APIA Blog

RSS Feed

COVID-19: How to stay positive and think clearly during a stressful time

Tuesday, April 14, 2020

IMG SOURCE: UPSLASH

 

You have heard it all already. COVID-19 has radically shaped the course of nearly all industries. Rents are falling. Governments worldwide are imposing rent freezes, mortgage freezes - the list goes on. Let’s grapple with the truth; this is a hard time for everyone. The hard work and efforts ploughed into establishing your property portfolio may seem fruitless in the current financial climate. However, for anyone in possession of capital, be it property investors, landlords or property developers, your reputation is your currency. Acting out of stress will not help your situation. Your position in the market can be maintained by emanating positivity across the industry. Here, we will discuss the best ways for property investors and landlords to mitigate stress and prepare themselves for the post-COVID19 era.

 

On the investing side... 

Provide encouragement and tips to those who are selling. Check in with sellers you had in the pipeline and, if you are able to, offer support. The investment you were planning to make may be postponed, but your graciousness in this period will make it more likely you can return to it in the future.

Keep informed with current goings on. In New Zealand, new laws to protect investments are being continuously introduced. Additionally, study the specific real estate market you are in to identify which future changes you can make to your portfolio.

Plan for future investments. If you were planning to enter a new market, this may be the time to do all your research and make plans for the future.

Most importantly, reach out to other investors. At this time, community is key in maintaining morale and utilising your network will help you in planning and keeping yourself informed.

 

On the landlording side... 

Everything right now is case-by-case, day-by-day. The uncertainty is not only concerning for landlords, but for tenants.

The concern we have found ourselves in has led to some panic-induced, rash outbursts. Although it may seem tempting to enter the landlord vs. tenant rights debacle, how landlords respond now can have serious repercussions for when the pandemic retreats.

The traditional relationship between the landlord and the tenant, despite aspiring to be codependent, demonstrates a power dynamic which, in the current state of the world, has become irrelevant. Reach out to your tenants. Understand the situation they are currently in. This does not just mean asking for the sake of asking, genuinely employ empathy.

Explain your situation to your tenants as well and find a common agreement: whether this means using a rent holiday approach, allowing for rent deferrals or cuts. Do this strategically per tenancy and situation and also look into government assistance if eligible.

 

Remember...

This crisis will blow over eventually. Our actions during crises speak more to our character as individuals and our work ethic as professionals. When certainty looms on the horizon, you will be thankful for your own patience. Take advantage of the world slowing down - this could be the moment for you to learn how to set yourself up for your biggest successes. Tomorrow is a new day, be ready to tackle what it throws at you.

 

 

Recent Posts


Tags

Must knows landlord personal growth buying rules meth contamination holiday house insulation Kris Pedersen Mortgages and Insurance inspection investment strategy DTI Investment tip income ocr unitary plan rental wof principal and interest Must know Investor story property maintenance property cycle heater sale and purchas Landlording structure HSWA initio Question and answer ird government LIM capital gain airbnb productivity education tax auckland council asbestos winz business housing affordability cgt anz nzpif investor rent increase robert kiyosaki privacy p lab advice data security property management HHS management twg report How to property tenant extractor fan Standards New Zealand negotiation tenancy tribunal renovation Gluckman bond partners CoreLogic meth fixed-term tenancy mortgage equity insurance property value reserve bank off the plan short-term rental cat banking wins buying building bond form minor dwelling trademe positive cash flow trespass shower dome election 2017 auckland return maintenance Q&A television cash-flow parry v inglis Sponsored post RBNZ rta reform covid-19 TCIT finance tenancy issues ask an expert HHGA subdivision market boarding house Property (Relationships) Act development watercare legal Editor's Choice gluckman report Tribunal case study damage water bill trust financial advisers act Case study sublease CCC Holler Guest blog RTAA 2019 Level 4 rta khh speculator rental market rent scotney williams interest only tenancy services beginner investor letting fee buyer's agent relationship wealth creation Market report first home buying interest rates recycling equity rent arrears ring-fencing debt enforcement warm up new zealand letting Jeff Bezos bad tenant heating warren buffett termination skill shortage worksafe house prices lvr housing bubble clnz market rent ventilation mindset sale and purchase smoke alarm

Archive

Introducing Our Partners
Principal Sponsor - Kris Pedersen Mortgages & Insurance logo Gold Sponsor - Barfoot & Thompson logo Gold Sponsor - CoreLogic logo Property Apprentice logo Keith Hay Homes logo The Insulation Warehouse logo The Renovation Team logo The New Zealand Property Investors' Federation logo
09 360 2376
info@apia.org.nz

The Tenancy Practice Service and TPS Credit Control work closely with the Auckland Property Investors' Association. Our vision of bringing helpful resources, documents and high quality services to Auckland Property Investors and Property Managers is shared by APIA, so its a partnership that works well. 

The Auckland Property Investors' Association is a great organisation for those who want access to advice and information from a range of industry experts and partners. 



Mathieu Holt- Managing Director, The Tenancy Practice Service & TPS Credit Control
Through the Association I found the channels and methods to fund the purchase of property I never dreamed about. Grant Brown

All round it has been one of those things Neil and I felt was really worthwhile belonging to. We have learned so much it has just built our confidence in what we are doing.

Janice Bieleski
I read two articles in the monthly magazine that saved me over $5,000. That is my membership fee for the next 26 years and I am sure I will learn a whole lot more! John Duncan
Fantastic organisation. The networking opportunities are brilliant and provide us with information and opportunities that cannot be obtained anywhere else. We learn something new at every meeting and we've been in this game for nearly 20 years. Pauline and Gyanen Kumar

I find the information obtained from various APIA meetings very useful in guiding my own property investment and rental management.  I also enjoy the networking opportunities with like-minded investors.  I am inspired by other investors’ success and find the more experiences and knowledge that I share with others, the more confident I become.  

Thanks to all APIA event organizers and administrators for your brilliant work. 

Stella Shao

I like talking to people and learning from their experience because it gives me the confidence to invest well. I think it is a knowledge thing. I now know I am doing things the right way.

Stephen Weatherall

My APIA membership has become a total success.

Every time I attend a monthly or regional meeting I come away with so many useful and positive tips that have added value to my property investments and management.

Not only that, the website is a great place for practical advice and useful information. It has now evolved into an important resource for my business.

Talk about value for money! The discounts I have been getting at Bunnings when I present my APIA membership card have more than paid for my annual subscription!

Tim Duffett, Plan A Investments Limited