We pulled 6 gems from this week’s trickle of property news to keep you abreast of the most important insights affecting investors. 14-20 December 2019
Welcome to our final edition for 2019. We’ll be back week commencing 13 January 2020. The usual torrent of property news was more of a trickle this week, but we sifted through to find what’s important for you…
Landlords Looking to Sell Up Over Proposed Changes to Rental Rules
Stuff.co.nz reported today on the difficulties leading to many investors cashing up on their capital gains and getting out. In an age of trash journalism, this is a good, balanced article. Read it…
Provincia Settles Carbine Road; Bank & Lawyers Work Overtime!
Provincia Property Fund managing director Carl Burling announced the Carbine Road capital raising closed over subscribed and settled late last night.
Fund chairman and property stalwart Olly Newland noted with incredulity that the bank and lawyers on all sides worked considerable overtime last night to get the deal through before the end of the week. Olly said he’d never seen anything like it before.
Bulls or Bears in 2020?
For the Bulls: John Mauldin. Doom and gloom predictions about the stock market drive clicks, but those predictions have fallen flat for 10 years straight, says Mauldin Economics. They predict the US stock market will continue to rise until at least September 2020. The headline of their article says it all: “History’s Longest-Running Bull Market Will Push Ahead into 2020“. Since they first made that prediction, the S&P 500 has climbed another 10%.
For the Bears: Harry Dent. Harry says we’re in for 3 years of hell, with political chaos, civil unrest and crashing markets that could be just months away. He says the indicators he monitors don’t bode well for the stock market, yet it keeps going up. He asks, what does Wall Street see that his charts don’t? Don’t worry though, Harry has a subscription package to help save you from disaster!
Growth Potential Highest in Small Countries Like NZ
American economic analyst Patrick Watson of Mauldin Economics says that future growth potential should be highest in smaller countries with stronger, more flexible political institutions, like New Zealand and Switzerland. It’s a thought provoking article and well worth the read.
Kiwibank & ANZ Drop 1-Year Term Deposit Rates
Kiwibank and ANZ both dropped their 1-year term deposit rates this week. Kiwibank dropped theirs to 2.6% (down from 2.75%). ANZ dropped theirs to 2.6% (down from 2.65%). All the major banks are now clustered between 2.55% and 2.6%. Click the link for full details…
Rent Control – Good Or Bad? The Scientific Consensus Says…
Rent control is back. 93% of economists say it rewards a few privileged beneficiaries (often not the ones who really need help) but is bad for most others.