The Current Outlook For Interest Rates

March 20, 2019

Apparently, the average interest rate, going back to Egyptian days, is below 5%, and that all the massive spikes in interest rates since 1900 have been due to massive population growth spikes. World population growth rates are slowing and are not expected to spike again, so if you believe that, you can safely forecast interest…

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What is Thin Capitalisation and does it affect me?

May 28, 2014

For both companies and private investors, debt is commonly used as a tool for tax management when operating in more than one tax jurisdiction.     In the case of New Zealand, the Thin Capitalisation rule was introduced in 1996 as a part of the Income Tax Act, with the purpose of limiting the scope…

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The Importance of Keeping Your Finance Current

October 18, 2010

You’ve got your finance pre-approved – but that’s not a complete certainty the bank will lend you the money. The bank still needs to give you an unconditional offer once you have a specific property you wish to purchase. The last thing you want is finance to become a point of stress or uncertainty when…

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Negative Gearing Explained

October 18, 2010

In Short It goes like this – say your rental income off a property for a year was $40k, and the expenses such as interest and rates and repairs and maintenance were $60k. That would mean there would be a $20k loss on the property. We’ll also assume you earn $150k before tax each year.…

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