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Anybody here involved with investment properties?

Looking at getting a property which will be tenanted for the first year and then possibly our son moving into the place when he's away at uni the following years.

I think from memory your in NZ are you?

It may be different in NZ to Au is only reason I ask.

We have had troubles with some tenants in the past & the civil court crap is a LOT of work so always best/safest to do it through an agent & can normally get there fee's down to 7% but then they will want to charge you for all the other options too.

Yep, in NZ.

It's still very early and we are working on sorting all that info ATM before we see our broker next week.

I have several, best thing I ever did, mine are industrial though, I won't do houses...

If you do it personally/privately without an agent then make sure you keep the journal of payments as described in their exact terms as the civil law will not except anything other than the way they say they have to be even if the tanant is $8,000 behind & they will always side with the tenant & not landlord & goes without saying but make sure you have landlord insurance I have found EBM to be the most reasonably priced & had a few claims now & always been happy to pay up with proof of everything.

But yeah as Bggvl says the safest & best everyone say's is commercial/industrial!

Just found out who the management company is, they charge 8.9% +gst.....

The property we are looking at is at the other end of NZ so having it managed is the only solution at this stage. The plan is for our boy to move into the place the following year and he can then rent out individual rooms for the remainder of his stay at uni.

I have a few and it's been pretty easy as we have had good tennants excluding one or two.
We do get silly calls sometimes but.

Renters insurance I would recomond for piece of mind and if they stop paying rent.

Thought I should update this thread...

We ended up purchasing a property. At this stage it is been managed by an agency due to the location and distance from us, the plan is to have our youngest move into the property and rent out the other 4 bedrooms to his fellow students as the property is setup as student accommodation next year.

Landlord insurance is a good idea and many property investors have this but You would have to check to see how it works with your student accomodation model. Not sure how the NZ tax laws work but I assume you should be able claim interest expense, rates, repairs, insurance and depreciation against the rental income. If you are not charging your son rent at a market rate then you would need to pro rata the expenses as deductible/non-deductible. Again the is how it would be done in Aus but not sure about NZ, cheers

Yes insurance we have Much you can claim but the current government is working to change rental property laws to ring fence losses.

Student accommodation seems to be more profitable than regular rental properties, we may look at getting more in the future.