Yerrs, so I was reading this while drinking my Spring Valley juice and guess what there is this little factoid under the lid: “Until the nineteenth century, solid blocks of tea were used as money in Siberia”.

Anyhoo, I agree with Ozi, surely you don’t wipe the moist teabags all over the floor as you sweep? IMaybe a dum question, but I for one…[Read more]

Have to agree with Dazzling from his prior post(s) (Dazzling I know I’m sometimes mean to you for your tell-it-like-you-see-it approach, but in this case you have my full support [] ).

I agree with Dazzling that net yield can be a good indicator of cf status… by the time you get down to net income what’s left? The debt payment. As Dazzling…[Read more]

Gee thanks for your input Dazzling.

Your messages are always so

Tremendously,
Overwhelmingly,
Uplifting,
Gregarious and
Helpful

My first home ever was rented to students when I bought it and I have also discussed with investing buddies whether a purchaser could let a tenant fulfil the obligations of the FHOG in lieu of the actual proprietor of the property (i.e. you).

I was advised by people, as Derek has noted, that checks are made. Some may be real estate urban myths…[Read more]

Hoowee, bit of a cheeky post gr, not that I don’t agree with some points though..

I agree that there are folks out there making an absolute mint on stuff like land subdivision etc which has little to do with what Steve has written about. And you would know by now that I would not be averse to making a quid in such environments, with enough equi…[Read more]

Yes depreciator of course they are. Perhaps the wilful expenditure of surplus cash is impressive sometimes… I’ve seen wads of cash put to some pretty fantastic uses. (*drifts into hazy reverie…*)

ANYHOO, the points made about super are very, very true. But this rent v buy argument has been raging for ages, and economists and experts will…[Read more]

PS What’s YOUR problem, buddy?

You lookin at me?

You lookin at me? Huh?

[biggrin]

Great post indeed WASP. Here’s why I am not in an IP right now:

I am selling my PPR and my fiance and I have found a nice place we want to move into so buying the new subject to sale of the old (RE agents… some of them are shocking).

Yes I could have taken equity from the old place and gone into some investments but instead we went for the old…[Read more]

Did anyone see the story in the same paper about the development in Murdoch on top of the Park n Ride? What the…?

Wow, awesome to see visionary sandgropers leading the way in this area. If there’s room in this co-operative that’s being suggested, I’d like in as well!

What’s a little -ve cf between half a dozen people?

Bob

Well done Redwing.

I must be honest, I have not kept my eye on that area but I am now also starting to “sit up and take notice”. Was your prop cf+ when you got it though?

Bob

gr, thanks for reminding me of the original point of the post. I think we all got off track there (the entertaining side topic notwithstanding).

[anxious]

Bob

Congrats Dazzling I’ve always gotten great enjoyment out of your posts and the ruckus they sometimes create.

I wish you’d speak your mind more often though. []

Bob

Wow, what a really long post! I was spellbound too, quite a lot of opinions and angles to read about. Poor Michael Yardney got a pounding from the suspicious among us and you have to admit Michael, you did actually spruik a little:

These are some of the concepts I wll be explaining at my annual Property Briefings. If you want to understand some…[Read more]

Yes gr I can think of one fund lender that will do 66.67% GRV at 11%. Queensland-based, maybe you know them?

Bob

kp, I think gr is referring to the example from his reply to moony:

so gross $1,200,000 -35% = 780 – build 275 (505)-legals and cost interest 140 = 365 land
my working out with calculator
this is not an example this is a lend I just did.
land after legals came to 389,250.
loans going thru.

“780” would seem to refer to GRV less a developer’s…[Read more]

Sorry GR just went back and looked again at your wording: “full lend”. I assume this means very high %TPC (Dazzling, if you’re reading that’s debt to total project cost, the development equivalent of LVR).

Bob

The old due diligence again. SO important.

Thanks for the story GR; a timely reminder, like you say, to budding developers. It requires more attention than many people think.

Bob

PS 11%? Youch! What was wrong with the bank?

Goddesk, folks keep telling me I am pretty good with excel (wouldn’t say that myself but anyhoo). I could have a look at it for you and try to modify the tax stuff in the formulae. No promises though! Feel free to email the spreadsheet.

Bob

Dazzling;

Enjoyed the longhand version of your perspective – some good points and well put.

Bob