November 8, 2024 • 41 mins
KiwiBank's State of Ownership report shows 85% of New Zealanders want to own their own home, but 63% of non-homeowners feel locked out of the market.
Ed McKnight is the resident economist at Opes Partners, and he says there are alternative pathways to homeownership.
LISTEN ABOVE
See omnystudio.com/listener for privacy information.
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:05):
You're listening to the Weekend Collective podcast from News Talk
s B.
Speaker 2 (00:47):
And a very good afternoon. If you have just joined us,
welcome or welcome back to the Weekend Collective. I'm Tim
Beverage and this is the One Roof Radio show. By
the way, if you missed our panel you want to
check check up any of our previous hours, just look
for the Weekend Collective Podcast and I suggest iHeartRadio.
Speaker 3 (01:01):
But this for the One Roof Radio Show.
Speaker 2 (01:04):
Is time for your eight one hundred and eighty ten eighty.
You can text on nine two nine two as well.
On My guest this hour is a resident economist at
O Pair's Partners or he's I think he's a regular now,
isn't he's at McKnight yet.
Speaker 3 (01:17):
How are you going?
Speaker 4 (01:18):
Great to be here, Tim, Good to see you.
Speaker 3 (01:20):
Have you been keeping out of mischief?
Speaker 4 (01:21):
Oh well, at the moment.
Speaker 5 (01:23):
At the moment, I'm in a lot of mischief out there,
trying to buy in my own home right now. So
maybe we'll talk about some of the things that I'm
seeing out there in the market.
Speaker 2 (01:31):
Hang on, hang on, you're trying to buy your own home,
don't you're not a first home buyer day you are
because you're.
Speaker 3 (01:37):
Probably oh, okay, are your first home? Buy it? In
terms of your own home.
Speaker 5 (01:41):
Well, technically, this is going to be the first home
that I'm going to live in for any serious period
of time. So when I first bought my first property,
to get mckeee savor out, you've got to live in
it for six months. And so I did that, but
then quickly turned that into a rental property and have
built up a portfolio of about four or five rentals
And now I feel like I'm in the position where, Yep,
(02:02):
I'm actually going to go ahead and buy that first
time that I'm going to properly live in.
Speaker 2 (02:07):
Because we want to know have you changed your goals?
An give us a call on this. Have you changed
your goals on property ownership because we have a chat
about the Kiwi are Bank's State of ownership report? But
also have you considered pathways as which might be different
to just trying to get that twenty percent deposit and
getting a mammoth mortgage and trying to pay it off?
(02:28):
You have you done business with friends? Have you tried
to you know, have you gone and with a relative
or something. Have you changed the way you want to
get into ownership or have you become more pessimistic about
the prospects of actually ever owning a house? Give us
a call eight one hundred and eight, ten and eighty
because the Kiwi Bank's State of Ownership reports has a
(02:49):
few interesting figures on it. Hasn't it? How have we
changed ed on the way we see ownership path to it?
Speaker 6 (02:54):
Well?
Speaker 5 (02:54):
I found this really encouraging because the latest census data
shows that home ownership actually increased over the last five years. Now,
it didn't increase a lot, went up from about sixty
four and half percent to sixty six percent, but it's
still moving in the right direction. And in terms of
the report that Kiwi Bank put out, I thought it
was very encouraging. So they divided the groups. They survey
(03:16):
two thousand New Zealanders and they said, okay, let's look
at the Let's call it a third of Kiwis who
don't own their own home yet. And then they asked
those non homeowners do you think you'll ever be able
to purchase your first home? And roughly two thirds of
those people said yes, we think we can. And so
if you zoom out, you say, okay, only eleven percent
(03:37):
of New Zealanders think that they will never own their
own home because two thirds of Kiwis already own it,
and then two thirds of the Kiwis who don't own
their own home think, yeah, actually, we think at some
point in the future we will be able to own it,
which I thought was quite interesting. And I would imagine
that the group of people who don't own their own
home and don't think they would ever be able to
own their own home, they're probably in their early twenties. Because,
(04:00):
believe it or not, Tim, there is a video floating
around on somebody's hard drive somewhere in Auckland where I
remember being on video once talking about that I didn't
think that I'd ever own my own home because when
you're in your early twenties, you're not earning very much,
you don't have very much many assets, and so you
really are just starting out, and so it does feel
(04:21):
legitimately like you're never going to be able to own
your own home. But after five to ten years of
building up your Kiwi saver, a lot of people, especially
in their early thirty start to say, you know what,
maybe I can do it now because I've increased my
income and I've actually built up some money in the
Kiwi Saver.
Speaker 2 (04:35):
So what do we read into that? Unless I've misread
the stats, sixty three percent of non homeowners feel locked
out of the market.
Speaker 3 (04:41):
How does that time?
Speaker 2 (04:42):
I guess statistics can be confusing at times, but that
does sound very pessimistic, doesn't it.
Speaker 5 (04:48):
Yeah, Well, it depends. It depends what question you're looking at.
So when you look at the stats at the moment,
just over sixty percent of people who don't own their
own home feel locked out. To me, that makes a
lot of sense, right, because if you didn't feel locked
out of the housing market, if you felt like it
was like you were able to purchase your first time,
you'd probably go ahead and do it. But when you
ask them, do you think you'll ever own your own home?
(05:10):
Two thirds of those non home non homeowners still think,
you know what, Yes, I think we'll be able to
get it done. And so that made me feel a
bit of optimism.
Speaker 2 (05:19):
It's a strange one, isn't it, Because if I was
saying I'd feel locked out of the market, to me,
I'd be thinking it would be feeling permanent to me
in a way, would it?
Speaker 3 (05:28):
No? No, maybe it wouldn't.
Speaker 5 (05:30):
It's like saying, okay, if I'm twenty two years old,
like both of us.
Speaker 4 (05:33):
Actually where it's our boy. You know, a little while
ago at twenty.
Speaker 5 (05:38):
Two, did you feel locked out of the housing market?
You probably did. Now did you think yes, but at
some point in the future, will you be able to
purchase your first time? Most people actually say yes, I
think I will get there, but right now I do
feel locked out. And that makes a lot of sense,
because again, if you didn't feel locked out, you'd probably
go ahead and buy your first time.
Speaker 2 (05:56):
Actually, the interesting stat that I'm not sure whether I
see this as a negative or a positive, because it's
the last half fulled last half empty.
Speaker 3 (06:04):
Of course, it's.
Speaker 2 (06:04):
Eighty five percent full. In fact, eighty five percent of
New Zealanders want to own their own home, which does
sound good to me. It sounds good that's eighty five,
But it worries me that fifteen percent of New Zealanders
don't want to own their own home. Is that because
because it must be such a nuanced question in a way,
because there would be.
Speaker 3 (06:24):
A reason why you don't want to own your own home.
Speaker 2 (06:26):
Because you might be thinking, I don't want to my
own home because it'll cost me a fortune and I
have to spend so much money each month, and therefore
I don't.
Speaker 3 (06:35):
Want to own it, you know what I mean.
Speaker 2 (06:36):
It's it's fifteen percent a high number of people who
don't want to own a home.
Speaker 5 (06:40):
Yeah, that jumped out to me as well, thinking, Okay,
what's going on in those people's lives that make them think, nah,
I'm just not interested. And it could be some people
who have been locked out of the housing market for
so long. And we know that there are some people
even in their their fifties or sixties who for whatever is,
have never been able to buy their first time and
they might think, you know what, Actually, I'm just not
(07:00):
that interested anymore. I'm just going to focus on keeping
going and maintaining a suit and sort of lifestyle that
I'm comfortable with. Similarly, if you're about to move over
to Australia, do you want to own your own home
in New Zealand? Maybe you say no to that. So
it kind of all depends how the questions asked. But
it is interesting that, yeah, fifteen percent of people say
not that interested.
Speaker 2 (07:19):
I was wondering if that was a strange take of
mine and away, because when you look at it. Eighty
five percent of people still want to own a home,
and I should just really look at that and go,
isn't that great? Most of us, by a lot, by
a large percentage, still want to own their own home.
And that's good. And I think if you want to,
that implies that ultimately you really believe that you're going
(07:40):
to it some stage, doesn't it.
Speaker 5 (07:41):
But I also think that it challenges you in some
ways because the kind of overarching narrative is everybody wants
to own their own home.
Speaker 4 (07:49):
Of course they.
Speaker 5 (07:49):
Would, And then you say, okay, well fifteen percent of people,
you know, one and a half out of ten aren't
that interested, and so you think, okay, maybe there's something
going on in their lives that makes them think that's
not a priority for them.
Speaker 2 (08:02):
Did you when did you change your ambitions your thoughts
around own a home ownership?
Speaker 3 (08:06):
Then? Was it?
Speaker 2 (08:07):
What was the moment that really changed it for you?
So you you said that you're on record somewhere saying
I'm never gonna, never going to own a home, and
now here you are, You've got a few rental properties
and you're about to buy, I guess your future family home.
Speaker 4 (08:19):
And hosting the property Acadomy podcast until.
Speaker 5 (08:22):
I forgot about it every single day about home ownership
and things like that. So it's quite a personal story,
but I'll tell you it, Tim, because I like care
and it's just you and me. So I remember being
about twenty three or twenty four and lying in bed,
staring at the ceiling and thinking, how do you how
(08:44):
do you make money or how do you get rich
in New Zealand? And I just thought, your own assets.
You've got to own assets. And so I'm lying there
it's probably two am in the morning, thinking okay, it's
not just about income. I need to actually own some
assets because that is what being ratual having wealth is.
And so that's when I thought, Okay, how am I
going to go about doing it?
Speaker 6 (09:04):
Now?
Speaker 5 (09:04):
It takes years and years and years, because it was
only it's probably three years after that that I ended
up purchasing the first property, and it wasn't a linear journey,
but that's kind of where I think the penny dropped
for me or the wires connected, and I thought, Okay,
I've actually got to go ahead and build up some assets.
Speaker 2 (09:20):
Okay, we'd love to hear from you your stories about it,
because the KII Bank State of Ownership report is out.
It describes how many people, what percentage New Zealanders want
to own their own home.
Speaker 3 (09:31):
There's some strange stats.
Speaker 2 (09:32):
Eighty five percent of people want to sixty seven percent
of non home owners feel locked out of the market.
Has your pathway to ownership if you're looking ahead? Is
that different? What is the pathway? Is it just you
buying a house after you've saved enough money and getting
a job where you can pay the mortgage. But if
you have, if you have become a property owner, what
(09:54):
was your journey?
