December 6, 2024 • 41 mins
New research from KiwiBank found that 1 in 3 first home buyers in New Zealand got a boost from the Bank of Mum and Dad.
With the cost of living and interest rates in the current day, it may seem impossible for most parents to be able to do this the old-fashioned way - cold hard cash.
But there is a way around it.
Property investor Nichole Lewis joins with more.
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Speaker 1 (00:05):
You're listening to the Weekend Collective podcast from News Talk SEDB.
Speaker 2 (00:12):
Dreaming Ovel Chris just like hearing me as well. Welcome
back to the show. I'm Tim Beveridge and this is
the Weekend Collective on the seventh of December, coming up
right now, the one roof radio show. And actually we
(00:33):
are with my guest Nicole Lewis is on her way,
but she has been a little bit held up in traffic.
But what we're going to talk about is the new
research from Kiwibank that's found that one in three first
home buyers in New Zealand has got a boost from
the Bank of Mum and Dad. So we'll be taking
your calls on eight hundred and eighty ten eighty text
nine nine two.
Speaker 3 (00:52):
Oh.
Speaker 2 (00:52):
By the way, if you missed the panel, a nice panel.
We had a fun panel with Irene Gardner and Simon Wilson.
If you miss any of the hours, you can go
to wherever you podcasts and basically just look for the
Weekend Collective and dial it up and there we'll be.
But yes, back to the Bank of Mum and Dad.
So I mean, I guess am I surprised that it's
one in three first time buyers. You might have heard
(01:13):
Simon Wilson said that when it comes to gen X,
it's something like sixty percent of first home buyers got
a boost from the Bank of Mum and Dad. Actually,
I'm just trying to think, oh no, we didn't get
a boost in the Bank of Mum and Dad when
we bought ours. Although when you when your parents pass away,
it does help you pay off some people will be
paying off a chunk of their mortgage, which is what
(01:34):
we did with ours as well. But with the cost
of living and rising interest rates, there'd be a lot
of parents who are thinking, you know, how on earth
are we going to help our kids? I would be
one of them, to be honest, I'd be thinking how
on earth can I ever? That is something that's actually
on my mind as a parent, is being in a
position to help my kids into a house, because you know,
(01:55):
the pressures of just paying off your own mortgage and
the cost of the cost of retiring and all that
sort of thing. So we want to actually want to
We want to have your calls as well one hundred
ten eighty on how are you planning to help at
your kids? Or did you get help into your first house.
What was it that actually helped you become a first
home buyer because with the amount of well the cost
(02:18):
of houses. Although I will I've had plenty of guests
over the years who say, look, it's always been tough
to get into property for whatever. Maybe the capital prices
as a percentage of income were lower, and I think
think that is actually quite a significant thing. But there
also have been times, as you will hear when we
talk about these things, truckloads of well, there have been
(02:40):
people paying to truckloads. When it comes to the interest rates,
the good old ah, they were fleeting, I think, but
remember the days of eighteen percent mortgage rates. Anyway, we're
gonna have a chat about that. And to join me
is in the studio. He's my way through the traffic
is Nicole Lewis. Hello, how are you?
Speaker 4 (02:55):
Hello? And no, very good. It's like peak traffic on Saturday.
Speaker 2 (02:59):
What what was going on? Oh it was Christmas, let's.
Speaker 4 (03:01):
Call it Christmas shopping. Well, I don't know.
Speaker 2 (03:04):
You just haven't walked in here from next door, have you?
I mean, actually, how did you get into your first home?
Speaker 4 (03:09):
I sold my car to buy a house. There you go,
what sort of car? Was, well, it was. It was
a nice car, that was true. Mer No, no, no, no,
it's actually what was it?
Speaker 5 (03:22):
It was?
Speaker 4 (03:22):
It was a Toyoda. It was an m R two,
which was pretty cool back then. It was about forty
five thousand, I think, which was wow, enough enough to
get a house. And then we bought this little bomb
for two grand that was so rusty you could put
your finger through it.
Speaker 2 (03:37):
How how long ago was I mean, we don't like it.
Speaker 4 (03:40):
It was No, that was a long time ago.
Speaker 2 (03:42):
That's a car, then, isn't it.
Speaker 4 (03:44):
That would have been thirty years ago, so you must
have been you could borrow ninety percent?
Speaker 2 (03:51):
Wow, Actually that is That is a major thing as
well for your first home buyers. In fact, do you
think what what is the biggest barrier to first time
buyers buying a house? Is it the cost of the
house or is it the amount that they have put up?
Because not everyone can get a you know, mortgage of
ninety percent these days, can they? No?
Speaker 4 (04:10):
Look, ninety percent mortgages a few and far between. Most
of the time they've got to put up twenty percent,
which is a lot. And house prices are a lot
more expensive than when I bought mine. Thirty years ago
as well. So you know, if you're paying seven hundred
thousand dollars for a house in Auckland and you've got
to put on twenty percent one hundred and forty thousand,
there's a lot of savings.
Speaker 2 (04:31):
I'll switch my microphone on now. I switched it off
for sking to cleanuth. Right. Actually, so I'm just I'm
hung up on that. How much you got for your
car second hands, that's that's a good deal. But did
you get into property quite early when you Because we
know your journey is that you had your ups and
then you had incredible downs and now you're back into it.
Speaker 4 (04:51):
So I did. I got into property when I was young.
Definitely got my first property when I was in my
early twenties, but then had to start all over again
really in my mid thirties. So I've done it to
first time twice, and yeah, I think I think saving
that deposit is definitely tricky.
Speaker 2 (05:10):
How did you do the second time? How did that ride?
Speaker 4 (05:12):
Well? Interesting?
Speaker 2 (05:14):
I see what we knew. We sold horse poo.
Speaker 4 (05:16):
We know that, yes, and then I used property to
make money to buy property. In fact, it prompted me.
I've just finished my second book called No Money Deals.
It's at the printers now release.
Speaker 2 (05:28):
The last one's property property Quadrants.
Speaker 4 (05:30):
So this one's all about quadrant three, how to do
property with no money, and it's going to get released
in New Zealand in March. It's crime again and that's
what inspired it. It was like, how do these people
that the percentage that don't have the bank of mom
and dad? How do they get into property? And I
did it with no money, That's how I did it.
So that's it's a used property to make money because
(05:53):
you can make one hundred thousand dollars from property quicker
than you can save it from your wages.
Speaker 2 (05:58):
That sounds like chicken in the egg. In fact, we'll
dig into that in just a moment. We've got some
calls to get into first. So Ellie, hello, oh.
Speaker 6 (06:07):
There, I'm driving on the motorway. I'm heading to Hamilton.
But you're talking about the bank of mom and Dad.
I know that's been highlighted a lot this week, and
it is. It's a real thing, and I've done it.
Speaker 2 (06:22):
What which was as as the mum and dad or
as the as the child of mum and dad?
Speaker 6 (06:28):
Well the child, well we are the parents and help
our daughter. Well, basically they had a deposit by the house.
My son Will had a really good job, but however,
my daughter daughter's job is just part time, and the
broker said there wasn't enough income for them to get
this loan, and so what they actually did is they
(06:51):
had to deposit, but they had to come up with
a little bit more, and also they had to bring
their sister in as another full time income earner, so
it would be you know, a really good look on
the loan documents because she was full time. So basically,
as a mart appearance, we were on paper legally through
(07:16):
the lawyer had to throw up and we put down
six thousand dollars to top up what they did.
Speaker 2 (07:22):
Ye are you are you also listed as owners co
owners of the property?
Speaker 1 (07:28):
No?
Speaker 6 (07:29):
No, no, no. This is how we did it, and
I don't know if we got around it anyway.
Speaker 4 (07:34):
So you can give them the deposit.
Speaker 6 (07:36):
Yes, but we had to sign the tables, yes, right, yes,
but my daughter paid it back in the end. Yes,
to get the loan, we had.
Speaker 4 (07:47):
To give the yes, exactly.
Speaker 6 (07:50):
Okay, So that was how they got into their house.
But they also had his sister who.
Speaker 7 (07:55):
Had no money.
Speaker 6 (07:55):
He surely had a qui saver. She was a wrecking girl.
She's only what twenty two. She came in on the
mortgage doctor as in half owners and she's got half
equity in that property. Now Magoola has no money in
the bank's doing Okay.
Speaker 4 (08:14):
Yeah, yeah, exactly. I mean, as you're two keys, doesn't
it Deposit and income they're the two things you've got
to use to keep the bank happy.
Speaker 6 (08:21):
So that's how we got around that.
Speaker 2 (08:24):
Can I also, can I just say, is everyone happy
with that arrangement? Is that working out? Okay?
Speaker 6 (08:31):
How we did it? Yes, it did, but we made
it quite clear it was going to have to come
back that we did that personally on the side, and
they just sorted it back to us. But you know,
here and there. But I was just saying that, you
know how with these loans and these banks, you are
(08:55):
actually you're discriminated if you have children when you apply
for these loans. Because when I when my daughter, her
and her husband were working, they moved in with us
to say to their house, and they thought that she
was paying child's care, so they had to factor that
cost into the expenses and they said, oh no, no, no, Mom,
(09:18):
and mom's looking after baby, which I was, and that
was during COVID because she took her job home and
she still sent her from home. So it was a
good arrangement. M the house, you know what I mean.
Otherwise they look they look at stuff like that, you know,
like and if you've got if she was, if she
had another child.
Speaker 4 (09:41):
Yeah, they certainly do. Number of dependents.
Speaker 6 (09:43):
Yes, my daughter in law in Australia, she didn't tell
them that she was pregnant with number two, which.
Speaker 7 (09:49):
They wouldn't have got there alone.
Speaker 6 (09:53):
It's sad, isn't it.
