The Universe has recently given me the kick in the ass I needed to f-ing finally get started on finding a PPoR or IP!
I've been looking around for awhile now and noticed that there is still alot of vacant land around. Would it be "better" in your opinion to buy land and eventually live on it (either build or buy a house to put on the property) or to buy something already built that has some age on it (such as a house, unit, townhouse, etc) ??
Also, how can you (as a buyer) locate private sellers? Those that don't want to use a RE Agent? Would even some property sellers who use RE Agents to sell their property want to "go around" the agent at all or are they stuck with the RE Agent due to the contract that they signed with them? How do you find out if someone is a motivated seller when you are dealing with a RE Agent and not the owner her/him/themselves ?
Wishing everyone prosperity!| http://www.goldcoastgirl.biz | http://www.VanessaStacy.com | http://www.goldcoastgirl.info
The only problem with buying land is there is no income, and therefore you cannot claim any of the holding costs as a tax deduction.
When you say "motivated" do you mean someone who will accept a low offer? You don't know until you ask.
To find a motivated seller, offer them a fair bit less than they want, but with a short settlement, and write a cheque with your offer for the full deposit. The agent has to present any offer to the Vendor – by law.
There are a few no agent websites you can look at to find sellers who don't want to use an agent;
noagentproperty.com.au is one I know of.
Hi there,
Regarding the new v's old, imagine that you are buying a car. Is it better to buy a new car, or an old car.
We could use my car as an example. When new, it cost $50,000. It is a 1998 model HSV Commodore. I am now selling it, and would like to get $15,000 for it. So over time its value has dropped from $35,000. But this didn't happen evenly, it would have dropped the most the day it was driven out of the new car lot. The previous owner (I bought it second hand) payed a premium to be the first to own the car.
An old car is not much value either. The running cost get higher as the car ages. So the best car to buy is a near new one, one that has taken the big hit when it was no longer brand new, but hasn't aged enough to need major repairs.
Houses (not the land) behave in the same way as cars. A new house will have a premium, a near new house will be good value for money, and an old house will require more expensive upkeep.
Now as for finding a good deal. I subscribe to the fair deal ethos. What is the harm in paying fair market value? If you buy in a good area you will make money anyway. In a rising property market the time spent finding that good deal will cost you more than the money you save.
Good luck
AdrianIf you are still looking to find owner/vendors try this site: http://www.owner.com.au – make sure you get this correct or you end up on the following – RESE is a Real Estate Search Engine – which may still be fine for you. There are also the following:
http://www.smartvendor.com.au/
http://www.australiarealty.com/
However, don't be fooled into thinking you might get a property cheaper by working directly with the owner, they often have an over-inflated idea of what their property is really worth and many vendors need educating by a good agent to make them see sense when a good deal is put to them. Also bear in mind that every agent is (should be) motivated in getting a property sold – that's how they make their living.
On your other question on land or buying a current building, I'd go for the easily-tenanted property over land as it will bring you in money straight away and this makes life a little easier when you apply for a loan.
Happy house hunting.
Debbie
Wishing everyone prosperity!
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