Oh no…poor me…I can’t find a first home in NZ’s most expensive suburb

The Herald on Sunday is running a story about a poor, hard done by first home buyer looking in Herne Bay but can’t find home.

When looking for a first home, it’s hard enough having to contend with all the other young families wanting their first step on the property ladder.

But it’s all that much tougher bidding over a property an investor has bought, done up and wants to flick on for a profit.

That’s the experience of Georgia Wilkinson and Dylan Ewing, a young couple looking for their first home in Auckland.

They’ve been searching unsuccessfully for a house for six months and they are certainly not the only ones wanting something done to cool the heated home ownership scene. 

NZ’s most expensive suurb and a first home buyer is looking, oh FFS!

Then the HoS does a promo for the Labour party and their housing lottery policy.

I can’t hardly wait for the Herald on Sunday to do an article on a 25 yr old being a bit short for a Ferrari or a Riviera they can’t afford.

This is just another unpaid ad for the left wing.

 


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  • Rodger T

    Perhaps they have set their sights too low,there are some bargains to be had on Paratai Drive ,so I have heard.

  • Patrick

    Disgraceful bit of “product placement” for the Labour Party. Wonder how much the journo got for doing that.

  • Jax

    When I saw that article online and it mentioned Herne bay, I honestly thought I must be reading the Onion or some other troll/satire site. Saying that Dylan is a member of Team New Zealand so is plenty use to largess from the taxpayer. http://emirates-team-new-zealand.americascup.com/team/dylan-ewing

  • the woman in the article seems to think a CGT will help her. how?

    in this mythical scenario of Shearers, the investor buys for 500K, and sells a year later for 550K for 50K profit.

    how would a capital gains tax change that, other than having the investor holding out for more money?

    hell, what has the investor spent to make that 50K? a years interest @5.2% (current discounted floating for a loan that size, and you know its 100% geared), is $26000, plus rates and mandatory house insurance (probably another 4K). so if he is not renting it out he is making about 20K before tax and agents fees, assuming he has done no work on the property to make that 50K ‘profit’. frankly it looks like he is making a loss.

    if he is renting it out, and its cash positive, why would he sell it?

    the only scenario where this works is that an investor buys a property for 500K, rents it out for at least $600 a week (so its cash neutral ) and then a year later, with steady tenants, decides to sell it and risk the IRD coming knocking for their share.

    i dont know many investors buying at 500k to just make 50K in one year.

    basically this is a nonsense article. it has the false premise that a CGT would lower prices, it has the false premise that only ‘investors’ can find do ups, it has the false premise that what these people think a property is worth is what its actually worth (at auction no less, so no greater way to see what people think a property is worth), it has the false premise that first home buyers have to buy in the richest suburbs, and the false premise that an ‘investor’ (really a speculator), buys a property and does nothing to make 50K, which their example possibly has the person making a loss on.

    and dont forget the whine that they cannot find a do up, which means they are wanting to find a property below value, do you think they will pay tax on any capital gains they make?

    • Patrick

      Australia has stamp duty payable when you purchase a property, WA has one of the highest rates, WA also has one of the most rampant property markets. Can someone explain to me how CGT will work in NZ as it clearly doesn’t in Aus.

      I thought if you bought & sold properties in NZ in less than 7 years & made a profit the NZ tax authorities would view you as a property developer & tax you accordingly – unless the property was your primary residence. Therefore NZ already has the mechanisms in place to tax property developers/speculators.
      This is just more Labour politics – playing to their gallery, they are intent on setting the haves against the have nots in the pursuit of power. This is a very destructive path to go down but clearly Labour do not care as long as they get their seats in the Beehive.

    • cows4me

      Thanks Alan, maths is the universal language, whatever you political leaning.

  • Elizabeth Bourchier

    And the Labour Strategists think using tax-payer’s money to leverage middle class voters onto an over priced market is a good idea?
    They should use Housing NZ and the Local Govt act to address the supply problem.

  • Alex

    For another aspiring middle class sob story of a young woman with a BA who can’t buy a house in Mt Victoria:

    http://www.stuff.co.nz/national/6154605/First-home-buyers-priced-out-of-market

    A truly oppressed proletariat who Labour must save.

    They should go talk to some real estate agents about their experiences with these desperate first time home buyers. As mine told me, “some think it’s their divine right to have a totally done up house in a good area”.