Speaker 2 (09:54):
Well it's tough. Yeah, hey, thanks, we call Elie. So
getting getting back to you the the no money something
or get when when you got back into property once
you lost everything and you did work to save up
and I've joked about the horsepoof sort of thing, but
it's true you did sell horsepoo. Yes, yes, I'm not
(10:15):
sure how much you raised through selling the horse purpose.
Speaker 4 (10:17):
Well look I've probably made about a whole thousand dollars yeah,
oh okay, impressive.
Speaker 2 (10:21):
So did you How did you get into it again?
Speaker 8 (10:23):
Then?
Speaker 2 (10:23):
Once I haven't been.
Speaker 4 (10:24):
Out Okay, Well, to start with, I knew what I
was doing, so I did start property, yeah, and did
very well in property, but got caught in the global
financial crisis and lost a lot of money. So I
knew what I was doing and I knew the mistakes.
So both of those it's just as important to know
what not to do as it is to know what
to do. So really, after being after losing everything, it
(10:45):
was a mindset battle get my head back in the
game and get ready for round two of property, and
then I knew what to do and I knew what
to avoid. So that was simply what I did. Because
the thing is too if you if you make money
in property, not only you're ticking both boxes. So you're
ticking the box of I'm raising the deposit for the bank,
(11:06):
and you're taking the box of I'm making some income.
So it helps in two ways there.
Speaker 2 (11:13):
So how would you advise someone who's really struggling on
the deposit side. I mean, a lot of the time
they're going to have to rely on mom and dad,
aren't they, or some other form of.
Speaker 4 (11:23):
Look, there's a certain portion of people that can rely
on mom and dad because mum and dad have got
either equity or cash or an income that they're happy
to guarantee with But there's also a huge proportion of
the population out there that can't rely on mom and
dad because the number of our renters are actually increasing.
So I wanted to think how do we help those people?
(11:46):
And it really is just bucking the traditional thinking. The
traditional thinking is we get our job, we save until
we've got a deposit. Now, yes, key, we save. It
is a massive help which we didn't have years ago,
but it still takes a lot of time. So I
looked at it thinking, well, how do we use property? Basically,
that's how I did it. So I'd go and i'd
(12:07):
buy a property. I would go and meet property investors
that might want to do a flip or they might
want a property to put into their portfolio. I'd find
out what type of property did they want, and then
I'd make it my business to go and look for
it for them.
Speaker 2 (12:20):
Oh so you did it by okay, so finding? Yeah, okay,
finding you need to okay, carry on interrupted you, but.
Speaker 4 (12:27):
That's all right. So I'd go and find them the
property that they wanted, and then I'd settle it contemporaneously.
In other words, back to back. I was so I'd
be the buyer and one contract and the seller and
another contract, and I'd make maybe fifteen twenty thousand dollars
in between. Wow, And then I started making more and more.
Best one I've ever done is two hundred thousand, So
(12:48):
that's not bad. Now you've got to pack tax on that,
of course, because it's incomes.
Speaker 2 (12:52):
But nevertheless, sorry, how would you You'd find someone? You'd
find the house, yes, and you'd find it at a
price where you would think, okay, this is a great house.
But then you'd say, listen, I found a house. How
did you stay the middle person there?
Speaker 4 (13:07):
Because it's well, it's simple, and it's simple and it's difficult.
You need two things in order to make those no
money deals work. You need the property and the person.
Speaker 2 (13:17):
And the nouse and the hotspa.
Speaker 4 (13:19):
Not correct, Yeah, correct, that's true. That's true. So you
start off going, well, where's your person that's going to
buy it off you? Well, they're in the property investor world.
So you go and you join those property investor groups
and you get to meet those people. And I have
to say that the key to making it work is
to genuinely want to help them, not to be trying
(13:42):
to grab money for yourself. You know, whenever I was desperate,
and oh my goodness, there were plenty of times desperate
for money, I tend to repel buyers and nobody wanted anything.
But when I got to the point where it's like, oh, okay,
well it'll be nice if this works, but it's okay
if it doesn't, then everything falls into place. And I
know it's easier said than done. It is to drive
me nuts. When you listen to the books of the rich,
(14:04):
do worry about money?
Speaker 2 (14:05):
Well, that's the adage as well. That's I mean, success
does breed success. The more success you have, the more
comfortable you are with and there's a certain certain relaxation
I guess of I'm not sure what it is, but
when you're really desperate, it's almost like everyone can smell it. Yes,
and it puts people.
Speaker 4 (14:22):
Off exactly exactly. But I think the other key fact
and when you're desperate, is not to be greedy. I mean,
you know, when I was making my first million for
the second time, as I call it, my first deal
made me two thousand dollars and I was over the moon.
I made two grand. Yeah, I look back now and go,
what did I discount it for? It was dumb, but
you've got to be happy with every success.
Speaker 2 (14:45):
So how did you How did that first deal play
out for you?
Speaker 4 (14:48):
So I'd gone and I'd met a person at a
property group that wanted a rental property in a certain areas.
I went and found one, got that property under contract,
rang them up, and I said, I found it, and
I can't remember the details, but say I bought it
for five hundred thousand.
Speaker 2 (15:03):
Oh so I get it. Sorry, yes, being a bit vague.
So you would you put something under contract conditional correct,
and you would go say, look, I've got it. Do
you want to take this over? And my fee is.
Speaker 4 (15:14):
X well to a degree, because that's assigning the deal
and that's illegal. So you'd have to settle it what
they call contemporaneously. So I've bought it for five hundred thousand,
I'm going to sell it to him for five hundred
and ten thousand as such, and then the two contracts
settle on the same day, a couple of minutes apart.
Speaker 2 (15:31):
God, that's that's quite ballsy. That would tear it.
Speaker 4 (15:34):
Really, it's just now it's a strategy and if you've
got the right condition in there, this is where you
use a due diligence, you've got no risk, you can
walk away zero risk. So it's just a strategy of.
Speaker 2 (15:45):
Gosh, that's fascinating. That's actually you were saying that's quadrant
three or something, whether your book your property quadrants, which
has been burning a hole in my backpack. Actually, look,
we want to hear from you as well. But before
we go to the break, are there any bits of
advice you'd give two parents as because one of the
means that they might help their kids into a house
is Okay, let's say your parents have owned it. They've
(16:07):
basically got maybe let's say they've got ninety percent equity
or they've got a truckload of equity. They can use
that equity. Can't they to help their kids buy a house?
Speaker 4 (16:17):
Yes?
Speaker 2 (16:17):
And what would what would the pitfalls of that be?
I guess the kid's not making the mortgage payments.
Speaker 4 (16:24):
Well, don't forget the two things the bank want to
see is the deposit and the income. So if the
parents give them, it depends how they do it. If
the parents go to the bank and borrow against their
house and then give it to the kids, then the
two properties are separate as far as the banker is concerned,
but the parents have now got a mortgage, so they'd
have to have the ability to service that as far
(16:46):
as the bank is concerned. In some cases the parents
might be retired, they can't borrow, so they say to
the kids, use my equity. In that case, the bank
will blanket the security, they'll take security over.
Speaker 2 (16:58):
To so they'll basically just say, look, we're going to
take a mortgage of a mum and dad's property. So
if anything goes wrong, mum and dadda in the game
direct that's sounds potentially worse. Or are they both the same?
Speaker 4 (17:08):
They're both the same really when you think about it,
Mum and Dad's properties at risk either way if they
do it that way.
Speaker 2 (17:14):
I guess. So if they borrow it and give it,
they are only in the gun for what they've borrowed, correct.
Whereas if they give a blanket surety with their property
for their for their children, and look, there'd be some
parents who for that That is an absolute no brain.
It's because my kids are amazing and I know what
sort of people they are, and I know they're going
to make sure that they look after this. Whereas it
(17:35):
would you would end up in trouble where you've given
you money to maybe the errant child and the family
who goes off and ruins everything, and then you're ruined
your screw.
Speaker 4 (17:45):
I mean, look, solicitors always see risk. Socilicitors always point
out all the pitfalls and advise against those. But if
you talk to the banks, like risk department, there's a
very minuscule percentage of properties in general that end up
at mortgage, let alone properties that mum and dad have helped.
So if you've got a tight knit family, and usually
(18:08):
you do because mum and dad aren't going to lend
if you don't, it's really a massive risk there.
Speaker 2 (18:13):
We love your calls on this. How did you get
into your first property? And if you're if you are
the bank of mum and dads yourselves, how did you
deal with that in terms of well, just it's a
business deal that you don't want to go wrong and
it's with people you love. How did you set the
ground rules and the expectations or was it easy because
you love your kids and your kids love you, and
(18:33):
everyone's going to play by the rules. It doesn't always
happen that way though. Just look at the arguments over
deceased to states, to see families fall apart, but that's
a different topic altogether. We want your calls. Eight hundred
eighty ten eighty text nine two. It's twenty five past
four News Talks V news Talks there B. This is
one who've radio show my guests Nicole Lewis. She is
a property investor and also author, And we're talking about
(18:53):
the bank of mum and dad. How how do you
help your kids into a house when in fact, sometimes
mum and dad might be like, well, hell, we're still
struggling to pay off our own mortgage. But if you texts here,
we love your cause. On one hundred and eighty ten
eighty we helped our daughter into a house. However their
marriage failed, he left and the house went to mortgages's sale.
(19:17):
That sounds problematic, doesn't it. I guess if you are
lending to you've got to make sure you spell out.
Oh that is complicated, isn't it.
Speaker 4 (19:25):
Yeah, Look, that is unfortunate. There are ways. There are
ways to protect it, Like we've set up a trust
where our kids trusts are the beneficiary of the trust. Therefore,
if anything happens that a marriage splits is protected by
the trust. But laws keep changing around trust protection, and
(19:49):
you don't necessarily end up as protected as you think
you are, but you do try to foresee these potential
things in the future.
Speaker 2 (19:59):
I've completely forgotten about that. Of course. Often when you're
trying to help your kids out, they are married to
someone else and hopefully that works out. If that doesn't
work out, then that can call well, that can cause
properties to go under go for sale and all of
a sudden, the bank's looming.
