David Hall wrote:

Corey Batt wrote:

Call up the council.

And then double the time period they tell you.

Indeed – and don’t trust anything they say as definite until it’s happened.

Seen the odd person get caught out on expected changes, leaving them with subpar investments because they were expecting to be able to develop the site.

TICA and obviously they can’t use you as a reference thereafter – not much else other than that.

We all get rubbish tenants at times, right now I’ve had one which has caused circa 3k damage and lost rents to one of my properties – it happens. Sometimes you just need to cop it on the chin, it’s toxic to let it place a drag on you any further.

Moggy is referring to a bridging loan, which some lenders offer customers so they can buy their next property whilst having the current on the market – the loan can capitalise during that period. It certainly does involve cross collateralisation.

Overall it’s unnecessary and a better result can be achieved through careful structuring.

Fundamentally though over 12 months on the market is TOO long – you can determine the sales price or time on the market, only reducing price will get this finalised.

You’ll find it’s not just the big 4 but even the little guys who have been hit by these changes. Fundamentally it’s about building a strong finance structure which works as a cohesive unit – this may include both Big 4, Big 4 subsidiaries and 2nd tier/3rd tier lenders etc.

The aim of the game is to keep the money flowing for investing, than picking out favourite brands. :)

It’s a natural part of human psychology to justify your existence – not by external facts but your own interpretation. Unsuccessful people generally believe there is no opportunities in the world and risks are dangerous, whilst you’ll find many successful people will say the exact opposite.

In the end you need to run your own race and associate with like minded people. Fundamentally even if you know what someone says is wrong, it drags you down – you’re better off having people who uplift and encourage you with your challenges and goals.

TL;DR Australians in particular are heavily risk adverse and like to tear anyone who goes outside of the norm – be it business, investing etc.

Leoniey it really depends where you’re buying too though. No point going on about how great your yield is if you own in a town of 50 people and declining. :)

I’ve seen some exceptional properties with 3% yields, and duds at 10%. And more importantly I’ve seen it switched the other way around too!

Why invest in a declining market?

There are multitudes of markets in Australia – keep jumping across to the next viable option.

I would say the most of our most successful clients have built their portfolios this way – moving around between markets. Let’s call them Nomadic investors. :)

Government regulation largely insulates and reinforces the prices in Australia – primarily through planning laws.

Unrestricted planning laws would definitely be the biggest threat to most investors in Australia.