Guys I’m new to this property investing. I live in sydney. Just finished reading stephen’s book. Need some advice on where in sydney/nsw or South Australia to start looking. any advice?
Hi John,
Maybe weare better off starting with where you are now and what are you trying to acheive to assist you analyse your situation better.
Roy H.
L.R.E.A., Dip FS (FP)
Guardian Property Specialists (GPS)
http://www.gpsnetwork.com.auI’ve just bought my first property for 775K. I owe 500K on it. It is leased at 600 a week. I earn 90K and my wife earns 40K. we do not live in it. my contract at work insures that i am given a hous to live in for the next three years rent free.
You seem to be in a great position to invest, although with the high income between yourself & partner a positive cashflow property may not be your best option, we are focusing on Qld & WA for investment oppurtunities and only a some in NSW, there are many options to look into.
Happy to help..
Roy H.
L.R.E.A., Dip FS (FP)
Guardian Property Specialists (GPS)
http://www.gpsnetwork.com.auI guess what I need is a starting point. A state, a region, an area. Something, so that I can get out there start talking to agents, start applying the 11 second rule etc. In short I need to start getting some experience in this new field. Any advice?
Hey John, welcome. Sorry to burst the bubble for you, but the 11 second rule is dead unless you want to go to a country town with negative growth, or commercial property. This is my opinion only. Due to your high income of your partner and yourself, you are probably better off looking at future growth areas such as Ipswich Qld, or some of the W.A coastal towns.
Also first before you set out in the world of investing, you will want to set your structure up correctly. Eg create a trust and a $2 company is a favourite option. You will also need to get in contact with a good mortgage broker, and whatever you do don’t cross-securatize or cross collateralise your current property with new ones.
I have a name of a great broker if you want to email me i can pass that info on to you.My email is [email protected]
I know this might be a bit too much at once, but you are in a great position to invest.
Matt R (Gold Coast)
Hi John,
Just my thoughts, be careful in what you invest in, we are just coming off the biggest property boom in decades and although property prices have eased somewhat there are still over inflated properties out there. You and your wife are in agood position to invest but be wary the current property you have is negatively geared a lot ie P+I loan of $833 per week or $697 pw interest only thus just on repayments your losing either $230 pw or $100pw not counting management fees ,rates, repairs etc. If you go leaping about and keep purchasing properties like these pretty soon your going to run into difficulties. Find a strategy that will work for you ie mixture of positively and negatively geared properties that are located in decent sized towns,cities etc. But most importantly dont over expose yourself to risk, always when entering into any deal calculate risk and possible negative occurences. Anyway this is my 2 bobs worth other people have their strategies I’m just mentioning mine.Good Luck[biggrin]MartinThere are 3 types of people:1. People who make things happen.
2. People who watch what happens.
3. People who wondered what happened.Perfect thoughts there, I agree with Matt on Ipswich we just sold out there and the buyers made $30k in no time. We are doing the same with Logan City now..
It all really depends on your particular situation, we network with financiers, solicitors and accountants that can help you if thats what you want.
Roy H.
L.R.E.A., Dip FS (FP)
Guardian Property Specialists (GPS)
http://www.gpsnetwork.com.auhi Matt R
Great post one minor thing don’t look at area that are doing well look at areas that will do well in the future and there are alot out there.
and try to get to know the area you are looking at investing in.
Try its hard to be infront of the pack I told Roy to watch darwin and seems to be warming now.
won’t tell the next as its within my area so once I’ve secured then will give the heads up.
hunt and you will find.here to help
Hi John,
You really should give Roy a call. He knows his stuff and, from what you have said, his services match your needs.
Regards
AlistairThank you to all. You have been a great help!
Hi Matt,
We have 2 IP plus 1 PPR. Next property we would like to buy it in a trust or something else. Trouble is, I don’t know much about how they work and the tax benefits. Can you suggest the best way to study how they work – books etc?
Much appreciated.
Originally posted by Shelley D.:We have 2 IP plus 1 PPR. Next property we would like to buy it in a trust or something else. Trouble is, I don’t know much about how they work and the tax benefits. Can you suggest the best way to study how they work – books etc?
Hi Shelley,
Not Matt – but you may like to have a read of Dale Gatherum-Goss’ ‘Trust Magic’. It is available at http://www.gatherumgoss.com and then follow the ‘shopping’ link.
Well set out and ample room for notes.
Derek
[email protected]
http://www.pis.theinvestorsclub.com.au
0409 882 958hi all
johng look for the post on the next sydney meeting.
email me or roy and we can send it to you.
with regards to trust you need to talk to an accountant who deals with trust and different structure with yours in particular it need to be specific as you want to draw back as much paid tax as possible so it need to be able to do that.
the starting structure is very important its like building a block of units on sand it can be done they do it all the time in dubai but it needs to have the foundation correct from the start.here to help
Thank you Derek and Gross Realisation,
Yes, I have seen that Gutherum Goss book advertised in Australian Property Magazine. Will get a copy of that immediately.
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