Forum Replies Created
Yea pynecone,
that is what I had heard! I have recently become more and more interested in this subject as I have about $40K sitting there paying 15% tax and fees and definetly growing by less than that! The Tax thing is a lie, not sure how much tax I pay ongoing.Cheers
C@34
Hot and Dry!
Don’t know realy, haven’t been there! LOL
Cheers
C@34
originally posted by foundation:
I would suggest that your best ‘investment’ would be to get rid of those debts. You’ll be hard pressed to safely find an asset returning 10-18% compounding this year.Cheers, my thoughts have been split (for want of a better word); I do want to focus on getting rid of these two debts ASAP and I guess doing it by using the saved $$ would be oneway of doing that quickly and successfully, but I also want to get some investments off the ground.
I have found an investment that is CF+, which will cover the repayments on the IP, my PPOR and ~3% left (of the rental income) to cover anymaintenance issues. THe IP is less than 7 yrs old and I don’t anticipate any major repairs (could be my downfall!) but it would give me greater cashflow to pay off those debts at almost twice the current rate. That is where I’m comming from. I have spent a lot of time playing with the different scenarios. I don’t have to worry about PM as the company looking to lease them will deal with the tennant (their employee) and come to me once there is a structural issue that needs attention. As in, they pay for and get any minor repair done them selves to maintain the house as they have taken it on, as the minor damages are as a result of their employee. I had the rental agreement checked by a solicitor and he has given me no reason to doubt the companies intentions.
Lets hope it all works out.Cheers
C@34
Oooh-yeah!
It has taken 8 short years to convert my beautiful wife from “Learned $400! What can buy with it all” to “what is the budget”. It has been hard and at times very very nasty fights have erupted, but I have been able to show her what it can do and we have been able to put away nearly $500 each fortnight.
We have also gone away from the big banks and have joined a credit union. They have this wonderful thing called a “Visa Access Card”. Like a key-card (eftpos card) it allows you to draw on the CR balance in your account only! And no fees ahahahahha – love it. Praise God that I have managed to NOT say: “I told you so!”, cos I think I’d be dead now……LOL.
Last bastion of bad debt still to go is $1500 on old C/C and $13880 on old personal loan! Both will be finalised this year to $0!!!!! Despite investing.
Cheers
C@34
Ouch lukis p,
that hurt my feelings! I have often wondered why every-one thinks Karratha is sooooooo much better than Hedland! Perhaps it is because you have Roeburn to keep your riff-raff (oooooo that’s nasty!).BHP Billiton have closed Boodarie’s doors and wont be operating it ever, but that doesn’t mean nobody else will! Nelson Point and Finucane Islan (both BHPB) are beingf expanded from 100mt per annum to 140mt and they will need an operating work force to go with that. We have FMG comming to Town (40mt projected), Gina Reinheart (Hopedowns) is looking to come into Hedland (another 40mt p.a.) not to mention what will happen to the B.I. plant and its new owners (it will cost BHPB too much to reswtoer the site to it’s original glory so they will sell it off!). One plan is to re-start it as it was, another is to turn it into a fertilizer plant, still another is to converti it to produce explosives.
Karratha appears to be nicer, when you first visti, but there isn’t that much of a difference. I think the ‘We are better than you’ thing is so over rated! Look at what is available, do you ‘due dilligence’ and then make a decision that suits your risk profile! Boom-boom, end of story. Either way, both Towns are over priced and, yet both seem to manage to be CF+.
PS – we haven’t had any cattle stations in Hedland for quite some time now! They tend to be 40 odd K’s out of town and don’t have much bearing on our lives……
My opinions anyway (poopoo them if you like!).
Cheers
C@34
Hey there Wayne,
long time between drinks!
You most likely wont get 4 x 1 acre blocks because you need to provide vehicle access and room for services (phone, power and sewerage, etc). Keeping this in mind, you might have to redo your numbers (unless you have already included this in your equations).Talk to ‘Greg F’ (eastern states) and Ausprop (WA) as I believe they have extensive experience in this or are currently going thru this.
