I find the whole thing crazy. No capital gains tax here means that property is *alway* a good investment. And if a renter can *help* pay the mortgage, then great.
The idea that a renter is supposed to cover every single cost of your property, and you up the rent any time it might cost you slightly more, is depressing. An investment is always supposed to cost you money. It takes money to make money, as they say. Landlords should be happy that they get to put in less money for a tax-free gain.
If I put money in the stock market, I would have to pay tax on the gains, and there’s no one helping me by putting money in.
Long story short, I just think investment property owners should be happy with their situation and not milk it.
I’ve recently been lucky enough to buy a rental and have been a landlord for a month so far. I say lucky because I always see people saying they worked really hard to get where they are and I don’t think I work harder than others or deserve more. Yes I do work hard at my job but so do other people so yeah, a lot of it is luck. Anyway, I agree about a rent freeze and/or rent control. It would be a good way to help renters through this tough time. A grocery price freeze or no tax on necessities would be great too, there should be a number of strategies employed to help people.
The house we bought is nicer than the one we live in. The family living in it have little kids and two dogs. It’s beautiful, dry, safe, warm and close to their kura. I hope they stay for ages. We calculated what we could afford using the same rent amount for the duration of the mortgage. Our initial interest rate is kinda high and locked in for 3 years. I see no reason to increase the rent. I want the tenants to feel secure there and live in it like they own it.
I wanted to turn some money we had into more money to retire on and this seemed like the best way. I totally agree that it’s OUR investment, if it somehow becomes more expensive, that is not our tenants fault. We rented for ages and know what sort of landlords we did NOT want to be, so we are managing it ourselves.
It’s do-able without being a greedy A-hole who doesn’t give a shit about the people they rent to, but sadly this seems rare.
Great explainer! I have had some dreadful landlords, profiting as much as possible with minimal maintenance but you're just beholden to them. I'm lucky to be a home owner now but fully support a freeze.
Even the term landlords is so feudal. We on Waiheke have been calling for a rent freeze for a long time. I say that as someone who has watched medical staff, teachers, gardeners and so many others have to leave our island because there are so few affordable rentals. We have plenty of housing on Waiheke because our population goes up to 30,000 in holiday times. We have a huge amount of empty houses which are holiday homes or baches (but with 4 garages) and a huge amount on the AirbnB market. People who need to be on social housing register often sent far away to Auckland where they lose their support network. We have approx 18 KO homes called the pensioner village ... so depressing. I suggest we need a rent freeze in these expensive times and then put in place a whole lot of rent controls. If we get a NACT govt I am pretty fearful of what happens next! We so need renters to vote.
I find the whole thing crazy. No capital gains tax here means that property is *alway* a good investment. And if a renter can *help* pay the mortgage, then great.
The idea that a renter is supposed to cover every single cost of your property, and you up the rent any time it might cost you slightly more, is depressing. An investment is always supposed to cost you money. It takes money to make money, as they say. Landlords should be happy that they get to put in less money for a tax-free gain.
If I put money in the stock market, I would have to pay tax on the gains, and there’s no one helping me by putting money in.
Long story short, I just think investment property owners should be happy with their situation and not milk it.
👏👏👏👏👏
I’ve recently been lucky enough to buy a rental and have been a landlord for a month so far. I say lucky because I always see people saying they worked really hard to get where they are and I don’t think I work harder than others or deserve more. Yes I do work hard at my job but so do other people so yeah, a lot of it is luck. Anyway, I agree about a rent freeze and/or rent control. It would be a good way to help renters through this tough time. A grocery price freeze or no tax on necessities would be great too, there should be a number of strategies employed to help people.
The house we bought is nicer than the one we live in. The family living in it have little kids and two dogs. It’s beautiful, dry, safe, warm and close to their kura. I hope they stay for ages. We calculated what we could afford using the same rent amount for the duration of the mortgage. Our initial interest rate is kinda high and locked in for 3 years. I see no reason to increase the rent. I want the tenants to feel secure there and live in it like they own it.
I wanted to turn some money we had into more money to retire on and this seemed like the best way. I totally agree that it’s OUR investment, if it somehow becomes more expensive, that is not our tenants fault. We rented for ages and know what sort of landlords we did NOT want to be, so we are managing it ourselves.
It’s do-able without being a greedy A-hole who doesn’t give a shit about the people they rent to, but sadly this seems rare.
Perfect! *chef’s kiss*
Love that you let your tenants have dogs! That’s so rare.
Rottweiler puppies 😍😍😍 and I’m not even a dog person lol
Great explainer! I have had some dreadful landlords, profiting as much as possible with minimal maintenance but you're just beholden to them. I'm lucky to be a home owner now but fully support a freeze.
Even the term landlords is so feudal. We on Waiheke have been calling for a rent freeze for a long time. I say that as someone who has watched medical staff, teachers, gardeners and so many others have to leave our island because there are so few affordable rentals. We have plenty of housing on Waiheke because our population goes up to 30,000 in holiday times. We have a huge amount of empty houses which are holiday homes or baches (but with 4 garages) and a huge amount on the AirbnB market. People who need to be on social housing register often sent far away to Auckland where they lose their support network. We have approx 18 KO homes called the pensioner village ... so depressing. I suggest we need a rent freeze in these expensive times and then put in place a whole lot of rent controls. If we get a NACT govt I am pretty fearful of what happens next! We so need renters to vote.
So well said Kathy - the whole air b&b thing is another awful thing.