Landlords give Bollard the Finger

Alan Bollard raises rates and landlords say "So what, Is that all you’ve got", giving Bollard the metaphoric finger.

5000 property investors have been surveyed by Keiran Trass to see what they think of Alan Bollards blunt stick.
[quote]Over the last few days, Mr Trass surveyed 5000 landlords who each owed banks more than $500,000 and had portfolios worth $1 million-plus.

Their houses and flats were mostly in Auckland’s low and middle-income suburbs.

Mr Trass said: "As the survey respondents have indicated, increasing floating interest rates is not likely to alter their decision to buy more property this year.

"It’s unlikely to have much if any effect on their overall portfolio funding costs."

Even if rates went up by 2 per cent, the investors said they would still buy property because rising house prices more than offset the mortgage costs.

Mr Trass said 48.5 per cent of the investors said they would buy more property, even if rates rose by an unlikely 2 per cent.[/quote]
Well there you go, stick that in ya pipe and smoke it. As one of Mr Trass’s respondents I find those figures remarkably inline with my own thinking, which kinda gives Mr Bollard something of a dilemma.