What type of property is it? Commercial tilt up is normal, residential HOUSES not so much. Townhouses from pre-cast is becoming more and more popular.

In general there is less supply issues due to the nature that you can’t put 100 of them in a 1000sqm plot of land, but they still can have supply issues if the development rules are relaxed in allowing large amounts to be built in a suburb which can cause poor value increases.

The supply equation favours: Houses (in established areas)> townhouses…[Read more]

4.29% variable or 3 years fixed, 70% LVR,valuation fee waived, discounted application fee.

Prime = top quality. Ie full income verification, leases with 1+ years on them, quality commercial property (not a run down petrol station in Timbuktu).

@dtraeger is an Adelaide property manager with some of his personal property portfolio in perth – would you have any recommendations on potential suitable PM’s?

Might be worth looking at the interest rates in terms of commercial lending – this has come down heavily in recent times with commercial rates as low as the low 4’s right now for prime deals, up to the mid 5’s for the more out of the box scenarios. We’ve been knocking through a lot of a commercial product for 4.29% for deals which tick all the…[Read more]

It might be worth checking with Steve Mcknight or the people within his organisation as to whether they have any direct BA affiliations which follow his investment style?

In terms of BA’s in SA David Mews of http://www.adelaideba.com.au is very well regarded – looking after a broad spread of investors from cash flow investors, developers, commercial…[Read more]

Are you referring to the lender Loans.com.au, or a brokerage?

Wanting to find out about investing in Adelaides Eastern suburbs? Part 5 here: https://www.propertyinvesting.com/topic/5030468-eastern-suburb-adelaide-review/

Definitely check with a house mover – I’d be very interested to hear how they can move a transportable house to the rear – ie whether they’re rated as safe for overhead crane use. If this is an old fibro/queenslander style house I’d be surprised if it can be pulled off without gaining access to the rear somehow.

A couple red flags:

OTP – Buying OTP is fraught with danger. In general there are always good and bad properties, but this type of property sale leaves people locked into long term contracts which may result in poor valuation and subpar stock. As they’re generally apartments/units/townhouses it can mean you buy into a property which has weak…[Read more]

Easy – one of you are wrong! :)

Treatment of debt, add backs etc all can make huge swings in capacity.

Bomberboy has hit the nail on the head. Fundamentally if you’re asking the question – someone else will too. Any questions about the value of the property isn’t ideal as it will inevitably lead to a smaller buyer pool and price discounting.

Be in the business of buying A grade properties – there are millions upon millions of properties in…[Read more]

You’re confusing deposit requirements with borrowing capacity. The amount of equity you have does not change how much you can borrow, it is related to how much deposit funds you can make available for a purchase. In short:

Borrowing Capacity: How much debt can you afford based on your current income and expenditure
Equity: How much cash/equity…[Read more]

Not high at all – depending on the specific deal I’ve been writing similar deals for circa ~5.5% and better features than the usual Big 4 loans.

To get something like this over the line, you definitely need a tenant in place with AT LEAST 12 months remaining on the lease.

Best to get specific advice on your exact scenario so you can know…[Read more]

Yes definitely – there’s a number of options in the commercial space which would allow you to be able to buy even though you’re in a new commission role.

Best to get the diploma sorted at the same time, otherwise you’ll be too busy to later when you’ve started up.

You’ll need to be mentored for two years, so get this sorted.

As an industry, I’d discourage anyone from doing it part time – to provide any real value as a service you need to be writing significant volume to get enough…[Read more]