1. IRD was allocated $29 million in the 2024 Budget for compliance, targeting those people who have not met their tax obligations. So, do you have audit insurance to protect you? Audit insurance is an insurance product that covers professional fees incurred if IRD enquires about returns filed or audit your business.

Compliance with property tax laws is becoming more complex by the day. The costs of accounting and tax advice to respond to IRD can mount up quickly. If you don’t already have cover and would like to find out more, give us a call.

2. Australian owned second-tier lender Bluestone is closing up shop in NZ hot on the heels of another Australian owned second-tier lender Resimac. Obtaining bank lending to purchase rental properties is tough at the moment so second-tier lenders can be a viable alternative. If it’s not the high lending test rates or specific bank lending policy, it’s Reserve Bank regulations that could stop you in your tracks. This presents a huge opportunity for other second-tier lenders and finance companies to fill the void.

3. As a leveraged property investor, hearing that the US Federal Reserve (the equivalent of our Reserve Bank) last week had cut interest rates by half a point was music to my ears. Further rate cuts are predicted similar to our Reserve Bank’s recent announcement as governments are gaining control over inflation. NZ trading banks obtain the majority of their wholesale funding from the US, so this is yet another strong indicator that home loan interest rates will be heading down in the next 6-12 months.