[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

March 15, 2008 - 1:49 pm

thanks for every ones feed back since the last time i posted i have signed a contract on a property (my very 1st one ) with a $500.00 deposit.
the vendor is fine with it and has also signed so now on with the gritty stuff.

Aimee

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

February 26, 2008 - 10:11 am

thanks everyone for your in put.

much appreciated

cheers

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

February 25, 2008 - 11:16 am

i ask because my cash savings have been some what stretched due to a family emergency and i no longer have the $1000.00 deposit
i still have money for the convayencing and raports tho.

i guess im not real sure what i should do from here on?
any advice or friendly tips would be appreciated

thanks

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 26, 2008 - 3:24 am

Hi Tracy

can you please confirm for me if her books are ebooks or if they are sent out through the post?
i bought one off the link you provided but i can find anywhere on the site that tells me this.

cheers

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 26, 2008 - 3:06 am

yeah i was scratching my head there for a while too lol

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 25, 2008 - 11:01 am

wow dont know what happened there with all those posts????????
maybe i have a yowie in my comp LOL.

thanks heaps tracy i read more itto it and i think i'll start with that one too. thanks for the recomendation.

sorry terry i was just asking tracy which book to start with as my hubby goes nut when i buy more than 2 books at a time . my libery is quite large. and what a shame it is that i can only read one book ata time.

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 25, 2008 - 2:47 am

Hi Tracy

do all her books come with the software or just the one you got .  'which one did you get out of curiosity and are her books good?

theres 3 good ones there i like but not sure which to start with.

lol i can only read one a t a time (buggar) 

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 24, 2008 - 11:30 pm

please let me know if im understanding this right (i dont want to make any big mistakes)

okay so when you've looked/discussed the property it's best to inform the agent you want to make an offer and then go to there office and fill out a written offer. and then any counter offers or term conditions can be done verbally.

once the offer has been accept do i then go back and amend the written offer if things have changed verbally?
or do i do this when i see a convayencer?

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 24, 2008 - 7:03 am

thanks jon

i didnt mean like a silly low offer sorry if this sounded that way i meant a reasonable low offer than what the asking price is.

for example im not going to make a 300K offer on a 400K asking price.

but thankyou for your thoughts

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 24, 2008 - 2:12 am

thanks mackar

doesnt it take longer to organise a day and time to go in to the agents office just to make an offer though???

what if im prepared to make an offer right there and then but would prfer it to be written?

or do i make my really low offer verbally and then my last offer written?

cheers

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 24, 2008 - 2:09 am

thanks for that

not with tax deductions as i'd prefer a return at the end of year to reinvest. (so i dont spend it on stuff)

do i still need to include the tax deductions?
whats the usal tax % i can use to work this out?

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 23, 2008 - 1:47 am

hi guys

this info's great but where can i download the written offer templetes from i live in NT?

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 23, 2008 - 12:33 am

thanks i will

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 22, 2008 - 12:55 pm

thanks richard i'll definetly have to put this to a finance broker before i settle on a property.

would a silicitor know about this or is that entirley different kettle of fish???

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 22, 2008 - 11:25 am

QLD007 you said
Clearly the preferred way to go forward is a simple interest only loan on your PPOR with a 100% offset Account.

If the property will be negatively geared then ensure that the PPOR is held as though you were buying a IP from the start.

If you want to hold the property as Tenants in Common with an apportionment of the shares then ensure the Transfer document is adjusted accordingly.

If you adjust the ownership details down the track then this could trigger both a stamp duty and CGT liability.

please expand on what you mean by tenants in common bit? and the transfer docs?

if i buy under the term that it be my PPOR and move out after 12months i have to change something to become tenant occupied so that i claim it on tax as an IP? and i pay more stamp duty??????
i'll be paying stamp duty upfront for this property wont i?

we intend to find a property as close to being cashflow positive as possible but i have a feeling i may have to learn how to make it postive in one of steves books he pions out to pay principle and interest on the loan but im confused as which road to go down as i know the benifits to both sides. by paying of the princible i can slowly (omong other things) make the property positive but if i only pay interest then i have that money freed up so that i can use on other investments. 

i want some where to put investment saving purley for the only purpose of reinvesting it and have no problems only using it for that purpose os an off set account would be viable in my position?

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 18, 2008 - 12:26 pm

i have to agree with ecl.
im 21 and looking at properties they must think im a tyer kicker/ dreamer lol some of the looks i get and sometimes they say oh you wouldnt be interested in this and offer that i dont viewit!!!!!!!!!!!!!!!!!!

but on that  note i have met some decent re agents and it almost seems unfair (to them) because i must come across that i dont know much about it as they usually put the moves on me LOL. it's great ijust play dumb sometimes and they reviel a whole lot of info and sometimes what the vendor really wants for the property.

Aimee

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 18, 2008 - 12:27 am

i added the 5% closing costs on the loan and did the sum again on scrap paper.

i'll keep pracitising.

also if you opt to have a tax return at the end of the year i shouldnt put it in the calculations should i as the cash  flow per week would be out slighty?

or do you just add this in on general to get a quick i dea of the return?
and then the 5% capital growth estimate

is it safe to say that a property close to the CBD or in radias of schools and shopping centre that it would go up in cap growth by 5% anually?

Aimee

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 17, 2008 - 12:35 am

 oh okay now it's starting to make some sense. lets see if i've got it yet.

the sell price is $140K

20% deposit 28K

loan amount 112K

likely rent $200 pw

loan repayments @ 8% are $8960 anually

20% holding costs are $2080 anually      (this 20% of rent covers all costs like agent, tax & repairs yeah?)

cashflow recieved
rent $10,400

minus ( – )

cash flow paid
loan payments anually $8960
holding costs $2080

=

net cashflow
-$640

net cash flow
-$640
/
cash needed
52 weeks

= -$12 pw out of pocket

i hope this is right now i understand whats what and how to calculat holding expenses this seems quite easy. (i feel like im back at school LOL)

thanks heaps everyone for teaching me

in answer to steves Q about ROI
im not good at this but i'll give it a shot.

net profit -$414.50 / asset value 200K = 2%?????????????????????????????

(if it's wrong please dont laugh lol i sucked at maths)

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 16, 2008 - 11:56 am

this is going to sound really dumb to some people but i dont even know what closing costs are? is this something your charged on a loan by the bank?

to be honest i dont really get were all this info fits in?

i understand cash recieved is
rental $15,150

cash paid:
is this were the 5% closing cost comes in along with the 8.5% interest payment?

cash down:
$40,000 deposit

were does the deprecitation and other cash costs fit? and the agents 7%?
were do i put these?
i've never had  a home loan before so i have never heard of most of these and i dont want to take a lucky guess as to where they should be and what they mean.

thanks
Aimee

[chappellParticipant@chappellJoin Date: 2008Post Count: 24]

January 16, 2008 - 10:23 am

so it's safe to say that if i calculate the 4% of the purchase price this would be my annual cash flow expenses???????