This is the beginning of a post I made over at my personal blog, NZPIS.CO.NZ
It’s the day after the budget and already the doom and gloom merchants are talking about the great property crash due to depreciation being removed from property investment.

Obviously this is a great topic to focus on because there is a whole lot of misunderstanding, myths and untruths about the property investment market and it is easy to make bold statements like “the property market due to crash because of the budget”…. what a load of old bollocks.

Yes there will be some people who will struggle with keeping their investment property because the ability to claim depreciation put some money back into their pocket which allowed them to pay the mortgage. Without this injection of cash from the government these folks will not be able to maintain the mortgage and will need to sell. That’s a fact. However think about this…will the small numbers of people (and I mean relative to the overall property market) who must sell be enough to cause the Real Estate Market to tumble? I don’t think so…..

Read the rest of the post here at NZPIS.CO.NZ/The-Day-After