Speaker 4 (20:15):
Yeah, I mean mortgage e sale. Obviously sounds like they
couldn't pay the mortgage, so that was unfortunate. I mean,
if mum and dad could we could step in and
pay the mortgage, I'm sure they would have.
Speaker 2 (20:25):
Unfortunately, that's where the text finishes, so we don't actually
know what actually happened, because from mum and Dad's point
of view, they really want to make sure that they
don't get ruined in the process of the marriage.
Speaker 4 (20:33):
Yeah, correct, because mortgage sale is when the obviously, when
the payments can't get made any more normally even three
months and arrears and the banks deep in you have
got right up to the fall of the hammer on
the auction under mortgage to pay it off, and it
gets withdrawn. But yeah, that is a potential pitfall if
the main income owner leaves the situation.
Speaker 2 (20:53):
Yeah. Another one. This is another one that touches on
another topic where we want to sort of just include.
In the hour from Karen, she said she says housing
in New Zealand is not worth it now, shoddy old
stock and new ones lacking character. And the reason I
read that out is because there has I think there
was an opinion I saw from a property writer saying
(21:18):
that don't get into property quite yet because interest rates
are still going to come down. But the non expert
who is me but who has hosted and talked to
a lot of property experts, says that that's a bogus
argument because if the property prices are cheaper, I mean cheaper,
(21:39):
interest rates are not going to mean that property prices
get cheaper. It just means your repayment's going to be cheaper.
And I would have thought that if you have the
wherewithal to buy now, is exactly the right time. Just
set a very short time if you think interest rates
are going to come down, and get in because the
capital numbers could change reasonably significantly. Is that right?
Speaker 4 (22:00):
I totally agree. Look, the property market is cyclical. Typically
it's on a seven year cycle, peak in twenty twenty
one in Auckland to the rest of the country follows
at various times. And then we had our bottom in
twenty twenty three.
Speaker 2 (22:12):
Mind you, we did have COVID, which is sort of but.
Speaker 4 (22:15):
It doesn't matter. I mean, I've got one hundred year
history on the property cycles and.
Speaker 2 (22:19):
What they've personally.
Speaker 4 (22:20):
Obviously, well you're the one person who didn't get COVID.
Speaker 2 (22:25):
Who anyways, Sorry, So.
Speaker 4 (22:29):
We've had our bottom of the market and now the
market is definitely turning and I see it. I mean,
I've been outbit at about six octions this week. Properties
are going to multi off. I'm still managing to get
some but it's definitely different to what it was six
months ago. So, and interest rates have come down, they're
not as high as they were. So a lot of
my clients are now going, oh, I wish I bought
(22:49):
six months ago, and I'm like, don't worry, don't worry,
you haven't missed it. We're at the bottom.
Speaker 2 (22:53):
But also let's i mean, don't beat yourself up up.
But six months ago the property market was pretty tough
to get into. Interest rates for very high. There wasn't
a lot of excitement going on. There's still not a
huge amount of cis something at the moment, it's not.
Speaker 4 (23:05):
Exactly that's when you buy, You buy when no one
else is. But the interesting thing about it is, you know,
when the market's at the bottom, typically interest rates are
really high, typically inflation's really high. Banks don't want to lend.
They look for they're very risk averse, and it's very
hard to get an approval. And yet when you're at
the top of the market, typically interest rates is really low,
(23:27):
inflation is really low. The banks are paying you to
bring business to them, and it's really simple. They go
the world as a wash with cash. So, if you know,
sometimes these factors of whether you can borrow or not
are a huge determination as to whether you can buy.
But if you certainly can buy now, it's definitely the
time to do it right.
Speaker 2 (23:48):
Let's take some more calls Tom, Hello, Hi.
Speaker 5 (23:52):
There, How are you going good?
Speaker 2 (23:53):
How you doing?
Speaker 6 (23:55):
Yeah?
Speaker 5 (23:55):
Good? Speaking from experience, my advice for any parent lending
money to their adult children to buy a property would
be make sure the child has skin in the game,
Like if they want to deposit, say yep, I'll give
(24:18):
you a half because it makes them more accountable. They've
had to save that money over several years. Because what
happened with me and my family, my dad met my
brother a large summer money into a property. It all
(24:41):
went pair shaped and my brother had no skin in
the game. It all went pair shaped and we had
to sell half of our farm. So it's like a
major Yeah.
Speaker 2 (24:54):
So I think that's a good advice, and that sounds
incredibly sound advice because I mean it's advice for probably
every sort of parenting decision if your kids. If you
don't an investment and an outcome, then yeah, yeah.
Speaker 5 (25:09):
Because I get the feeling. Sometimes some young people roll
out of bed one day and they think, oh, I
want to buy a house, and they just go to
mom and dad, here you go, and then yea, it
may work fine, but it's a life lesson to go
to work every day and save that money and sacrifice
(25:29):
for it takes a few years, Like it took me
a few years. I did it all by myself, and
then it's just that much sweeter in the end when
you get it.
Speaker 2 (25:40):
That must have been pretty for your family, not just
on the financial side.
Speaker 5 (25:44):
Yeah, it's it's torn the family apart. It's an absolute mess.
But I wish my dad had just, instead of just
giving the handout of all this money, he had just said, Yep,
I'll give you half, but you've got to go out
and get the other half. And it might take a
few years. And then over that time my brother might
(26:06):
have thought about it. Yes, might've taken a different track.
But yeah, it's just a unthought. Like life gives us lessons,
and that's in them. I just look at it as
a really good lesson.
Speaker 2 (26:23):
It's a tough leason for you and your family. Tom. Actually,
you know, now that you say it, it sounds like
almost it should be the number one rule that you
just don't give people stuff for nothing when it comes
to your livelihood and your mortgage and your own you'd
agree with that when you're Nicole. Thanks Tom, Yeah, have
skin in the game.
Speaker 4 (26:42):
Oh look, we've thought about this. My son's twenty and
he's just finished his degree this year, Bachelor of Business,
and I thought, okay, is it time for him to
get his first house. I'm not going to hand him anything.
I'm going to show him how to make his deposit
through property and then he will then have enough income
(27:03):
to buy because they the kids have to want it,
they have to appreciate it, and they have to realize
that it's not easy, it's work.
Speaker 2 (27:14):
Yeah, let's take some let's take some more calls on
that I've written. Not that I'm going to be helping
my kids into your house, but I always write down
a good point when somebody makes it and make sure
they've got skin in the game. It's probably a lesson
for life anyway, I think if you want to doom
your kids to having lackluster lives and just give everything
to them and yeah, anyway, right, let's carry out bear
(27:36):
all high.
Speaker 9 (27:37):
Hello there, Tim, how you haven't spoken to you for
a while.
Speaker 2 (27:41):
I'm good, thank you for asking you.
Speaker 9 (27:43):
I'm very pleased. Please to hear your produce and put
your voice on a couple of times singing, which is
a bit different from hearing your talking.
Speaker 2 (27:50):
Yes, well, yes, thank you for that. Probably one time
one time too many, too many for me. But anyway,
what do you want to talk about with the helping
your kids?
Speaker 9 (27:58):
Probably suggest another way that hasn't come up, and it
probably has come up, but not on this conversation. Another
what's then.
Speaker 2 (28:05):
If your gain it's Nicole Lewis Nicole.
Speaker 9 (28:08):
Another way of helping out is if you get if
you don't really want to give up the equity and
your property, you could have you know, your children move
in with you and share the house and they could
save that way if you didn't want them using equity.
Speaker 2 (28:28):
In your house, save them, save them all the rent
money that otherwise be paying us.
Speaker 9 (28:32):
Where you mean absolutely, And also another way, doing as
you can't perhaps stand your son's partner or maybe your
daughter's husband or whatever, you could buy them a sort
of a caravan to put on the back of your property,
and you know they might have to use the laundry occasionally,
but they could buy one of those little cylinder gas stoves,
(28:56):
you know, you know, you could shove something out there
for them to cook on and let them use your laundry.
There are ways around it, ways of.
Speaker 2 (29:05):
Having them as tenants even if you can't stand there
other Okay, that's an interesting thought. You've got anything on
that one, Beryl, I'm sorry I was looking at Bill Nichols.
Speaker 4 (29:17):
Well, look, if your kids live in a similar area
to you, it's certainly an option. I don't know how
practical it is long term, because it does still take
a few years to save up that deposit, But it
certainly is an option if the kids are local to
where you are and they haven't got their own family.
But I think lifestyle comes into it as well. I
(29:39):
think we've all got to live a good lifestyle. So
for some people that would work beautifully. Other people perhaps
wouldn't quite work out for them.
Speaker 2 (29:48):
Actually, somebody's texted us as saying, you guys are a
little bit tough. I think it's perfectly reasonable to actually
give away some money, perhaps ten thousand dollars to your
child who wants to buy a house. It just helps
them get into a house and for everyone's benefit. And look,
I don't think any of us would have a problem
with a small amount of money like that. I think
we were telling this well. Tom was telling the story
(30:08):
of the family farm being lost, and I think there's
a there's a helping hand, and ten thousand dollars is
still going to mean your kid's going to have skin
in the game Causette's only getting them a fraction of
the way there, isn't it.
Speaker 4 (30:21):
Yeah, I understood Tom's story as if the brother's going, look,
I want a million dollar house, and dad going shores
a million dollars or the full two hundred thousands. I
who could borrow the rest? That's the way I understood
the story. But I totally agree a proportion to your
children to help them.
Speaker 2 (30:38):
Absolutely, we'd love to have he from you one hundred
eighty ten eighty. What rules would you follow and when
it comes to helping your kids get into a property,
so you don't end up being a story like Tom
just shared with us of the family farm being basically lost.
