only loans help you build your portfolio more quickly than using a principal and interest loan. And further, whether the banks are still lending on interest-only. To find out more about interest-only mortgages and property investing, head to our epic guide to property investment.

In this episode, we question whether the suburb of Rolleston makes a good investment option. Rolleston is the largest town in the Selwyn District and is a 30-minute drive to Christchurch. Rolleston was dubbed the "city of the future" for many years. It seems as if it is coming true. The town has had 12% annual population growth over the last 15 years, which is projected to continue.  It also is an affordable option for investors, with median house prices around $50,000 less than neighbouring Lincoln (now Selwyn's second-largest township).  Read the whole transcript and find out why Rolleston makes a good property investment. To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In this episode, we discuss how it's scary buying your first investment property. So don't feel bad if you're freaking out buying your first investment property too. We go through our personal investment stories and walk through what it was like when we made our start. To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In this episode, we discuss 2 potential strategies you can use to pay off your mortgage faster, using investment property.  Both strategies involve leveraging your existing home to purchase an investment property. In essence, this means using the house to pay for itself. In the first strategy, you purchase a capital growth property, which will go up in value quickly, though will also require a cash top-up each week. Once enough equity has built within the investment property, you sell it and use the proceeds to pay down your mortgage.  The second involves purchasing a cashflow-positive property and using the profit to pay the bank back more quickly. To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode #17, we discuss the 5 reasons why your mortgage application for your first home might be declined. Not enough of a deposit Not able to afford the mortgage "Poor account conduct" Bad credit rating Not being with the bank you're applying to. Have one of them, you may be ok. Have 2 or more and it could be bad news. We also talk through how to work your way through these, if you any of these apply. To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode #16, we discuss whether it is the right financial decision to purchase the street that is just down the road from you.  We touch on why it may be better to diversify your risk across multiple areas of a city – or across several cities.  This means that all your eggs aren't in one basket.  We also touch on the fact that it is often better for your investment to be out of sight and out of mind so that it doesn't stress you out. This means that you're less likely to sell early.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode #15, we discuss AirBnbs, and the benefits and drawbacks of using your investment property for Airbnb only, rather than tenanting the property. Andrew specifically walks through an example of the "sleep test" where, if you are struggling to get to sleep because you're worried about whether there will be bookings, then Airbnb is probably not a good option for you.  We also discuss that while Airbnb can produce better cashflow returns than a standard tenant, it does come with higher costs and more uncertainty, which some investors may not be willing to accept.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode #14, we discuss whether property investors are "greedy psychopaths". Ed recently had an article published in Stuff, New Zealand's largest news website. One commenter wrote, "property investment (speculation really) is a cancer on society by greedy psychopaths." We touch on that without property investors, many New Zealanders wouldn't have a place to live, since investors provide accommodation to renters. Far from being greedy, we discuss how many property investors are using investment property to save for their retirement. This means that they don't have to rely on New Zealand superannuation alone.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode 13, we discuss Ring Fencing. This is a new piece of legislation that stops New Zealand property investors from claiming tax benefits they were previously entitled to.  Under the previous regime, if a property investor made a tax loss each year, the investor could subtract the loss from their income tax.  This meant that they could claim a tax refund on the additional tax they had already paid.  This money would then be used to pay down the cash losses associated with the investment.  Investors can no longer do this. Which is why we give 3-4 different strategies that property investors can use to combat this legislative change.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode 12, we discuss split banking. Split banking is the process of using multiple banks, rather than just a single bank.  Split banking means that you can protect your assets, control the proceeds of any sales you make, and potentially borrow more. This means you can grow your wealth and your portfolio faster.  Andrew also shares a story of clients who didn't use split banking and got stung because of it.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode 11, we discuss KPMG's Magnet City report. Written in 2015, the global report introduces the concept of the Magnet City, a city that is expected to attract population growth of a particular type of people – young wealth creators. Young wealth creators are those who will start businesses and create jobs, which improves the economy of a region. This is important for property investors because magnet cities will make good property markets – they have growing populations of young people with higher than average incomes. Read our analysis of the Magnet City Report and its implications for the Christchurch property market.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode 10, we discuss why you shouldn't be afraid of investing in a flat property market, where prices aren't increasing.  Andrew quotes Warren Buffet: "be fearful when others are greedy and greedy when others are fearful." And we talk through that investing in a market when prices are already going up means that another property owner receives the gains you might have achieved. Although we're not suggesting you should invest in every and any flat market, we are suggesting that you shouldn't be automatically fearful. To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode 9, we discuss all the reasons why you would – and should – use a mortgage broker. That's whether you're a first home buyer or a property investor. You may look around on the internet and look for a mortgage calculator, and then think you don't need a mortgage broker. However, mortgage brokers do more than just calculate your mortgage. Mortgage brokers are your representative to the banks, and will go on your behalf to negotiate with multiple banks for you.  The key point to note is that mortgage brokers are your side. That's because they don't charge you anything, and only get paid when they secure the loan for you. That means they are incentivised to get the lending you want from the banks.  

In Episode #8, we walk through the five sources first home buyers can tap into to pull together their deposits. The five sources are: KiwiSaver The Home Start Grant Savings The Sale of Existing Assets The Bank of Mum and Dad We also go through how to start tapping into each of these sources and some of the restrictions, rules and regulations around the government sources. To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode #7, we discuss the difference between equity and useable equity + how that impacts your ability to become a property investor.  Most people become first-time property investors by leveraging their own homes to secure the deposit for their investment.  In the episode, we discuss the way to do this: 1) take out a separate loan against your own home, 2) use the money from that  loan as a cash deposit to secure a secondary loan from another bank, 3) use the two loans together to fund the full purchase price of the property.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode #6, we discuss the differences between investing in brand new properties or properties that have already been lived in before (existing properties).  We specifically discuss the differences in what banks will lend you towards each type of property and the level of deposit you need for each.  We also discuss the differences in tenants you might get, and why the decision actually depends on the investment property strategy you want to run with.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode #5, we talk about how much you need to get started in property investment (and first homes). This topic came from an audience member who was on our website and specifically asked how much they need to get started. We've previously talked about the percentage amounts that people need to get started, but here we start to talk about the actual dollar amounts required. In the episode, we recommended looking at median house prices in your region to get a feel for what the average property costs. Here is the best place to look: https://www.interest.co.nz/charts/real-estate/median-price-reinz To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode #4, we talk about the Labour government's recent KiwiBuild Reset and what this means for First Home Buyers.  We talk about the Welcome Home Loans, where First Home Buyers now only need a 5% deposit to purchase a house (terms and conditions apply). We go through what those terms and conditions are, and touch on why property is more affordable now than it was a few years ago ... even though house prices have increased.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.

In Episode #3, we talk about the returns you can expect to get from property and real estate investing. We also compare these returns to other types of investments. We talk about the concept of leverage. We touch on how you can use the bank's money to purchase a property ... and then keep all the profits as the house increases in value. We then speak about why property is one of the only asset classes where you can get '2 bites of the cherry.' You get rent from the tenant, and then the benefit of capital gains when the property increases in value.  To find out more about the podcast and property investment in general, check out our Epic Guide to Property Investment in NZ.