Speaker 3 (09:54):
Was it different in any way? Was it like d's?
Speaker 2 (09:57):
Was it like mine? I never thought I'd be able
to buy a house. For a while, well I thought
I would, and then my wife actually motivated me to
get cracking with it. But isn't it funny the different
journeys we have on our perceptions about it.
Speaker 3 (10:08):
So give us a call.
Speaker 2 (10:09):
We'd love to hear from you. I eight hundred eighty
ten eighty text nine to nine to two. We're going
to take a break and come back with your cause
in just a Moment's welcome back to the Weekend Collective.
(10:36):
I'm Tim Beverage. This is the one roof ridy a sham.
My guest is mcnighty's resident Economists a opious partners. We
talk about pathways to ownership. What was yours or if
you haven't got a house yet, is what's your pathway
going to look like? Because people still want to buy houses,
but people sometimes are doing it differently. They're buying with
friends and family, buying to rent, all sorts of things.
Give us a call, I w eight hundred eighty ten eighty,
(10:57):
I should before we go to enter our call. I
did hint ed at my pathway to ownership because I
was involved in music and everything.
Speaker 3 (11:04):
You sort of think, and I.
Speaker 2 (11:06):
Don't know what I was thinking, you know what, I
almost can't remember, but I was pessimistic about it. And
then I met my future wife, and I think we
got married, and then we decided my pathway ownership was.
Speaker 3 (11:19):
I was renting.
Speaker 2 (11:20):
We were renting the house we live in now. Because
I tracked down the landlord behind the I tracked down
the landlord behind the back of our letting agent.
Speaker 3 (11:30):
I did a title search.
Speaker 2 (11:31):
And found out who it was, found out where he lived,
and I tracked him down out in Helensville.
Speaker 4 (11:36):
I will tell the story. Actually, did you knock on
his door. I tracked him.
Speaker 2 (11:39):
He owned an old sort of cinema out and out
west and I literally drove out there hoping I could
knock on the door, and he was actually just outside
and introduced him myself to him, and he said, I
just quietly, I just said, Hi, I'm to John, your tenant,
and he said, you know, I had a bit of
(12:00):
a chat and he was an next Rotorua guy too,
my old hometown. And he said, and I said, look,
I won't keep you now. We just come for a
drive and etc. And I said, but I've interested where
we're getting married and have a family and stuff. And
I was thinking, you interested in selling the interested in
selling the unit to us? And he said and he
just went, oh, we should talk. And we met for
(12:20):
a cup of coffee and he said, I went to
the loo and I came back and he'd torn a
receipt in half and he'd written down a number. He said,
you write down a number and I we'll exchange bits
of paper, and his offer and mine we're not far apart.
And I thought, goodness, me this hope. So I made
him an official offer. And the reason this is long
(12:41):
with the story, this is just the last little bit.
So he was going to a Leonard Cohen concert and
I met him outside Spark Arena with a contract for
my lawyer, and my lawyer said, don't let him zip
it up and take it away, because he'll think about.
Speaker 3 (12:53):
It and then you know, you'll get into a battle
of a price and things. Get him to sign it
straight away.
Speaker 2 (12:58):
And so I gave him the offer, and anyway, he
did zip it into sexual before I go a boo,
and I thought, we're not going to do the deal.
And he caught me at halftime. We were at a
party and he was listening to Leonard Cohen. He said, look,
I'm listening to Leonard Cohen, and you know what a
wonderful evening I'm having. And I just realized, you know
what you want to You want to buy the house
(13:20):
and have a family there and everything, and I'd love
to help you do it. You know, give me another
couple of grand and it's yours. And we did the
deal and it was all done. It was all thanks
to the goodwill of Leonard and going to Leonard Cohen
and being a good guy.
Speaker 3 (13:31):
So there we go. Was that an interesting story with
telling that was.
Speaker 5 (13:34):
A really good story. Tim's negotiation techniques. Get them before
they go into a concert, well make sure. Yeah, getting
to listen to some Leonard Cohen Lee Lujah. Interesting sort
of karmic sort of conversation. Anyway, Um, there we go.
Speaker 2 (13:49):
Anyway, eight hundred and eighty ten eighty there, let's have
a look at Oh so yeah, there are what are
the other ways that you've seen young people getting into
the market who maybe have changed the idea that they're
going to even get this twenty percent deposit themselves.
Speaker 7 (14:03):
Yeah.
Speaker 5 (14:03):
So one of the big ones is co ownership, so
as opposed to just buying a house yourself, teaming up
with a mate and then going ahead and doing it. Now,
what's really interesting is that previously it was a little
bit more difficult to get this across the line with
the banks, which is why I think Kiwi Bank has
come out really strongly with this idea of co ownership,
and they've now got their TV show speaking specifically about that.
(14:26):
And I was just saying before I came here, I
think it was Patty Gower speaking to a couple of
people mates who have purchased their home together. Another classic
one is purchasing a property with your parents. So let's
say I want to go and buy my first time
I don't have quite enough to posit. So Mum and
dad say, look, we'll buy it with you and for
us it'll be a bit of an investment and you
(14:48):
can progressively buy us out. Now there is one thing
to mention. If you are going to do that, it's
a little bit easier now that the brightline rules have changed.
But if your folks are buying it as an investment,
if you then buy out their shares within what is
now two years because that's the bright line period, if
your house has gone up value, they may have had
to pay tax on that. That's a little that's a
(15:08):
little thing that people need to watch out for. A
little bit easier now that the bright line is two
years as opposed to ten. But just something to keep it.
Speaker 2 (15:14):
You want to get some legal advice on that. You
wonder whether the smarter way to do it would be
to officially borrow the money from your parents and they take.
Speaker 3 (15:21):
A mortgage on it.
Speaker 2 (15:22):
That's a classically that would be the way, So that'd
take a mortgage. It sounds very serious, doesn't it. It's
like Mum and Dad don't trust you. It they want
to have regisly, they're interested in the property, that's for sure.
Speaker 3 (15:32):
Hey, look, let's take.
Speaker 2 (15:33):
Some calls O eight one hundred and eighty ten eighty
Trev High.
Speaker 8 (15:37):
Yeah, Hi, very very very interesting topic. You got helpening there.
I'll speak up for my son how he got into
the property market. I started a key, we save it
for him. When they first came out, he was at
intermediate and like, he's just coming up. He's twenty eight now,
(16:00):
so he's got a bit of money and he wants
he's wanting a property. And he said, look, only Kesham
the key. We save her from my deposit. And I said, no,
you're not, mate, No you're not. I said, you'll kill it.
You know, you'll never make that money back. And I said, look,
let's sit down with a calculator. You want to draw
down one hundred k. Now, let's work out in the
(16:22):
next thirty six years, how are you going to replace
that one hundred k plus all the compounding interests. It
just wasn't feasible. So I said, here you go, son,
here's your leg up. He's part of your legacy. He's
one hundred k. And got him in the door because
I don't believe what the government is saying. You know,
like us your key, we save it to get in
there because I look at when he comes to attire,
(16:45):
there'll be no GRI you know, you'll be solely reliant
on your savings.
Speaker 2 (16:51):
What's grill guaranteed retire retirement.
Speaker 3 (16:55):
And oh sorry about that?
Speaker 2 (16:56):
Yeah yeah yeah, let's get bring an Ed McKnight here.
Speaker 5 (17:02):
Oh, Trevor, I'm really interested to ask you how much
were you putting into your son's Kiwi saver over those
many years?
Speaker 8 (17:11):
Will he was at school until he high school, till
he took control.
Speaker 5 (17:15):
And was it one thousand dollars a year or one
hundred dollars a week?
Speaker 3 (17:18):
No?
Speaker 8 (17:19):
No, no, no, I was putting anything that you know,
fifty bucks aweak minimum minimum and.
Speaker 4 (17:25):
Over how many years did it add up to that
one hundred k? Also?
Speaker 8 (17:29):
Oh no, no, no, that's what he needed for a deposit. No,
he's no, no, no, he's got more than that in
there now. He didn't leave school. He'd done year thirteen
twice so he could leave with merit and honors. And
he's worked ever since and he's worked his way up
the ladder. You know, he's in HR so he's actually
(17:49):
he's actually at the stage now where he's putting twelve
percent of his income into his Kiwi Saver. So you know,
if you look at it, he's got a hell of
a lot of money in there.
Speaker 2 (17:58):
That's are you saying that the government's message to people
to use the Kiwi Saver for their first time as
as a mistake.
Speaker 8 (18:07):
Or just sorry? I do not agree with that principle whatsoever.
And any of his young friends that speak up and
doing that, I just say, no, no, no, okay on
your family. If you can for assistance, do not break
(18:27):
the cycle of you. You will not get that money back.
Speaker 6 (18:33):
You know.
Speaker 2 (18:33):
That's a really hot take, Trevor, and an interesting take
too because and I can understand why if you could
help your son protect his ki We saver. Good you're
good on you for that. Thanks, yeah, good on you
despite your naughty language there. But it's not something I
haven't said myself probably, but there we go.
Speaker 5 (18:48):
I need to get addited by Trevor. I'd love to
have a parent give me a hundred k to go
buy a house and built up a Kiwi Saver. I
think that's wonderful, is she?
Speaker 2 (18:57):
I'm going to include that in the conversation, is biting
into your kiwisaver a great thing that the government allows
you to do it? Or is it something you should
avoid it all costs. Because I've got a double take
on this, you might agree with me. I think that
giving people the choice is great whether you want to
do it or not. If you can avoid it, that's
(19:17):
great as well. But I don't like so maybe Trevor
would probably agree with that too, because at least freedom
of choice. But if you can don't use the Kiwi saver,
what do you reckon?
Speaker 5 (19:26):
Well, of course you don't have to take out your
Kiwi Saver for your first home. You've got the you've
got the option not to. I think the main thing though,
is that for a lot of people that don't have
the ability to get that financial support from their parents,
you know. And and if I had the option, I
mean I wish I would have been able to take it,
but I had to use my keev'saber personally.
Speaker 3 (19:44):
Okay, So Trevor, he wouldn't.
Speaker 2 (19:47):
He would probably support your He would support you in
that ed mind, you do have some investment property, so
you know there's possibly slightly different scenario there. But good
on you. Right, let's carry on some calls.