It is twenty to five news Talk, said b it's
(31:01):
a world world the cat Steven's there to lead usten
to it. Not even a Christmas song. My producer must
be having just a moment of hiatus on the Christmas Right,
Let's carry on with the calls on the bank of
Mum and Dad, Andy High, good day, how are you
(31:21):
doing good? Thanks?
Speaker 7 (31:23):
I'm a mortgage advisor by trade, so interesting discussing too.
I don't know if it's been discussed because they joined
halfway through. But what I've helped many of my first
time buyers in using mum and Dad as the bankstop
is what they call in the trader deed of acknowledgment,
(31:45):
which effectively is they give a depositive amount, say one
hundred thousand, and you med certificate to the bank for
saying when the house fells, they appearent get one hundred
thousand dollars back from from the proceeds. There's no interest
s having on it, and there's no repayments demanded on it.
So essentially the money's gisted to them. But when they
(32:09):
come to sell their house, their parents get back the
one hundred thousand dollars in the short deposit. They can
also put an interest charge at the end if they want,
but they just saves the parents from giving the money
and getting it back at the end in case they
want to retire themselves.
Speaker 2 (32:28):
What do you reckon the car?
Speaker 4 (32:29):
Yeah, yeah, absolutely, I mean you definitely want to have
some sort of acknowledgment deed of acknowledgment or blind trust
agreement or joint venture agreement or loan agreement on the
side between the parents and the kids is sensible.
Speaker 2 (32:43):
How often are you arranging mum and dad out for
the first time buyers?
Speaker 7 (32:47):
Andy, Oh, well, yeah, yeah, I'd say about four out
of five. Ye, there's a lot up here, and there's
a lot of parents wanting to help us. Fantastic and especially.
I mean I'm in the upland so yeah, you pain,
you know, nearly a million billow marks no matter where
(33:07):
you are. And I've found a lot of people unfortunately
you know they've got it saving, but they're just not
anywhere near the one hundred thousand marks which you need
for everything deposit. So if they come in and go, well,
you know some and some in partner saved up fifty
k each, here's another one hundred, these two hundred, that
(33:31):
means they can get twenty percent deposit all the bout
and whistles from the bank. They can have a property
relationship agreement thing you know he's put more of the
posit than she has. And you know we all those
little things and that's part of as a as a
more advisor as we independed all the banks, but we
also give them that type of guidance on how to
(33:54):
actually structure and do things where you don't you don't
need you to get there at the bank the bank
stuff I tell you to get a need of acknowledgment
or this is how you do it. And then the
other other Robson was well TV bank call it co owned,
but you can do it for any other banks. We
just have multiple people buying, and so brother and sister
(34:15):
and another brother and sister in their parts they all buy.
So you can all put in fifty k in each,
prayed a relations agreement and then buy it out. And
like you say, only five years seven years is the
recycle terms. And yeah, it's all doable. It's just a
different way of doing.
Speaker 2 (34:35):
Yep, no, good stuff. I appreciate your calling any thanks
so much, Glenn.
Speaker 5 (34:39):
Hi, how are you going to them?
Speaker 2 (34:43):
Yeah?
Speaker 3 (34:43):
Good, yeah, very much agree with Andy. A good call there.
Speaker 10 (34:48):
I'm a father who and obviously my wife would lent
money to our son to buy his second enlistment property. Now,
so he's brought two properties on the believer like Nicole
at the proper and cycles very much at the bottom.
And why we're need jumping now. So we've actually helped
him out twice. He's put a little bit of himself
(35:10):
and we've basically did what Andy said and just gave
them some fun, gave him some funds to get a
couple of loans and mortgages.
Speaker 2 (35:20):
Good stuff and fantastic. Yeah, so all play out quite well.
Speaker 11 (35:25):
Yeah, Well, he's overseas at the moment, he's enjoying Europe,
but it was really about him before he left a
few months ago, getting on the property ladder yep, and
just yeah, but I think like that other guy who said,
you know, they lost half.
Speaker 3 (35:41):
The family farm, I've sort of put everything. Well, my
son's put everything in his name, so it's up to
him to pay rates and insurance, which is a contribution
to the city, I guess, and you know it gets
in trouble. I'm sure. I'm happy to help, but it's
his responsibility and I think that's where he's going to
learn from.
Speaker 4 (36:00):
Well, I think you've made I think you made an
important point there that yeah, the parents have it in
the kid's name, but not in their name. Then at
least if it's not blanketed by the bank, there's no
comeback on them. They're not going to lose half the fun.
Speaker 2 (36:13):
Yeah, thanks for cole mate. I really appreciate it. LEVI goodayah,
how are you going good? Thanks?
Speaker 8 (36:21):
Yeah, I just thought a bit of a full up.
I'm pretty young. I'm twenty one years old, and I'm
kind of starting the process of looking at possibly buying
a property in the next kind of a few years.
So I've talked to kind of family about the process
and what we should kind of be doing with it,
and I think we've kind of came to an agreement. Obviously,
I think it is a very case by case situation,
(36:42):
but I think a real good way to do it
is for the younger person, the kid or whatever it is,
set a goal, set a savings goal of how you've
got to hit this, and then I'll put it in
money do I think the idea of a direct handout
is probably where it gets bad, where it's like, oh,
I had what I'll give you a hundred thousand dollars,
but you know, if you save one hundred thousand dollars,
I'll put in a hundred, or if you save one hundred,
(37:03):
I'll put in ten.
Speaker 4 (37:04):
Yeah, yep, I think that's a very good idea.
Speaker 2 (37:07):
Yeah. Yeah, I mean it's just basically getting the buying
of your kids as well, so it's not not a handout.
Speaker 4 (37:13):
And does that motivate you? So does that motivate you
to get in there and reach your goal and reach
your savings knowing that that help Mum and Dad are
going to help when you get to that point.
Speaker 8 (37:22):
Yeah, one hundred percent. Because for me, I mean, like
you know, I'd probably be looking at like where we
will kind of made. The agreement was that I would
get to one hundred and she would be able to
put a ten towards for me.
Speaker 7 (37:33):
Yeah, I think that that's kind.
Speaker 8 (37:35):
Of a perfect going. You know though it is only
you know, ten percent of what I'm actually saving, it's
still a big push because you know, every kind of
dollar counts when it comes to buying a house like that.
Speaker 5 (37:45):
And absolutely more more intrigued.
Speaker 8 (37:48):
To kind of go for it. And you know, the
younger that you get into the market, I think the better.
Speaker 2 (37:54):
That's my agreeing earlier. Hey, thanks leave, I really appreciate
your call. We got a rush to a break now
it's ten to five new stalks.
Speaker 1 (38:01):
He'd be the one roof property of the week on
the weekend collective.
Speaker 2 (38:08):
Yes, and the one roof property of the week. As
I say, I'm not sure this one would feel like
such a holiday to go through it normally, I say
you should go and check out the one with propably
the week because it's like, I'm a little holiday. We
have luxurious residences. I'm not saying that because it's a
negative thing about this, but this it's in a beautiful spot.
It's actually an old police station. There's not a hell
(38:28):
of a lot of photos online, but it is located.
It's previously the Kaitaya Police Station. It's now available for
new ownership. Relocated in nineteen ninety four. It provides a
privacy piracy ha that's going to be the misread of
the day, isn't it? Privacy and attractive lifestyle. It's conveniently
located near Pukunui Village and the Far North's attractions. And
(38:52):
here's the thing I guessed, well, property price is not
quite Auckland prices. The estimated the estimate for the price
is around five hundred and forty thousand. It's open plan
kitchen and living area with a wood burner, high ceilings,
unique character elements. I want to know if there's a cell,
if it's the former police station, but of course it
probably isn't. Really, it's probably a bit more domestic than that.
(39:14):
Nicole Lewis is at a quick look over my shoulder
as we have. There's not too many photos to go by,
but it definitely looks quite remote, doesn't it, Nicole?
Speaker 4 (39:20):
It looks like a great location. Yeah, absolutely does. The
pirates are in the cell.
Speaker 2 (39:26):
Can't believe, I said piracy privacy. Just if we're going
to recap on the by the way, you can go
to the one roof website one roof dot cod on
the in said and going look for that. It is
one hundred and forty four Kimberly Road, ho Horror in
the Far North. So there we go. And as if
you see the location, it does seem it seems almost
(39:46):
implausible that it was actually once a police station because
it does look very remote. But there we go. I
mean the Far North. Have you spent much time in
the Far North?
Speaker 4 (39:54):
I actually did actually went up there looking for property. Sure, yeah,
when did a bit of a search? Is actually said goodbye?
Is up that way?
Speaker 2 (40:02):
What sort of when you're going are you looking for resident?
Eventually you're looking for sort of this would make a
good batch for someone and all, or you're looking for yourself.
Speaker 4 (40:10):
Well, I was actually looking for either a property to
renovate and inn Katya that was a lot of them,
or a sort of blocker units to put in the
in the portfolio. So that's that's.
Speaker 2 (40:21):
Where I look at a rental point of view.
Speaker 4 (40:23):
Anyo, Yeah, there was actually one blocker units I liked
that had already sold.
Speaker 2 (40:28):
So there you go oh well, they had a nice time,
a little bit of sun.
Speaker 4 (40:32):
I enjoyed going up there. It was fun.
Speaker 2 (40:34):
Actually, it's probably not a bad place. I haven't been
up there for a holiday. For the far North. It's
one part of New Zeland I haven't really been to,
so might have to take a bit of a look. Hey, Nicole,
thank you so much for coming in and chatting to us.
Speaker 4 (40:45):
Thanks for having me Christmas shopping all sort of oh
done and dusted.
Speaker 2 (40:49):
Excellent, right, Okay, thanks very much. We'll be back shortly.
The parents' squad is upon us and we're going to
be having a chat about not spoiling your kids or
dealing with the materialistic side of Christmas and other questions
around that. News Talk said be Kim Harvey is joining us,
us back in my.
Speaker 12 (41:05):
Mind, A cozy little Christmas here with you, to see
you and me under a tree. A cozy little Christmas
here with you.
