You certainly can, but at the same time be wary of the risk of being a jack of all trades – master of none.

That really is the difficulty in life Annie – you don’t know what you don’t know! The best you can do is look to people with a strong track record with investment clients and preferably investors themselves. Referrals from other investors obviously can help. Otherwise you can end up with poor selection which ties you down a more expensive path, or…[Read more]

JacM has touched onto some of the basics here, be careful!

You need to use the right lender who will allow you to do a 3 on 1 development, with favourable conditions.

There needs to be a careful balance of the LVR with the demolition and construction, as well as end values as they will initially value it as OOL, (three properties on one title,…[Read more]

Haven’t heard too much on Zinger, however you will see plenty of reviews on a lot of Nathan birch’s businesses if you do a google. Quite a few posters have spoken about using the various businesses on Somersoft.com (a very popular Australian property investment forum).

I don’t know the legislative maximums but all the strata statements I’ve seen have quoted circa 8% though.

You’ll find that the majority of the ‘investment agencies’ out there are just spruikers flogging off OTP townhouses/apartments as they get large commissions from the property developers – beware if you get advised to do this. Metropole is a very well known company, unlike a lot of fly by night operators.

Personally I believe the best value is in…[Read more]

I’d be speaking to the other owners and be looking to vote out the strata managers and install someone a bit proactive. That level of arrears is completely unacceptable.

In the meantime collections processes should begin with the outstanding amount, which may include sending to a debt collection service. (debt collection fees can be put onto…[Read more]

Have you looked much into the legalities of pushing in the US + the ongoing costs? The system is vastly different in the US than Australia, factoring in other ongoing State charges, maintenance req’s etc. I have clients who have purchased a number in the US, who factor in 20%+ of rent going to misc outgoings.

Outside of playing the casino by picking rates, the first option provides significant benefits in having the offset portion. The 20% portion would be minimal in either case, so even significant rate changes won’t change the interest liable hugely – so I’d put a lot more weight in the ability to store funds against the IP.

The exception to this is…[Read more]

Buy in gloom.

I don’t think anyone would suggest that Sydney is at or near the bottom of it’s current cycle, so you have to question yourself as to whether it may be more fruitful in targeting other markets in Australia which may be still early in their current growth cycle and showing strong fundamentals.

High interest savings account is going to give you the lowest risk return, which is prudent if you’re needing these funds for a follow up purchase.

http://www.ratecity.com.au/savings-accounts/high-interest

One other thing to remember when comparing total returns is that there is a very big difference in the tax treatment between rental return and capital growth.

But SuperAndrew’s post resonates strongly with my views too – capital gains are speculative and cannot be guaranteed, whereas rental return will always be there. Doesn’t mean that…[Read more]

Sounds like you’ve dodged a bullet there – good work.

Just get them emailed, pretty much every strata does this.

A lot actually do have it easily available to see, Connective for example: http://master.connective.com.au/flex/commSchedReport.asp

Yes, except if rents increased at the same rates as capital growth as you suggest, gross rental yields would be static. This clearly isn’t and hasn’t happened ever.

They will certainly supply it and actively do. Last time I was reviewing this it was in every pack provided.

Instead of asking questions on the forum, ask their BDM’s where you will actually get answers.

All top tier volume aggregators will receive the same base commissions, though some may receive volume bonuses, whereas others might not hit…[Read more]

They wouldn’t actually be ‘buying’ the developments, they’re just second tier sales jocks. Anyone with a mobile phone and ABN can do exactly the same – and do!

Property is easy to sell in Australia, you don’t need to provide massive ‘incentives’ to sell them. So why give away massive discounting? It’s all about maximising the profit in your own…[Read more]

If that’s a rebate the valuer will take this off the valued amount, so this can heavily affect your LVR and require you put further funds into the deal.

Fundamentally, any good investment doesn’t require these shenanigans.

GWS rents are softening slightly from increased supply, but it’s not VERY difficult at the moment. In saying that, if you don’t have constant pressure it’s more difficult to increase rents consistantly.

Catalyst has touched on something important that I think a lot of people need to take into account – GWS and Sydney in general has just gone…[Read more]