Speaker 6 (19:57):
Chris, Hello, Yeah, Hell, how are you good? Thanks? About
a month back, my wife and myself put in a
bit for a property and went and went to the
bank and also used the mortgage broker, and we put
(20:20):
all the information together and it was all declined from
both parties. And I can't, full of life we figure
out why we had a cash deposit of one hundred
and twenty thousand. The property we were looking at was
one hundred and eighty five And over the last three years,
I've averaged around seventy thousand a year and earnings. My
(20:43):
wife is on she's retired, so she's on a pension,
and I've got around about last time I checked one
hundred and thirty five thousand in my Kiwi saber And
for the life of me, I can't figure out why
a Kiwi bank refused this. Any informational idea of what
(21:03):
we will be or.
Speaker 3 (21:06):
Yeah, let's go ed, what do you reckon? Yeah?
Speaker 5 (21:08):
Well, Chris, what I'd first say is that if the
FMA is listing, this is not going to be personalized
financial advice because I don't know your situation. But sometimes
mortgages can be declined for a number of reasons. The
first thing i'd and you don't have to answer me
this on here, but sometimes they can be declined because
of poor credits. I don't know whether there have been
any bad loans in the past where maybe you've got
(21:30):
behind with them. Okay, so it sounds like it.
Speaker 6 (21:32):
Wasn't that got a triple A rating. In fact, my
last score I had was nine hundred and seventy out
of one thousand.
Speaker 5 (21:39):
Oh, you've got a great credit score, Chris, so you
should be really happy with that. What's interesting is that
the loan that you're that you're looking at is pretty small,
about sixty five thousand dollars in total. One thing that
I'd just ask is are you in your late fifties
early sixties.
Speaker 6 (21:53):
I'm on fifty five years.
Speaker 4 (21:55):
You're not that old.
Speaker 5 (21:56):
It's quite interesting sometimes mortgages will be declined if you're
kind of in your early sixties, because then the bank's
going to say, oh, in ten years or five years
or so, maybe you're just going to be on the pension,
and so you might struggle it back if you dropped
down an income. I think your best case in this
scenario is definitely to have ask the mortgage broker. Why
(22:17):
because your income's like pretty decent compared to the loan
that you're taking out. I would have guessed that it
was due to your age, but actually you're not that old,
Like there are lots of people who are fifty five
and get mortgages, and the mortgage you're looking to take
out is quite low. So I just dig in to
get a bit more detail around that one.
Speaker 3 (22:35):
What reasons have you been given?
Speaker 6 (22:38):
Well, the main reason, may said was because it was
be a land, you see, and we were looking at
putting a transferable health on it. And they said, well,
we needed fifty percent deposit, and I said, well I've
got almost three quarters of the deposit, so fifty percent
(23:01):
deposits and really satisfy my query.
Speaker 2 (23:05):
Okay, that's a useful bit of information. I'll just bring
eding on this one. Okay, that that.
Speaker 5 (23:10):
Starts to make a bit more sense. So in terms
of bringing the transportable house on, were you going to
bring take on more debt in order to be able
to get that property as well?
Speaker 6 (23:20):
No, I've got the cottage all good to go.
Speaker 2 (23:24):
Okay, So if you've.
Speaker 6 (23:29):
Couldn't I couldn't make even the mortgage broker also came
back and said, look, you're better off to sell all
your assets instead of going for a mortgage, because we've
also got a big American motor home. Okay, but yeah,
I just YEAHS don't know, I don't know what to do.
Speaker 2 (23:52):
Yeah, maybe, I mean, I don't know if you can
even talk to with another mortgage broker and see if
someone else is another way of doing it.
Speaker 3 (23:57):
But thanks for you, Core, Chris.
Speaker 2 (23:59):
I suspect edits because it's not as tangible in that
sets as a lend would like. It's likely something he's
going to develop in a way as opposed to the
house on the land it's all done.
Speaker 5 (24:10):
I suspect in that case that it's probably due to
something else. If you've got a lot of debt on
another property, that might be where they say, look, if
you were just buying this piece of land and taking
out a sixty five k mortgage, that'd probably be okay.
But if you've got some other debt on other properties
that could hold you back a little bit. The best
thing to do is to is to really dig in
(24:30):
with the mortgage advisor to understand what is the reason.
There are usually three things that will hold you back
from getting a mortgage. We'll call it kind of for
one is not having enough deposit, one's not having enough
income to be able to afford the mortgage. Now we've
got debt to income ratios, which is just how much
income do you have versus your debt, and then also
your credit score, which they kind of call character. It's
(24:51):
usually one of those four reasons.
Speaker 2 (24:52):
Okay, we're talking about your pathway to ownership. The Kiwibank
State of Ownership reporters out and it reflects on the
number of people who want drain their own home or
believe in then lockdown of the market. What was your
pathway to ownership or if you haven't bought yet, what
will your pathway be? Have you looking at buying with
parents or getting them in the bank of mum and dad.
Here's a text here just before we got to Chris,
who's holding says, my parents made me get a job
(25:14):
at fourteen, maybe put about fifty percent in a savings
account every week, and made me pay for this A
lot of made me here, encouraged me, shall I say anyway,
made me pay around one hundred and fifty bucks in
rent a week when I said I wanted to buy
a house and complain to them how much I was
paying them. They presented me with my rent and savings. Oh,
this is awesome, and allowed me to access shares I
(25:35):
had purchased while learning the market. After buying the house
with my partner at twenty one and twenty three years old,
bought the worst house in a great area, rented out
parking spaces and our driveway to people who needed a
short term storage place for a car or boat way.
More to all of that, but a good way to
help your kids out without actually spending of the money.
Speaker 3 (25:53):
That's quite an awesome story, isn't it.
Speaker 4 (25:55):
Ed, that's such a great story.
Speaker 3 (25:57):
Isn't that great?
Speaker 2 (25:57):
So they made her pay rent and then gave it
all back including great, that's awesome.
Speaker 5 (26:03):
And the best thing about that story as well is
that she didn't get given the money by the parents.
I know they gave it back to her, but she'd
actually earned that, so there would have been a bitter
sense of ownership over that deposit.
Speaker 4 (26:14):
I think that's greatly something.
Speaker 2 (26:15):
They're fantastic. All right, let's go to another call. Chris Sullo, Mateo.
Speaker 7 (26:24):
My first house was a bit of a weird story.
It was based on a bet in a pub with
my cousin who I can actually talk about now about it, because.
Speaker 2 (26:34):
I thought you were going to say I wanted off
a bloke and a pub, But carry on.
Speaker 7 (26:39):
What it was he was sort of like a mini
at the time, was sort of like a mini version
of a property developer. And he was talking about houses
and he said he'd sold us last time for two
hundred grand. And I said, I'll bet you can't sell
me a house for two hundred grand. This is while
(27:02):
we were both drinking and playing pool. He said, I
bet I can, and I said, okay, if you do,
I'll buy it, and he basically did it. He had
to up it by ten grand because it was costing
too much. It was one of those moved hows.
Speaker 3 (27:23):
Was weird.
Speaker 7 (27:25):
What they last spoke was talking about when you buy
the house and move it to the place.
Speaker 5 (27:30):
And Chris, can I ask you as well? So you
said that it probably costs about two hundred and ten k.
What do you think the property was worth at the.
Speaker 9 (27:37):
Time, the land or the well, the whole deal once
it started paid, What did you think it was worth?
Speaker 7 (27:50):
It probably would have been that. But the funny thing
is that the last VSE that came out said it's
worth a mellion.
Speaker 5 (27:56):
Knows amazing And what year did you buy it? And
we're in the country, is it.
Speaker 7 (28:01):
Tim Wellington in the next to Johnson Born place called
Ulm and it's it's a what was the other question?
Speaker 4 (28:14):
Just what was the year that you purchased it?
Speaker 3 (28:17):
Oh?
Speaker 7 (28:17):
Sorry, man, we've been living here about twenty years. Yeah,
it's a little just a little ex that.
Speaker 3 (28:24):
Was in a way crossed.
Speaker 2 (28:26):
You might have done it as a bet, but it's
almost like you entered into some sort of commitment which
helped you make the decision to do it in a way.
Speaker 3 (28:31):
That's what that story says to me. What do you think?
Speaker 5 (28:33):
Yeah, often we see that friends bully you into buying
your first home. In fact, the first property I ever purchased,
I was sitting in a restaurant and my friend said
to me, how much have you got in your kiwisaver? Right,
we're going to look at houses tomorrow.
Speaker 3 (28:47):
That's I remember you're telling me that.
Speaker 2 (28:49):
But you do need I mean, I think that for
a lot of people to have those stories where there's
something external to your own willpower which gives you that
nudge For me, it was having, you know, getting married
into someone we wanted to have kids, and thinking, well,
we just can't keep renting, so we're going to have
to do something concrete. I mean my story, I had
actually had some success with some concert science producing, so
(29:09):
I suddenly thought, wow, I've got some money here. We
better pounce before it's too late. But if I'd been
on my own, I might have just fretted it away.
Speaker 10 (29:17):
Well.
Speaker 5 (29:17):
The other thing is, buying your first home is such
a large financial decision because it costs you so much money,
and if you don't get that little push in the
right direction, you might never actually decide to go and
do it on your own. You kind of need a
little bit of a shove, whether it's from a parent
or a mortgage broker or something else.
Speaker 2 (29:34):
It's interesting the role in that text that I read
about the role that the parents had to play, not
in just having a discussion about you should do this,
but when the text have finally made a decision to
buy their house, the parents returned all the rents she'd
been paying. I think that's pretty awesome. I might actually
log that away for future reference myself.
Speaker 3 (29:52):
We want to know about your.
Speaker 2 (29:53):
Pathway to ownership? How did you do it or how
are you planning to do it? Eight hundred and eighty
ten eighty. This is the one roof radio show. My
guest is Ed McKnight. He's a resident economist at Open
his partner and about to be a first home owner.
He's got a couple of houses, but home owner. We've
talked to you a bit more about that. After the break.
(30:13):
It is twenty minutes for a five.
Speaker 3 (30:29):
Welcome back. This is one refradio show.
Speaker 2 (30:31):
Want your calls eight hundred eighty ten and eighty text
nine two nine two. My guess is Ed mcnightty's resident
economist at OPS Partners, talking about your path to ownership?
Speaker 3 (30:38):
What was it or what is it going to be?
Paul Gooday and.
