Im not sure if its an issue in Rockhampton, but if yoy buy further north in say Cairns/Townsville, insurance is double in what it is down south, due to storms/cyclones.
If anyone knows an insurance company who will insure as the same prices as down south, im all ears!
Maybe some of us are humble Cremin and like it that way, but if you want some reassurrance Ive done 50 properties in 3.5 years. I only had 3 when I was lucky to meet David Bradley when he was just starting out. Took his advice and bought alot of houses to wrap. I still do a few wraps, probably another 20 in the next year, but also now buy whole blocks of flats and commercial. I hope this is encouragement that it does work.
The biggest difference is that you have to have about 40-25% deposit. 40% will get you the deal based on the income of the property alone, whereas 20-25% deposit you will have to provide financials.
Their is nothing wrong with investing 5-8 hours away or even overseas, as long as you have a good property manager.
Tasmania was discussed as an investment option at the recent Kiyosaki seminar. The general consensus was that why would you even bother buying there in the first place, unless you are a local. O prospects for population growth. Declining industry. Basically a waste of time.
PS These are not my opinions, but were by several RE gurus.
Because you can get 80% doesnt mean the area is bad, it means that the area has been saturated with alot of investors lately or First home buyers paying inflated prices for house and land packages and the mortgage insurers wont insure for 90%. I have heard that you cannot get LMI for the Latrobe Valley and Narre Warren South!
I was told a story today by an agent who was about to evict someone. Asked why he couldnt catch up his payments, his excuse was my Austar and mobile phone bills are due, it will have to wait!
Mike, you are probably right that your boss has better advice than most contributers, but most newbies dont have a 30% deposit to buy a 1 million hotel. You have to start somewhere. I started buying little dumps in moe and morwell and 3 quickly became 30. Now these are being traded to buy whole blocks of units and medium commercial. Which comes back to the point that if you dont have much money, you have to start at the bottom and trade your way to the bigger deals. And not speaking for Steve and Dave, you’ll probably find that they have a whole lot more than lots of 50k houses!
Its probably the best valued intro seminar for $59 for 4 hours. They talk actual deals, not the usual 95% Ozzies will end up broke, cliched crap you here from most presenters.
This is not correct. I have had several houses cashed out and it is purely a straight real estate transaction with a settlement date. They arrange a mortgage and pay mine out. I sign a transfer of land, cheques are exchanged. No mystery at all.
