Forum Replies Created
Scotty,
I didn’t think you’d disagree. But there have been a lot of people come onto these boards interested in Bird Dogging after having read Steve’s books, and I thought it was important to point out that there is not a blanket ban on getting involved in the property industry in this way, just restrictions. Certainly you are correct in warning caution.
Scotty,
I aggree with you that you need to be very careful, and “bird dogging” in the form that is usually accepted is certainly illegal. However, it is not illegal to introduce people, and it is not illegal to wreap benefits from doing so, as do many architects in the example given.
I run a town planning consultancy and we work with a number of architects who do this, we also actively help our clients network, because it is good for business. This is very similar to bird dogging.
The laws do not allow an unlicensed person to spruik property, there is no law against introducing people who might be able to do business together, as long as that is all you are doing.
Definately be careful, and definately contact consumer affairs in your state and or seek legal advice, but all I am saying is that it is wrong to say that you cannot benefit from this type of activity without being a realestate agent.
I think another thing that people are not getting from Peter Spann’s strategy is that he does not plan on his properties being -ve cash flow in definately. His states in his book that his properties usually reach cash flow positive within about 3 years, and often immediately (in terms of after tax earnings) because of depreciation.
His idea is that if you are going to buy properties in areas that are likely to outperform over the longer term, in terms of capital growth, they are unlikely to attract rents in excess of repayments from day 1.
It should also be noted that he publishes a book on share investing, so I do think that other types of investment are central to his success, as well as resedential property. But he makes a very big point on the power of resedential property in terms of gaing access to large amounts of money at low rates and without margin calls.
I like Peter Spanns approach to creating equity. I haven’t read any of his other books, but I assume, from what I have read that he uses residential property largely to get access to money at low rates, and uses this both to bye more of the same and to invest elsewhere. This makes a lot of sense, as the interest rates and leding ratios on resedential property are so favourable.
After reading his approach to valuers I had my PPOR revalued, and after bombarding the valuer with information and opinions managed to get a very favourable result, more than $20,000 above her origonal estimate.
The fair trading act states that you can’t act as an agent. You can act as a bird dog, as long as what you are doing does not fit the criteria given for this definition.
You just need to be careful with how you act. An example is architects, some of whom generate work by taking potential projects to their clients, in return for the design work.
Find out which valuers your bank uses and employ them directly. The bank will accept their valuation still, and they’re more likely to give you a good valuation if they are working for you. If you give them a lot of info supporting the valuation you want, you make their job easy and they are likely to value the property somewhere near your estimate.
Outback,
For anybody to help, you need to post the state and suburb. If its in Victoria, you can get this info online from the Department of Sustainability and environment web site http://www.dse.vic.gov.au
Regards
AlistairHi Julie & Glenn,
If you don’t mind using someone interstate, try Guests accounting http://www.guests.com.au. They were recommended to me by a very large property developer and have only just started doing work for us. I’m more than happy with the service they have given us, which is a big step up from our previous accountants. They are at very top end of the market in terms of knowledge on property and tax in particular.
Regards
AlistairI was in Balina recently and read an article in the local paper where locals in Nimbin were complaining about increases in the amount of violence from the low quality people that are moving into the area. Not the hippies that it is famous for but peope using and selling harder drugs.
I know Lismore quite well and it is definately cheap compared to the coastal towns in the area.
Intrinsic,
You sound like a good candidate for vendor finance.
There is no problem with claiming a spotters fee as long as you don’t involve yourself in negotiations or advertising a particular property. If you are introducing people you will have no problems. I have spoken to Consumer affairs regarding my own activities in this regard and they do not have a problem, but you should probably speak to them yourself to be safe.
Hi Patrick,
I’m not sure which state you are from but my company has quite a bit of experience with rezoning land in Victoria. It can be very lucrative, but there are also long lead times and a large amount of risk. It can also be expensive as you may need to emply a range of consultants for specialist areas, such as environmental engineering and a range of others depending on the individual project.
In melbourne there is a document called Melbourne 2030 which identifies areas that are seen as having potential for rezoning eg reural land that is designated future urban. If you can get your hands on land such as this at a good price, you have a very good chance of getting it rezoned, but most landowners know this, and havre already had offers.
I hope i haven’t put you off, because as I said you can make a lot of money from rezoning land, just make sure you get very good advice before jumping into anything.
Regards
AlistairVicgirl,
For your future reference you can look up the zoning and overlays affecting individual properties and also view all local planning schemes at the following site.
http://www.dse.vic.gov.au/planningschemes/
Regards
AlistairHi Teacher,
The planning permit will have details on things such as the layout of the units and what materials they are to be made of, so unless the kit home fits with these conditions you would either have to apply for an alteration or seek a new permit.
Regards
Alistair
[email protected]wrappack,
If you are interested in sourcing properties in Melbourne, i might be able to help you. (nb I am not a real estate agent and will not try to sell you anything, I run a town planning business and so come accross opportunites frequently, before they are given to an estate agent).
Regards
Alistair PerryHi Jeffasoft,
I have to disagree with you there. There are many caravan parks (particularly those with permanent residents) that sound exactly the same as what was suggested.
I’m almost certain a council would see it this way too. They don’t like people coming up with creative ways of getting around their planning controls.
Regards
Alistair Perry
http://www.town-planning.com.auHi Kim,
I can’t answer your query completely, but I can clear something up. You do not have subdivide prior to starting building. Subdivision is the seperation of the titles and this usually occurs once building has commenced. If planning permission is required, you do need a planning permit prior to commencing.
Over to somebody else for the rest.
Regards
Alistair Perry
http://www.town-planning.com.auHi,
I assume this is the article on BIS Shrapnel’s forecasts. I have read a number of BIS Shrapnel reports on a range of topics, and am very sceptical of anything they have to say. My opinion is that they are more likely to sell their research and forecasts if they are alarmist, while the banks are setting their fixed rates on purely economic grounds.
Regards
Alistair Perry
http://www.town-planning.com.auHi,
I think that everything on the beach side of the Nepean Hwy to Mordialloc and everything on the beech side of the train line thereafter is attractive, with exactly where you choose depending on how much you are willing to spend. There is a long term trend in population movement towards the beach, and all of these suburbs will be major beneficiaries.
Regards
Alistair perry
http://www.town-planning.com.auIt sounds like you want to build a caravan park. I would be careful to make sure such a development is permitted before going ahead.
Regards
Alistair Perry
http://www.town-planning.com.au