Speaker 10 (30:42):
They going, you're so deared about this. Before the way
I got into my first property in the Muldoon area,
they they gave us forty cents in every dollar, you know,
to towards your first home. And I bought my first
home when I you know, when I was twenty five
for fifty three thousand, and I paid that off in
(31:05):
seven years and eleven living months at the time. And
then shortly after we were about four months four years later,
I got friended with friends of mine and he said
to me, why don't we buy regial property? And those
days they were really cheap though, and about about one
hundred and fifty about one hundred to one hundred and
(31:26):
fifty thousand, you know, we did dure up and everything
like that. You know, we just bought places, do them up,
then sell them. And in between I bought a block
of flats which I have told you about, and you know,
and I've got a place in Tapa and then and
(31:47):
they're all freeholding now and we're pigging you now. And
and I'm like I said, you know, I'm taking really good,
really good, good good money money now on sit up
and set up for life? Now?
Speaker 5 (32:01):
Can I ask you? So you bought your first house
for fifty three thousand dollars. I imagine this was like
late seventies, early eighties.
Speaker 10 (32:08):
Doesn't year the more that was forty six years ago?
Speaker 5 (32:11):
Does it absolutely astound you what those properties would be
worth today? Like you you must look at them and
think everage house price and you see on seven hundred
and sixty five odd thousand dollars huge compared to what
you were paying.
Speaker 10 (32:25):
Yeah, that properly for eight years, never went up in
value about seven or eight years and hardly went up
in value. And shortly after, you know, and like I said,
about ten years later when I bought my my next house,
you know, I sold that place and then I bought
my next place for you know, in about far Bit area,
and you know, it's gone up heaps. Like I said,
(32:47):
you know, I'm taking in it for five weeks. I'm
taking ten thousand dollars every five weeks.
Speaker 7 (32:53):
Wow. Just enough.
Speaker 3 (32:55):
You're just shown off now, Paul. But hey, thanks for
your coll mate. Really appreciate it. Leoni.
Speaker 6 (32:58):
Hello, Hello, how are you good?
Speaker 3 (33:01):
Thanks? Where you go? Yeah, where you go.
Speaker 11 (33:06):
We were lucky enough way back in the day when
Big used to be Big Wednesday. We won money off
that and that was the deposit for our first home
through like a mortgage broke up. How much did you win, Leone,
I think it was around about thirteen thousand.
Speaker 2 (33:24):
Okay, because when you say Big Wednesday, I think you're
talking about five No.
Speaker 11 (33:28):
No, no, it was before it was before that. I
wish and so, but that home we had as a
rental because we had a house with my husband's job,
and so we rented it out for I don't know,
must be fifteen seventeen years, but that's three years ago.
We had to move into that house. That was always
(33:49):
a plan. It was going to be our retirement home.
Because my husband health he had to give up his
job and so we're down to one income and so
we you know, you go to the bank, you get
a mortgage redone. But this year we have actually sold
that house for a nice sum and we've moved to
(34:11):
a little town in central North Island to be closer
with our family, and we've bought a house and I
can actually say be a better house than what we
had for a lot less. So we're mortgage free, get free,
living the good life.
Speaker 5 (34:26):
And it's quite interestingly only that you're talking about selling
that house that you first bought and then moving to
a smaller town where property price is a bit cheap,
because one of the other topics we might have time
to jump into is the downsizing. And one of the
big things that one of the things that people sometimes
struggle with with downsizing is moving from a town that
they really love and have been in for ages and
(34:48):
then going to somewhere that's a bit smaller that they
don't really know all love. So how did you guys
manage that?
Speaker 11 (34:54):
Our daughter worked in this town and we used to
come over for visits and holidays, and every time we
came here, you know, I just like this place. My
husband being from the other town all his life, we
just thought, no, let's move. And we haven't actually downsize,
so we've still got a nice home, nice been home
(35:15):
or three bedroom. It didn't need anything doing to it.
So we just sort of moved in and easier pace
of life. Everything we need is in this place or
not very far from it, and wished to have done
it long ago.
Speaker 2 (35:32):
Yeah, good on you. Thanks for your Callingonie. Actually, yeah
we are. We were actually depending on how they are gone.
We've got that logged for another conversation another time with you.
The old die downsizing for retirement, Ed, but we'll be
back and just that was just something that Ed mentioned
just in passing. But we will actually have a look
at that at some stage in the One Roof Radio Show.
But right now it is twelve minutes to five of
(35:55):
the One Roof. Property of the Week is next. Yes,
welcome back to the One Roof Radio Show on this
the week and collect my guest is Ed mcnight Onton
Beverage by the way, and it is right now. It's
coming up to eight minutes to five.
Speaker 1 (36:09):
The one roof property of the week on the Weekend Collective.
Speaker 3 (36:13):
Now we chose that, I'll be honest with you. We
chose that, Chris.
Speaker 2 (36:16):
I think my producer Tira is coverting this property. It's
located upon a high ridge line in one of the
most prestigious suburbs of the Eastern Bays.
Speaker 3 (36:25):
It's a renovated.
Speaker 2 (36:26):
Nineteen sixties gem, complete with unobstructive panoramic ocean views and
a swimming pool. And it's the family home that you've
been looking for. It's on eight hundred and twelve square
meters spacious layout for family living, featuring four bedrooms and
an on sweetened family bathroom, two living spaces and a
tandem internal garage. It's a new expression. Does it just
(36:47):
mean two cars? I guess tandem internal, open planned kitchen,
sun drenched deck, patio, landscape, gardens, fully fenced pool. It's
an oasis for relaxation and fun in the sun.
Speaker 3 (37:00):
Because it is.
Speaker 2 (37:00):
It's West Tammocky Road in Glen Dowie's it's kind of
up there.
Speaker 3 (37:05):
Ed mcknightmad have a comment on this.
Speaker 2 (37:06):
The address if you can look it up on the
one roof site two seven seven West Tammicky Road West.
Should I say terrible New Zealand accent there? Tim West
Tammocky Road, Glenn Dowie. Asking price only three million ouch.
Speaker 5 (37:21):
Three mills A lot of money. Ah, but do you
know what's interesting up here in Auckland? Did you know
a roughly eight percent of house itself for two million
dollars or more? I'm like, who are all these people
buy multi million dollar properties? And it's interesting once you
get up to that three million dollar mark you do
kind of look at it sometimes and think, are you
getting a lot for your money?
Speaker 3 (37:42):
Are you?
Speaker 4 (37:43):
Am I allowed to say that.
Speaker 2 (37:44):
You can actually because there are to sell it, I mean,
and you can add, yeah, this is not a sponsored.
Speaker 3 (37:50):
Property or anything.
Speaker 2 (37:50):
It's just a property we've picked out. Do you reckon
that's quite expensive?
Speaker 5 (37:53):
I think three million dollars is an outrageous amount of
money for a house. I mean, I understand that there
are houses genuinely worth three mil. I wonder whether they've
taken the Brisco strategy mark up to mark also increase
the price. Oh, mate, this is a great deal. I'll
sell it to you for two and a half mil.
That's five hundred k off asking. God, you're doing well
negotiating off me.
Speaker 2 (38:14):
I got to say that the patio and the pool
look do look very nice. And the yeah, that's an
interesting one. Yeah, you can go and have a look
at that if you like, because it is a lot
of money. So maybe the property.
Speaker 3 (38:26):
Of the week.
Speaker 2 (38:27):
We're giving a hard time this week, ed, So.
Speaker 4 (38:29):
Anyway, lovely house. I just wouldn't buy it for that price.
Speaker 3 (38:33):
There we go.
Speaker 2 (38:34):
There's room to haggle it if you are Ed McKnight.
So that's not the property you're looking at for your
first family home.
Speaker 5 (38:41):
Probably wouldn't be, wouldn't be this specific one. But one
thing I will say about asking prices is I was
recently looking at a house. And sometimes you look at
at more expensive houses just so you can dream. But
there's a house out in Points Chevalier and it's got
an asking price of three mil. And I went through
the property. I know for a fact that that accepts,
you know, two point six four hundred k lower than
(39:02):
what they're specifically asking.
Speaker 3 (39:04):
Actually I've got it.
Speaker 2 (39:06):
I think my producer may have also picked that house
because while she would like to own it, she did
think it was asking a little bit much for three million.
And it's isn't it funny because it's a lovely house,
but three mil. I don't know what I'd want for
three mel. But I'd probably be looking at a sun
drenched apartment with right on the waterfront.
Speaker 3 (39:23):
I wonder if you get something like that for three mil,
what do you reckon?
Speaker 5 (39:26):
I reckon you'd be able to get a really nice
apartment for less than three mil, especially if it's if
it's not a like absolutely brand new. Sometimes the brand
new apartments go for quite a lot of money. You
could get a lot of house for three mel. I
probably wouldn't spend it on that.
Speaker 2 (39:43):
I feel so conflicted because normally when we do a
one roof a property of the week, we do it
because it's something amazing, and if it's going to be
like we have some amazing properties which I'll never afford
to buy, but they're just lovely to you know how.
We love to go and have a look at an
open home sometimes because it just looks so let's just
go have a nosey.
Speaker 3 (39:59):
It's so gorgeous.
Speaker 5 (40:00):
Yeah, do you even go on one roof and then
you filter the listings by high as pride, so you
look at wherever you live, whether it's halli Is or Odarky.
Either you're like highest price, You're like, I'm not going
to be able to afford any of these, but I
just want to dream. I want to lock and see
what's out there.
Speaker 2 (40:14):
Actually, also these there's a there is actually a good
practical reason to do that as well, because some of
these houses have been all of them, the top ones
have had brilliant architects and designers. And if you're looking
for good ideas for renovation, if you can manage to
get your way in to have a look at an
open home, mind you, the more expensive there it's usually
by appointment, which is a way of sorting the Refrah.
Speaker 4 (40:37):
We're definitely in there.
Speaker 2 (40:40):
Hey, thanks and if people want to check out where
they can go. What's the the The website for Opia's.
Speaker 4 (40:46):
Partners OS Partners dot coded nz excellent.
Speaker 3 (40:49):
Great to Eve in the studio as ever, we'll look
forward to next time.
Speaker 2 (40:52):
John Cown is the next, talking about exam anxiety and
how much you can help your kids deal with the
pressure of well.
Speaker 3 (41:00):
The end of yew tests news talks. He'd be.
Speaker 1 (41:10):
For more from the weekend collective. Listen live to news
Talk ZEDB weekends from three pm, or follow the podcast
on iHeartRadio
You're listening to the Weekend Collective podcast from News Talk
s B.
Speaker 2 (00:47):
And a very good afternoon. If you have just joined us,
welcome or welcome back to the Weekend Collective. I'm Tim
Beverage and this is the One Roof Radio show. By
the way, if you missed our panel you want to
check check up any of our previous hours, just look
for the Weekend Collective Podcast and I suggest iHeartRadio.
