All Topics / Help Needed! / Postive geared property.
Hi,
Have just had a meeting with real estate and asked the what neutral or postive geared property is about. They advised me there is no such thing now as this. Prices have moved too far ahead of rents. What does everyone think of this.
you can either… beleive what a real estate agent says … (YEAH RIGHT)…..
Or research yourself to find the truth.
Cheers
Kiwi [baaa]I think that most of us think too much (myself included!).
ANY deal can be positive if either the deposit or income is large enough.
The old saying “Don’t ask a used car dealer if you need anew car..” has a lot of relevance to your question.
Anything can be done, you just have to work out the how and why…
[blink]
i have to agree, you asked the wrong person, they are out there
have fun
They told you the truth. There are still some in very crapy places and towns in the middle of nowhere. If you are happy with that keep looking.
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The net result is not so much lies, damn lies and statistics but rather vendor dreaming, buyer wishing and agent glossing.clones,clones,clones
I must admit i enjoy reading your posts put sorry to tell you, you are wrong but ha thats my view.
yes there are no posi properties that are hanging off that tree you must make them I am about to get a deal across the line for 30 units that are not built yet that are in the center of Sydney( and its the most expensive city in Australia and from all reports is going backwards) so they say put the rent covers land build construct and legals with 400sq comm as icing on the cake.
and herks with all due respect tell the real estate to find another job as he has not got a clue about real estate.
not sure his group but laing and simmons,hookers,c21, franknight,colliers wont have the same view.
why you ask because they tell me and send them across my desk each day.say to a bird gogger or australian househunter that there is no such thing if there isn’t why are they there I’ll tell you why because there are.
just get off your !!!! and start looking if they guy you talk to new there was, he would have under his name on his card property developer/investor not blimphere to help
If you want to get involved in some of the projects I’m involved in email to [email protected]I work for a buyers agency, i am a contractor looking for precisely these types of properties, and as everyone else says, that guy you spoke to should NOT be in real estate. This is obviously someone who has no idea what he is talking about.
I know they are out there, because i found a deal only yesterday morning. And i only spent about 3 hours on this one. You really do need to do the legwork on these types of properties though. I couldnt even tell you the amount of hours i spend researching and talking to ‘real’ real estate agents. The one i found yesterday was a bit of a fluke!! All the other ones ive found have been spending alot of hours researching each property and its area, and even then, it may not be a good deal so it feels like time wasted sometimes, and then you find a winner hiding, you just need to think outside the box and know where to look.
Also, a way for cashflow positive properties may be for you to look at wrap options. Not as many hours spent mining for properties! This is where you make it into a positive.
To all of you other posters who said they dont exist – do your research because they do!!
If you dont have the time, use a good buyers agency.
Email me if you would like details of a buyers agency specializing in cash flow positive properties.Hi Herks if u r just starting out as it sounds u r then go to a library or down load from this site what negative – neutral and positive gearing is all about.
Opinions r like belly buttons – every body has one – do your research and find what your passion will be for property investing.
Property is more than just houses and positive gearing comes in many forms and based on many varieties of caculations.
Good luck on your journey – you will succeed in life when you r committed to your out come -regards resiwealth
Hi Herks,
They are out there…just harder and harder to find.
I have started looking at commercial property, it appears you can obtain better returns in the right area’s this way.
Don’t always have to research for residential
Good luck
Cheers
Jeff Aquilina
Need a holiday? http://www.coralsearesort.com email me [email protected] 20% DISCOUNT for PropertyInvesting.com members
One of my eight agents keeping an eye out for me just sent me two properties – both shops – both 11km from the Perth CBD in a good suburb…..how do I know the area is good…..hell it was the one I grew up in 20 years ago.
They are too small for our group so happy to pass on the details to anyone that asks nicely.
One is 190K….rents for $ 307 p.w. 3 year lease with a 3 year option. Only 5 months into the lease. Tenant pays all of the outgoings, so that $ 307 p.w. is in your pocket.
The other is 230K….rents for $ 375 p.w. 3 year lease with a 3 year option. 18 months into the lease. Tenant pays all of the outgoings, so that $ 375 p.w. is in your pocket.
So, 420K gets you $ 682 per week in rent. 100% loan should cost you about $ 590 per week. The other $ 92 per week is clear profit.
