Misc

Property as safe as houses

In uncertain times like these, shares in quality property companies come into their own.

Monday, March 31st 2003

Usually property stocks are among the most boring on the market. Their share prices don't move around too much but are usually underpinned by steady profits and reasonable to high dividends.

Because of this, many people include property shares in their portfolios: the better companies offer a much better return than, for example, government stock. Against this, the shares rarely excite with either takeover activity or unusual profit surges. People wanting stocks that outperform tend to look elsewhere.

As usual, share prices in the sector have been reasonably steady while the market as a whole has been under pressure. Many see this sector as a safe haven given the Iraqi war and global uncertainties and the prospect that interest rates could fall, lowering the companies' borrowing costs.

Examples include: Capital Properties which was selling at 90c on Tuesday (these shares have this year range traded between a low of 84c and a high of 91c); Colonial First State $1.10 (range $1.97 and $1.15); Calan Healthcare 78c (76c and 82c); Kiwi Income Property Trust $1.06 ($1.03 and $1.06); Property for Industry 91c (86c and 97c) and Trans Tasman 25c (24c and 30c).

Read More - Opens in a new window
Heartland Bank - Online 6.69
SBS FirstHome Combo 6.74
Wairarapa Building Society 6.95
Unity 6.99
Co-operative Bank - First Home Special 7.04
ICBC 7.05
China Construction Bank 7.09
BNZ - Classic 7.24
ASB Bank 7.24
ANZ Special 7.24
TSB Special 7.24
Unity First Home Buyer special 6.45
Heartland Bank - Online 6.45
China Construction Bank 6.75
TSB Special 6.75
ICBC 6.75
ANZ Special 6.79
ASB Bank 6.79
AIA - Go Home Loans 6.79
Kiwibank Special 6.79
BNZ - Classic 6.79
Unity 6.79
Westpac Special 6.39
China Construction Bank 6.40
ICBC 6.49
SBS Bank Special 6.55
Kiwibank Special 6.55
BNZ - Classic 6.55
Co-operative Bank - Owner Occ 6.55
ASB Bank 6.55
AIA - Go Home Loans 6.55
TSB Special 6.59
Kainga Ora 6.99
SBS FirstHome Combo 6.19
AIA - Back My Build 6.19
ANZ Blueprint to Build 7.39
Credit Union Auckland 7.70
ICBC 7.85
Heartland Bank - Online 7.99
Pepper Money Essential 8.29
Co-operative Bank - Owner Occ 8.40
Co-operative Bank - Standard 8.40
First Credit Union Standard 8.50
Kiwibank 8.50

More Stories

Support for regulation

Monday, March 18th 2024

Support for regulation

REINZ has emphasised the need for property management regulation to Parliament’s Social Services and Community Committee.

A better investment market

Thursday, March 14th 2024

A better investment market

“Reinstatement of interest deductibility starting from the new tax year on 1 April brings property investors back in line with every other business in the country, where interest costs are a legitimate deductible expense," Tim Horsbrugh, New Zealand Property Investors Federation (NZPIF) executive committee member says.

[OPINION] Recessionary times

Thursday, March 14th 2024

[OPINION] Recessionary times

It is not the best out there for many businesses and property sector people. Sales are down across the board, our clients’ confidence is falling, and there is a lot of uncertainty.

Interest rate expectations: It’s not over yet

Thursday, March 07th 2024

Interest rate expectations: It’s not over yet

Most Kiwis think interest rate increases have peaked.