Speaker 3 (01:01):
But this for the One Roof Radio Show.
Speaker 2 (01:04):
Is time for your eight one hundred and eighty ten eighty.
You can text on nine two nine two as well.
On My guest this hour is a resident economist at
O Pair's Partners or he's I think he's a regular now,
isn't he's at McKnight yet.
Speaker 3 (01:17):
How are you going?
Speaker 4 (01:18):
Great to be here, Tim, Good to see you.
Speaker 3 (01:20):
Have you been keeping out of mischief?
Speaker 4 (01:21):
Oh well, at the moment.
Speaker 5 (01:23):
At the moment, I'm in a lot of mischief out there,
trying to buy in my own home right now. So
maybe we'll talk about some of the things that I'm
seeing out there in the market.
Speaker 2 (01:31):
Hang on, hang on, you're trying to buy your own home,
don't you're not a first home buyer day you are
because you're.
Speaker 3 (01:37):
Probably oh, okay, are your first home? Buy it? In
terms of your own home.
Speaker 5 (01:41):
Well, technically, this is going to be the first home
that I'm going to live in for any serious period
of time. So when I first bought my first property,
to get mckeee savor out, you've got to live in
it for six months. And so I did that, but
then quickly turned that into a rental property and have
built up a portfolio of about four or five rentals
And now I feel like I'm in the position where, Yep,
(02:02):
I'm actually going to go ahead and buy that first
time that I'm going to properly live in.
Speaker 2 (02:07):
Because we want to know have you changed your goals?
An give us a call on this. Have you changed
your goals on property ownership because we have a chat
about the Kiwi are Bank's State of ownership report? But
also have you considered pathways as which might be different
to just trying to get that twenty percent deposit and
getting a mammoth mortgage and trying to pay it off?
(02:28):
You have you done business with friends? Have you tried
to you know, have you gone and with a relative
or something. Have you changed the way you want to
get into ownership or have you become more pessimistic about
the prospects of actually ever owning a house? Give us
a call eight one hundred and eight, ten and eighty
because the Kiwi Bank's State of Ownership reports has a
(02:49):
few interesting figures on it. Hasn't it? How have we
changed ed on the way we see ownership path to it?
Speaker 6 (02:54):
Well?
Speaker 5 (02:54):
I found this really encouraging because the latest census data
shows that home ownership actually increased over the last five years. Now,
it didn't increase a lot, went up from about sixty
four and half percent to sixty six percent, but it's
still moving in the right direction. And in terms of
the report that Kiwi Bank put out, I thought it
was very encouraging. So they divided the groups. They survey
(03:16):
two thousand New Zealanders and they said, okay, let's look
at the Let's call it a third of Kiwis who
don't own their own home yet. And then they asked
those non homeowners do you think you'll ever be able
to purchase your first home? And roughly two thirds of
those people said yes, we think we can. And so
if you zoom out, you say, okay, only eleven percent
(03:37):
of New Zealanders think that they will never own their
own home because two thirds of Kiwis already own it,
and then two thirds of the Kiwis who don't own
their own home think, yeah, actually, we think at some
point in the future we will be able to own it,
which I thought was quite interesting. And I would imagine
that the group of people who don't own their own
home and don't think they would ever be able to
own their own home, they're probably in their early twenties. Because,
(04:00):
believe it or not, Tim, there is a video floating
around on somebody's hard drive somewhere in Auckland where I
remember being on video once talking about that I didn't
think that I'd ever own my own home because when
you're in your early twenties, you're not earning very much,
you don't have very much many assets, and so you
really are just starting out, and so it does feel
(04:21):
legitimately like you're never going to be able to own
your own home. But after five to ten years of
building up your Kiwi saver, a lot of people, especially
in their early thirty start to say, you know what,
maybe I can do it now because I've increased my
income and I've actually built up some money in the
Kiwi Saver.
Speaker 2 (04:35):
So what do we read into that? Unless I've misread
the stats, sixty three percent of non homeowners feel locked
out of the market.
Speaker 3 (04:41):
How does that time?
Speaker 2 (04:42):
I guess statistics can be confusing at times, but that
does sound very pessimistic, doesn't it.
Speaker 5 (04:48):
Yeah, Well, it depends. It depends what question you're looking at.
So when you look at the stats at the moment,
just over sixty percent of people who don't own their
own home feel locked out. To me, that makes a
lot of sense, right, because if you didn't feel locked
out of the housing market, if you felt like it
was like you were able to purchase your first time,
you'd probably go ahead and do it. But when you
ask them, do you think you'll ever own your own home?
(05:10):
Two thirds of those non home non homeowners still think,
you know what, Yes, I think we'll be able to
get it done. And so that made me feel a
bit of optimism.
Speaker 2 (05:19):
It's a strange one, isn't it, Because if I was
saying I'd feel locked out of the market, to me,
I'd be thinking it would be feeling permanent to me
in a way, would it?
Speaker 3 (05:28):
No? No, maybe it wouldn't.
Speaker 5 (05:30):
It's like saying, okay, if I'm twenty two years old,
like both of us.
Speaker 4 (05:33):
Actually where it's our boy. You know, a little while
ago at twenty.
Speaker 5 (05:38):
Two, did you feel locked out of the housing market?
You probably did. Now did you think yes, but at
some point in the future, will you be able to
purchase your first time? Most people actually say yes, I
think I will get there, but right now I do
feel locked out. And that makes a lot of sense,
because again, if you didn't feel locked out, you'd probably
go ahead and buy your first time.
Speaker 2 (05:56):
Actually, the interesting stat that I'm not sure whether I
see this as a negative or a positive, because it's
the last half fulled last half empty.
Speaker 3 (06:04):
Of course, it's.
Speaker 2 (06:04):
Eighty five percent full. In fact, eighty five percent of
New Zealanders want to own their own home, which does
sound good to me. It sounds good that's eighty five,
But it worries me that fifteen percent of New Zealanders
don't want to own their own home. Is that because
because it must be such a nuanced question in a way,
because there would be.
Speaker 3 (06:24):
A reason why you don't want to own your own home.
Speaker 2 (06:26):
Because you might be thinking, I don't want to my
own home because it'll cost me a fortune and I
have to spend so much money each month, and therefore
I don't.
Speaker 3 (06:35):
Want to own it, you know what I mean.
Speaker 2 (06:36):
It's it's fifteen percent a high number of people who
don't want to own a home.
Speaker 5 (06:40):
Yeah, that jumped out to me as well, thinking, Okay,
what's going on in those people's lives that make them think, nah,
I'm just not interested. And it could be some people
who have been locked out of the housing market for
so long. And we know that there are some people
even in their their fifties or sixties who for whatever is,
have never been able to buy their first time and
they might think, you know what, Actually, I'm just not
(07:00):
that interested anymore. I'm just going to focus on keeping
going and maintaining a suit and sort of lifestyle that
I'm comfortable with. Similarly, if you're about to move over
to Australia, do you want to own your own home
in New Zealand? Maybe you say no to that. So
it kind of all depends how the questions asked. But
it is interesting that, yeah, fifteen percent of people say
not that interested.
Speaker 2 (07:19):
I was wondering if that was a strange take of
mine and away, because when you look at it. Eighty
five percent of people still want to own a home,
and I should just really look at that and go,
isn't that great? Most of us, by a lot, by
a large percentage, still want to own their own home.
And that's good. And I think if you want to,
that implies that ultimately you really believe that you're going
(07:40):
to it some stage, doesn't it.
Speaker 5 (07:41):
But I also think that it challenges you in some
ways because the kind of overarching narrative is everybody wants
to own their own home.
Speaker 4 (07:49):
Of course they.
Speaker 5 (07:49):
Would, And then you say, okay, well fifteen percent of people,
you know, one and a half out of ten aren't
that interested, and so you think, okay, maybe there's something
going on in their lives that makes them think that's
not a priority for them.
Speaker 2 (08:02):
Did you when did you change your ambitions your thoughts
around own a home ownership?
Speaker 3 (08:06):
Then? Was it?
Speaker 2 (08:07):
What was the moment that really changed it for you?
So you you said that you're on record somewhere saying
I'm never gonna, never going to own a home, and
now here you are, You've got a few rental properties
and you're about to buy, I guess your future family home.
Speaker 4 (08:19):
And hosting the property Acadomy podcast until.
Speaker 5 (08:22):
I forgot about it every single day about home ownership
and things like that. So it's quite a personal story,
but I'll tell you it, Tim, because I like care
and it's just you and me. So I remember being
about twenty three or twenty four and lying in bed,
staring at the ceiling and thinking, how do you how
(08:44):
do you make money or how do you get rich
in New Zealand? And I just thought, your own assets.
You've got to own assets. And so I'm lying there
it's probably two am in the morning, thinking okay, it's
not just about income. I need to actually own some
assets because that is what being ratual having wealth is.
And so that's when I thought, Okay, how am I
going to go about doing it?
Speaker 6 (09:04):
Now?
Speaker 5 (09:04):
It takes years and years and years, because it was
only it's probably three years after that that I ended
up purchasing the first property, and it wasn't a linear journey,
but that's kind of where I think the penny dropped
for me or the wires connected, and I thought, Okay,
I've actually got to go ahead and build up some assets.
Speaker 2 (09:20):
Okay, we'd love to hear from you your stories about it,
because the KII Bank State of Ownership report is out.
It describes how many people, what percentage New Zealanders want
to own their own home.
Speaker 3 (09:31):
There's some strange stats.
Speaker 2 (09:32):
Eighty five percent of people want to sixty seven percent
of non home owners feel locked out of the market.
Has your pathway to ownership if you're looking ahead? Is
that different? What is the pathway? Is it just you
buying a house after you've saved enough money and getting
a job where you can pay the mortgage. But if
you have, if you have become a property owner, what
(09:54):
was your journey?
Speaker 3 (09:54):
Was it different in any way? Was it like d's?
Speaker 2 (09:57):
Was it like mine? I never thought I'd be able
to buy a house. For a while, well I thought
I would, and then my wife actually motivated me to
get cracking with it. But isn't it funny the different
journeys we have on our perceptions about it.
Speaker 3 (10:08):
So give us a call.
Speaker 2 (10:09):
We'd love to hear from you. I eight hundred eighty
ten eighty text nine to nine to two. We're going
to take a break and come back with your cause
in just a Moment's welcome back to the Weekend Collective.
