Forum Replies Created
Margater Lomas has been warning for about 6 months on the sky business channel about investing in mining towns……
wealth4life.com wrote:I warned this in my posts over the last few monthswell done for calling this before the event. I believe there were others also….
no offense Steve but once again you are closing the gate after the horse has bolted.
commodity prices have been falling for nearly a year. the only reason big mines are not closed is because they had a huge backlog of orders. demand has dropped by 80% and once these back orders are filled the fit will hit the shan.
why did you wait till now to post this?
Rio Tinto announced over a month ago that it was broke (well in big debt actually)
if people follow your advice, who are they supposed to sell to?
who told them to buy into mining towns?
if they cant sell, which they probably cant as there wont be buyers, will you still crow in 6 months?
update.
Woody Point Professionals is the agency.
form 11 was served Nov 21. repairs still not done. have not paid rent since this date. after 4 weeks, rental manager came to inspect the property. we went through the list and the RM dismissed every one of them. here is what she actually said:
"locks on the windows? you dont need that!……..a lock on the garage? you dont need that!……..keys for 3 doors, you dont need that either. pane of glass missing? you are being unreasonable! rats in the ceiling? bummer…we put baits in. tough bickies. we will request the owner fix anything that is a major safety issue, which basicly none of these are"
I said: "Ive already spoken to the RTA, discussed every item on the list and been advised by their solicitor that EVERY repair must be done within 7 days, so thats what is going to happen! also, the relet fee is illegal and we want it refunded"
she says "you are NOT getting that back." sent a form 11 demanding it be refunded within 7 days. 3 weeks later after a quick call to the RTA it was refunded.
nothing happened about the repairs. we refused to pay rent until all repairs were done. also never signed the lease. last week the principal began to threaten my life. I will not be intimidated. On Monday another rental manager advised me that they suddenly have a copy of a signed lease, which is very interesting since I have never signed one and have correspondence from them confirming this. Forging contracts now? a new low, even for them. since I know they wanted this signed lease for an insurance claim, this may now be insurance fraud as well.
some repairs were done last week, but many remain unrepaired.
we still have not received an eviction notice or a tribunal hearing date. Bring on the court day, I have plenty to say to the magistrate!
and people pay for this level of incompetance?
normally advisors will recommend a 5-10 yr minimum period for investing. at your age, you dont have the luxury of taking risks.
If I were you, I would be downsizing the house & investing the rest after consulting a PROFESSIONAL INDEPENDANT ADVISOR.
It is unlikely you will get a good rental yield on a house worth millions, so it must be sold.
There are only two ways to increase your income: have more money to invest OR improve the return from your existing investments. A home is a LIABILITY not an asset.
"that area is going to go off with the new tennis centre"
it is? how do you figure that?
ahh a unit, well thats entirely different.
I assumed you were doing this in a house going by the 'knocking out the wall' part.
rudi, its a false economy to chip off the old tiles. will take forever, and the surface will be so rough & damaged you will have to replace the fibro anyway….
careful about taking advice from someone who suggests using gyprock in a bathroom…..
1. first, you need to install tile underlay (like fibro but specially for tile floors)
2. allow plumber & electrician to rough in
3. fibro all walls with 6mm fibro (dont use 4mm although its cheaper. it makes walls less flat which makes tiling look aweful)
4. tiling
5. plumber comes back to install shower, bath, vanity, toilet
6. electrician comes back to fit outwhy on earth would you pour concrete in the bathroom? do you WANT it to look like its a bad 1960's half finished refirb? and what about stubbing your toes?
DONT tile the floor before the sparky & plumber have roughed in. firstly, it will make their job very hard. second, they are likely to damage it. we had one idiot on here a few years ago whining because he tiled a kitchen floor before getting in a sparky to go at the walls with a kango, needless to say the floor got damaged and this idiot went off his head, proceeding to call all tradesmen, including me, incompetant shonks.
cut_the_chase, how much would you charge for:
1. having your family woken up at midnight
2. having to spend 1/2 hour on the phone, getting dressed, looking up address
3. driving 1/2 hour to location
4. doing 5 min job (customer avoids waiting a week for service like everyone else)
5. 10 mins doing invoice & getting payment
6. driving 1/2 hour home
7. waking up family again
8. showering, eating
9. being tired for work next dayhmmmm????
total of 2 1/4 hrs actual labour. and you call this "5 min job" a "ripoff" ?
people like you deserve to have your house flood until a week later after you have booked in a plumber at normal rates.
"Don't you have to declare all foreign-earned income in your Australian tax return?"
yes
"And won't that mean it will be used when calculating your taxable income?"
no, because as I already said, if income has already been taxed by another country, then it is tax exempt in Australia. the variation on this is dividends which provide a tax credit. but Im not an accountant so this may need checking.
"That's how it worked when I was trading shares in USA – thought it would be the same for NZ???"
I assume your US income wasnt taxed.
in the long run, yes. but in the next 5 yrs…. NO
As a tradesman, you often spend time on sites at various stages of completion. This gives you a basic understanding of how a building goes together and the process of works. In addition, you often work while other trades work, and see what they do. As a sparky I’ve used many materials & many tools over the years, and I was confident I could learn how to do any job that I would be faced with in a reno or property maintenance.
its crap. because its painted on the finish is poor. when sprayed on (by a pro) the finish is great, but the cost is high. a new bath is often the best fix.
go for it David
3×3 can be split into 3×1 + 3×2
both will be adequate
it should cost around $4 – $5k and add $10 – $15k
Hi Vicky
building inspections seem to be the same price, however solicitors seem to be 2-3x more expensive (maybe this includes searches?).
Ive managed to find some info but I still dont know what the quickest settlement possible is for cash buys?
Im looking for cashflow / development opportunities. Cant get finance as have no "income".
I will have a look at the website in your signature.
What areas should I stay away from?
What areas have the best yield?
thanks for your help
I nearly bought a similar property last year. In hindsight, Im glad I didnt. it wouldnt have been worth the stress & inconvenience.
walk away
you left out a few options:
4. sell DA approved site
5. build duplex, live in one, rent out the other
6. build duplex, live in one, rent out the other (after revalue both & borrowing more) then buy another site & repeatwhats wrong with bank interest?
shares & property are currently depreciating assets, surely +5% risk free in a bank is better than -30% in other asset classes?
sometimes the smartest plan is WAIT & SEE
glad to see you are now not buying a property just to save tax.
CASH IS KING
Hi Janet
I would prefer to offend someone, get the message across & look like an ***hole, rather than watch someone lose big $$$ making a huge mistake.
I am considered a 'professional renovator', ie someone who does it full time. I pulled out of the market 6 months ago because it became too risky. If a professional walks away, a novice certainly has no business jumping into it, especially with inadequate funding.
At some point soon, and that may be 6 months or 2 years, it may be safe to start reno's again…..
your first sentence sums it up "i believe there is money to be made if i do it carefully & properly, but i don't know how."
if you dont how how, then what is it you believe?
what you really meant is "I hope like hell its possible, but I have no idea. please tell me what I want to hear!"
renovated properties need to be sold VERY FAST.
that just isnt likely to happen in this market.
try another hairbrained get rich quick scheme.
