Management Fee is usually 16.5% of rent non-negotiable for the life of the lease to DHA. They do pay for some minor repairs and spruce the place up when they leave though. Not sure I’d be jumping through hoops to sign up for 4% return (before mgmt fees, costs, taxes etc) though – especially with no guarantee of any increase in value.

If the lease is still in place with DHA when you want to sell you may find it difficult to sell – niche investment like serviced apartments. You can get a 4% return by buying a standard property that would be cheaper, and in any suburb you like within your budget.

If you planned on keeping it for 10-15 years I’d say go for it, but 3-4 years doesn’t seem like long enough to gain any advantage.

We only have an agent managing one of our IP’s – the rest we look after. The managed one is in Battery Point in Hobart and we pay 8% per week flat fee with no other charges like postage etc. The initial offer was about 12% which we declined.

Selling some, keeping others. The numbers just aren’t there for buying right now. Moving in other directions

Hello Pot….this is the Kettle…. You’re black

I think mine was around $20 for a prop in Launceston. It’s outrageous. Mind you the actual rates are about $1k a year.

Hi Brady,

sounds great in theory but every piece of property I have purchased, the bank has taken the purchase price as valuation, no negotiation will be entered into. The bank doesn’t care about how much of a discount you have negotiated – to them what you pay is usually fair value. The val is not done as early in the process as you seem to think.

Hi Greg,

Have worked in marketing and CRM over the years so you pick up the odd trick along the way

Membership of ADMA isn’t compulsory so it will only block actual members. From memory though the US is looking at introducing a law that makes everyone an automatic opt out and permission needs to be obtained specifically to contact with marketing – now that would be nice.

It’s hard to beat these clowns – my parents get calls constantly. I have a silent number and have never had one. It’s a pain but it might be worth changing your number and making it silent (about $3 per month).

Perhaps – absolute power corrupts…absolutely?

Ok pelican – nice to see you can rationalise it to yourself, but I didn’t attack anyuone’s beliefs I merely countered irrationalism with irrationalism to show how ridiculous some of these comments are.

I don’t worship Jenman – my dealings with his agents have been less than impressive and I don’t like the way they sell property.

I think the best way to describe him is the anti-spruiker. Is he over the top and does he generalise – you bet. Is that what we get from property spruikers, “win/win” investors and the like – absolutely. It’s a balance thing.

My whole point, which seems to have been missed, is that because I didn’t agree with your view you labelled me Neil Jenman in disguise and yet you now say you didn’t want me to conform anyway.

Healthy, vigorous discussion is one thing – but you seem to slip into insinuation when it suits you and then cry foul because it isn’t a healthy discussion anymore.

Bored now.

That’s not very nice Byron. It’s like me accusing you of being a morally bankrupt wrapper disguising your ripping off of the aussie battler with empty platitudes like “I create win/win situations”.

I believe we have already established that there are two separate views on this. We are all equally entitled to our views surely?