Kia ora everyone, and welcome back to "Kiwi Real Estate, Inside Out." I'm Denese Konowe, joined as always by the infamous—err, I mean, illustrious—Dr Lee Konowe. Lee, today it's all about smart money moves for agents in 2025. Can you believe we're more than halfway through the year already?I know, Denese, where on earth does the time go? Honestly, the financial tides in Kiwi real estate this year—it's enough to make your head spin. We’ve seen the Reserve Bank cut rates to a three-year low, now sitting at 3.00%, and they're hinting at even more cuts ahead. Kind of wild to watch, isn't it, especially after how hard rates tightened just a couple years back?Yeah, that’s shifted a lot. Lower rates mean there’s finally a lift in sales—March saw a nearly 13% rise year-on-year nationally, and even higher out in the regions. But the flip side, prices are still lagging. The median’s down a little over 1%, so it’s a mixed bag. Plenty of listings, but urgency from buyers just isn’t as frantic now that there’s so much choice.Exactly, and you can feel that caution too, with all the global uncertainty layered on top. Look, when markets shift this much, and buyers start expecting even cheaper finance or more negotiating power, we as agents have to pivot. Honestly, this is when getting specialised pays off—maybe you focus on investment property, or you get serious about digital marketing to reach those buyers who are just lurking online.Reminds me of something we talked about last season—about making yourself a ‘must-have’ for a client. Now, I always tell folks, don’t just ride the wave, learn to surf it. Oh, and don’t be afraid to update your skills—maybe you finally tackle that social video content you’ve been putting off.Speaking of surfing a wave, Denese, I can't help but think back to when I was at the university in the States during the last financial crisis—what, 2008? Yeah, I think it was 2008. Anyway, we had to adapt on the fly to keep the department afloat. We ramped up new curriculum, went extra digital, just anything to prove our value and survive. What matters then—and now—is how quickly you adapt. Comfort is the enemy.Absolutely. And I might be wrong, but I think we’re going to see even more demand for agents who genuinely know their local market inside and out. The data’s there, but the insight? That’s what clients pay for.So with all that change rolling in, let’s dig into budgeting as an agent. I mean, the old "feast or famine" thing—we all joke about it, but, honestly, for commission-only agents, it’s a real thing. Lee, what’s your top rule about handling variable income?Pay yourself first. I don’t care if your commission’s $1,000 or $100,000—stick a percentage aside right away. You wanna pay for tomorrow, not just today. My advice, especially now with things bouncing around, set up automatic transfers. Let the app or the bank take care of it, so you don’t notice when the next dry month hits.Yeah, automation saved my bacon a few times too. Actually, back in Virginia—this is before we ever thought about New Zealand, mind you—I started my own brokerage with… what, three people? It was lean. Every dollar mattered. But I always stashed a chunk for taxes and a separate safety stash for emergencies, even when business was crawling. That habit, more than any clever investment, is honestly what got us through those years and set us up for expansion later.And look where it got you. What did you have, sixty—sixty-something offices? I always mix that up—Sixty-one! Even I have to check the number sometimes, it got so wild. But honestly, the point is, if you don’t master your numbers from day one, you give away control. So whatever your system—apps, envelopes, whatever—just make sure you’re tracking, automating, and planning for big swings.And don’t forget, IRD doesn’t care if you had a down quarter. Taxes, super, ACC—all that piles up. The time to figure out how to set aside for it is not when the bill lands, trust me.Yep. Even just tracking your pipeline and knowing your average time between deals can help you spot the gaps. There's no magic, just discipline and preparing for the unexpected. And if you’re starting out, remember, the habits you build in lean years are the ones that carry you when the good times finally hit.Alright, so you’ve got a budget, got your cash flow managed—what’s next? Putting your money to work. And I always say, don’t put all your eggs in the real estate basket—even if you are surrounded by houses.Exactly. Even for agents, KiwiSaver is a must, right? It’s easy to forget in the hustle, but those contributions add up, especially with employer top ups or those government boosts they throw in.Yeah, and don’t ignore rentals. Or even branching into commercial property if you’re feeling bolder. There’s this Auckland agent I met last year—started with a single rental, got a feel for it, then in 2023 pivoted into commercial. Now? She’s got a full portfolio