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Pelorus Pete

New Zealand Positive Propaganda Machine

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I don’t know what’s going on back home – but the two months I have been away has got me scratching my head for answers ???

All positive News coming out especially this past few weeks.

Like this

http://www.nzherald.co.nz/nz/news/article....jectid=10591107

http://www.nzherald.co.nz/property/news/ar...jectid=10591113

http://www.nzherald.co.nz/property/news/ar...jectid=10590127

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I don’t know what’s going on back home – but the two months I have been away has got me scratching my head for answers ???

All positive News coming out especially this past few weeks.

Like this

http://www.nzherald.co.nz/nz/news/article....jectid=10591107

http://www.nzherald.co.nz/property/news/ar...jectid=10591113

http://www.nzherald.co.nz/property/news/ar...jectid=10590127

Blimmin ell, $594k for a 3 bed ex statey in Onehunga that was bought for $200k in 2001..

Tripling in 8 years.

Good to see New Zealands not missing out on some Recovereh!

At least they haven't sucumbed to the money printing machine like Gordo.... and low interest rates there still means 5.5 to 6%, which i am loving at the moment in terms of my NZ property mortgage....compared to the 10% a year ago...

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Blimmin ell, $594k for a 3 bed ex statey in Onehunga that was bought for $200k in 2001..

Tripling in 8 years.

Good to see New Zealands not missing out on some Recovereh!

At least they haven't sucumbed to the money printing machine like Gordo.... and low interest rates there still means 5.5 to 6%, which i am loving at the moment in terms of my NZ property mortgage....compared to the 10% a year ago...

I spent 10 days in Onehunga before getting married in April...Kensington it ain't! New Zealand property prices are silly...there's so much land and so few people. prices are artificially high, even more so than here.

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What jobs are New Zealanders working in order to afford these overpriced homes? I have not been to NZ for years, but one thing I noticed long ago was the great difference in the homes between Australia and New Zealand. Melbourne homes on average would have been luxury homes in Auckland. An average NZ home at that time would have been about like a poor shack in a Bush town in OZ. Maybe NZ has caught up in the wealth gap? Like I said, it's been many years since I've been down under. NZ standard of living struck me as at about a 50% level compared to OZ.

How do the New Zealanders get the money to feed the housing prices there. Have they developed a high tech economy or something they didn't have 20 years back?

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I don’t know what’s going on back home – but the two months I have been away has got me scratching my head for answers ???

All positive News coming out especially this past few weeks.

I turn on SKY or BBC news & I hear an introduction of green shoots & positive thinking that the recession is over, followed by about 6 items stating that huge redundancies &/or companies downsizing/closing down, followed by green shoots & positive thinking that the recession is over.

The following month the BoE or the ECB or the BRC etc etc etc state that the recession is deeper than first thought.....

then about a week later:

I turn on SKY or BBC news & I hear an introduction of green shoots & positive thinking that the recession is over, followed by about 6 items stating that huge redundancies &/or companies downsizing/closing down, followed by green shoots & positive thinking that the recession is over.

The following month the BoE or the ECB or the BRC etc etc etc state that the recession is deeper than first thought.....

for those that remember, please apply The List mentality to the above message. :D

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I turn on SKY or BBC news & I hear an introduction of green shoots & positive thinking that the recession is over, followed by about 6 items stating that huge redundancies &/or companies downsizing/closing down, followed by green shoots & positive thinking that the recession is over.

The following month the BoE or the ECB or the BRC etc etc etc state that the recession is deeper than first thought.....

then about a week later:

I turn on SKY or BBC news & I hear an introduction of green shoots & positive thinking that the recession is over, followed by about 6 items stating that huge redundancies &/or companies downsizing/closing down, followed by green shoots & positive thinking that the recession is over.

The following month the BoE or the ECB or the BRC etc etc etc state that the recession is deeper than first thought.....

for those that remember, please apply The List mentality to the above message. :D

G20 was the turning point and the Worlds is trying a media led recovery. Everyone thinks (including the politicians it seems) that it was the media's fault that we had this recession so it stands to their logic a bit of positive thinking will get us out of the mess. Shame the fundamentals wont allow it to succeed, however it will buy this crisis more time to try and unwind with the sheeple in complete confusion that one minute it was the worse recession in 50 years then it was all over then it is all back on again in the space of 9 months.

Does seem to follow the pattern you describe, samwich the bad news in a very slim section in the middle of loads of positive news bread either side.

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What jobs are New Zealanders working in order to afford these overpriced homes? I have not been to NZ for years, but one thing I noticed long ago was the great difference in the homes between Australia and New Zealand. Melbourne homes on average would have been luxury homes in Auckland. An average NZ home at that time would have been about like a poor shack in a Bush town in OZ. Maybe NZ has caught up in the wealth gap? Like I said, it's been many years since I've been down under. NZ standard of living struck me as at about a 50% level compared to OZ.