(10:36):
I'm Tim Beverage. This is the one roof ridy a sham.
My guest is mcnighty's resident Economists a opious partners. We
talk about pathways to ownership. What was yours or if
you haven't got a house yet, is what's your pathway
going to look like? Because people still want to buy houses,
but people sometimes are doing it differently. They're buying with
friends and family, buying to rent, all sorts of things.
Give us a call, I w eight hundred eighty ten eighty,
(10:57):
I should before we go to enter our call. I
did hint ed at my pathway to ownership because I
was involved in music and everything.
Speaker 3 (11:04):
You sort of think, and I.
Speaker 2 (11:06):
Don't know what I was thinking, you know what, I
almost can't remember, but I was pessimistic about it. And
then I met my future wife, and I think we
got married, and then we decided my pathway ownership was.
Speaker 3 (11:19):
I was renting.
Speaker 2 (11:20):
We were renting the house we live in now. Because
I tracked down the landlord behind the I tracked down
the landlord behind the back of our letting agent.
Speaker 3 (11:30):
I did a title search.
Speaker 2 (11:31):
And found out who it was, found out where he lived,
and I tracked him down out in Helensville.
Speaker 4 (11:36):
I will tell the story. Actually, did you knock on
his door. I tracked him.
Speaker 2 (11:39):
He owned an old sort of cinema out and out
west and I literally drove out there hoping I could
knock on the door, and he was actually just outside
and introduced him myself to him, and he said, I
just quietly, I just said, Hi, I'm to John, your tenant,
and he said, you know, I had a bit of
(12:00):
a chat and he was an next Rotorua guy too,
my old hometown. And he said, and I said, look,
I won't keep you now. We just come for a
drive and etc. And I said, but I've interested where
we're getting married and have a family and stuff. And
I was thinking, you interested in selling the interested in
selling the unit to us? And he said and he
just went, oh, we should talk. And we met for
(12:20):
a cup of coffee and he said, I went to
the loo and I came back and he'd torn a
receipt in half and he'd written down a number. He said,
you write down a number and I we'll exchange bits
of paper, and his offer and mine we're not far apart.
And I thought, goodness, me this hope. So I made
him an official offer. And the reason this is long
(12:41):
with the story, this is just the last little bit.
So he was going to a Leonard Cohen concert and
I met him outside Spark Arena with a contract for
my lawyer, and my lawyer said, don't let him zip
it up and take it away, because he'll think about.
Speaker 3 (12:53):
It and then you know, you'll get into a battle
of a price and things. Get him to sign it
straight away.
Speaker 2 (12:58):
And so I gave him the offer, and anyway, he
did zip it into sexual before I go a boo,
and I thought, we're not going to do the deal.
And he caught me at halftime. We were at a
party and he was listening to Leonard Cohen. He said, look,
I'm listening to Leonard Cohen, and you know what a
wonderful evening I'm having. And I just realized, you know
what you want to You want to buy the house
(13:20):
and have a family there and everything, and I'd love
to help you do it. You know, give me another
couple of grand and it's yours. And we did the
deal and it was all done. It was all thanks
to the goodwill of Leonard and going to Leonard Cohen
and being a good guy.
Speaker 3 (13:31):
So there we go. Was that an interesting story with
telling that was.
Speaker 5 (13:34):
A really good story. Tim's negotiation techniques. Get them before
they go into a concert, well make sure. Yeah, getting
to listen to some Leonard Cohen Lee Lujah. Interesting sort
of karmic sort of conversation. Anyway, Um, there we go.
Speaker 2 (13:49):
Anyway, eight hundred and eighty ten eighty there, let's have
a look at Oh so yeah, there are what are
the other ways that you've seen young people getting into
the market who maybe have changed the idea that they're
going to even get this twenty percent deposit themselves.
Speaker 7 (14:03):
Yeah.
Speaker 5 (14:03):
So one of the big ones is co ownership, so
as opposed to just buying a house yourself, teaming up
with a mate and then going ahead and doing it. Now,
what's really interesting is that previously it was a little
bit more difficult to get this across the line with
the banks, which is why I think Kiwi Bank has
come out really strongly with this idea of co ownership,
and they've now got their TV show speaking specifically about that.
(14:26):
And I was just saying before I came here, I
think it was Patty Gower speaking to a couple of
people mates who have purchased their home together. Another classic
one is purchasing a property with your parents. So let's
say I want to go and buy my first time
I don't have quite enough to posit. So Mum and
dad say, look, we'll buy it with you and for
us it'll be a bit of an investment and you
(14:48):
can progressively buy us out. Now there is one thing
to mention. If you are going to do that, it's
a little bit easier now that the brightline rules have changed.
But if your folks are buying it as an investment,
if you then buy out their shares within what is
now two years because that's the bright line period, if
your house has gone up value, they may have had
to pay tax on that. That's a little that's a
(15:08):
little thing that people need to watch out for. A
little bit easier now that the bright line is two
years as opposed to ten. But just something to keep it.
Speaker 2 (15:14):
You want to get some legal advice on that. You
wonder whether the smarter way to do it would be
to officially borrow the money from your parents and they take.
Speaker 3 (15:21):
A mortgage on it.
Speaker 2 (15:22):
That's a classically that would be the way, So that'd
take a mortgage. It sounds very serious, doesn't it. It's
like Mum and Dad don't trust you. It they want
to have regisly, they're interested in the property, that's for sure.
Speaker 3 (15:32):
Hey, look, let's take.
Speaker 2 (15:33):
Some calls O eight one hundred and eighty ten eighty
Trev High.
Speaker 8 (15:37):
Yeah, Hi, very very very interesting topic. You got helpening there.
I'll speak up for my son how he got into
the property market. I started a key, we save it
for him. When they first came out, he was at
intermediate and like, he's just coming up. He's twenty eight now,
(16:00):
so he's got a bit of money and he wants
he's wanting a property. And he said, look, only Kesham
the key. We save her from my deposit. And I said, no,
you're not, mate, No you're not. I said, you'll kill it.
You know, you'll never make that money back. And I said, look,
let's sit down with a calculator. You want to draw
down one hundred k. Now, let's work out in the
(16:22):
next thirty six years, how are you going to replace
that one hundred k plus all the compounding interests. It
just wasn't feasible. So I said, here you go, son,
here's your leg up. He's part of your legacy. He's
one hundred k. And got him in the door because
I don't believe what the government is saying. You know,
like us your key, we save it to get in
there because I look at when he comes to attire,
(16:45):
there'll be no GRI you know, you'll be solely reliant
on your savings.
Speaker 2 (16:51):
What's grill guaranteed retire retirement.
Speaker 3 (16:55):
And oh sorry about that?
Speaker 2 (16:56):
Yeah yeah yeah, let's get bring an Ed McKnight here.
Speaker 5 (17:02):
Oh, Trevor, I'm really interested to ask you how much
were you putting into your son's Kiwi saver over those
many years?
Speaker 8 (17:11):
Will he was at school until he high school, till
he took control.
Speaker 5 (17:15):
And was it one thousand dollars a year or one
hundred dollars a week?
Speaker 3 (17:18):
No?
Speaker 8 (17:19):
No, no, no, I was putting anything that you know,
fifty bucks aweak minimum minimum and.
Speaker 4 (17:25):
Over how many years did it add up to that
one hundred k? Also?
Speaker 8 (17:29):
Oh no, no, no, that's what he needed for a deposit. No,
he's no, no, no, he's got more than that in
there now. He didn't leave school. He'd done year thirteen
twice so he could leave with merit and honors. And
he's worked ever since and he's worked his way up
the ladder. You know, he's in HR so he's actually
(17:49):
he's actually at the stage now where he's putting twelve
percent of his income into his Kiwi Saver. So you know,
if you look at it, he's got a hell of
a lot of money in there.
Speaker 2 (17:58):
That's are you saying that the government's message to people
to use the Kiwi Saver for their first time as
as a mistake.
Speaker 8 (18:07):
Or just sorry? I do not agree with that principle whatsoever.
And any of his young friends that speak up and
doing that, I just say, no, no, no, okay on
your family. If you can for assistance, do not break
(18:27):
the cycle of you. You will not get that money back.
Speaker 6 (18:33):
You know.
Speaker 2 (18:33):
That's a really hot take, Trevor, and an interesting take
too because and I can understand why if you could
help your son protect his ki We saver. Good you're
good on you for that. Thanks, yeah, good on you
despite your naughty language there. But it's not something I
haven't said myself probably, but there we go.
Speaker 5 (18:48):
I need to get addited by Trevor. I'd love to
have a parent give me a hundred k to go
buy a house and built up a Kiwi Saver. I
think that's wonderful, is she?
Speaker 2 (18:57):
I'm going to include that in the conversation, is biting
into your kiwisaver a great thing that the government allows
you to do it? Or is it something you should
avoid it all costs. Because I've got a double take
on this, you might agree with me. I think that
giving people the choice is great whether you want to
do it or not. If you can avoid it, that's
(19:17):
great as well. But I don't like so maybe Trevor
would probably agree with that too, because at least freedom
of choice. But if you can don't use the Kiwi saver,
what do you reckon?
Speaker 5 (19:26):
Well, of course you don't have to take out your
Kiwi Saver for your first home. You've got the you've
got the option not to. I think the main thing though,
is that for a lot of people that don't have
the ability to get that financial support from their parents,
you know. And and if I had the option, I
mean I wish I would have been able to take it,
but I had to use my keev'saber personally.
Speaker 3 (19:44):
Okay, So Trevor, he wouldn't.
Speaker 2 (19:47):
He would probably support your He would support you in
that ed mind, you do have some investment property, so
you know there's possibly slightly different scenario there. But good
on you. Right, let's carry on some calls.
Speaker 6 (19:57):
Chris, Hello, Yeah, Hell, how are you good? Thanks? About
a month back, my wife and myself put in a
bit for a property and went and went to the
bank and also used the mortgage broker, and we put
(20:20):
all the information together and it was all declined from
both parties. And I can't, full of life we figure
out why we had a cash deposit of one hundred
and twenty thousand. The property we were looking at was
one hundred and eighty five And over the last three years,
I've averaged around seventy thousand a year and earnings. My
(20:43):
wife is on she's retired, so she's on a pension,
and I've got around about last time I checked one
hundred and thirty five thousand in my Kiwi saber And
for the life of me, I can't figure out why
a Kiwi bank refused this. Any informational idea of what
(21:03):
we will be or.
Speaker 3 (21:06):
Yeah, let's go ed, what do you reckon? Yeah?
