1. I recently read an article about Zack Kendrick (a welder fabricator from Hamilton) who bought his first home when he was only 19. It was such a feel-good story. What were some of the lessons I took from it? Firstly, nothing comes without hard work. Zack worked 60 hours a week, saving $27,000 over a two-year period.
   
   Secondly, nothing comes without sacrifice. Zack didn’t socialise much with his friends. Also, rather than borrowing money for a new car like his friends, he persevered with his old car.
   
   Thirdly, he never gave up. Zack’s brother had told him he needed to save for a house. He initially ignored that, but then heeded the advice of his girlfriend.
   
   Finally, getting good advice. Zack’s girlfriend’s parents, with whom he stayed, owned the LJ Hooker franchise in Hamilton, so property was often discussed at mealtimes. Zack also enlisted the help of a mortgage broker, who was able to obtain a Kāinga Ora First Home Loan with a 5% deposit. The rest is history.

2. Auckland’s 9% property government value decline has been very topical of late. Should homeowners be concerned? It’s important to understand that these valuations are carried out by local government once every three years for the purpose of allocating the rates among taxpayers only.
   
   The valuations are carried out 12–13 months prior to being released, so are well out of date. The condition of the property is also not taken into account, as no inspections are undertaken.
   Despite this, prospective buyers may use the valuation as a negotiation tool, so if any renovations have been undertaken, homeowners can object to the valuation within a certain timeframe.

3.  I recently had an interesting conversation with a friend who rents a property (we own our property) about the various aspects of owning or renting a property. There are always comparisons made at varying times, but it gave me a different perspective on renting a property.
   
   Renting can provide a lot of flexibility to facilitate moving around, or even renting a much nicer house than you could if you owned that property. Renters are only required to give three weeks’ notice to move out, whereas a homeowner would need to either sell or rent the property.
   
   Renting is also generally cheaper overall because you’re not paying the rates, insurance and maintenance costs. This can free up funds to invest in other assets, instead of pouring money into your home.

Note: The content provided above is for general information only and does not constitute personalised financial advice. Please consult a licensed financial adviser before making investment or lending decisions.