How do the New Zealanders get the money to feed the housing prices there. Have they developed a high tech economy or something they didn't have 20 years back?

There actually is a bit of foreign influence in New Zealand. Americans who recently discovered where the place was through Lord of the Rings buying a place on 'tinternet (because they're so fricking cheap with dollars), young people coming back from UK with substantial deposits, immigrants having a lot of money from selling their places in places like the UK and Germany.

And then I guess, there is the dramatic rise in value that property has seen in quite a few western countries, which feeds itself. It's another bubble isn't it?

The population is growing, and there is only so much beach front close to populations where it is warm.

I see the right I'm off threads on here, "UK property is overpriced". And I wonder where they are going to go to! It's OK if you want to learn a new language, but NZ, Aus, US, all have had it to. I haven't checked but has Canada bubbled too?

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Queenstown has dropped 25%. NZ pproerpty is far too expensive and interest rates are much higher than the UK and US. Once interest rates start to rise again we are gonna have a big correction. Bring it on!!

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Queenstown has dropped 25%. NZ pproerpty is far too expensive and interest rates are much higher than the UK and US. Once interest rates start to rise again we are gonna have a big correction. Bring it on!!

Has it really? I now hear people saying they'd love to live in Queenstown. An aussie couple said that to me the other day and it just makes me laugh so much. Fifteen years ago you'd go live in Queenstown for six months if you were going to work in a bar, or man a ski lift otherwise you'd just go there for a holiday. Now isn't Shania Twain having a ruck with the District council over planning permission?

All over priced bubbles are going to get it!!!

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Has it really? I now hear people saying they'd love to live in Queenstown. An aussie couple said that to me the other day and it just makes me laugh so much. Fifteen years ago you'd go live in Queenstown for six months if you were going to work in a bar, or man a ski lift otherwise you'd just go there for a holiday. Now isn't Shania Twain having a ruck with the District council over planning permission?

All over priced bubbles are going to get it!!!

According to the local rag last week Queenstown was down 25%. there have been a few repo auctions. Shania Twain has sorted out all of the issues that arose I think, and that large section of land was Wanaka really.

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G20 was the turning point and the Worlds is trying a media led recovery. Everyone thinks (including the politicians it seems) that it was the media's fault that we had this recession so it stands to their logic a bit of positive thinking will get us out of the mess. Shame the fundamentals wont allow it to succeed, however it will buy this crisis more time to try and unwind with the sheeple in complete confusion that one minute it was the worse recession in 50 years then it was all over then it is all back on again in the space of 9 months.

Does seem to follow the pattern you describe, samwich the bad news in a very slim section in the middle of loads of positive news bread either side.

I think you are right on the button. They (all powers to be) are trying the positive spin to lift things - there is no doubt the "Media" is the most powerful weapon/tool/machine in the world today !!!

That CNN video link someone on here posted yesterday is bang on too.

Wait for the Credit Card defaulting to start sinking in - everyone I know back home in NZ are maxed out on at least one card. They must hate me (Banks) I have got a Gold Visa and its got a 54K Limit - I haven't used it for nearly 12 months now - they must be due to cut me off their "potential debted controled sheeple list"

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Just read this - interesting bit of news

Chinese increase lending in Britain - This is another reminder about who has all the cash globally and that conservative values will (and should) prevail in future. The Bank of China has started mortgage lending to British people and they plan to use old fashioned, yet commendable, rules including; 25% deposit, higher rates of interest on investment properties, a maximum of one million pounds and the old fashioned idea of a face to face meeting between the borrower and the bank manager! Gen Y borrowers will be forced to dust off the "GPS App" on their iPhones to find their local bank branch if they wish to borrow money.

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I don’t know what’s going on back home – but the two months I have been away has got me scratching my head for answers ???

All positive News coming out especially this past few weeks.

Like this

http://www.nzherald.co.nz/nz/news/article....jectid=10591107

http://www.nzherald.co.nz/property/news/ar...jectid=10591113

http://www.nzherald.co.nz/property/news/ar...jectid=10590127

NZ is in the twilight zone. :rolleyes:

I am also an expat kiwi... but will be keeping my powder dry for a few more years. We have a whole generation in NZ who have assumed wealth is generated by houses.... this is a die-hard psychology. When the bust proper comes it will be savage.

