Is this the optimum time to be buying Property investment?

Posted on Sunday, January 9 2011

Hi Team,

I hope you all had a great Holiday and New Year, and have enjoyed having some time off.

If you are like me and like the team at We Buy Property who buy houses in every market, real property investment enthusiasts you would be setting your goals and strategies for 2011.
For me 2011 is a year to look forward to and not only due to the Rugby world cup, but a year of great property opportunities.
I’m personally planning to further expand my property portfolio and take advantage of the current time.

As you know buying the right Investment property require alot of hard work with chasing the Deals and researching the markets one is targeting. As a property trader I spend around 10 hours a day hunting for the right property investment deal which you see popping up in your mailbox every week or so. now with our new website propertygenie.co.nz you too could stay on top of the game with FREE immediate access to the Deal Room™, Property Investment tools and regular market updates and wealth of knowledge articles from our property experts.
So if you haven’t registered on the site so far, please CLICK HERE and do so.

Now Back to the Current Property market climate:
As you see the title of this article Is this the optimum time to be buying Property investment?, The true answer is nobody really has a crystal ball. BUT what I can share with you is my personal views about what i see is happening in the current market.

The market was pretty flat in 2010, although good property investment stock was snapped up by the astute and active Investors who are pre approved or cashed-up and can identify these facts:

* We have less competition in today’s market as most Mum and Dad investors are sitting on the fence waiting for the 20%+ further property prices decrease that will never happen.

* Interest rates are STILL at historically low levels and it is only a matter of time until they start going up again, some economists are predicting later in 2011, I second this, and cannot see it happening earlier like in the first or second quarter.

* Some Lenders are starting to ease their lending criterias and 90% loans are available for those who can show reasonable serviceability.

* There is an increasing supply of properties on the market and they are taking longer to sell, this gives us better negotiation power.

* Some investors who mortgaged themselves to the hilt would off-load their properties this year as from 1 April 2011 they could not offset their losses using the credit provided by claiming Building depreciation.

* I can see Strong demand from local and international investors in the

Commercial property market, this is due to high net returns, especially in the Industrial sector.

* I have been involved in a number of transactions where my clients have purchased Commercial properties yielding 8.5% – 11%Net yield.

* Some retail shops in AKL CBD have been selling at ridiculous higher price levels with sub 5% yield.

* I believe the Rugby world cup (and the new film the Hobbit ) will have a positive effect on the NZ economy, Immigration, tourism and the property market. while New Zealand is viewed by millions of people around the globe this year, I think 12 month from then the effect would be felt as it takes time for those who plan to Immigrate, Invest, or visit to actually do so.

* Inflation has an upward pressure that will influence prices and rents.

* We have had 28 New Sign ups / Subscribers in 4 Days! this indicates that property investment sentiment is strengthening.

Although at the moment, I cannot see the NZ property market returning to full double digit growth / full boom phase anytime in the next 2 years,
I do think that it is a great time to be buying Real Estate which meets your buying criteria and represents good value in today’s market.

So Is this the optimum time to be buying Property investment? For me it is, And that’s exactly what I’m going to do in 2011Get in there before the crowds do!!, and you could too by using our new platform.

Our new propertygenie.co.nz website is achieving great numbers of new subscribers and visitors who are active property investors nationally and internationally. It is encouraging to see how many International investors have an interest in the New Zealand Property investment market. for your interest, the majority of our Clients are based in NZ and Australia but we also have large number of investors who are based in Asia, UK, USA and the Middle East. We also have a reasonable number of wise Kiwi investors who are currently building Buy & Hold property portfolio whilst working overseas.

I wish you all a great year and successful investing in 2011.
Hadar Orkibi

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Expert's Bio

Hadar Orkibi

Hadar is a full time Property Investor and Trader, Specialising in Do-ups & Add value, Multiple income properties, High Yielding, Commercial, Equity and "Move Forward" Properties. Hadar is co-owner and Sales & Marketing Mangers at www.PropertyGenie.co.nz. Owner of the Private House Buyers companies www.WeBuyProperty.co.nz & www.PropertyBuyersAuckland.co.nz/ Find Hadar on Google+

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