The Property Academy Podcast

In this episode, we discuss which suburb prices grew the fastest in the Auckland property market over the last 20-odd years.  We discuss the trends in house price growth, specifically identifying that suburbs in the inner-city tend to grow the slowest on average because they are full of apartments, which don't grow as quickly. There are hot spots in the inner-west suburbs, and that tends to be true for most central Auckland suburbs. On the other hand, suburbs on the outskirts of Auckland tend to grow more slowly.  We also go through individual suburbs to highlight the amazing property price growth Auckland has had over the last few decades.  To view the interactive map discussed in the show, be sure to go to our report.

In this episode, we discuss 8 places we get our data from so we can make better property investment decisions. The 8 sources are: Statistics NZ for broad demographic data, showing changes in New Zealand's population Figure.nz for nice graphs that we can use in presentations Infometrics for population-based data REINZ for sales data Core Logic and QV for valuations data News Articles from Stuff, the NZ Herald and from industry publications Reports, from the likes of the world economic forum and the FMA Anecdotal evidence All of these sources put together help us to build a picture of where we should invest, and what sorts of properties should be recommended to every day Kiwis.

In this episode, we discuss the concept of buying property with "no money down". This is where you are able to use the equity within your own home to secure the deposit for an investment property.  This means that you will not have to put in any cash as the deposit to purchase an investment. Popular as part of property investment infomercials from our child-hood, we discuss how this property investment strategy actually works and how to make the most of it.  We also mentioned our equity calculator, where you can see how much use-able equity is available within your property. 

In this episode, we discuss the Reserve Bank's decision to leave the OCR unchanged at a record low of 1.0%.  There were 3 factors identified in the decision: An expectation that households will spend more given that interest rates are extremely low already Increased spending signalled from the government through the recently announced $12 billion infrastructure package Improving terms of trade with our trading partners – which signals that exports are going well. All of these factors are considered inflationary and are having a positive impact on economic growth. Decreasing the OCR further would likely add more inflationary pressure than the Reserve Bank would like, given that it is currently meeting its inflation and employment targets.  We also discussed the Epic Guide to Mortgages, this is a 9,500-word guide which teaches you both how to get a mortgage and pay it off in today's market. 

In this episode, we discuss the three ways to make money in property investment. These are: Capital gains – changing market conditions increase the value of your property. This happens slowly but it is consistent. That is why capital gains will often give you the greatest gains, even though you don't have control over it.  Instant equity – this is where you actively do something to the property to create an instant initial equity gain. This can be through renovations that add value or through buying the property under its value. This gives you an initial equity hit, but it is not ongoing. It will bring you more value than cashflow, but less value than long term capital gains. Cashflow – this is where your property earns money each week. This is usually a small amount after expenses are taken into account and over the long term it is likely to bring you the smallest returns from the three ways to earn money through property.  We also mentioned our property investor quiz, this 7-question quiz will show you whether you are financially in the position where you can invest. 

In this episode, we review the book "20 Properties in One Year" by Graeme Fowler. In the book, Graeme talks about yield v.s. capital growth, and we discuss this dynamic.  We also discuss some of the key principles discussed in the book. We also mention the property investor quiz, where you can get an instant answer about whether you are in a position to invest, based on your numbers right now. 

In this episode, we discuss the crucial elements of a property investment cashflow statement and compare 2 different cashflow statements for the same property – one for a standard residential lease and the other as an AirBNB. The core costs on any cashflow statement are: interest costs property management rates maintenance accounting  insurance body corporate / residents association fee letting fees Airbnbs will also have internet and electricity, as well as higher maintenance and interest costs as you will need to provide additional chattels within the property.  We also talk about the property investor quiz, this 7-question financial quiz will give you a full report on your numbers, as well as a 'yes', 'no', or 'maybe' answer as to whether you are in a position to invest in property right now. 

In this episode, we discuss 7 things you can look for when choosing to purchase an investment property from a developer.  It's increasingly popular for investors to add new properties to their portfolio. You can do this either by using a property coach, or through a property developer. Here are the 7 things to look for if you decide to do it yourself: If they are in a secure financial position so they don't fall over throughout the project What their quality of finish of their previous builds are like, and if they are consistent with the plans Whether they are good to deal with and are likely to come to the party if a disagreement occurs Whether their building design is diverse. You don't want them to flood the market Whether their builds finish on time, so you aren't lumped with higher interest costs if using a progressive payments model Whether their company has been in business for a while, and If their company has a good reputation  We also mention the property investor quiz. This 7-question quiz can give you a yes, no or maybe answer about whether you're in a position to invest in property. It will also generate a full report about what your numbers mean. 

In this episode, we discuss why you need to make more money ... and why building your wealth is not a bad thing.  Some people in modern society think that building wealth is a bad thing ... something that's not desirable. We suggest thinking about your long term goals and considering whether you'll be able to achieve them without building your wealth – and if not whether you can do something about it.  We also mention the Property Investor Quiz, these 7 questions will give you an indication of whether you are in a position where you can invest in property – along with a full report about what your numbers mean. 

In this episode, we discuss the 7 instances where landlords insurance can protect you. These 7 instances aren't available through all insurance policies, but many are common between them: Hidden gradual damage Loss of rent from uninhabitable due to an earthquake or act of god Unpaid rent arrears from your tenants Loss os rent if you have had to evict your tenants or if they have left without notice Malicious damage caused by tenants Theft of chattels Meth contamination We also discuss the Property Investor Quiz. This 7-question quiz will give you a 'yes', 'no' or 'maybe' answer as to whether you are in a position to invest in property right now.