Property Investors in a mood to buy
Close to 90% of property investors intend to increase their holdings in the next five years in spite of indications price increases may be leveling off, the ANZ/NZPIF Property Investment Survey shows.
Thursday, May 25th 2006, 12:00AM
by The Landlord
NZ Property Investors Federation president Martin Evans says virtually no-one expects prices to rise faster than they have in the past two years.
“The survey shows investors are confident that the long term trends will favour property and the returns it can generate." The Government’s intended capital gains tax on direct overseas investment, announced since the survey was undertaken, may be a further encouragement for investors to increase their property holdings.”
“The price paid for a property is not so important for those who long term investors and are taking a 10 or 20 year view,” Evans says.
“Any slow down in prices is likely to be used by those experienced property investors to further expand their portfolios.”
Most federation members are focused on rental streams rather than solely capital gains, Evans says.
“The median property investment ‘breaks even’ in terms of profit and loss. However many in the sector are taking advantage of the Loss Attributing Qualifying Company regime to deliver benefits.”
The 2006 survey, conducted earlier this year, was the third by the Federation which represents the interests of property investors throughout the country.
“We believe our survey is an accurate reflection of the opinions of those most closely associated with property as an investment vehicle,” Evans says.
| « Building consents plummet | New tax requirements for NZ-based foreign trusts » |
Special Offers
Commenting is closed
|
|
Printable version |
|
Email to a friend |