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Guest The Relaxation Suite
What jobs are New Zealanders working in order to afford these overpriced homes? I have not been to NZ for years, but one thing I noticed long ago was the great difference in the homes between Australia and New Zealand. Melbourne homes on average would have been luxury homes in Auckland. An average NZ home at that time would have been about like a poor shack in a Bush town in OZ. Maybe NZ has caught up in the wealth gap? Like I said, it's been many years since I've been down under. NZ standard of living struck me as at about a 50% level compared to OZ.

How do the New Zealanders get the money to feed the housing prices there. Have they developed a high tech economy or something they didn't have 20 years back?

It's all just propaganda same as UK. It works like this: Govt. Dept. A releases some heavily massaged figures into the media and then watches as it gets picked up on sites like this and effectively goes viral. Some of the people believe it, others know its propaganda. The economies of the US and Europe are completely insolvent with no hope of building their way out of the debt and there is no recovery.

People paying 8/9/10 times their salary to buy a house down Average Street are going to pretty goddam angry in a year or two.

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Working overseas anh massive BTL.

cant remember the details, but when I was there ( 3 years ago), the rag was doinf an article on FTBS being priced out by BTL borrowers....due to tax incentives.

the lady in governement said these were necessary as landlords provided homes for the people that couldnt afford the homes.

My BIL just saw his place go from 70,000 dollars to 240,000 dollars.

Im afraid the HPI mentatility was very strong in NZ...prices way beyond local reality and lenders falling over themselves with special deals, government schemes to encourage BTL and a willing press.

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cant remember the details, but when I was there ( 3 years ago), the rag was doinf an article on FTBS being priced out by BTL borrowers....due to tax incentives.

the lady in governement said these were necessary as landlords provided homes for the people that couldnt afford the homes.

My BIL just saw his place go from 70,000 dollars to 240,000 dollars.

Im afraid the HPI mentatility was very strong in NZ...prices way beyond local reality and lenders falling over themselves with special deals, government schemes to encourage BTL and a willing press.

Government, are on the verge of taxing "BTL" properties, this has been tax free usually until now, so a lot of BTL'ers are sh1tting themselves.............

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Working overseas anh massive BTL.

Yes... to the working overseas bit anyway... wages are shocking in NZ. I wonder how anyone can survive... oh that's right MEWing!

The Kiwi dollar is way over-priced at the moment... give it a year or so and I think it will be well below US 0.50.

Edited by roman holiday

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Government, are on the verge of taxing "BTL" properties, this has been tax free usually until now, so a lot of BTL'ers are sh1tting themselves.............

It should have always been taxed !!!

Its a business and if makes a profit it should be taxed. Capital gain on am assett is profit - depreciation is a loss - so tax deduction, they all claim the deductions from their rental against their other taxed earnings - so why sould a house be any different ??

Edited by Pelorus Pete

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Government, are on the verge of taxing "BTL" properties, this has been tax free usually until now, so a lot of BTL'ers are sh1tting themselves.............

Bring it on... we have needed a capital gains tax for years to put a brake on the speculation.... which can only end to a bust in the end.

Edited by roman holiday

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It should have always been taxed !!!

Its a business and if makes a profit it should be taxed. Capital gain on am assett is profit - depreciation is a loss - so tax deduction, they all claim the deductions from their rental against their other taxed earnings - so why sould a house be any different ??

Don't ask me I'm a miserable Pom and thinks it's funny

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Yes... to the working overseas bit anyway... wages are shocking in NZ. I wonder how anyone can survive... oh that's right MEWing!

The Kiwi dollar is way over-priced at the moment... give it a year or so and I think it will be well below US 0.50.

Wages are shocking compared to what?

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It should have always been taxed !!!

Its a business and if makes a profit it should be taxed. Capital gain on am assett is profit - depreciation is a loss - so tax deduction, they all claim the deductions from their rental against their other taxed earnings - so why sould a house be any different ??

it was to "help" people who couldnt afford a house...because they were too expensive....the NZ Government and its banks benefitted from the property boom exactly the same as other Western entities.

New Zealanders thought they were different.

sadly, their banks and politicians are not.

the above proves it....too much credit was at stake to stop the boom, so government gives tax take in exchange for further growth...looks familiar? course it does.

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Government, are on the verge of taxing "BTL" properties, this has been tax free usually until now, so a lot of BTL'ers are sh1tting themselves.............

yeah.. surprised to hear this the other week; considering the home grown version of the Tories are currently in power.

Good on them; although it's the offsetting the BTL loses against your day job taxable income which I

think does the damage.

"It's my pension - and it's tax free, so why not?".

I don't think BTL people think far enough ahead to worry about the capital gains tax.

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Wages are shocking compared to what?

Ummm.. compared to living expenses.

In Asia, I find you can live a lot better on a lot less of your income.... leaving a lot for savings. In NZ a lot of people have NO savings.

Edited by roman holiday

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