that actually sails smoother than most residential stuff. It wasn’t flashy—just consistent, patient reinvestment and learning the ropes from the ground up.That’s the thing—diversification is your shock absorber, especially now that, who knows, tariffs and economic wobbles could have ripple effects. And don’t sleep on insurance or asset protection, either. If you’re growing your own nest egg, you need to buffer it against downturns, legal claims, you name it.Yeah, and let’s be honest, renting out the granny flat or dabbling in short-term lets might be the start but those “side” incomes can smooth out the valleys and bumps we’re seeing now. If you treat them as stepping stones, not distractions, you’ll weather market shocks better than most.Exactly. The smartest agents I’ve seen are the ones always watching the trends and branching out—whether it’s managed funds, a second property, or just keeping part of their portfolio a little liquid in case opportunities pop up. There’s no one-size-fits-all, but ignoring investment altogether is too risky.So, let's take that a step further. It’s not only about making money—it’s about keeping it, right? What’s your best advice for agents trying to build a plan that will actually last through these, um, fluctuating Kiwi cycles?I might be repeating myself, but, have a plan B. Or, honestly, a C and a D, too. That means a real emergency fund—separate from your everyday business float. And don’t just “set and forget” your retirement or investments. The market here jumps around enough that reviewing your plan every few months is just smart business.Yeah, don’t treat your retirement account like a crockpot meal—‘set it and forget it’ never works in real estate. With property prices zigzagging and inventory hitting record highs in some regions, agents need to keep their goals, their insurance, even their accountant on speed dial. Review, review, adjust—repeat.I know no one loves more admin, but working with a good financial advisor? That can be a game-changer. You get proper tax advice, rebalancing help, and—if you’re honest about your own blind spots—they see risks you miss. Especially the way New Zealand’s tax landscape for property can throw you a curveball or two.And, look, sometimes the best move is just to ask for help instead of guessing. There’s no shame in making your plan with input from folks smarter than you in finance—especially if it means you sleep better and have a buffer for the next surprise shift.Exactly. Financial resilience isn’t luck. It’s regular check-ins, healthy paranoia, and making your plan fit you—rather than forcing yourself to stick to someone else’s formula when the market throws a curveball.Alright, let’s end on the good stuff—the tools and connections that make life easier! Tech has moved a long way, even since last year’s big glitches we ranted about in episode nine. Denese, what’s your top tool right now?Honestly, a good CRM. If you’re not tracking every client, every birthday, every follow-up—well, let’s just say you’re leaving money and referrals on the table. CRM systems make staying in touch, automating reminders, and personalising follow-ups basically foolproof. And with the market shifting so often, repeat business and referrals are your best insurance.And it’s not just about tech. Even now, getting plugged in with your local or national association—REINZ, or whatever professional group fits—unlocks training, insight, even off-market deals. You need those networks for updates, quick help, or just that extra edge.And if you haven’t upskilled in digital marketing, now is the time. Targeted social ads, virtual tours, even just learning how to make your listings pop online—it all helps reach buyers who don’t walk into open homes anymore. Build your digital muscle while the old-school agents are still updating business cards.I mean, some of this is just getting out of your comfort zone. And if that means posting awkward videos or learning a new CRM interface, that’s the price of future-proofing your business. Plus, you might just land your next big client in the process.If I’ve learned anything after all these years, it’s that no amount of market luck or rate drop beats skill and connection. Technology and networking just help you make the most of every shift—and survive the next one. So, Lee, I think that’s a pretty solid set of smart money moves for our Kiwi colleagues today, wouldn’t you say?Absolutely, Denese. And I’m sure we’ll see more twists—and more opportunities—in the months ahead. Keep your wits and your networks sharp, folks.That wraps us for this episode. Thanks for joining us on "Kiwi Real Estate, Inside Out"—we’ll be back soon with more news, real-world stories, and practical tools to help you thrive in this wild market. Lee, always a pleasure picking your brain! Ka kite!Same to you, Denese! Take care everyone, and see you in the next one.

Episodes

Smart Money Moves for Kiwi Agents