Forum Replies Created
I have been a bit lax in visiting lately. It’s not that I don’t enjoy this forum, I really love visiting.
The market is not quite as easy to pick now and to go on investing really does seem to soak up the time spent doing due diligence before purchase.
Lenders also seem not quite as willing to toss the loans out to investors and I would imagine may at times be quite frustrating for some. Not my problem yet but I have been asked to be careful in further borrowing.
End of financial year is also looming and the dreaded tax return, for me this year is a monster. I have recently learned how to put the return onto a spreadsheet. Fantastic invention, does the adding up for you. Took me a while to learn the ‘sum’ button was a backwards ‘E’ tho. Who designed this program?
Cheers Brenda.
If you want to get out of a hole, first stop digging.
I am still buying real estate this calendar year but at a vastly reduced rate. Only one so far this year and even for that one I am still waiting for finance to be approved next week.
Return will only be 6% gross yield and that is only because the rent goes up just as I take ownership next month. Good block in a great position in a still capital growing area and I got it at least $20k below value so not too bad.
I wouldn’t mind a few more this year but a higher gross yield would be better.
As for selling any and using the profits to decrease debt, it is an option. I currently have loads of depreciation to claim for the next 5 yrs and that would offset most of the capital gains should I sell anything.
Cheers Brenda[biggrin]
If you want to get out of a hole, first stop digging.
Originally posted by flash:misty 1 had some good advice
as i am a painter i would recomend dulux,best quality grade
choose wash and wear as most durable
good luckI just got the whole interior of my ip painted for just over $1000!
My tenant works for Dulux paints and could get it for a discount. He offered to paint the house he is renting from me.
I told the property manager to let him do one small room and then inspect his work. She said it was a terrific and neat job. So I told him to go for the lot!
PM report, the house looks great.[specool]
If you want to get out of a hole, first stop digging.
I once went to a reno’d property which had previously had a cracked driveway (patio area actually). The owner had gotten a grinder and ground off the uneven sticking up bits, and then used a heap of that cheap no more gaps sealer to seal up the cracks. He had then simply painted the area with an appropriate paving paint. It didn’t look too bad.
If you want to get out of a hole, first stop digging.
Fibro houses are usually priced lower in the market as it is not an attractive look. It is not a first choice for many investors are it is prone to tenants knocking holes in it, even by accident, say with a cricket ball or car door.
You should bargain them down to as cheap as you can get and investigate the costs involved with getting the home covered with cladding. This is a more attractive look and doesn’t even need painting.
Then you will have a more attractive looking investment with the added benefit of increasing the market value. With your new found equity, you can then borrow more money and buy another one.
If you want to get out of a hole, first stop digging.
$30 million per annum would be just about enough I reckon.
If you want to get out of a hole, first stop digging.
Hi Rebecca, Are you talking of the Property Masters seminar in Brisbane in May?
I will be at the seminar then, so I will see you there!
Cheers Brenda.
If you want to get out of a hole, first stop digging.
I can see there must be lots of people who just need an ego buildup, some financial education and a little push to get them going.
However, I am not keen on the method used to go about it. Three or four hours of sleep every night for a week? At the end of that you would say or do anything wouldn’t you?
Wasn’t ‘sleep deprivation’ some form of torture to obtain strategic information during wartime?[worried]
If you want to get out of a hole, first stop digging.
Capital Growth is absolutely wonderful and if it was constantly sustainable would be the way to go. It can though stagnate for years after a boom.
Also, if you have one ip in the middle of Sydney, the rent is unlikely to be able to help you pay off any debt or even meet the interest repayments.
Therefore, you are going to have to stay in your JOB for a very long time to help you hang on to the ip.[eh]
Retiring to a passive income is what it is all about so sooner or later, you will need those cheaper, cashflow properties.[grad]
If you want to get out of a hole, first stop digging.
I actually live in a country area. I have long suspected, the real estate agent deliberately lists at 20% above what the vendor actually wants.
Most locals know this and offer substantially less than the listed price.
