Forum Replies Created
Well done to you both. Make sure you have a “walk away price” and stick to it. Don’t use emotion to buy, as there are other deals out there. Please keep us updated
Fingers crossed.Amanda
“It is better to be inconspicuously wealthy, than to be ostentatiously poor…”Yes Termites are a huge problem in Qld. I assume this is slab on ground ? How old is the house ? Was it treated when built as it should be Ok for 7-10 years I think ?
They build a trench around the house and drill through concrete in order to create a complete barrier. It is recommended that you pave over where they have trenched for maximum benefit and not plant gardens up to the structure.
If the house is slab on ground termites can penetrate even the smallest crack and just love all that juicy structural pine !!
$1546 sounds like cheap insurance to me.Amanda
“It is better to be inconspicuously wealthy, than to be ostentatiously poor…”Yes we do care, and I also remember you find it hard to read the small print
Happy 2006Amanda
“It is better to be inconspicuously wealthy, than to be ostentatiously poor…”I suggest you keep a “Master File” on each property that records Purchase details, Legal Papers, and Capital Gains tax records etc.
Then each year have an annual tax file to give to your Accountant which should have details for Income (rent) Expenses (Advertising, bank charges, PM fees, electricity, body corporate fees, rates, land tax, repairs,Insurance,Interest on borrowings and capital improvements.etc)
Be carefull with repairs. You can only claim repairs to the property caused by it being rented and restored to its condition when you purchased. If you’re not sure give as much detail to your Accountant as possible and let them decide.Amanda
“It is better to be inconspicuously wealthy, than to be ostentatiously poor…”Try reading “How Investing in Commercial Property really works” by Martin Roth & Chris Lang. Available at Dymocks for $29.95
Best wishes,Amanda
“It is better to be inconspicuously wealthy, than to be ostentatiously poor…”Try buying the book “Australian Residential Property Development” A step-by-step guide for Investors by Ron Forlee. I bought it at Dymocks for $29.95.
Good resource and explains how to do a Feasibility Study, Prepare DA , Ideal sizes of rooms, car space etc.
First you’ll need a contour and site survey, soil test and then take you ideas to an Architect.
Best wishesAmanda
“It is better to be inconspicuously wealthy, than to be ostentatiously poor…”I use to work in tax accounting (15 years) and back in those days you couldn’t transfer any asset into a Self Managed Super Fund that the trustees had any interest.
Where do you live ?
Do they have cash in other super that could be rolled into the new SMSF ?
What are you trying to achieve by putting the assets in the SMSF ?
If you’re trying to reduce taxation and this is their only income why not just make super contributions which are tax deductible ?
Need more information to help you here ?
Regards,Amanda
“It is better to be inconspicuously wealthy, than to be ostentatiously poor…”Maybe you need some new glasses ? ***
Amanda
“It is better to be inconspicuously wealthy, then to be ostentatiously poor…”Thanks Redwing for the great link. It will get me started and I can modify from there.
Amanda
“It is better to be inconspicuously wealthy, then to be ostentatiously poor…”By talking with the agent we discovered it was a property settlement (divorce) and due to Xmas looming and everything closed he wanted a result. Two contracts had already fallen over and he was desperate. The house was listed at $159500 we offered $130000 but then increased it to $135000. Deal done in one hour.
We’ve only been inside once so I’m looking forward to a second look to measure up and get supplies ready for an overhaul. Its a bit rough as is, but some TLC will do wonders and increase the rent. I recall some “lovely” timber look laminate wall sheeting and foam tiles on the ceiling. Here we go again !!Amanda
“It is better to be inconspicuously wealthy, then to be ostentatiously poor…”I just finished reading “Secrets of Property Millionairs Exposed” and they all say they list personal and financial goals but offer no actual practicle examples. I too would love a “template” to get me started.
Amanda
“It is better to be inconspicuously wealthy, then to be ostentatiously poor…”We like to start with an empty shell, order a skip and demolish everything unwanted up front. Its easier to imagine the finished product without any clutter. I agree with Fern but we prefer to leave the final floor polish and new carpet until last. No need to outlay funds until you’re ready to sell/tenant. With your Electrician and Plumber they will usually need to come back a second time, once to “rough in” and then when all is finished to “fit off”. Do your budget and then add a 10% amount for unforseens.
Also don’t forget to take progress photo’s, as its great to look back and see what and how you’ve created !!Amanda
“It is better to be inconspicuously wealthy, then to be ostentatiously poor…”Keep reading and learning. The deals are out there you just need to be a little more creative and make low offers. Here’s a few ideas for you : Can the rent be increased by adding value to the property through a paint and new carpet ? Can the house be changed from 2 to 3 bedrooms and therefore getting more rent. Can the land be subdivided ? Can the house be moved and build a duplex.
Make sure you’re looking in areas of growing developement where money is being spent on new roads, shops, factories etc.
For us its Ipswich in Qld.
Good luck
AmandaAJBS
Yes I do have experience in relocating a removal house. We moved a house from “Kerry M Ryan Quality House Removals” at Minden. Its a huge job and requires the house to be re-engineered, re-plumbed, -rewired etc. to todays building standards. You must first apply to the local council to move the house and they will send out an inspector to review its condition and the work needed. They then assess a bond that you must pay in cash ($20000 – $40000) to the Council to hold until you finish the house within the 6 month period. That way if you don’t do it properly they’ll use your bond to finish it off. The problem is they hold the cash that you need to renovate with so we had to borrow the extra.
It took us 12 months to renovate and when finished the house was featured in the Sunday Mail “Homefront”. This kick started our investing career and we made $70k profit which was reinvested into the next project. It was long, hard dirty work but the result was amazing. If you’de like to see photo’s email me at [email protected]
Good luck and hope to hear from you soon.
AmandaAJBS
Good advice from Richard here. Beware subdividing takes time (min of 2 years) and then there’s water, sewerage, council fees, engineers, surveyors and the list goes on….
AJBS
Maybe it was a white chocolate cheesecake with berries??
As posted by Dr X
I was at a birthday party last night, the cake came out and the host told the 15 people there that it was chocolate cheesecake. When they served it out, it was pink with berries in it. OBVIOUSLY NOT CHOCOLATE!!! What astounded me was peoples reactions, they kept believing that it was chocolate cheesecake, and discussing how different it was. True story!!! I was SHOCKED! I again asked the host, what the cake was and he said chocolate cheesecake, I then asked, what part of it is chocolate, I can’t see it. Immediately everyone agreed[/red]
AJBS
Will use existing equity for a deposit. Upon settlement we’ll give the place some TLC and appoint a PM
AJBS
Looking forward to you next post. I’ll show you mine if you show me yours !!
AJBS
Why didn’t you do a presettlement inspection ? You could have delayed settlement until the tenants were out.
We learn through our biggest mistakes. Lets look at how to fix it.
You’ll need to firstly give the tenant written notice to vacate and if this is not successful take legal action in the Magistrates Court via a minor debt claim. This process takes time though.
Good luckAJBS
We use Elders Insurance and they can cover damage by tenant and rent default along with the usual building & contents.
AJBS