Speaker 5 (21:08):
Well, Chris, what I'd first say is that if the
FMA is listing, this is not going to be personalized
financial advice because I don't know your situation. But sometimes
mortgages can be declined for a number of reasons. The
first thing i'd and you don't have to answer me
this on here, but sometimes they can be declined because
of poor credits. I don't know whether there have been
any bad loans in the past where maybe you've got
(21:30):
behind with them. Okay, so it sounds like it.
Speaker 6 (21:32):
Wasn't that got a triple A rating. In fact, my
last score I had was nine hundred and seventy out
of one thousand.
Speaker 5 (21:39):
Oh, you've got a great credit score, Chris, so you
should be really happy with that. What's interesting is that
the loan that you're that you're looking at is pretty small,
about sixty five thousand dollars in total. One thing that
I'd just ask is are you in your late fifties
early sixties.
Speaker 6 (21:53):
I'm on fifty five years.
Speaker 4 (21:55):
You're not that old.
Speaker 5 (21:56):
It's quite interesting sometimes mortgages will be declined if you're
kind of in your early sixties, because then the bank's
going to say, oh, in ten years or five years
or so, maybe you're just going to be on the pension,
and so you might struggle it back if you dropped
down an income. I think your best case in this
scenario is definitely to have ask the mortgage broker. Why
(22:17):
because your income's like pretty decent compared to the loan
that you're taking out. I would have guessed that it
was due to your age, but actually you're not that old,
Like there are lots of people who are fifty five
and get mortgages, and the mortgage you're looking to take
out is quite low. So I just dig in to
get a bit more detail around that one.
Speaker 3 (22:35):
What reasons have you been given?
Speaker 6 (22:38):
Well, the main reason, may said was because it was
be a land, you see, and we were looking at
putting a transferable health on it. And they said, well,
we needed fifty percent deposit, and I said, well I've
got almost three quarters of the deposit, so fifty percent
(23:01):
deposits and really satisfy my query.
Speaker 2 (23:05):
Okay, that's a useful bit of information. I'll just bring
eding on this one. Okay, that that.
Speaker 5 (23:10):
Starts to make a bit more sense. So in terms
of bringing the transportable house on, were you going to
bring take on more debt in order to be able
to get that property as well?
Speaker 6 (23:20):
No, I've got the cottage all good to go.
Speaker 2 (23:24):
Okay, So if you've.
Speaker 6 (23:29):
Couldn't I couldn't make even the mortgage broker also came
back and said, look, you're better off to sell all
your assets instead of going for a mortgage, because we've
also got a big American motor home. Okay, but yeah,
I just YEAHS don't know, I don't know what to do.
Speaker 2 (23:52):
Yeah, maybe, I mean, I don't know if you can
even talk to with another mortgage broker and see if
someone else is another way of doing it.
Speaker 3 (23:57):
But thanks for you, Core, Chris.
Speaker 2 (23:59):
I suspect edits because it's not as tangible in that
sets as a lend would like. It's likely something he's
going to develop in a way as opposed to the
house on the land it's all done.
Speaker 5 (24:10):
I suspect in that case that it's probably due to
something else. If you've got a lot of debt on
another property, that might be where they say, look, if
you were just buying this piece of land and taking
out a sixty five k mortgage, that'd probably be okay.
But if you've got some other debt on other properties
that could hold you back a little bit. The best
thing to do is to is to really dig in
(24:30):
with the mortgage advisor to understand what is the reason.
There are usually three things that will hold you back
from getting a mortgage. We'll call it kind of for
one is not having enough deposit, one's not having enough
income to be able to afford the mortgage. Now we've
got debt to income ratios, which is just how much
income do you have versus your debt, and then also
your credit score, which they kind of call character. It's
(24:51):
usually one of those four reasons.
Speaker 2 (24:52):
Okay, we're talking about your pathway to ownership. The Kiwibank
State of Ownership reporters out and it reflects on the
number of people who want drain their own home or
believe in then lockdown of the market. What was your
pathway to ownership or if you haven't bought yet, what
will your pathway be? Have you looking at buying with
parents or getting them in the bank of mum and dad.
Here's a text here just before we got to Chris,
who's holding says, my parents made me get a job
(25:14):
at fourteen, maybe put about fifty percent in a savings
account every week, and made me pay for this A
lot of made me here, encouraged me, shall I say anyway,
made me pay around one hundred and fifty bucks in
rent a week when I said I wanted to buy
a house and complain to them how much I was
paying them. They presented me with my rent and savings. Oh,
this is awesome, and allowed me to access shares I
(25:35):
had purchased while learning the market. After buying the house
with my partner at twenty one and twenty three years old,
bought the worst house in a great area, rented out
parking spaces and our driveway to people who needed a
short term storage place for a car or boat way.
More to all of that, but a good way to
help your kids out without actually spending of the money.
Speaker 3 (25:53):
That's quite an awesome story, isn't it.
Speaker 4 (25:55):
Ed, that's such a great story.
Speaker 3 (25:57):
Isn't that great?
Speaker 2 (25:57):
So they made her pay rent and then gave it
all back including great, that's awesome.
Speaker 5 (26:03):
And the best thing about that story as well is
that she didn't get given the money by the parents.
I know they gave it back to her, but she'd
actually earned that, so there would have been a bitter
sense of ownership over that deposit.
Speaker 4 (26:14):
I think that's greatly something.
Speaker 2 (26:15):
They're fantastic. All right, let's go to another call. Chris Sullo, Mateo.
Speaker 7 (26:24):
My first house was a bit of a weird story.
It was based on a bet in a pub with
my cousin who I can actually talk about now about it, because.
Speaker 2 (26:34):
I thought you were going to say I wanted off
a bloke and a pub, But carry on.
Speaker 7 (26:39):
What it was he was sort of like a mini
at the time, was sort of like a mini version
of a property developer. And he was talking about houses
and he said he'd sold us last time for two
hundred grand. And I said, I'll bet you can't sell
me a house for two hundred grand. This is while
(27:02):
we were both drinking and playing pool. He said, I
bet I can, and I said, okay, if you do,
I'll buy it, and he basically did it. He had
to up it by ten grand because it was costing
too much. It was one of those moved hows.
Speaker 3 (27:23):
Was weird.
Speaker 7 (27:25):
What they last spoke was talking about when you buy
the house and move it to the place.
Speaker 5 (27:30):
And Chris, can I ask you as well? So you
said that it probably costs about two hundred and ten k.
What do you think the property was worth at the.
Speaker 9 (27:37):
Time, the land or the well, the whole deal once
it started paid, What did you think it was worth?
Speaker 7 (27:50):
It probably would have been that. But the funny thing
is that the last VSE that came out said it's
worth a mellion.
Speaker 5 (27:56):
Knows amazing And what year did you buy it? And
we're in the country, is it.
Speaker 7 (28:01):
Tim Wellington in the next to Johnson Born place called
Ulm and it's it's a what was the other question?
Speaker 4 (28:14):
Just what was the year that you purchased it?
Speaker 3 (28:17):
Oh?
Speaker 7 (28:17):
Sorry, man, we've been living here about twenty years. Yeah,
it's a little just a little ex that.
Speaker 3 (28:24):
Was in a way crossed.
Speaker 2 (28:26):
You might have done it as a bet, but it's
almost like you entered into some sort of commitment which
helped you make the decision to do it in a way.
Speaker 3 (28:31):
That's what that story says to me. What do you think?
Speaker 5 (28:33):
Yeah, often we see that friends bully you into buying
your first home. In fact, the first property I ever purchased,
I was sitting in a restaurant and my friend said
to me, how much have you got in your kiwisaver? Right,
we're going to look at houses tomorrow.
Speaker 3 (28:47):
That's I remember you're telling me that.
Speaker 2 (28:49):
But you do need I mean, I think that for
a lot of people to have those stories where there's
something external to your own willpower which gives you that
nudge For me, it was having, you know, getting married
into someone we wanted to have kids, and thinking, well,
we just can't keep renting, so we're going to have
to do something concrete. I mean my story, I had
actually had some success with some concert science producing, so
(29:09):
I suddenly thought, wow, I've got some money here. We
better pounce before it's too late. But if I'd been
on my own, I might have just fretted it away.
Speaker 10 (29:17):
Well.
Speaker 5 (29:17):
The other thing is, buying your first home is such
a large financial decision because it costs you so much money,
and if you don't get that little push in the
right direction, you might never actually decide to go and
do it on your own. You kind of need a
little bit of a shove, whether it's from a parent
or a mortgage broker or something else.
Speaker 2 (29:34):
It's interesting the role in that text that I read
about the role that the parents had to play, not
in just having a discussion about you should do this,
but when the text have finally made a decision to
buy their house, the parents returned all the rents she'd
been paying. I think that's pretty awesome. I might actually
log that away for future reference myself.
Speaker 3 (29:52):
We want to know about your.
Speaker 2 (29:53):
Pathway to ownership? How did you do it or how
are you planning to do it? Eight hundred and eighty
ten eighty. This is the one roof radio show. My
guest is Ed McKnight. He's a resident economist at Open
his partner and about to be a first home owner.
He's got a couple of houses, but home owner. We've
talked to you a bit more about that. After the break.
(30:13):
It is twenty minutes for a five.
Speaker 3 (30:29):
Welcome back. This is one refradio show.
Speaker 2 (30:31):
Want your calls eight hundred eighty ten and eighty text
nine two nine two. My guess is Ed mcnightty's resident
economist at OPS Partners, talking about your path to ownership?
Speaker 3 (30:38):
What was it or what is it going to be?
Paul Gooday and.
Speaker 10 (30:42):
They going, you're so deared about this. Before the way
I got into my first property in the Muldoon area,
they they gave us forty cents in every dollar, you know,
to towards your first home. And I bought my first
home when I you know, when I was twenty five
for fifty three thousand, and I paid that off in
(31:05):
seven years and eleven living months at the time. And
then shortly after we were about four months four years later,
I got friended with friends of mine and he said
to me, why don't we buy regial property? And those
days they were really cheap though, and about about one
hundred and fifty about one hundred to one hundred and
(31:26):
fifty thousand, you know, we did dure up and everything
like that. You know, we just bought places, do them up,
then sell them. And in between I bought a block
of flats which I have told you about, and you know,
and I've got a place in Tapa and then and
(31:47):
they're all freeholding now and we're pigging you now. And
and I'm like I said, you know, I'm taking really good,
really good, good good money money now on sit up
and set up for life? Now?