Speaker 1 (41:24):
For more from the Weekend Collective, listen live to News
Talks it'd be weekends from three pm, or follow the
podcast on iHeartRadio.
You're listening to the Weekend Collective podcast from News Talk SEDB.
Speaker 2 (00:12):
Dreaming Ovel Chris just like hearing me as well. Welcome
back to the show. I'm Tim Beveridge and this is
the Weekend Collective on the seventh of December, coming up
right now, the one roof radio show. And actually we
(00:33):
are with my guest Nicole Lewis is on her way,
but she has been a little bit held up in traffic.
But what we're going to talk about is the new
research from Kiwibank that's found that one in three first
home buyers in New Zealand has got a boost from
the Bank of Mum and Dad. So we'll be taking
your calls on eight hundred and eighty ten eighty text
nine nine two.
Speaker 3 (00:52):
Oh.
Speaker 2 (00:52):
By the way, if you missed the panel, a nice panel.
We had a fun panel with Irene Gardner and Simon Wilson.
If you miss any of the hours, you can go
to wherever you podcasts and basically just look for the
Weekend Collective and dial it up and there we'll be.
But yes, back to the Bank of Mum and Dad.
So I mean, I guess am I surprised that it's
one in three first time buyers. You might have heard
(01:13):
Simon Wilson said that when it comes to gen X,
it's something like sixty percent of first home buyers got
a boost from the Bank of Mum and Dad. Actually,
I'm just trying to think, oh no, we didn't get
a boost in the Bank of Mum and Dad when
we bought ours. Although when you when your parents pass away,
it does help you pay off some people will be
paying off a chunk of their mortgage, which is what
(01:34):
we did with ours as well. But with the cost
of living and rising interest rates, there'd be a lot
of parents who are thinking, you know, how on earth
are we going to help our kids? I would be
one of them, to be honest, I'd be thinking how
on earth can I ever? That is something that's actually
on my mind as a parent, is being in a
position to help my kids into a house, because you know,
(01:55):
the pressures of just paying off your own mortgage and
the cost of the cost of retiring and all that
sort of thing. So we want to actually want to
We want to have your calls as well one hundred
ten eighty on how are you planning to help at
your kids? Or did you get help into your first house.
What was it that actually helped you become a first
home buyer because with the amount of well the cost
(02:18):
of houses. Although I will I've had plenty of guests
over the years who say, look, it's always been tough
to get into property for whatever. Maybe the capital prices
as a percentage of income were lower, and I think
think that is actually quite a significant thing. But there
also have been times, as you will hear when we
talk about these things, truckloads of well, there have been
(02:40):
people paying to truckloads. When it comes to the interest rates,
the good old ah, they were fleeting, I think, but
remember the days of eighteen percent mortgage rates. Anyway, we're
gonna have a chat about that. And to join me
is in the studio. He's my way through the traffic
is Nicole Lewis. Hello, how are you?
Speaker 4 (02:55):
Hello? And no, very good. It's like peak traffic on Saturday.
Speaker 2 (02:59):
What what was going on? Oh it was Christmas, let's.
Speaker 4 (03:01):
Call it Christmas shopping. Well, I don't know.
Speaker 2 (03:04):
You just haven't walked in here from next door, have you?
I mean, actually, how did you get into your first home?
Speaker 4 (03:09):
I sold my car to buy a house. There you go,
what sort of car? Was, well, it was. It was
a nice car, that was true. Mer No, no, no, no,
it's actually what was it?
Speaker 5 (03:22):
It was?
Speaker 4 (03:22):
It was a Toyoda. It was an m R two,
which was pretty cool back then. It was about forty
five thousand, I think, which was wow, enough enough to
get a house. And then we bought this little bomb
for two grand that was so rusty you could put
your finger through it.
Speaker 2 (03:37):
How how long ago was I mean, we don't like it.
Speaker 4 (03:40):
It was No, that was a long time ago.
Speaker 2 (03:42):
That's a car, then, isn't it.
Speaker 4 (03:44):
That would have been thirty years ago, so you must
have been you could borrow ninety percent?
Speaker 2 (03:51):
Wow, Actually that is That is a major thing as
well for your first home buyers. In fact, do you
think what what is the biggest barrier to first time
buyers buying a house? Is it the cost of the
house or is it the amount that they have put up?
Because not everyone can get a you know, mortgage of
ninety percent these days, can they? No?
Speaker 4 (04:10):
Look, ninety percent mortgages a few and far between. Most
of the time they've got to put up twenty percent,
which is a lot. And house prices are a lot
more expensive than when I bought mine. Thirty years ago
as well. So you know, if you're paying seven hundred
thousand dollars for a house in Auckland and you've got
to put on twenty percent one hundred and forty thousand,
there's a lot of savings.
Speaker 2 (04:31):
I'll switch my microphone on now. I switched it off
for sking to cleanuth. Right. Actually, so I'm just I'm
hung up on that. How much you got for your
car second hands, that's that's a good deal. But did
you get into property quite early when you Because we
know your journey is that you had your ups and
then you had incredible downs and now you're back into it.
Speaker 4 (04:51):
So I did. I got into property when I was young.
Definitely got my first property when I was in my
early twenties, but then had to start all over again
really in my mid thirties. So I've done it to
first time twice, and yeah, I think I think saving
that deposit is definitely tricky.
Speaker 2 (05:10):
How did you do the second time? How did that ride?
Speaker 4 (05:12):
Well? Interesting?
Speaker 2 (05:14):
I see what we knew. We sold horse poo.
Speaker 4 (05:16):
We know that, yes, and then I used property to
make money to buy property. In fact, it prompted me.
I've just finished my second book called No Money Deals.
It's at the printers now release.
Speaker 2 (05:28):
The last one's property property Quadrants.
Speaker 4 (05:30):
So this one's all about quadrant three, how to do
property with no money, and it's going to get released
in New Zealand in March. It's crime again and that's
what inspired it. It was like, how do these people
that the percentage that don't have the bank of mom
and dad? How do they get into property? And I
did it with no money, That's how I did it.
So that's it's a used property to make money because
(05:53):
you can make one hundred thousand dollars from property quicker
than you can save it from your wages.
Speaker 2 (05:58):
That sounds like chicken in the egg. In fact, we'll
dig into that in just a moment. We've got some
calls to get into first. So Ellie, hello, oh.
Speaker 6 (06:07):
There, I'm driving on the motorway. I'm heading to Hamilton.
But you're talking about the bank of mom and Dad.
I know that's been highlighted a lot this week, and
it is. It's a real thing, and I've done it.
Speaker 2 (06:22):
What which was as as the mum and dad or
as the as the child of mum and dad?
Speaker 6 (06:28):
Well the child, well we are the parents and help
our daughter. Well, basically they had a deposit by the house.
My son Will had a really good job, but however,
my daughter daughter's job is just part time, and the
broker said there wasn't enough income for them to get
this loan, and so what they actually did is they
(06:51):
had to deposit, but they had to come up with
a little bit more, and also they had to bring
their sister in as another full time income earner, so
it would be you know, a really good look on
the loan documents because she was full time. So basically,
as a mart appearance, we were on paper legally through
(07:16):
the lawyer had to throw up and we put down
six thousand dollars to top up what they did.
Speaker 2 (07:22):
Ye are you are you also listed as owners co
owners of the property?
Speaker 1 (07:28):
No?
Speaker 6 (07:29):
No, no, no. This is how we did it, and
I don't know if we got around it anyway.
Speaker 4 (07:34):
So you can give them the deposit.
Speaker 6 (07:36):
Yes, but we had to sign the tables, yes, right, yes,
but my daughter paid it back in the end. Yes,
to get the loan, we had.
Speaker 4 (07:47):
To give the yes, exactly.
Speaker 6 (07:50):
Okay, So that was how they got into their house.
But they also had his sister who.
Speaker 7 (07:55):
Had no money.
Speaker 6 (07:55):
He surely had a qui saver. She was a wrecking girl.
She's only what twenty two. She came in on the
mortgage doctor as in half owners and she's got half
equity in that property. Now Magoola has no money in
the bank's doing Okay.
Speaker 4 (08:14):
Yeah, yeah, exactly. I mean, as you're two keys, doesn't
it Deposit and income they're the two things you've got
to use to keep the bank happy.
Speaker 6 (08:21):
So that's how we got around that.
Speaker 2 (08:24):
Can I also, can I just say, is everyone happy
with that arrangement? Is that working out? Okay?
Speaker 6 (08:31):
How we did it? Yes, it did, but we made
it quite clear it was going to have to come
back that we did that personally on the side, and
they just sorted it back to us. But you know,
here and there. But I was just saying that, you
know how with these loans and these banks, you are
(08:55):
actually you're discriminated if you have children when you apply
for these loans. Because when I when my daughter, her
and her husband were working, they moved in with us
to say to their house, and they thought that she
was paying child's care, so they had to factor that
cost into the expenses and they said, oh no, no, no, Mom,
(09:18):
and mom's looking after baby, which I was, and that
was during COVID because she took her job home and
she still sent her from home. So it was a
good arrangement. M the house, you know what I mean.
Otherwise they look they look at stuff like that, you know,
like and if you've got if she was, if she
had another child.
Speaker 4 (09:41):
Yeah, they certainly do. Number of dependents.
Speaker 6 (09:43):
Yes, my daughter in law in Australia, she didn't tell
them that she was pregnant with number two, which.
Speaker 7 (09:49):
They wouldn't have got there alone.
Speaker 6 (09:53):
It's sad, isn't it.
Speaker 2 (09:54):
Well it's tough. Yeah, hey, thanks, we call Elie. So
getting getting back to you the the no money something
or get when when you got back into property once
you lost everything and you did work to save up
and I've joked about the horsepoof sort of thing, but
it's true you did sell horsepoo. Yes, yes, I'm not
(10:15):
sure how much you raised through selling the horse purpose.
