Property Management

Selling rental properties best solution - Mary Holm

Q. I am 52 years old. My parents died six years ago and I was the sole beneficiary. I retired and have been living mainly off the revenue ever since.

I own my own home - it is freehold - and I also own two rental homes. One is freehold and the other has a $50,000 mortgage. This costs $348 per month principal and interest over 25 years. I am four years into the term.

Sunday, November 30th 2003

The rentals are bringing in a total of $2780 per month before expenses. Mortgage, rates, insurance, maintenance and repairs total about $850. Roughly $100 of that is mortgage principal....

A. Brace yourself for one of the longest answers ever in Money Matters! There's lots to say.

Many people would be content in your situation. And, as it has turned out, being overly invested in Auckland housing has worked well for you in the last few years. But that might not continue. Let's look at the performance of your rental properties.

In considering expenses, we won't include the principal paid off your mortgage. That's a saving rather than an expense. It adds to your wealth. Your properties, then, are bringing in about $2030 a month after expenses, or $24,360 a year.

Read More - Opens in a new window

Most Read

Unity First Home Buyer special 3.99
ICBC 4.25
SBS FirstHome Combo 4.29
Co-operative Bank - First Home Special 4.35
Co-operative Bank - Owner Occ 4.45
TSB Special 4.49
ANZ Special 4.49
ASB Bank 4.49
SBS Bank Special 4.49
Unity Special 4.49
Westpac Special 4.49
TSB Special 4.00
SBS Bank Special 4.49
Kainga Ora 4.49
Kiwibank Special 4.49
Nelson Building Society 4.59
ICBC 4.59
Unity Special 4.65
BNZ - Std 4.69
ANZ Special 4.69
Westpac Special 4.75
ASB Bank 4.75
SBS Bank Special 4.99
ICBC 4.99
Kainga Ora 5.15
Westpac Special 5.29
BNZ - Std 5.29
Kiwibank Special 5.39
TSB Special 5.39
ASB Bank 5.45
AIA - Go Home Loans 5.45
Co-operative Bank - Owner Occ 5.49
SBS Bank 5.59
SBS FirstHome Combo 3.29
AIA - Back My Build 3.34
SBS Construction lending for FHB 3.74
CFML 321 Loans 3.95
Co-operative Bank - Owner Occ 4.99
Co-operative Bank - Standard 4.99
Heartland Bank - Online 5.30
ICBC 5.39
Kiwibank - Offset 5.65
Kiwibank 5.65
ANZ 5.69

More Stories

Record levels of first home buyers taking out low deposit loans

Tuesday, December 23rd 2025

Record levels of first home buyers taking out low deposit loans

About half of all first home buyer lending has been done at a less than 20% deposit in recent months.

Buyers sitting on the sidelines in best time to buy in a decade

Thursday, December 04th 2025

Buyers sitting on the sidelines in best time to buy in a decade

Stable house prices, low interest rates and plenty of houses to choose from are still not enticing buyers.

Differing views on 50-year mortgage

Tuesday, December 02nd 2025

Differing views on 50-year mortgage

US president Donald Trump recently raised the idea of 50 year mortgages; but New Zealand advisers say such long loans won’t take off in New Zealand.

Houses selling at a loss hit a 12 year high

Wednesday, November 26th 2025

Houses selling at a loss hit a 12 year high

About one in five Auckland residential properties (19.3%) sold for less than their original purchase price in the third quarter, up from up from 15.9% in the second quarter.