Anyway….do with it as you will. Tried to pass it onto my father who immediately dismissed it outright without even knowing the price or rental figures ?? Reckons commercial property is for losers.
I got a tad angry and so am happy to palm it off to someone else. Hey Jenny – weren’t you looking for something like this ???
Never ever ever believe true +CF properties cannot be found in the city somewhere. The figures get way better when you start getting into the good stuff, but it’s a start…..and you won’t have to put up with whinging residential tenants or tribunals either.
hi dazzling
send it to me happy to look at.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]Hi Dazzling
I’d be mad not to ask you for the details! I’d greatly appreciate it if you could forward them tothankyou
Troy
Chaps,
The agent called me tonight to say that he has been flooded with calls for the place. I had no idea everyone was so keen….these deals are everywhere if you look around. Apparently the Vendor hasn’t accepted any offer as yet, so good luck to all.
Please cease PMing me…my inbox has gone nuts.
End of bird dogging session….now I know what the REA’s go through…geez…there is obviously some pent up demand for proper +CF deals.
Sorry if I didn’t respond and email the deal to everyone….there’s only so much spare time I have when in Australia.
I’m in the process of looking at some decent industrial deals, I’ll post the details when the ink is dry on the contract.
Good luck in your search everyone.
Before everyone jumps on to these deals, remember that its minimum 30% deposit & you’re paying around 7.5% interest and 15 year P&I type loans. You could probably get 5 year Interest only but not sure if you need to jump serviceability or other credit hurdles. Any broker who would like to enlighten will be much appreciated.
Also for that kind of $, I don’t think it will be that big a piece of dirt you’re picking up (perhaps thats why Dazz is happy to let us fight over the scraps)?
Do your research, its not without its risk. I have a building – 2 shop fronts with 2 x 3 bedroom units upstairs. Net of 9.5% including agents comm with resi upstairs so pretty good deal but just found out last week that one shop is intending to close its business. Just unfortunate for the business – perhaps I didn’t do my research enough but can still service loan without that rent. Lease on that shop was sewn up for 3×3 with 2 year to go. We’ll see what happens, agent says should be able to find new tenant to assign lease or tenant pays the difference – fingers crossed. Welcome to the world of CPs.
The wonderful work of Commercial property, I have always found that a crapy business and as asdf says it is very risky for people without any knowlegde about it.
Clones
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The net result is not so much lies, damn lies and statistics but rather vendor dreaming, buyer wishing and agent glossing.Commercial property…..is very risky for people without any knowlegde about it.I’d go so far as to say that any business venture, no matter what it is, property / shares / fine arts / options / you name it, is very risky for absolutely anyone with no knowledge in the area in which they are investing.
If you are putting your money into a deal where you don’t know what you are doing, you should expect commensurate results.
The people on this forum who have been enquiring about non-residential properties appear to be a little more savvy than what you give them credit for.
Well, put it in this way, if that is going to make money for you why don’t you take it? too small for you????, it smells strage to me. BTW, why the owner is selling if is that good deal?
Clones
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The net result is not so much lies, damn lies and statistics but rather vendor dreaming, buyer wishing and agent glossing.Clones
people sell all the time for many reasons.
Dazzling is simply providing details and those interested need to to work out whether in fact this is a good deal.From my limited experience I would only be interested in IIP/CIP that can accommodate a reasonable size business.
This may be a simplistic approach, however If the business is too small they either go broke or upgrade and to larger premises, either way will effect you.Hi asdf, we have in the past used low doc for industrial property, interest only.
Cheers, Marisa
Hey Marissa, How you doing? Happy New Year! I can switch to a 3 year fixed Int only at 7.07% but them switch and application fees are annoying. Still very new to CPs and IIPs hence I read with envy on Dazz’ deals.
Commercial is great in heaps of ways ,but a few things to keep in mind:
usually costs a 10% of the annual rent (gross) to find a new tenant(agents fees)
The landlord now has to pay for his own lease expenses(Solicitor etc) (since 7/05)
You have to pay all the outgoings while no tenant(Can be Quite expensive depending on area and value of prop)
as spoken before LVR is higher on loan (usually 25 to 30% deposit reQd.)We’ve got 70 yrs on planet earth,Lets make the most of every day!
Luke Taylor | Hope Property Investing
http://hopepropertyinvesting.com
Email MeProperty Support,Strategist and Buyers Agent
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