Speaker 4 (10:17):
Well look I've probably made about a whole thousand dollars yeah,
oh okay, impressive.
Speaker 2 (10:21):
So did you How did you get into it again?
Speaker 8 (10:23):
Then?
Speaker 2 (10:23):
Once I haven't been.
Speaker 4 (10:24):
Out Okay, Well, to start with, I knew what I
was doing, so I did start property, yeah, and did
very well in property, but got caught in the global
financial crisis and lost a lot of money. So I
knew what I was doing and I knew the mistakes.
So both of those it's just as important to know
what not to do as it is to know what
to do. So really, after being after losing everything, it
(10:45):
was a mindset battle get my head back in the
game and get ready for round two of property, and
then I knew what to do and I knew what
to avoid. So that was simply what I did. Because
the thing is too if you if you make money
in property, not only you're ticking both boxes. So you're
ticking the box of I'm raising the deposit for the bank,
(11:06):
and you're taking the box of I'm making some income.
So it helps in two ways there.
Speaker 2 (11:13):
So how would you advise someone who's really struggling on
the deposit side. I mean, a lot of the time
they're going to have to rely on mom and dad,
aren't they, or some other form of.
Speaker 4 (11:23):
Look, there's a certain portion of people that can rely
on mom and dad because mum and dad have got
either equity or cash or an income that they're happy
to guarantee with But there's also a huge proportion of
the population out there that can't rely on mom and
dad because the number of our renters are actually increasing.
So I wanted to think how do we help those people?
(11:46):
And it really is just bucking the traditional thinking. The
traditional thinking is we get our job, we save until
we've got a deposit. Now, yes, key, we save. It
is a massive help which we didn't have years ago,
but it still takes a lot of time. So I
looked at it thinking, well, how do we use property? Basically,
that's how I did it. So I'd go and i'd
(12:07):
buy a property. I would go and meet property investors
that might want to do a flip or they might
want a property to put into their portfolio. I'd find
out what type of property did they want, and then
I'd make it my business to go and look for
it for them.
Speaker 2 (12:20):
Oh so you did it by okay, so finding? Yeah, okay,
finding you need to okay, carry on interrupted you, but.
Speaker 4 (12:27):
That's all right. So I'd go and find them the
property that they wanted, and then I'd settle it contemporaneously.
In other words, back to back. I was so I'd
be the buyer and one contract and the seller and
another contract, and I'd make maybe fifteen twenty thousand dollars
in between. Wow, And then I started making more and more.
Best one I've ever done is two hundred thousand, So
(12:48):
that's not bad. Now you've got to pack tax on that,
of course, because it's incomes.
Speaker 2 (12:52):
But nevertheless, sorry, how would you You'd find someone? You'd
find the house, yes, and you'd find it at a
price where you would think, okay, this is a great house.
But then you'd say, listen, I found a house. How
did you stay the middle person there?
Speaker 4 (13:07):
Because it's well, it's simple, and it's simple and it's difficult.
You need two things in order to make those no
money deals work. You need the property and the person.
Speaker 2 (13:17):
And the nouse and the hotspa.
Speaker 4 (13:19):
Not correct, Yeah, correct, that's true. That's true. So you
start off going, well, where's your person that's going to
buy it off you? Well, they're in the property investor world.
So you go and you join those property investor groups
and you get to meet those people. And I have
to say that the key to making it work is
to genuinely want to help them, not to be trying
(13:42):
to grab money for yourself. You know, whenever I was desperate,
and oh my goodness, there were plenty of times desperate
for money, I tend to repel buyers and nobody wanted anything.
But when I got to the point where it's like, oh, okay,
well it'll be nice if this works, but it's okay
if it doesn't, then everything falls into place. And I
know it's easier said than done. It is to drive
me nuts. When you listen to the books of the rich,
(14:04):
do worry about money?
Speaker 2 (14:05):
Well, that's the adage as well. That's I mean, success
does breed success. The more success you have, the more
comfortable you are with and there's a certain certain relaxation
I guess of I'm not sure what it is, but
when you're really desperate, it's almost like everyone can smell it. Yes,
and it puts people.
Speaker 4 (14:22):
Off exactly exactly. But I think the other key fact
and when you're desperate, is not to be greedy. I mean,
you know, when I was making my first million for
the second time, as I call it, my first deal
made me two thousand dollars and I was over the moon.
I made two grand. Yeah, I look back now and go,
what did I discount it for? It was dumb, but
you've got to be happy with every success.
Speaker 2 (14:45):
So how did you How did that first deal play
out for you?
Speaker 4 (14:48):
So I'd gone and I'd met a person at a
property group that wanted a rental property in a certain areas.
I went and found one, got that property under contract,
rang them up, and I said, I found it, and
I can't remember the details, but say I bought it
for five hundred thousand.
Speaker 2 (15:03):
Oh so I get it. Sorry, yes, being a bit vague.
So you would you put something under contract conditional correct,
and you would go say, look, I've got it. Do
you want to take this over? And my fee is.
Speaker 4 (15:14):
X well to a degree, because that's assigning the deal
and that's illegal. So you'd have to settle it what
they call contemporaneously. So I've bought it for five hundred thousand,
I'm going to sell it to him for five hundred
and ten thousand as such, and then the two contracts
settle on the same day, a couple of minutes apart.
Speaker 2 (15:31):
God, that's that's quite ballsy. That would tear it.
Speaker 4 (15:34):
Really, it's just now it's a strategy and if you've
got the right condition in there, this is where you
use a due diligence, you've got no risk, you can
walk away zero risk. So it's just a strategy of.
Speaker 2 (15:45):
Gosh, that's fascinating. That's actually you were saying that's quadrant
three or something, whether your book your property quadrants, which
has been burning a hole in my backpack. Actually, look,
we want to hear from you as well. But before
we go to the break, are there any bits of
advice you'd give two parents as because one of the
means that they might help their kids into a house
is Okay, let's say your parents have owned it. They've
(16:07):
basically got maybe let's say they've got ninety percent equity
or they've got a truckload of equity. They can use
that equity. Can't they to help their kids buy a house?
Speaker 4 (16:17):
Yes?
Speaker 2 (16:17):
And what would what would the pitfalls of that be?
I guess the kid's not making the mortgage payments.
Speaker 4 (16:24):
Well, don't forget the two things the bank want to
see is the deposit and the income. So if the
parents give them, it depends how they do it. If
the parents go to the bank and borrow against their
house and then give it to the kids, then the
two properties are separate as far as the banker is concerned,
but the parents have now got a mortgage, so they'd
have to have the ability to service that as far
(16:46):
as the bank is concerned. In some cases the parents
might be retired, they can't borrow, so they say to
the kids, use my equity. In that case, the bank
will blanket the security, they'll take security over.
Speaker 2 (16:58):
To so they'll basically just say, look, we're going to
take a mortgage of a mum and dad's property. So
if anything goes wrong, mum and dadda in the game
direct that's sounds potentially worse. Or are they both the same?
Speaker 4 (17:08):
They're both the same really when you think about it,
Mum and Dad's properties at risk either way if they
do it that way.
Speaker 2 (17:14):
I guess. So if they borrow it and give it,
they are only in the gun for what they've borrowed, correct.
Whereas if they give a blanket surety with their property
for their for their children, and look, there'd be some
parents who for that That is an absolute no brain.
It's because my kids are amazing and I know what
sort of people they are, and I know they're going
to make sure that they look after this. Whereas it
(17:35):
would you would end up in trouble where you've given
you money to maybe the errant child and the family
who goes off and ruins everything, and then you're ruined
your screw.
Speaker 4 (17:45):
I mean, look, solicitors always see risk. Socilicitors always point
out all the pitfalls and advise against those. But if
you talk to the banks, like risk department, there's a
very minuscule percentage of properties in general that end up
at mortgage, let alone properties that mum and dad have helped.
So if you've got a tight knit family, and usually
(18:08):
you do because mum and dad aren't going to lend
if you don't, it's really a massive risk there.
Speaker 2 (18:13):
We love your calls on this. How did you get
into your first property? And if you're if you are
the bank of mum and dads yourselves, how did you
deal with that in terms of well, just it's a
business deal that you don't want to go wrong and
it's with people you love. How did you set the
ground rules and the expectations or was it easy because
you love your kids and your kids love you, and
(18:33):
everyone's going to play by the rules. It doesn't always
happen that way though. Just look at the arguments over
deceased to states, to see families fall apart, but that's
a different topic altogether. We want your calls. Eight hundred
eighty ten eighty text nine two. It's twenty five past
four News Talks V news Talks there B. This is
one who've radio show my guests Nicole Lewis. She is
a property investor and also author, And we're talking about
(18:53):
the bank of mum and dad. How how do you
help your kids into a house when in fact, sometimes
mum and dad might be like, well, hell, we're still
struggling to pay off our own mortgage. But if you texts here,
we love your cause. On one hundred and eighty ten
eighty we helped our daughter into a house. However their
marriage failed, he left and the house went to mortgages's sale.
(19:17):
That sounds problematic, doesn't it. I guess if you are
lending to you've got to make sure you spell out.
Oh that is complicated, isn't it.
Speaker 4 (19:25):
Yeah, Look, that is unfortunate. There are ways. There are
ways to protect it, Like we've set up a trust
where our kids trusts are the beneficiary of the trust. Therefore,
if anything happens that a marriage splits is protected by
the trust. But laws keep changing around trust protection, and
(19:49):
you don't necessarily end up as protected as you think
you are, but you do try to foresee these potential
things in the future.
Speaker 2 (19:59):
I've completely forgotten about that. Of course. Often when you're
trying to help your kids out, they are married to
someone else and hopefully that works out. If that doesn't
work out, then that can call well, that can cause
properties to go under go for sale and all of
a sudden, the bank's looming.
Speaker 4 (20:15):
Yeah, I mean mortgage e sale. Obviously sounds like they
couldn't pay the mortgage, so that was unfortunate. I mean,
if mum and dad could we could step in and
pay the mortgage, I'm sure they would have.