    Nothing beats Ella Fitzgerald on a lazy Sunday afternoon!

    • JeffDaRef

      So this article starts by saying there’s a problem, by mid-article it solves the problem by suggesting she’d be better off looking at more realistic first-home suburbs, then by the end of the article establishes that there are affordable options out there – so the point of the story is what exactly???
      There is no housing crisis – the only crisis is dumbarses who cant figure out why they cant buy their first home in the country’s most expensive suburbs.

  • thor42

    “Oh no…. poor me……

    I have a face like a possum run over by a Landcruiser and I can’t get a girlfriend…..”

    Is that a good-enough sob-story for the Herald?

  • LesleyNZ

    The HoS photo shows oldest members of the ” indulged generation”. If they want it – they think they should have it. We older ones started off at the bottom rung – these two need to get a grip on reality. My generation have brought up a lot of spoilt “I want it now” kids. What a mistake. Trouble is the parents of the present “indulged generation” are even worse. Georgia Wilkinson and Dylan Ewing should just settle for a 2 bedroom brick and tile do-up unit, within their budget. Later on they can sell it and move to Herne Bay. The biggest lesson of all in this story is STOP wasting money on things you don’t need (or want). Save your money while you are young. Those who have saved will be so thankful later on down the track.

  • J.M

    The Auckland property market is what it is, and it’s the main reason I didn’t go there when I came back to NZ. Happy where I am, and got a perfectly nice house in a decent area for less than $300k. Supply and demand is the issue in Auckland, and I don’t see that changing any time soon.

  • blazer

    sloppy journalism I expect.Probably live in Herne Bay.It says they were outbid on a property in Glen Eden!Big diff.

    • nzspambot

      Maybe learn to read? “Georgia Wilkinson and Dylan Ewing have frequently been outbid by investors as they try to buy a house in Auckland’s Herne Bay”

      • Steve R

        “We’d gone in with a figure in mind that we thought it was worth and the bidding pretty quickly went past that,” Wilkinson recalls of the Glen Eden home.

        • nzspambot

          Again I directly quoted the NZH story

          • Steve R

            That’s a copy and paste from the herald site article

          • LesleyNZ

            Ok ok – Check out the photo and the houses – does it look like Glen Eden or Herne Bay?

        • Pissedoffyouth

          “We’d gone in with a figure in mind that we thought it was worth and the
          bidding pretty quickly went past that,” Wilkinson recalls of the Glen
          Eden home.

          Clearly what they thought it was worth and what it was actually worth weren’t the same.

      • blazer

        you need the reading lesson sport.

        • nzspambot

          I directly quoted the NZH story; tell me again how I should read? ” = quoted

  • Hazards001

    As I posted to Ben earlier in the Sunday Debate when he mentioned this “FFS they want to buy their 1st home in Herne Bay? The most expensive and sought after properties in NZ. They need a kick in the arse and a head pulling in lesson. Fuck off over to Te atatu and get started like everyone else. Whinney lil yuppie pissants”

    • JeffDaRef

      Hey – I live in Te atatu – its “the Herne Bay of the West” – and best thing is, David Cunliffe DOESN’T live here….

      • Hazards001

        No offense intended to the mighty West and I must commend you on your very good taste and excellent points! :-) hehehe

  • Steve R

    The real news on the herald website today is that Subways foot long sub is only ELEVEN inches long.

    As for complaining that investors and developers are scooping up all the houses at auction there’s a easy solution. “Out bid them ! “. They are bargin hunters and won’t pay full price. They buy low renovate and flick.
    Or buy out west like I did then move up .better still copy them

  • Guest

    Not sure about the ‘investor’, they have always been around. In 18 months of trudging around open homes in west auckland with daughter, I couldn’t believe how many surly chinese we were jostling with. Since Glen Eden is not their burb of choice you have to wonder about the impact of the non-resident landlord looking for a ‘safe’ investment. I believe this is a significant factor driving prices on the shore as well

  • Moaning Greasy Flyblow

    In 18 months of trudging around open homes in west auckland with daughter, I couldn’t believe how many surly chinese we were jostling with. Since Glen Eden is not their burb of choice you have to wonder about the impact of the non-resident landlord looking for a ‘safe’ investment. I believe this is a significant factor driving prices on the shore as well

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