Juggling with security - Mary Holm

Saturday 24 July 2004

Q. Unlike a lot of people we know in a similar position, my wife and I have not invested in real estate, apart from the house we live in.

Our house in Auckland is now worth about $350,000, and our equity in it is about $200,000.

If we want to make our money (our equity) work hard for us, and we don't choose to invest in real estate, what else could we invest in? <

By The Landlord

br>
Would we be better off borrowing to invest rather than simply paying off the mortgage as soon as possible? Frankly, it's hard to get enthusiastic about paying off the mortgage.

And how willing will our bank be to lend us money to invest in assets other than property?

We are both in our mid-30s and have two young children. Our combined income is over $100,000 a year.

A. That expression "getting your equity to work hard for you" - often used by property sales people pushing rentals or people justifying their property investments - always makes me wonder.


Read More - Opens in a new window
Commenting is closed

Property News

Return to market form

There’s been a rallying of the market with the latest REINZ data showing both sales volumes and median house prices noticeably up with the onset of Spring.

Commercial

NZ proptech start-up scores major investor

Auckland-based commercial property disrupter, Jasper, has raised $2.3 million in seed funding following investment from European asset manager M7 Real Estate.

Mortgages

LVR limits slow down investors

LVR speed limits continue to have a "strong effect" on investors, according to CoreLogic, after the latest Reserve Bank data showed a drop in investor borrowing.

Site by PHP Developer