One thing not mentioned by PH et al this morning was the situation of homeowners who would otherwise be leaving the property to the cats home. Not everyone has family or friends they want to leave their dosh to.
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One thing not mentioned by PH et al this morning was the situation of homeowners who would otherwise be leaving the property to the cats home. Not everyone has family or friends they want to leave their dosh to.
Wonder what the AMP rep would say if and when AMP start offering them?
I would agree downsizing would be the better option,but that is rather missing the point.
The point is RELs suit people who wish to use their home equity to stay in their home,but otherwise can not afford to do so.
As I have previously posted, governments around the world are encouraging old people to stay in their homes,and are offering more services so that they will.NZders love affair with property makes RELs very much a growth sector country,and with the strong tailwind of an ageing population I see REL providers doing well.
PH has his own perspective and earns a lot. You wouldn't expect AMP to advocate for HER as they're in the game of helping people to save for their retirement among other things.
There is a place for HER. A while back I gave the example of an elderly person needing a hip replacement...they could face an extremely painful and debilitating wait of 12-24 months through the public system and during that time while they are ostensibly immobile their general health could deteriorate quite substantially or Mr or Mrs Joe average public could raise a bit of money on their debt free home in Auckland worth an average of close to $800,000 and get on with the operation and back to enjoying a pain free enjoyable retirement.
Exactly percy. I think we all also agree that REL's will never be a suitable solution for a large proportion of senior citizens. But it is and will be an increasingly (but relatively small) important part of future solutions for many people that remain able to live on their own/couple and want to stay where they are most comfortable. This will often be close to great long time friends, family and a familiar and safe community.
Down-sizing in the last 5 years (in Auckland at least) would have been a terrible financial blunder due to the massive appreciation of house prices. A HER loan would have left the home owner with a hell of a lot more in assets and a more comfortable lifestyle. They did not mention that.
The fact that they dedicated 2 minutes to discuss the product really shows a lack of interest to look at the topic in any detail. Paul Henry thinks he is a financial adviser. What a joke!
I'm surprised anyone bothers to watch. Its light weight drivel, or at least the one I watched was.
Never again in our house. It amazes me that BBC, CNBC etc etc seem to be able to fill up hour after hour with meaningful news. Either from around the world or with a business focus. And yet we can't even fill up an hour or so productively...and even then want to talk about JK and an error of judgement, day after day. FFS !
Probably wrong thread. Apologies all.
He has a good day every now and again the 30th April was a good example. Excellent story about AIR N.Z's 75 year history and he had one of the longest serving employees on, a former CEO IIRC, with excellent footage of early Solent flying boat operations followed by an excellent segment on retirement saving's which was very informative....but yes like any lightweight free to air channel there's a fair bit of absolute rubbish in between the gems and then you have his giant ego to deal with which must surely be bigger than the planet Jupiter. That said I kind of like his extreme political incorrectness...its kind of refreshing in this day and age where political correctness has become so expected as the norm.
Anyway, sorry, I also digress...actually speaking of mind numbingly boring, that's exactly what the HNZ SP has become, just saying.
I was quite hopeful as I also quite like PH, he was good to watch on election night, and one of the earliest to figure out what was going on in Hone's electorate. But pretty disappointed in what I saw.
With respect to HNZ SP....well....I can remember several periods where it was boring like this...and then slowly rose, seldom dropping back far.
To be honest...I'd be happy if all my bets were as boring as HNZ. Average buy around 88c.
Cheers.
Heartland is one of the few shares I would buy on the NZ market at present .,As for PH he is just a lacky for the Nat party . Turn him off
Actually I come home from work switch on the TV to wind down while having breakfast,and it's a good light hearted morning show,I actually like his humour.
Honestly you shouldn't take life so seriously you can't have a bit of a laugh.
BUT: was taken aback by the comments I thought,weren't well researched,especially when older people are so easily persuaded in a lot of situations like this,more care needs to be taken with financial comments over such a vast viewing audience.
There's this video from Good Morning show on TV
http://homeequityrelease.co.nz/
Great advertorial...makes me want to buy more :)
I though it was very light on the important issues of, costs of the loan, what if you live too long and erode the whole home equity, how to get out of the loan, treatment of residual equity etc. I agree with an earlier comment about preying on the vulnerabilities of the elderly, though I wonder how many of them are the target audience. It wouldn't surprise me if many of the legitimate candidates for reverse mortgages have EPA'd their financial affairs and decisions, to the very heirs who will decide whether mummy and daddy's property value goes to them, or the bank.