Speaker 2 (20:25):
Unfortunately, that's where the text finishes, so we don't actually
know what actually happened, because from mum and Dad's point
of view, they really want to make sure that they
don't get ruined in the process of the marriage.
Speaker 4 (20:33):
Yeah, correct, because mortgage sale is when the obviously, when
the payments can't get made any more normally even three
months and arrears and the banks deep in you have
got right up to the fall of the hammer on
the auction under mortgage to pay it off, and it
gets withdrawn. But yeah, that is a potential pitfall if
the main income owner leaves the situation.
Speaker 2 (20:53):
Yeah. Another one. This is another one that touches on
another topic where we want to sort of just include.
In the hour from Karen, she said she says housing
in New Zealand is not worth it now, shoddy old
stock and new ones lacking character. And the reason I
read that out is because there has I think there
was an opinion I saw from a property writer saying
(21:18):
that don't get into property quite yet because interest rates
are still going to come down. But the non expert
who is me but who has hosted and talked to
a lot of property experts, says that that's a bogus
argument because if the property prices are cheaper, I mean cheaper,
(21:39):
interest rates are not going to mean that property prices
get cheaper. It just means your repayment's going to be cheaper.
And I would have thought that if you have the
wherewithal to buy now, is exactly the right time. Just
set a very short time if you think interest rates
are going to come down, and get in because the
capital numbers could change reasonably significantly. Is that right?
Speaker 4 (22:00):
I totally agree. Look, the property market is cyclical. Typically
it's on a seven year cycle, peak in twenty twenty
one in Auckland to the rest of the country follows
at various times. And then we had our bottom in
twenty twenty three.
Speaker 2 (22:12):
Mind you, we did have COVID, which is sort of but.
Speaker 4 (22:15):
It doesn't matter. I mean, I've got one hundred year
history on the property cycles and.
Speaker 2 (22:19):
What they've personally.
Speaker 4 (22:20):
Obviously, well you're the one person who didn't get COVID.
Speaker 2 (22:25):
Who anyways, Sorry, So.
Speaker 4 (22:29):
We've had our bottom of the market and now the
market is definitely turning and I see it. I mean,
I've been outbit at about six octions this week. Properties
are going to multi off. I'm still managing to get
some but it's definitely different to what it was six
months ago. So, and interest rates have come down, they're
not as high as they were. So a lot of
my clients are now going, oh, I wish I bought
(22:49):
six months ago, and I'm like, don't worry, don't worry,
you haven't missed it. We're at the bottom.
Speaker 2 (22:53):
But also let's i mean, don't beat yourself up up.
But six months ago the property market was pretty tough
to get into. Interest rates for very high. There wasn't
a lot of excitement going on. There's still not a
huge amount of cis something at the moment, it's not.
Speaker 4 (23:05):
Exactly that's when you buy, You buy when no one
else is. But the interesting thing about it is, you know,
when the market's at the bottom, typically interest rates are
really high, typically inflation's really high. Banks don't want to lend.
They look for they're very risk averse, and it's very
hard to get an approval. And yet when you're at
the top of the market, typically interest rates is really low,
(23:27):
inflation is really low. The banks are paying you to
bring business to them, and it's really simple. They go
the world as a wash with cash. So, if you know,
sometimes these factors of whether you can borrow or not
are a huge determination as to whether you can buy.
But if you certainly can buy now, it's definitely the
time to do it right.
Speaker 2 (23:48):
Let's take some more calls Tom, Hello, Hi.
Speaker 5 (23:52):
There, How are you going good?
Speaker 2 (23:53):
How you doing?
Speaker 6 (23:55):
Yeah?
Speaker 5 (23:55):
Good? Speaking from experience, my advice for any parent lending
money to their adult children to buy a property would
be make sure the child has skin in the game,
Like if they want to deposit, say yep, I'll give
(24:18):
you a half because it makes them more accountable. They've
had to save that money over several years. Because what
happened with me and my family, my dad met my
brother a large summer money into a property. It all
(24:41):
went pair shaped and my brother had no skin in
the game. It all went pair shaped and we had
to sell half of our farm. So it's like a
major Yeah.
Speaker 2 (24:54):
So I think that's a good advice, and that sounds
incredibly sound advice because I mean it's advice for probably
every sort of parenting decision if your kids. If you
don't an investment and an outcome, then yeah, yeah.
Speaker 5 (25:09):
Because I get the feeling. Sometimes some young people roll
out of bed one day and they think, oh, I
want to buy a house, and they just go to
mom and dad, here you go, and then yea, it
may work fine, but it's a life lesson to go
to work every day and save that money and sacrifice
(25:29):
for it takes a few years, Like it took me
a few years. I did it all by myself, and
then it's just that much sweeter in the end when
you get it.
Speaker 2 (25:40):
That must have been pretty for your family, not just
on the financial side.
Speaker 5 (25:44):
Yeah, it's it's torn the family apart. It's an absolute mess.
But I wish my dad had just, instead of just
giving the handout of all this money, he had just said, Yep,
I'll give you half, but you've got to go out
and get the other half. And it might take a
few years. And then over that time my brother might
(26:06):
have thought about it. Yes, might've taken a different track.
But yeah, it's just a unthought. Like life gives us lessons,
and that's in them. I just look at it as
a really good lesson.
Speaker 2 (26:23):
It's a tough leason for you and your family. Tom. Actually,
you know, now that you say it, it sounds like
almost it should be the number one rule that you
just don't give people stuff for nothing when it comes
to your livelihood and your mortgage and your own you'd
agree with that when you're Nicole. Thanks Tom, Yeah, have
skin in the game.
Speaker 4 (26:42):
Oh look, we've thought about this. My son's twenty and
he's just finished his degree this year, Bachelor of Business,
and I thought, okay, is it time for him to
get his first house. I'm not going to hand him anything.
I'm going to show him how to make his deposit
through property and then he will then have enough income
(27:03):
to buy because they the kids have to want it,
they have to appreciate it, and they have to realize
that it's not easy, it's work.
Speaker 2 (27:14):
Yeah, let's take some let's take some more calls on
that I've written. Not that I'm going to be helping
my kids into your house, but I always write down
a good point when somebody makes it and make sure
they've got skin in the game. It's probably a lesson
for life anyway, I think if you want to doom
your kids to having lackluster lives and just give everything
to them and yeah, anyway, right, let's carry out bear
(27:36):
all high.
Speaker 9 (27:37):
Hello there, Tim, how you haven't spoken to you for
a while.
Speaker 2 (27:41):
I'm good, thank you for asking you.
Speaker 9 (27:43):
I'm very pleased. Please to hear your produce and put
your voice on a couple of times singing, which is
a bit different from hearing your talking.
Speaker 2 (27:50):
Yes, well, yes, thank you for that. Probably one time
one time too many, too many for me. But anyway,
what do you want to talk about with the helping
your kids?
Speaker 9 (27:58):
Probably suggest another way that hasn't come up, and it
probably has come up, but not on this conversation. Another
what's then.
Speaker 2 (28:05):
If your gain it's Nicole Lewis Nicole.
Speaker 9 (28:08):
Another way of helping out is if you get if
you don't really want to give up the equity and
your property, you could have you know, your children move
in with you and share the house and they could
save that way if you didn't want them using equity.
Speaker 2 (28:28):
In your house, save them, save them all the rent
money that otherwise be paying us.
Speaker 9 (28:32):
Where you mean absolutely, And also another way, doing as
you can't perhaps stand your son's partner or maybe your
daughter's husband or whatever, you could buy them a sort
of a caravan to put on the back of your property,
and you know they might have to use the laundry occasionally,
but they could buy one of those little cylinder gas stoves,
(28:56):
you know, you know, you could shove something out there
for them to cook on and let them use your laundry.
There are ways around it, ways of.
Speaker 2 (29:05):
Having them as tenants even if you can't stand there
other Okay, that's an interesting thought. You've got anything on
that one, Beryl, I'm sorry I was looking at Bill Nichols.
Speaker 4 (29:17):
Well, look, if your kids live in a similar area
to you, it's certainly an option. I don't know how
practical it is long term, because it does still take
a few years to save up that deposit, But it
certainly is an option if the kids are local to
where you are and they haven't got their own family.
But I think lifestyle comes into it as well. I
(29:39):
think we've all got to live a good lifestyle. So
for some people that would work beautifully. Other people perhaps
wouldn't quite work out for them.
Speaker 2 (29:48):
Actually, somebody's texted us as saying, you guys are a
little bit tough. I think it's perfectly reasonable to actually
give away some money, perhaps ten thousand dollars to your
child who wants to buy a house. It just helps
them get into a house and for everyone's benefit. And look,
I don't think any of us would have a problem
with a small amount of money like that. I think
we were telling this well. Tom was telling the story
(30:08):
of the family farm being lost, and I think there's
a there's a helping hand, and ten thousand dollars is
still going to mean your kid's going to have skin
in the game Causette's only getting them a fraction of
the way there, isn't it.
Speaker 4 (30:21):
Yeah, I understood Tom's story as if the brother's going, look,
I want a million dollar house, and dad going shores
a million dollars or the full two hundred thousands. I
who could borrow the rest? That's the way I understood
the story. But I totally agree a proportion to your
children to help them.
Speaker 2 (30:38):
Absolutely, we'd love to have he from you one hundred
eighty ten eighty. What rules would you follow and when
it comes to helping your kids get into a property,
so you don't end up being a story like Tom
just shared with us of the family farm being basically lost.
It is twenty to five news Talk, said b it's
(31:01):
a world world the cat Steven's there to lead usten
to it. Not even a Christmas song. My producer must
be having just a moment of hiatus on the Christmas Right,
Let's carry on with the calls on the bank of
Mum and Dad, Andy High, good day, how are you
(31:21):
doing good? Thanks?
