5 Main Topics: 

→ Why the Biggest NZ Bank Forecasts Cheaper Home Loans & What You Should Do
→ Should You Break Your Fixed-Term Home Loan & Save Money? 
→ Join Property Tour: Secrets to Good ROI on Your Investment Property
→ Reasons Real Estate Value Will Go Up Again
→ What is a Fair Tax? (Letter From an Aucklander)

Having trouble reading this newsletter? 
View it in your internet browser.
Click "Display images below"
Why the Biggest NZ Bank Forecasts Cheaper Home Loans & What You Should Do

ANZ research team forecasts OCR will drop by nearly 40% (from 1.75 to 1.00). I tend to agree because the Reserve Bank of New Zealand has signalled that the next move in the Official Cash Rate more likely to be down. 

Short-term mortgage rates have already fallen recently. Therefore, you may want to stay away from long-term loan contracts unless you want to be 100% sure about your repayments and will not regret the possible savings.


Should You Break Your Fixed-Term Home Loan & Save Money?

Think of a homeowner who entered a 2-year fixed-term home loan contract for $400,000 on 1 October 2018, at the average rate at the time (4.52%).

Six months later, on 1 April 2019, the homeowner has seen the minimum rate for a two-year term is at a much lower 3.99% and wants to switch.

Looking at savings alone, the homeowner would save $3141.54 in interest for the remaining 18 months of the term, by moving to this lower rate.

However, once you take into account break fees – which calculators available in the market show to be about $1800, it doesn’t look quite as attractive.

There would be a net saving of around $1341.54 after subtracting the break fee. Depending on the provider, you may also have to pay other administration costs.

Regardless of the amount you could save or lose by breaking your fixed rate home loan, you should always negotiate with home loan providers.

In the current competitive market, the lenders are more open to negotiation to keep existing customers and bring in new customers.
Click "Display images below"
Join Property Tour: Secrets to Good ROI on Your Investment Property

Why is it that some renovations can deliver significant returns while others are ho-hum at best? What are professional renovators holding back and how do you unlock that knowledge in a way makes you a smarter investor? 

Come along to the first ever Property Show-&-Tell featuring Director of The Renovation Team, James Goren to discover what you need to do to make your next renovation project an absolute success.

You will be visiting three sites, hear James unpack his strategy for each project, ask questions and discuss alternative solutions and outcomes with other like-minded investors.  

Tickets are limited. RSVP now so you do not miss it.

What is involved? 
- All attendees will be invited to join the tour's WhatsApp online chat group for easy communication; 
- Meet up at 9.30am at a designated Mt Wellington address (TBA - you have to register) each member to provide his/her transport or arrange for carpooling by emailing
- Site addresses to be advised before departure; 

Tour starts at 9.45am; 
- Estimated up to 15-20 minutes drive between each site; 
- Estimated around 30 minutes at each site 
- Tour finishes around 12 pm

What to bring? 
- Closed-toe shoes; 
- Whatsapp enabled smartphone; 
- Personal transport/Prearranged carpooling; 
- Your sunny attitude and a curious mind. 

James Goren is a longtime property investor with a variety of strategies including renovation, buy-and-hold and trades.

With a military and engineering background, James is well known for implementing systems and strategies that result in achieving more with less time. The Renovation Team started as a hobby project and has since grown into a respected and top industry provider with proven results and consistently high customer reviews. 

THIS IS A MEMBERS-ONLY TOUR. Memberships start from as little as $75. Join here

I think it is one of the best investments that you will make this year!


Reasons Real Estate Value Will Go Up Again

Many economists say that the NZ property market is going to flat for the next 2 – 4 years. What will cause future price growth? Population growth set against insufficient construction and new ways to get into the real estate.

There are at least three new tools released recently into the market aimed at boosting demand for housing.

1) The BNZ Shared Ownership involves the bank partnering with company who will help property buyers get enough deposit to achieve the 20% minimum. 

2) is an online start-up which matches people together into co-ownership of a home or investment property.

3) The Property is an equity crowdfunding platform similar to another group buying business The Ownery. WARNING: I did NOT link to The Ownery website because at the time of this email their website was NOT secure due to the expired SSL Certificate.
Click "Display images below"
What is a Fair Tax? (Letter From an Aucklander)

If the Government is serious about reducing poverty and actually fixing the housing crisis, it needs to implement a major change to the entire tax system and not just tinker timidly around the edges.

To create fairness across the board there needs to be a comprehensive capital gains tax where each person declares all income, irrespective of source, and pays tax the same as everyone else.

There needs to be a land tax to discourage land banking and an inheritance tax on estates valued over $1 million.

GST should be replaced with a financial transactions tax and income tax levels should be binded to multiples of the median income, with the first $20,000 income tax-free.

Doing this will help address property speculation and put more money in the bands of those who need it most, directly stimulating the local economy, creating more jobs and ultimately leading to more revenue for the Government

Isaac Broome, Pukekohe.

Do you agree with this opinion?

Formal education will make you a living. Self-education will make you a fortune. ― Jim Rohn

Thank you for taking the time to read it! If you know anyone who would benefit from this email, you are welcome to forward these tips to them.

Want to share the email on social media? Use this link.
Click "Display images below"
Hi, I'm Maxim, the human behind this newsletter.

I research and interview economists, tax advisors, bankers etc. to find tools & tactics that YOU can use to save money and time.
Got this email from a friend? Subscribe to this newsletter.

P.S. What did you like (or did NOT like) most about this bulletin? I'd be glad to read your requests or suggestions! Just hit the reply button. 
Connect with me and follow NZ property tips on your favourite social media:​
This email has been provided for general information only. It does not constitute personal financial product advice or takes into account your objectives, financial situation or needs.

Feel free to unsubscribe (or change your email) below if you are not interested in future New Zealand property tips.

You can update your email address or UNSUBSCRIBE.

Email Marketing Powered by Mailchimp