Forum Replies Created
LOL Handy Andy! I will definitely try that line but I will have to brace for the verbal fireworks and kill you where you stand glares!
I had decided to just proceed with educating myself further without his approval. And, also to work towards increasing my income so further investment can be excelerated. The next small step is to learn/practise using various share market strategies that 'should' provide about 1.5% per month (conservative earning) and upwards. Any gains would be reinvested and put towards further real estate as well.
This weekend I am attending a wealth building workshop and I am SO looking forward to. 17 yo son is coming with me which I figure is best age to start to get a grip on this area. He is really looking forward to it as well.
cheers
BoshyAttrill – what does Brad recommend setting the whole thing up in a trust structure?
Thanks LA Aussie – will have to follow this depreciation schedule thing up. Did some searching and as a novice investor it is an interesting area.
Definitely worth thinking about Attrill – thanks for the info!
May the force be with you.
L.A Aussie wrote:As the two properties are so new, have you had a Depreciation Schedule prepared for each one? This costs about $500 per property, is tax deductible and will pay for themselves in the first tax return.
The "on-paper" deductions from the depreciation can make a huge dufference to your cashflow.
If you haven't had them done, do it immediately for the last financial year's tax return. You will need to contact a Quantity Surveyor firm/s near where the properties are to get them done.L.A. Aussie – Do you think a Depreciation schedule be worth doing for a property that was built approx 24 years ago?
Thanks
Good going Opportunity In!
Whew! OTHER people with the same problem! Its heartening (in a bitter sweet kind of a way) to know you too have partners who don't read, aren't interested in listening or believing that yes, they can do it. Having the news readers constantly talking about interest rate rises is not very helpful at the moment. It is enough to cause a black cloud of depression to form in our lounge room each night, which isn't necessary as rises have already been budgeted into the purchasing equation.
Like a couple of you here, my partner doesn't like to read either, isn't into investing videos, investing seminars and my conversations about what has been learned are all viewed as pie in the sky kind of stuff. If we knew people who were successful investors it would help a lot as there's nothing like mixing with people who have braved the investing frontier and not only lived but prospered well to tell the tale of "Its not as scary as you imagine". I do know a couple of people but they aren't people who we 'mix' with or that my partner thinks is on our level/experience/income etc.
Patience will be used but I WILL be doing things quietly to educate myself further (there's no stopping it) and to figure out how to create more income so that further advancement will be easier and less scary for my partner (I hope). I've never lost us money or been an extravagent person and have managed all of our finances so it is disappointing to have him feel so little confidence in my plans – but never the less understandable given the sums of money involved.
One of the really exciting things is that my children can see that it is possible to purchase more than one property at a time and hopefully they will have some early beliefs we didn't have.
Thanks for your input guys. Time and patience. Tick, tick, tick….
Deadcat – I remember when I was young thinking exactly the same thing as you. The price of houses seemed so far out of our reach. Don't get despondent – if you want it and will it, you'll finally get your first place even if it is a tiny little one – being in the market is better than being out even if its just a one bedroom unit to start with.
With the help of a first home owner's grant we bought a block of land on the outskirts of our rural town and built a little 3 brm brick veneer house that was about 101 square metres No garage, no back verandah, no turf, no garden, no driveway, no curtains. Just a brick block in the middle of a mud patch. We weren't fussy – it was a HOUSE! To get lawn, I pinched kikuya runners from my inlaws place. The neighours across the road smirked as they watched me patiently spread all those runners about because we couldn't afford the roll out turf like them. A year later I smirked as I thought of how much I'd saved.
We had one 15mth child and the next one was born a year later (I figured if I waited until we could 'afford' children, we'd never end having them). It was tough. I had $20 a week to buy food, milk and bread for the week. Hubby had to home brew if he wanted beer. A spending spree for me was $5 at the op shop! Still love those op shops. Most of our friends were out every weekend knocking back the drinks and eating out regularly, and spending, spending, spending.
It sounds like you're on the right track. Just being in this forum shows that your already thinking ahead so try not to get it get to you – just keeping saving and investing those dollars!
I don't think the housing market will boom again like it did last time. And it will languish for a couple of years yet except for the hot spots. I think interest rates will go up another 1 or 2 percent – hopefully no more.
I think you're probably right V8ghia.
Thanks.Wow, I am so impressed with all your posts. Mine is humble by comparison – just starting to get into the game.
PPOR $345K owe $105K
IP $230K – Just purchased – went for capital value – rents $200 pwGreat comments everyone. Thank you.
You're absolutely right raddles. If I'd bothered to dissect the settlement statement more thoroughly I would have noticed that the sum due to the vendor had been broken up so that part of it was in a cheque made out to their solicitor. But then… I was still suffering the ravages of the worse flu I'd had for years and there were all those little pre rental maintenance tasks to organise.
Thanks,
My favourite to date are two books by Peter Spann – Wealth Magic, and $10,000,000 Million Property Portfolio in just 10 Years because of they made me realise that almost anyone can turn their financial situation around and motivated me to learn more. I have been to a couple of his intro nights which were good and will attend a weekend workshop later this year.
I have read quite a few of the others already mentioned but some aren't that useful on a practical level but help open your mind to new ways of thinking – which in itself makes a book worthwhile. There's nothing sadder than being trapped by your own mental cage.
Steve McKnigh's $1,000,000 in Property in 1 Year was interesting but lacking in practical detail. Although the practical details were obviously not part of the scope of that book but it was still a worthwhile read because it shared the growth, challenges and triumphs of other first timers.
John L Fitzgerald's Wealth From Scratch was very useful because of the practical exercises which makes you take ACTION and gave me knowledge that increased my confidence that yes, my partner and I could do it. We have our own home and settlement on our first IP will occur in three weeks – which will be a WOO HOO moment for us. One down, how many more to go??
Ah – found some info already on forums. Sorry for starting new thread!
Our conveyancer has informed us that it is standard practice to waive the cooling off period. We decided to just wait until all the pest, building and strata reports and loan approval came through before signing the contract. They have not taken the property off the market which I thinks sucks and encourages gazumping (doesn't seem very ethical to me).
Have you ever asked anyone to waive their 5 day cooling off period emptypockets?
I am happy to waive once we have loan approval and the building inspection and searches are found to be ok – but not before.Kerambi – This just happened to us. Today we had the valuer in value our PPoR (for equity/loan reasons) and we have had the building inspection done (but the report is not in) and we have commenced a strata search. Today the vendor's solicitor wants us to waive the 5 day cooling off period as well.
This request for waiver, makes us wonder (like you) what it is they don't want us to know about until it is too late. If we weren't serious we wouldn't have already starting forking out for the afore mentioned expenses. There is no way we are going to exchange contracts and pay the deposit until finance and searches are 'in the bag'. We feel we our offer meets the market and is not more than the property is worth. We may provide a deposit in good faith knowing that we won't lose it.
Did you still end up going ahead with the deal Kerambi?
Does anyone else have any comments or experience with with this?Very funny!