Trouble is, outside buyers do not know this and are willing to pay the listed price as it is cheaper than the nearest city areas and they think you have to pay a premium for the country lifestyle.
As a result, our median sales are often up and down sporadically.
Another hint is the agent needs to make enough sales on a regular basis to stay in business.
During quiet times, it may be necessary to crunch the vendor just to get a sale in for that month.You just have to hit it at the right time, to get a bargain.[biggrin]
If you want to get out of a hole, first stop digging.
I haven’t read the Personal investor issue with Trish yet.
I think I understand her logic though. I look at things a little differently.
If my property has say an 8% yield when I first purchased it and the rent goes up to become a 9% yield, I really don’t worry too much about it except that all the bills then get paid from the rents, instead of from my pocket.
I do though, measure the rental against the current market price of the property. If this becomes less than 4% and there is no longer much capital growth expected in that property for a few years, then I do start to weigh up the benefits of selling.
Its not the sale price which is important. It is how much interest you save and what you do with the proceeds of the sale.
Paying out the non-taxdeductable loan on your own home is quite a good idea. Purchasing more ip’s which yield more is a good idea also. This is how you make your money grow for you.
Cheers Brenda.[biggrin]
If you want to get out of a hole, first stop digging.
Being a recent logger to this forum, I have quite enjoyed the happy, and friendly atmosphere.
Sure, some threads are a bit short, but in amongst it all, I have found some absolute gems.
I think the casual, fun attitude serves a good purpose, to get everyone chatting; be it a newbie who is only toying with the idea of property investing, or a seasoned investor who may be generous enough to share their successful strategies.
Big thumbs up from me, I like it here.[thumbsup2]
Cheers Brenda[sunny]
If you want to get out of a hole, first stop digging.
Celivia, phone up API to subscribe and ask that your subscription start from that last Feb/Mar issue. It will save you postage charges on backordering it separate from the subscription.
If you want to get out of a hole, first stop digging.
Crikey! I thought my $100 deposits were low enough. With $50 deposits I could buy twice as many. Thanks elves[inlove]
If you want to get out of a hole, first stop digging.
Property Investing is maddening slow at the start. Educate yourself so that when investing starts to get easier and you can see great deals all over the place, you are ready to keep pushing the envelope and really expand your investing more quickly.
If you want to get out of a hole, first stop digging.
If you check on the inside cover, Lane is now the publisher of API magazine. I have all issues from the very first one. I think the original price was only $5.95 then. Now it’s something like $8.95 but on subscription you usually get a discount and you receive it earlier than the newsagents.
If you want to get out of a hole, first stop digging.
Hi all, everyone who bought the API mag knows my secrets but for those who missed it.
1. Portfolio gross $3,000,000.
2. Net $1,750,000.
3. 22 houses plus own home
4. bought first house in 1998.
5. secret- build the portfolio and try not to spend too much money on holidays, cars, clothes, etc at the start. You get all that later.[biggrin]Cheers Brenda[sunny]
If you want to get out of a hole, first stop digging.
Does the airconditioning have to be of the expensive ducted type? In my own home, I had an LG airconditioner installed; the window type. Cost was less than $1000.
Had it have been for an ip, that amount would have been put into a ‘low value pool’ and within a few short years, I would have my money back without having to increase the rent.
If you want to get out of a hole, first stop digging.
Originally posted by daaj10242:In the latest property Investor magazine their is a lady with 20+ properties mostly in one suburb.
Dom[specool]Actually, if you are talking about me, half the houses are 30km’s from Brisbane CBD and the other half are 300km’s from Brisbane CBD.
The first half were bought for capital growth, (some have since doubled and some tripled in value). The other half were bought solely for cashflow, and I’m not really expecting much capital growth from those.
After a boom like we’ve just had, equity is not a problem for us anymore. It’s the servicing of loans or cashflow which is where we must keep our attention.
It is best to have a balance of growth investments as well as cashflow ones.
Cheers Brenda[sunny]
If you want to get out of a hole, first stop digging.
Crickey, Chan! Your rent actually went backwards?[crying]
If you want to get out of a hole, first stop digging.
