Bank’s budget prices
It would be hard not to firstly acknowledge the Rugby World Cup and the impact it has had so far. Full credit to Martin Snedden and his team , they are doing New Zealand proud. There have been some very close games and the so called minnows of world rugby have really stepped up to the plate.
Over the past couple of weeks I have been catching up with a number of rural bankers, they all are telling me they are keen to do business. While I assume you could “throw a blanket” over them in terms of what they offer in interest rates, I have noticed a variation in the budget stock prices they use. Some seem to be more prepared to be in line with current returns. This can make all the difference to the budget so would recommend you check out some of the other banks, if your existing bank’s budget is giving you no joy.
While on the subject of banks those with surplus funds will be finding the current investment rates a tad disappointing. Once the rebuild of Christchurch gets underway and the world recession eases we could find inflation becoming a real threat. Those that owned property or had money in the bank in the 1970’s will know what inflation can do to their investments!! With this in mind check out our Stone fruit orchard which is up for auction on the 13th October. This property offers a good long term lease with a home that could be rented as well. Depending on what you have to pay for it, this could return you in excess of 6%. Much better than what you can get in your bank at the moment and some excellent inflation insurance as well.
Paul Evans Manager – Rural and Lifestyle
Filed under: Investment, Lifestyle
