Perhaps some of us are here to share what we have learned over about investing in real estate, in exchange for learning more from others.

I’m not being intentionally rude, but wanted to point out that in reality there aren’t a bunch of cashed up people out there waiting to hand over their money to someone with no experience or track record in real estate.

You must bring something to the deal apart from time – do you have a portfolio of properties you are ready to pounce on as soon as the cash is available or do you just have a vague goal of emulating Mcknight et al? Perhaps onselling such deals as you build experience is your best option – you can use the cash you make to fund a handful of personal purchases to prove a track record, then go JV with someone.

Sorry I can’t see why a property with problems would have a higher yield. It is more likely to have an appropriate yeild for value, so that if you fix it up it will be just the same as equivalent props in the area.

Sounds like a nice case study for a workshop rather than something for application

Should have explained that it was mandatory in order for him to perform ceremony. We didn’t require any but had to have a few sessions with him anyway prior to the wedding.

I think the education falls down when the “educatees” are talked down to or patronised. It’s hard to take a message seriously when the “educator” has no first hand knowledge of the topic.

It’s a bit like my Catholic priest giving me and my wife marriage counselling before the wedding. It’s part of the deal but what can he tell me about married life?

I think Steph is right – perhaps we need an alternative drug’s pamphlet. Not recommending them to take drugs but if you do here’s what to watch out for, drink lots of water etc.

I’d be looking at who pays for what with outgoings, maintenance etc.
State of repair overall,
Historic figures for renovation i.e life of fittings etc
Occupancy rates
Try & gather info on what price similar hotel/motels sell for & rent for
$5k a month sounds good now but in 25 years it will be of far less value – maybe index it to rise x% each year so you don’t lose the value of the dollar

Source please.

No – this sounds like rational economic discourse to me. I agree that the US economy is a ticking time bomb. Two-thirds of the economy is consumer spending, the budget deficit is beyond belief, stock prices have no connection to value, and the country is undergoing a massive cultural and ethnic shift.

I think you could have made your point using sources that are far more credible though. They would strengthen your argument rather than the message being weakened by where you obtain it.

Ok – good luck with your purchase Ajay

15% is $55 a week out of your “rent”. Suddenly you’ve invested 475k and getting $315 a week in rent before you pay insurance, rates & land tax.

I have to ask if the stamp duty refund is what has you convinced on this deal?

A 5% deposit leaves you paying around $1400 per f/n on net revenue likely to be $500 per f/n. Can you afford to chip in $900 per f/n ad infinitum between you?

I think we shall see many more of these stories in the coming months. I don’t think there is anything we can do to help them now. It’s a lesson well learnt, but expensive.