In terms of refinancing to three separate loans – this will not remove an cross collateralisation because fundamentally the security is only ONE title. The only way you can separate each unit is if each unit has its own title, at which point each loan can be untangled to tie up with only one property.

Indeed – we’ve already got a great amount of registrations of investors for the webinar. :)

Just a quick heads up – even if you cannot make the events time, if you register we will be sending a recording of the entire webcast to all registrations the next day so you can still get the information on how the Adelaide property market is trending.

Scott has touched on an important point that a lot of investors who want to buy property in their SMSF don’t factor in/don’t realise they need to factor in – that when they retire there are minimum draw down requirements which get increasingly higher the older you reach. What this effectively means that unless you keep a reasonable portion of your…[Read more]

Scott has touched on an important point that a lot of investors who want to buy property in their SMSF don’t factor in/don’t realise they need to factor in – that when they retire there are minimum draw down requirements which get increasingly higher the older you reach. What this effectively means that unless you keep a reasonable portion of your…[Read more]

Let us know how you go. Will be interesting to see what your plan is from here – are you thinking of still sitting on the sidelines to see if the market pulls back?

What’s the plan/what do you think will drive you to make a purchase if it just flat lines/rises without a significant decline?

No, it will still have the exact same policy issues.

In terms of your colleagues – who knows. They can either have strong incomes, always making purchases together, it may just be their family household and not other extended family etc.

The only way you’re going to improve each sides borrowing position is one party buys out the other, or sell…[Read more]

Changing it to any other form of joint structure will result in the same serviceability issues – which is exactly why most investment savvy brokers advise HEAVILY against it. This just leaves everyone in a situation where no one can really progress further due to the drag from joint ownership.

Transferring to other entities/ownership will be a…[Read more]

Hi Daniel,

Assuming a valuation now of $225,000 as per your guesstimate, you would have *accessible* equity of circa $17.5k which could be released if your lender will allow it (if the lender allows 90% cashouts/topups).

This is insufficient for another purchase @ 200k, so you would need to mix your savings in to get a deposit over the line.…[Read more]

As jess mentioned, the overall development should increase in value than it’s previous amount, so you shouldn’t have any issues. What this means if most division its just a case of untying the securities so they’re not cross collateralised and adjusting the LVR on each so it balances out.

If your value decreases overall from developing, you’re…[Read more]

Ditto, reno/refinance strategies targeting distressed properties is a great option which can result in slightly higher yields, ongoing equity to cover future deposits etc. We used this strategy personally to build our portfolio and it’s performed well.

http://www.precisionfunding.com.au/11366/

Ditto, reno/refinance strategies targeting distressed properties is a great option which can result in slightly higher yields, ongoing equity to cover future deposits etc. We used this strategy personally to build our portfolio and it’s performed well.

I’d shy away from student accomodation. Investing in property is about: Generating a growing asset base and rental income. Student accomodation gives you a specialised security which has negligible if any capital growth – which is what gives it that perception of strong yields. In reality its just the case that the value of the property has lost…[Read more]

Too many variables – particular ones which are subjective. Terry has hit the nail on the head. :)

One is easy to knock out though – you’re not likely going to have sufficient deposit for a commercial shop purchase for 450k out of those scenarios if you only have 100k available.

Hi David,

You’ll find limited info on this here – it’s mostly Aust based property investment talk here. In terms of lending, she will need to engage with a US based lender, Australian based banks will not lend on non Australian security (property). Most US banks aren’t too keen on non US citizens borrowing there for property either, so…[Read more]

CBA shouldn’t assess the debt at 7.25% for the existing US debt, but instead 25 years P&I (or 30 years if P&I from day 1) @ 20% above the prevailing interest rate on the associated debt.

In any case banks aren’t quite sure what they want these days in terms of expats/OS borrowers – more so non residents.

For those interested in property investment in Adelaide – there’s also a facebook group which a number of users from this forum and others are using: https://www.facebook.com/groups/adelaidepropertyinvestors/

Exactly – Colin has hit it on the head. If you’re looking for a cheap rate go to your standard broker. If you’re serious about building a portfolio to achieve your long term goals, use an investor specific broker with the track record and knowledge to help you get where you want to go.

Normal as it gets then – tilt up commercial construction is the norm in Australia these days.