Speaker 7 (31:23):
I'm a mortgage advisor by trade, so interesting discussing too.
I don't know if it's been discussed because they joined
halfway through. But what I've helped many of my first
time buyers in using mum and Dad as the bankstop
is what they call in the trader deed of acknowledgment,
(31:45):
which effectively is they give a depositive amount, say one
hundred thousand, and you med certificate to the bank for
saying when the house fells, they appearent get one hundred
thousand dollars back from from the proceeds. There's no interest
s having on it, and there's no repayments demanded on it.
So essentially the money's gisted to them. But when they
(32:09):
come to sell their house, their parents get back the
one hundred thousand dollars in the short deposit. They can
also put an interest charge at the end if they want,
but they just saves the parents from giving the money
and getting it back at the end in case they
want to retire themselves.
Speaker 2 (32:28):
What do you reckon the car?
Speaker 4 (32:29):
Yeah, yeah, absolutely, I mean you definitely want to have
some sort of acknowledgment deed of acknowledgment or blind trust
agreement or joint venture agreement or loan agreement on the
side between the parents and the kids is sensible.
Speaker 2 (32:43):
How often are you arranging mum and dad out for
the first time buyers?
Speaker 7 (32:47):
Andy, Oh, well, yeah, yeah, I'd say about four out
of five. Ye, there's a lot up here, and there's
a lot of parents wanting to help us. Fantastic and especially.
I mean I'm in the upland so yeah, you pain,
you know, nearly a million billow marks no matter where
(33:07):
you are. And I've found a lot of people unfortunately
you know they've got it saving, but they're just not
anywhere near the one hundred thousand marks which you need
for everything deposit. So if they come in and go, well,
you know some and some in partner saved up fifty
k each, here's another one hundred, these two hundred, that
(33:31):
means they can get twenty percent deposit all the bout
and whistles from the bank. They can have a property
relationship agreement thing you know he's put more of the
posit than she has. And you know we all those
little things and that's part of as a as a
more advisor as we independed all the banks, but we
also give them that type of guidance on how to
(33:54):
actually structure and do things where you don't you don't
need you to get there at the bank the bank
stuff I tell you to get a need of acknowledgment
or this is how you do it. And then the
other other Robson was well TV bank call it co owned,
but you can do it for any other banks. We
just have multiple people buying, and so brother and sister
(34:15):
and another brother and sister in their parts they all buy.
So you can all put in fifty k in each,
prayed a relations agreement and then buy it out. And
like you say, only five years seven years is the
recycle terms. And yeah, it's all doable. It's just a
different way of doing.
Speaker 2 (34:35):
Yep, no, good stuff. I appreciate your calling any thanks
so much, Glenn.
Speaker 5 (34:39):
Hi, how are you going to them?
Speaker 2 (34:43):
Yeah?
Speaker 3 (34:43):
Good, yeah, very much agree with Andy. A good call there.
Speaker 10 (34:48):
I'm a father who and obviously my wife would lent
money to our son to buy his second enlistment property. Now,
so he's brought two properties on the believer like Nicole
at the proper and cycles very much at the bottom.
And why we're need jumping now. So we've actually helped
him out twice. He's put a little bit of himself
(35:10):
and we've basically did what Andy said and just gave
them some fun, gave him some funds to get a
couple of loans and mortgages.
Speaker 2 (35:20):
Good stuff and fantastic. Yeah, so all play out quite well.
Speaker 11 (35:25):
Yeah, Well, he's overseas at the moment, he's enjoying Europe,
but it was really about him before he left a
few months ago, getting on the property ladder yep, and
just yeah, but I think like that other guy who said,
you know, they lost half.
Speaker 3 (35:41):
The family farm, I've sort of put everything. Well, my
son's put everything in his name, so it's up to
him to pay rates and insurance, which is a contribution
to the city, I guess, and you know it gets
in trouble. I'm sure. I'm happy to help, but it's
his responsibility and I think that's where he's going to
learn from.
Speaker 4 (36:00):
Well, I think you've made I think you made an
important point there that yeah, the parents have it in
the kid's name, but not in their name. Then at
least if it's not blanketed by the bank, there's no
comeback on them. They're not going to lose half the fun.
Speaker 2 (36:13):
Yeah, thanks for cole mate. I really appreciate it. LEVI goodayah,
how are you going good? Thanks?
Speaker 8 (36:21):
Yeah, I just thought a bit of a full up.
I'm pretty young. I'm twenty one years old, and I'm
kind of starting the process of looking at possibly buying
a property in the next kind of a few years.
So I've talked to kind of family about the process
and what we should kind of be doing with it,
and I think we've kind of came to an agreement. Obviously,
I think it is a very case by case situation,
(36:42):
but I think a real good way to do it
is for the younger person, the kid or whatever it is,
set a goal, set a savings goal of how you've
got to hit this, and then I'll put it in
money do I think the idea of a direct handout
is probably where it gets bad, where it's like, oh,
I had what I'll give you a hundred thousand dollars,
but you know, if you save one hundred thousand dollars,
I'll put in a hundred, or if you save one hundred,
(37:03):
I'll put in ten.
Speaker 4 (37:04):
Yeah, yep, I think that's a very good idea.
Speaker 2 (37:07):
Yeah. Yeah, I mean it's just basically getting the buying
of your kids as well, so it's not not a handout.
Speaker 4 (37:13):
And does that motivate you? So does that motivate you
to get in there and reach your goal and reach
your savings knowing that that help Mum and Dad are
going to help when you get to that point.
Speaker 8 (37:22):
Yeah, one hundred percent. Because for me, I mean, like
you know, I'd probably be looking at like where we
will kind of made. The agreement was that I would
get to one hundred and she would be able to
put a ten towards for me.
Speaker 7 (37:33):
Yeah, I think that that's kind.
Speaker 8 (37:35):
Of a perfect going. You know though it is only
you know, ten percent of what I'm actually saving, it's
still a big push because you know, every kind of
dollar counts when it comes to buying a house like that.
Speaker 5 (37:45):
And absolutely more more intrigued.
Speaker 8 (37:48):
To kind of go for it. And you know, the
younger that you get into the market, I think the better.
Speaker 2 (37:54):
That's my agreeing earlier. Hey, thanks leave, I really appreciate
your call. We got a rush to a break now
it's ten to five new stalks.
Speaker 1 (38:01):
He'd be the one roof property of the week on
the weekend collective.
Speaker 2 (38:08):
Yes, and the one roof property of the week. As
I say, I'm not sure this one would feel like
such a holiday to go through it normally, I say
you should go and check out the one with propably
the week because it's like, I'm a little holiday. We
have luxurious residences. I'm not saying that because it's a
negative thing about this, but this it's in a beautiful spot.
It's actually an old police station. There's not a hell
(38:28):
of a lot of photos online, but it is located.
It's previously the Kaitaya Police Station. It's now available for
new ownership. Relocated in nineteen ninety four. It provides a
privacy piracy ha that's going to be the misread of
the day, isn't it? Privacy and attractive lifestyle. It's conveniently
located near Pukunui Village and the Far North's attractions. And
(38:52):
here's the thing I guessed, well, property price is not
quite Auckland prices. The estimated the estimate for the price
is around five hundred and forty thousand. It's open plan
kitchen and living area with a wood burner, high ceilings,
unique character elements. I want to know if there's a cell,
if it's the former police station, but of course it
probably isn't. Really, it's probably a bit more domestic than that.
(39:14):
Nicole Lewis is at a quick look over my shoulder
as we have. There's not too many photos to go by,
but it definitely looks quite remote, doesn't it, Nicole?
Speaker 4 (39:20):
It looks like a great location. Yeah, absolutely does. The
pirates are in the cell.
Speaker 2 (39:26):
Can't believe, I said piracy privacy. Just if we're going
to recap on the by the way, you can go
to the one roof website one roof dot cod on
the in said and going look for that. It is
one hundred and forty four Kimberly Road, ho Horror in
the Far North. So there we go. And as if
you see the location, it does seem it seems almost
(39:46):
implausible that it was actually once a police station because
it does look very remote. But there we go. I
mean the Far North. Have you spent much time in
the Far North?
Speaker 4 (39:54):
I actually did actually went up there looking for property. Sure, yeah,
when did a bit of a search? Is actually said goodbye?
Is up that way?
Speaker 2 (40:02):
What sort of when you're going are you looking for resident?
Eventually you're looking for sort of this would make a
good batch for someone and all, or you're looking for yourself.
Speaker 4 (40:10):
Well, I was actually looking for either a property to
renovate and inn Katya that was a lot of them,
or a sort of blocker units to put in the
in the portfolio. So that's that's.
Speaker 2 (40:21):
Where I look at a rental point of view.
Speaker 4 (40:23):
Anyo, Yeah, there was actually one blocker units I liked
that had already sold.
Speaker 2 (40:28):
So there you go oh well, they had a nice time,
a little bit of sun.
Speaker 4 (40:32):
I enjoyed going up there. It was fun.
Speaker 2 (40:34):
Actually, it's probably not a bad place. I haven't been
up there for a holiday. For the far North. It's
one part of New Zeland I haven't really been to,
so might have to take a bit of a look. Hey, Nicole,
thank you so much for coming in and chatting to us.
Speaker 4 (40:45):
Thanks for having me Christmas shopping all sort of oh
done and dusted.
Speaker 2 (40:49):
Excellent, right, Okay, thanks very much. We'll be back shortly.
The parents' squad is upon us and we're going to
be having a chat about not spoiling your kids or
dealing with the materialistic side of Christmas and other questions
around that. News Talk said be Kim Harvey is joining us,
us back in my.
Speaker 12 (41:05):
Mind, A cozy little Christmas here with you, to see
you and me under a tree. A cozy little Christmas
here with you.
Speaker 1 (41:24):
For more from the Weekend Collective, listen live to News
Talks it'd be weekends from three pm, or follow the
podcast on iHeartRadio.
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