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thanks derek
It’s not as if I need to do this, It was just an idea that I had, (yeah I have weird idea’s). It was a different way of making the most from my money in my offset account.
Might have to give the ATO a ring.bonnie I believe if you want to buy near any capital city then the crystal ball is at the council chambers. there you can find out what other people dont know about an area, but beware that council plans do change from time to time.
Personally best of luck to adviser, but I cant justify to myself (or the misses) about having $60,000 in geraldton and relying on CG that might not reach my goal. The fact that it is a shop only makes it harder to find a tenant for too. I looked into geraldton not long ago and for “my needs” it seemed as if the horse has already bolted out of the stable. I could be wrong (probably am). It can be very hard to predict CG, for instance last financial year there were areas down south that appreciated over 60% in 1 year, but all property goes through it’s cycles of huge CG and the next step is next to no CG (about 1-2%). In a town I once lived they had large CG for 2 years and all the developers started to build meny, meny houses and by the time the last of them was built they had flooded the market. If you say paid $200k for a house at the start then you didnt get the full CG because developers were still trying to sell the houses that they built 12 months ago at less then market value, ie thus reducing your value. I see lots and lots of adds for geralton and wonder if this will happen there.wish you the best
benhi adviser
I have a couple of properties near kalgoorlie WA and I’ve dealt every time with Goldfields Settlements which is a division of Decaz pty. ltd.
They have caused me absolutly no trouble and do a quick settlement without any issues. ie, 4 weeks from offer accepted to closure of settlement. (which is fast for around here)
Anyway I’m not sure if they deal with your area or if they have another division servicing that area but it will give you a comparison to work with.ben
Firstly burt you are looking in the right direction if you are here. Your reasonable income might become strained if investing in negative geared property. I have been fortunate enough (due to alot of hard work mainly) to be able to “do up” a couple of properties, that were positive geared before I touched them up, but are now performing very well indeed.
Before you buy a fixer upper I think you need to ask yourself if you can do whats required, it definatly wont be easy (but the best things in life never are). My properties are in the next suburb which made it easy to renovate them as I could do it during the day and go home at night (you dont want to sleep on the floor of a house that has no shower and smells of fresh paint, well I don’t). If you manage to get a long settlement coupled to early access you might be able to renovate the entire house before you settle and have tenants lined up to move in on settlement day (this depends on where you buy, beware of gazumping). If your not the hands on type of person then you could get someone to renovate it for you but it is another cost to eat into your reserves.
Look in detail at what loan options are open to you as this can cost you money later down the track if you dont set it up to suit you now. (this was my problem as I didnt fully understand what options were available to me when I started). This includes reducing your own morgage faster if you have one.
Lastly it will be frustrating to get started and you will find a few bumps in the road on your first property but it does get easier each time.wish you the best
ben