Speaker 5 (32:01):
Can I ask you? So you bought your first house
for fifty three thousand dollars. I imagine this was like
late seventies, early eighties.
Speaker 10 (32:08):
Doesn't year the more that was forty six years ago?
Speaker 5 (32:11):
Does it absolutely astound you what those properties would be
worth today? Like you you must look at them and
think everage house price and you see on seven hundred
and sixty five odd thousand dollars huge compared to what
you were paying.
Speaker 10 (32:25):
Yeah, that properly for eight years, never went up in
value about seven or eight years and hardly went up
in value. And shortly after, you know, and like I said,
about ten years later when I bought my my next house,
you know, I sold that place and then I bought
my next place for you know, in about far Bit area,
and you know, it's gone up heaps. Like I said,
(32:47):
you know, I'm taking in it for five weeks. I'm
taking ten thousand dollars every five weeks.
Speaker 7 (32:53):
Wow. Just enough.
Speaker 3 (32:55):
You're just shown off now, Paul. But hey, thanks for
your coll mate. Really appreciate it. Leoni.
Speaker 6 (32:58):
Hello, Hello, how are you good?
Speaker 3 (33:01):
Thanks? Where you go? Yeah, where you go.
Speaker 11 (33:06):
We were lucky enough way back in the day when
Big used to be Big Wednesday. We won money off
that and that was the deposit for our first home
through like a mortgage broke up. How much did you win, Leone,
I think it was around about thirteen thousand.
Speaker 2 (33:24):
Okay, because when you say Big Wednesday, I think you're
talking about five No.
Speaker 11 (33:28):
No, no, it was before it was before that. I
wish and so, but that home we had as a
rental because we had a house with my husband's job,
and so we rented it out for I don't know,
must be fifteen seventeen years, but that's three years ago.
We had to move into that house. That was always
(33:49):
a plan. It was going to be our retirement home.
Because my husband health he had to give up his
job and so we're down to one income and so
we you know, you go to the bank, you get
a mortgage redone. But this year we have actually sold
that house for a nice sum and we've moved to
(34:11):
a little town in central North Island to be closer
with our family, and we've bought a house and I
can actually say be a better house than what we
had for a lot less. So we're mortgage free, get free,
living the good life.
Speaker 5 (34:26):
And it's quite interestingly only that you're talking about selling
that house that you first bought and then moving to
a smaller town where property price is a bit cheap,
because one of the other topics we might have time
to jump into is the downsizing. And one of the
big things that one of the things that people sometimes
struggle with with downsizing is moving from a town that
they really love and have been in for ages and
(34:48):
then going to somewhere that's a bit smaller that they
don't really know all love. So how did you guys
manage that?
Speaker 11 (34:54):
Our daughter worked in this town and we used to
come over for visits and holidays, and every time we
came here, you know, I just like this place. My
husband being from the other town all his life, we
just thought, no, let's move. And we haven't actually downsize,
so we've still got a nice home, nice been home
(35:15):
or three bedroom. It didn't need anything doing to it.
So we just sort of moved in and easier pace
of life. Everything we need is in this place or
not very far from it, and wished to have done
it long ago.
Speaker 2 (35:32):
Yeah, good on you. Thanks for your Callingonie. Actually, yeah
we are. We were actually depending on how they are gone.
We've got that logged for another conversation another time with you.
The old die downsizing for retirement, Ed, but we'll be
back and just that was just something that Ed mentioned
just in passing. But we will actually have a look
at that at some stage in the One Roof Radio Show.
But right now it is twelve minutes to five of
(35:55):
the One Roof. Property of the Week is next. Yes,
welcome back to the One Roof Radio Show on this
the week and collect my guest is Ed mcnight Onton
Beverage by the way, and it is right now. It's
coming up to eight minutes to five.
Speaker 1 (36:09):
The one roof property of the week on the Weekend Collective.
Speaker 3 (36:13):
Now we chose that, I'll be honest with you. We
chose that, Chris.
Speaker 2 (36:16):
I think my producer Tira is coverting this property. It's
located upon a high ridge line in one of the
most prestigious suburbs of the Eastern Bays.
Speaker 3 (36:25):
It's a renovated.
Speaker 2 (36:26):
Nineteen sixties gem, complete with unobstructive panoramic ocean views and
a swimming pool. And it's the family home that you've
been looking for. It's on eight hundred and twelve square
meters spacious layout for family living, featuring four bedrooms and
an on sweetened family bathroom, two living spaces and a
tandem internal garage. It's a new expression. Does it just
(36:47):
mean two cars? I guess tandem internal, open planned kitchen,
sun drenched deck, patio, landscape, gardens, fully fenced pool. It's
an oasis for relaxation and fun in the sun.
Speaker 3 (37:00):
Because it is.
Speaker 2 (37:00):
It's West Tammocky Road in Glen Dowie's it's kind of
up there.
Speaker 3 (37:05):
Ed mcknightmad have a comment on this.
Speaker 2 (37:06):
The address if you can look it up on the
one roof site two seven seven West Tammicky Road West.
Should I say terrible New Zealand accent there? Tim West
Tammocky Road, Glenn Dowie. Asking price only three million ouch.
Speaker 5 (37:21):
Three mills A lot of money. Ah, but do you
know what's interesting up here in Auckland? Did you know
a roughly eight percent of house itself for two million
dollars or more? I'm like, who are all these people
buy multi million dollar properties? And it's interesting once you
get up to that three million dollar mark you do
kind of look at it sometimes and think, are you
getting a lot for your money?
Speaker 3 (37:42):
Are you?
Speaker 4 (37:43):
Am I allowed to say that.
Speaker 2 (37:44):
You can actually because there are to sell it, I mean,
and you can add, yeah, this is not a sponsored.
Speaker 3 (37:50):
Property or anything.
Speaker 2 (37:50):
It's just a property we've picked out. Do you reckon
that's quite expensive?
Speaker 5 (37:53):
I think three million dollars is an outrageous amount of
money for a house. I mean, I understand that there
are houses genuinely worth three mil. I wonder whether they've
taken the Brisco strategy mark up to mark also increase
the price. Oh, mate, this is a great deal. I'll
sell it to you for two and a half mil.
That's five hundred k off asking. God, you're doing well
negotiating off me.
Speaker 2 (38:14):
I got to say that the patio and the pool
look do look very nice. And the yeah, that's an
interesting one. Yeah, you can go and have a look
at that if you like, because it is a lot
of money. So maybe the property.
Speaker 3 (38:26):
Of the week.
Speaker 2 (38:27):
We're giving a hard time this week, ed, So.
Speaker 4 (38:29):
Anyway, lovely house. I just wouldn't buy it for that price.
Speaker 3 (38:33):
There we go.
Speaker 2 (38:34):
There's room to haggle it if you are Ed McKnight.
So that's not the property you're looking at for your
first family home.
Speaker 5 (38:41):
Probably wouldn't be, wouldn't be this specific one. But one
thing I will say about asking prices is I was
recently looking at a house. And sometimes you look at
at more expensive houses just so you can dream. But
there's a house out in Points Chevalier and it's got
an asking price of three mil. And I went through
the property. I know for a fact that that accepts,
you know, two point six four hundred k lower than
(39:02):
what they're specifically asking.
Speaker 3 (39:04):
Actually I've got it.
Speaker 2 (39:06):
I think my producer may have also picked that house
because while she would like to own it, she did
think it was asking a little bit much for three million.
And it's isn't it funny because it's a lovely house,
but three mil. I don't know what I'd want for
three mel. But I'd probably be looking at a sun
drenched apartment with right on the waterfront.
Speaker 3 (39:23):
I wonder if you get something like that for three mil,
what do you reckon?
Speaker 5 (39:26):
I reckon you'd be able to get a really nice
apartment for less than three mil, especially if it's if
it's not a like absolutely brand new. Sometimes the brand
new apartments go for quite a lot of money. You
could get a lot of house for three mel. I
probably wouldn't spend it on that.
Speaker 2 (39:43):
I feel so conflicted because normally when we do a
one roof a property of the week, we do it
because it's something amazing, and if it's going to be
like we have some amazing properties which I'll never afford
to buy, but they're just lovely to you know how.
We love to go and have a look at an
open home sometimes because it just looks so let's just
go have a nosey.
Speaker 3 (39:59):
It's so gorgeous.
Speaker 5 (40:00):
Yeah, do you even go on one roof and then
you filter the listings by high as pride, so you
look at wherever you live, whether it's halli Is or Odarky.
Either you're like highest price, You're like, I'm not going
to be able to afford any of these, but I
just want to dream. I want to lock and see
what's out there.
Speaker 2 (40:14):
Actually, also these there's a there is actually a good
practical reason to do that as well, because some of
these houses have been all of them, the top ones
have had brilliant architects and designers. And if you're looking
for good ideas for renovation, if you can manage to
get your way in to have a look at an
open home, mind you, the more expensive there it's usually
by appointment, which is a way of sorting the Refrah.
Speaker 4 (40:37):
We're definitely in there.
Speaker 2 (40:40):
Hey, thanks and if people want to check out where
they can go. What's the the The website for Opia's.
Speaker 4 (40:46):
Partners OS Partners dot coded nz excellent.
Speaker 3 (40:49):
Great to Eve in the studio as ever, we'll look
forward to next time.
Speaker 2 (40:52):
John Cown is the next, talking about exam anxiety and
how much you can help your kids deal with the
pressure of well.
Speaker 3 (41:00):
The end of yew tests news talks. He'd be.
Speaker 1 (41:10):
For more from the weekend collective. Listen live to news
Talk ZEDB weekends from three pm, or follow the podcast
on iHeartRadio
Popular Podcasts
40s and Free Agents: NFL Draft Season
Daniel Jeremiah of Move the Sticks and Gregg Rosenthal of NFL Daily join forces to break down every team's needs this offseason.
Dateline NBC
Current and classic episodes, featuring compelling true-crime mysteries, powerful documentaries and in-depth investigations. Follow now to get the latest episodes of Dateline NBC completely free, or subscribe to Dateline Premium for ad-free listening and exclusive bonus content: DatelinePremium.com
Las Culturistas with Matt Rogers and Bowen Yang
Ding dong! Join your culture consultants, Matt Rogers and Bowen Yang, on an unforgettable journey into the beating heart of CULTURE. Alongside sizzling special guests, they GET INTO the hottest pop-culture moments of the day and the formative cultural experiences that turned them into Culturistas. Produced by the Big Money Players Network and iHeartRadio.