SPEAKER_00 0:10

Hello and welcome back to that Home Loan Hub. Today I would like for you to reach out for a box of tissues because we're gonna get raw. Kioto,

Welcome and emotional introduction

SPEAKER_00 0:20

everyone, how are you? And typical Asian response of me and Kunch, we usually laugh when we try to hide our sad feelings. Yes, yes.

SPEAKER_01 0:27

We're um not very emotional in front of you know crowds or people.

SPEAKER_00 0:33

We don't like talking about our feelings. Yeah, we've been brought up that way. We have, and we'll do a whole episode on that if you guys are interested, of our backgrounds. But for now, what we really want to talk about, something that we've come across, and I've come across um this over the years, and Kunch just brought it back to my um foremind, so to speak, about the real issue that we have in New Zealand. Yeah, yeah, right? Um, in the communities that are vulnerable, in the communities that have been raised with the money belief that it's not

Challenging inherited money beliefs

SPEAKER_00 1:09

possible to be a homeowner. Yeah, yeah. And this is a massive issue for us because I'm an immigrant, she's an immigrant, we've come here. We had to work hard to get to where we are today. And when we sit across the table from clients that come to us and they go, I don't think it's possible because my parents told me it's not possible. Yeah. Because their parents told them it's not possible. Yeah. And it's our job and our mission now to change their mindsets. Yeah. So coin, take it away. Tell me what happened.

SPEAKER_01 1:40

Yeah, I've got a story. I've been working, well, I've been working with a lot of um our migrant community in the most recent um months,

First-generation homebuyer success story

SPEAKER_01 1:50

really. In particular, one client. I've I actually been working with them for the last three months in terms of you know getting them ready and set to um purchase their first home. So this particular person is young, early 30s, um still living at home with his parents, um, and helping them with the rent because he's their full-time worker. Um but as of this week, he has found a house. So that is like super exciting. It makes me get so excited, and this is why I do my job, and this is why I love my job, is being able to um help someone like him buy a home. So backstory is he is the first one in his family in the first generation to purchase his first home. So his grandparents didn't, his parents didn't. And that was because there was lack of um financial literacy. Yeah, back in the day. And it it just makes me sad because I think if I even think about my parents who came um to New Zealand in 1991, had they had the resources then, they may have been able to buy a house, which houses were going back then, what 30,000? Or even less, right? Like yeah, like 40, 30k houses back then. So it makes me sad to see that you know there was no education or anything, but there's also that language barrier um as well. So I I think I like for me getting into this role is just I want to advocate the fact that it is possible, like um

Breaking cycles and creating ripple effects

SPEAKER_01 3:47

if your parents haven't done it, um it doesn't mean that you can't. Yeah, break that cycle and do it, like set that goal, set that goal that you want to buy your home. Because then you've set that solid foundation as well, and then actually mum and dad can still live with you, like you can still look after them.

SPEAKER_00 4:10

Yeah, yeah. It it really reminds me of the episode we did with Carl, um, one of my clients a few months ago, and he was saying that that you know, he grew up in a state home, single mum, and um, so when he was growing up, he's like, I don't want this, I want to break the cycle, I want to buy property. Yeah, so he's been buying properties, you know, for the last few years. But the biggest highlight for me this year was when he got his mom to buy a house. That's right. And she just bought her first home at the age of 60 plus, yeah, you know, and that's a shift, right? This is where magic happens when we can enable our clients to understand that yes, it is possible, yes, you can do this. It just changes the narrative for everyone around them.

SPEAKER_01 4:54

Yeah, and I yeah, and I think um for him doing this and being the first in his family, I think that's gonna start a ripple effect as well. Um, and it just makes me so excited that to see that more young people in his position start to get into that home ownership journey.

SPEAKER_00 5:13

And it's good that they're not put off by, you know, helpful uncles where they say, Oh, well, back in the day, you know, the houses were only 50,000 and my salary was, you know, 15,000. So um the gap wasn't as wide versus now, you know, if the average salary is 80k and then the house is 800K, the gap is massive. But it doesn't put our clients off. No, yeah, which is awesome to see.

SPEAKER_01 5:36

Yeah, so I guess the message that I want to get out to everyone is that yeah, to break that cycle, um, yes, it was, you know, it's sad that there wasn't no education or um resources back then. There may have been, I don't know, I wasn't born back then, but there's now available. Correct. There's so much now. Like you could listen to, you know, all our hundred episodes that we have, and there's so much education there. But even like when we went to school as well, there was no education in school or financial literacy. You kind of had to learn all that um as you become an adult in terms of budgeting and stuff. So, you know, you've got four kids, I've got two. I think we're very conscious of teaching our children now to, you know, budget save, and the goal is for them to own their home too.

SPEAKER_00 6:30

Exactly. And um, that brings me to the recent research um that has been done by the retirement commissioner, and it dives into you know what people are actually retiring with, because it's not what you're living with right now, right? Us helping them to buy a home is setting them up for the future. Yeah, because the thing is, even if you retire, you still have to live somewhere. And state care is not readily available, it's still gonna cost you money. So if you hope if you have your own home and then if you've got a couple of more properties

Financial literacy and retirement planning

SPEAKER_00 7:01

that bring you money, that's hopefully the ideal outcome for you and your family. Yeah. And the the report was uh diving into a woman and their lifestyle changes and how much money they come away with when they retire. And it was shocking 35% less in their Kiwi savers versus men when they retire. Yeah, that's because women usually you know work uh less, they work part-time jobs, and they're not contributing at the same level. And again, that brings that to the whole financial literacy thing. You know, a lot of uh our vulnerable communities, which is also women, they don't know about all those things that are available out there for them.

SPEAKER_01 7:43

Because the men does it all. Yeah, even yeah, and that's also another generational thing is the men used to always be the one who deals with finances and things like that. And it actually doesn't matter what culture or background um you come from, it was always the men um that did that side, but there has been a shift, you know, like um the women are now more, you know, they're growing in confidence, they're more powerful, and they're like, nope, we're boss. We got this.

SPEAKER_00 8:15

Yeah. So uh yeah, it's really interesting to see that shift and um seeing more financial literacy driven by the government, like government's actually now driving those uh it's called financial capability um courses that will be rolled out into schools, into you know, higher education, um, providing those life skills that people need to know how to deal with money.

SPEAKER_01 8:41

Yeah, and I think like the exciting thing as well about this role is yes, our focus is you know, home loans and mortgages and stuff, but our title is financial advisors. So, you know, being able to educate everyone in finances is just so powerful, I think.

SPEAKER_00 9:00

And um, yeah, going back to that client of yours, you know, this is where we get excited. This is where we can see we're making a difference in someone's life. Yeah, we're making their life better, you know. Yes, it's fantastic to help our developers because without them, our first time buyers aren't going to have properties to buy. Yeah. So it's awesome to help our developers to build those properties, but at the same time, it's super rewarding to see our first-time buyers jumping onto that ladder.

SPEAKER_01 9:25

Yeah. Because it takes the financial literacy and education

Final thoughts and episode closing

SPEAKER_01 9:29

to move them into home ownership.

SPEAKER_00 9:32

So um, yeah, so it's awesome to see how we go from yes, you can do this to yes, you've done it. Yeah.

SPEAKER_01 9:39

So I'm looking forward to settlement day for them.

SPEAKER_00 9:42

Yay! Thank you so much. I tried to, you know, brighten up the people don't cry with us as much. Thank you for listening. Thank you guys. Um, and stay tuned for our other episodes where we cover more financial literacy for you to learn from.

SPEAKER_01 9:57

Thank you.