Cheers
C@34
Kasia,
nothing beats actually going in and doing it! If you find great deals, bring them to the forum (minus address details) and people here will help you assess the real numbers of the prospective IP!Make sure that your mothers plans are reflecting your plans (don’t want her to pull out at a crucial stage) and then have a go! My wife and I had four goes before we actually won a house we wanted. There are far more interesting emotions to come and you wont ever get anywhere without having a go first!
Mistaches happen to most of us at some time or another. What you do with those mistaches is what will make or break your investment future.
Good luck, but have a go!
Cheers
C@34
Hi Mark,
I’d say it is a bit of both, at least in the second case.Most every-one deserves a second chance (case 1, above), but the second story has had more than a second chance. What about engaging a debt collection agency?! Big nuckle-dragging goons that encourage people to pay up?! I’d probably flick the agent too, after meeting with the principle of the Agency. See what their soution is before going else where (ubless you know of a top rate Agent in that area). Almost better the devil you know thatn the one you don’t……
What are your thoughts on that?
Cheers
C@34
I guess the agreement isn’t worth the paper it wasn’t written on!
If you can, or if the property is fenced, lock it up and get the Lawyer to send a letter to the tennant along the lines of unauthorised us of your property, that he can reclaim his materials once he pays for the time he used your yard (do you have any record of him paying? Chqs are traceable!!!!!); that way if he bust open your locks/fence and removes his goods you have proof of him breaking the law. If he doesn’t care about the stuff in your yard, then you have the right to auction it off to recoup lost revenue – or that is what I would think (my dad did something like this).
Alternatively, with the Lawyers assistance you can try to “find a solution to the problem” by forming another NEW and Written Lease.
I tend to agree with Brahms, keep it legal and keep your nose clean. You’ve already admitted that you might not see any money and have, regrettably, chalked this one up to ‘education’, perhaps doing some of the above will turn it around for you.All the best, and let us know how you go!
Cheers
C@34
originaly posted by eeshole:
To your list I would add the rise of 2 income families as it becomes more and more mainstream for both parents to work (and therefore nearly double each family’s debt serviceability, thereby allowing them to borrow more for property investment).I wouldn’t say that their income, & therefore their servicability, nearly double. In my case, with my wife working, most of her pay has been consumed by Child Care Fees, and I know we’re not the only ones.
Perhaps, in our case, it is because my wife hasn’t chosen to be a careerwoman in a high paying job and I have been fortunate in finding jobs within the mining industry allowing us to continue investing, but our goal is now on other things. I work, now, only until I have to (target retirement from having to work is 2014), and have more recently focussed on educating myself more broadly (shares & poss. business opportunities) to use our saved $$ while they are too insignificatn to buy an IP to grow (or work for us) until such time that we can siphon-off a deposit for the next IP, rarara, and-so-on-and-so-forth.Exhilarating, but a bit slow! I know it tends to snowball, so we take it easy for now.[cigar]
Cheers
C@34
originally posted by mcubed:
i just want to starting investing asap, but reliase i need to read more!
possibly wait until the market settles down,
but the longer i wait, i wont be able acheive my goal of having 1M worth of property by the time i am 30! and ideas to get there quicker!Hey, I know you feel! I’ve been “awoken” nearly 12 months ago and I am chomping at the bit to get my first IP and then the next day more IPs. The longer I have been studdying the ‘smarter’ (I hope) my choices become. I am now in the position where to get an IP now would stretch me too much and I could risk loosing it all (incl. PPOR)[cigar], so I wait a bit, get more ideas from the ‘mature’ investors and plan for what I want to achieve – and refine the plan some more. It sux having to sit on my hands, but I want to go forward NOT backwards!
Take your time, investing has a snowball effect. Once you have one CF+ IP it will be eaasier to get the second one. Then you have two and it will be easier to get another two CF+ IPs and so on. Although I don’t think you will progress exponentially, I believe expansion is possible close to that – WITH THE RIGHT KNOWLEDGE, DUE-DILLIGENCE AND PLAN.Being told to slow down and learn is not a slap in the face, it is as much for your guidance as it is for your protection (in a way). Stick with it, you’ll determine how fast you go!
Cheers
C@34
TOUCHDOWN!
