Changes to tax
New changes to tax rules mean that there is more taxes on rent unless you are investing in a new build.(final details of this legislation will be known by around October 2021)
Strong cashflow properties along with those properties with potential to build will become more attractive.
Hamish Firth of Mt Hobson Group, the expert in obtaining building and resource consents, shared his thoughts on what to consider in Auckland.
Smaller sites
Home buyers are moving towards low maintenance places with less or no lawns. However it still feels a little early for apartments, as Kiwis still like to have their own building. As an investment an apartment may offer simple to understand maintenance bills and better cashflow.
Things to consider
Changes in Zones for Auckland around 2018 has meant a lot more can be done on most sites. However it still important to do your due diligence on access to storm water and sewerage systems. Some suburbs have ample capacity to add more some don’t. This is not always reflected on the zoning rules.
