Forum Replies Created
freestone,
maybe the insurance company’s idea of vacant is not the same as yours!
If you are renovating , will you not be there for some of the time .???
They think sometimes that if a place is “vacant”,
it can be attractive to vandals . If you are around working then the nogooders are not so attracted to the property.
Cheers LenCannot tell you when the next boom will be and would not mind if there is not one. We find investing in the country gives us a steady growth and the purchase prices are still affordable and the rents keep increasing .
Cheers for now LenOur thinking ig similar to you but we do not have so much equity as you, however our current philosophy is to hold our PPOR and rent it out , rent somewhere we want to live, wait for the market to raise a little and then sell. Looking at a 3 yr timeframe. Not a good idea to sell if you do not have to at this stage. My 2c worth.
CheersLuciano, In answer to your question –
“what exactly is the life of an advisor like” the answer would have to be:– bloody great–
Sorry I know you did not mean it that way, but seriously— when you do find the job you enjoy, you never have to work a day in your life.
Cheers and Good LuckGeez Loueez, Who has time to make a time budget.
Thanks Guys for the responses so far .
The neg geared property we do not class as having equity available so basically we have $50k from a current LOC available plus deeds to the value of $345k purchase price therefore giving us $276k (ie 80%) which I would assume would be available for use.
Also looked at my figures again and have to say that the value of the Positive IP’s stated does not include PPOR or the NEG property so overall valuation is a lot more.
To get us started when we did, we did not always have deposits, so used equity to buy some properties outright and then contribute extra funds ,effectively building our deposits after we purchased the property. We have still managed to keep our nett income positive so things will get even better as we pay the loans down
TMA , we are not concerned about the debt level because we believe we are covered with some reserves for interest rises etc. Just looking to finish my current job in 3 years even if I/we work part-time or just invest.
Perhaps I should have asked for some thoughts or/and ideas rather than the question of some calculations.
Thank you for the input anyway and look forward to hearing more ideas.
Cheers LenI would question why you need to pay $9500 for somebody to check the building each week. Light blows– somebody complains to mangmtagent, anything else goes wrong –complaints go to him/her and repairs etc are put to quote. The properties I have stayed in or own , owner-occupants in the stratacomplex quite often fix little things themselves for the good of the premises. Cheers Len
oshen,
We purchased 4 strata units rented at 1*110,2*95,1*90 the three lower ones being to pensioners and as soon as they settled we raised the rent 110 per week on all.However we did not wite to them ,we actually visited and told them face to face . Played all apologetic and let them see that we were sorry to do this but had to be done . $110 was reasonable rent for the units. They are still there (6 mths later a new tenant in one is now on 120(not pensioner) so they can see good deal) And as has been said they put in adjustments to Centrelink to maybe receive more.
Also we collect rents thru Centrelink and tenants do not have to worry about going to the bank and we have rent regurlarly fornightly for $1.01 commission per pay. I belive they appreciated being told face top face . Cheers for now Lengilad,
Your assumptions about flats is too broad.
I find nothing wrong with 3 flats returning $330/week for $120k outlay, or a house divided into 2 flats (3 bdrm & 2 bdrm) returning $285/week for outlay of $120k, or even 3 flats (4bdrm,+ 2*2 bdrm) returning $364/week for outlay of $187.5k.Or how about 4 strata units returning $450/week for outlay of $250k
Think outside the square mate.
Cheers LenHi Chris, I believe properties should be insured as from xchange and access clauses are usually in the contract (NSW at least)The other things that you mentioned , I know even less about but I also believe that I would not be starting reno work until the contract was unconditional and the vendor could not change the ir minds.
Cheers LenI wonder about stamp duty if you are selling but think about : Exit tax if NSW , release mortgage if appropriate, allowance for portion of rates etc,
Who knows ???
Cheers lenGreetings Guys,
I have to wonder how or why you are waiting for statements and not checking bank via internetbanking. At least you would know the day after the rent is due to be deposited that it had not been. Easier to chase up then than 13 weeks later.
Trying hard not to judge here but seems slack on somebody’s part.
Good luck for the future rent. Cheers lenHi Chris,
This could be difficult from house prices.
eg in our case:
(house price)=(land value):62500=6363, 187500=54800, 77500=11100, 125000=16000, 270000=72200, 88500=28600.Also depends on situation of property so please do not rely on above figure for your calculations and I do not know of any site in NSW except http://www.osr.gov.au
Chers LenOh Geez —So nice to see another reasonable topic turned into a “valuable useless” rabble of ideas
Cheers LenIs it not so that once contracts have been exchanged you are seen as to OWN the property ??? Do you not take out insurance from xchange date because you own the property?
LenMy biggest idea , or 2 actually is to win Miss World and bring world peace to all after I become a brain surgeon, and my second is to see the people on this forum use their intellect and power for good —not evil.
Maybe one is a money making idea because you see I am nearly 60 yrs young and a male!!!!
Cheers LenCheck your private emails. Cheers.
Congratulations Dazz and Padma,
Great posts and interesting reading . This post was longer but Geez there be any point whatsoever in saying any more , so I wiped it before posting .. Good one Guys
LenAlee,
We pay from 7% to 8% agent fee + $2 -$4 per month Admin Fee with GST payable on total deduction. Which I think “stinks” Why pay GST on commission when we do not pay if PM ourselves.
Fine to pay GST on collecting rent as this is a service but “urks” me to pay GST on Admin. fee as well . The way it appears—you will pay about 8.5%on rent but $8 admin fee seems a lot.Agent getting $18 per week on your proprty.Check for other agents in area but $8 admin fee seems over the top to me even more so if GST is on top.Cheers for now LenHi lukie t,
Happy to suggest Southern Conveyancing in Brighton Sydney on 95997500 . They will give you a quote and seem very helpful.
Good Luck
Len