Sorry, but you can always play lotto! No need to read there!
Cheers
C@34
Yes I would have to agree with woodsman!
I put off a Bachelor of Science (Microbiology) and never went back…. The lure of earning $$$$ was too great to give it up.
Now I studdy after-hrs when I could be spending time with my wife and or kids! Studdy hint I use now is get organised then use an egg timer, 40 minutes hard-uninterupted study, then I walk away for 20 (actually 15 minutes to allow for setting up for the next subject). I walk around the house, talk to my wife, play short games with my kids or our two beautiful Rotties (rough-housing), and then get back to it.
No reason you can’t use the internet to look up a post code, set-up a spreadsheet or something?!
Anyway, that works for me.[grad]Cheers
C@34
I KNOW YOUR TALKING TO ME BUT I JUST DON’T HEAR WHAT YOU’ARE SAYING…….
I have such a long way to go! Is this Double-Dutch-Anglo-Chinese economics talk? Or something far more specific?
Cheers
C@34
I live in Hedland.
Send me an email if I can assist you in anyway!Cheers
C@34
well i am steering more toward property over shares, as i see shares to be a bit risky? thoughtsHehe, this one propably will draw a lot of input, so here is my input: I don’t know much about shares! But on the whole I believe that they are calssed as more risky than IPs as they tend to be easily liquidated. The trends (as far as I can tell) is that, when IPs are not going well, share are doing well (over simplified – but that is all I got), and vikky-versa! It depends on your education level. For me I found IPs easy to grasp and so have pursued it first with the intent of going into shares at a later date.
i have just noticed somethign in new farm, brisbane (near city) $120,000 studio, looks nice, 155 per week rented atm. thoughts? do i still get the gov grant for this if i bought a unit?You should be eligible for the FHOG if you haven’t already owned or part owned a home! Unit or house shouldn’t make a difference, although if wrong some-one will point that out. Once you get the FHOG, you need to have lived in the studio for at least 6 months some time with-in the first year of purchase! Is the studio a good buy? Don’t know, what do you know of the area? Is there demand for studio style accommodation? Is the rent quoted correct? No point in buying it if the rent is too high and nobody wants to live in it! What is happening to the town (are there many new appartments going up?) – what would make your studio less/ more attractive to renters? etc,etc,etc…….
My question towards the personality wasn’t aimed at whether or not you’re keen, but more towards what style of investing do you want to do? Wrapps, flips, buy-and-hold, etc? Are you happy to be agressive in style (I know I am not)? These things will affect your investment strategies.
How much have you saved (don’t give an exact answer)? Are you employed? Do you know how much you can borrow (before you go to the banks!)? Do you know how much servicability you have?
Still keen? Good on you! It can be daunting at the beginning, but try out the search engine on this site and you’ll be amazed at how much info is already there! Keep chopping away Tiger! The only way is up.
Cheers
C@34
Ahh yes, alas my parents came from O/S as well with the same intentions. Unlike Tom and Jos’ parents they never bought property but instead bought businesses (not all at the same time but one after the other) and worked very hard and long hours.
I can sing a song about the number of deals they had in their grasp, but let go at the last minute! The hardest to deal with, I guess, is an appartment looking into the WACCA!!!
Would you believe they offered $32K for it and it was accepted?!?!?!? They were going to do it in partnership with some friends who pulled out; and even-though my parents had the money to BUY IT OUTRIGHT, they let it go………..[cry]What can you do? This has become one of the driving forces for me now.
Cheers
C@34
It would be best if you refrased this question as it is too broad!
Shares vs Property? Big arguments comming up – Do a search on the topics and you’ll get more thatn you bargained for in answers.
How much research have you done? Any good books you’ve read? Any plans at all that you have made (appart from the obvious headline)? Give us something to work with and tell us what kind of personality you are. These would halp us all to make pointed suggestions.
Best wishes.
Cheers
C@34
Big M,
you have obviously done the maths on this query!Yes?Cheers
C@34
It links you to the free CRA report section. Takes about 2 weeks to come. If you want it today, just pay $23 and they’ll email it to you same day.
Cheers
C@34
