Forum Replies Created
OK bought a dump in december that had been trashed by previous tenants. Found bong and cleaning fluid in kitchen, 57 holes in 1 wall(stoned while hanging picture I think), head hole at the bottom of the stairs(oops) and a cracked shower screen that otherwise looked new.
Tiled kitchen/laundry, carpeted 2 beds and tiny hall upstairs, painted throughout, new curtains, new locks, new toilet seat and shower head, new exhaust fan and rangehood and finally a small back courtyard and clothesline.As I did the painting and co-ordinated the other stuff, bought the electricals at a super discount, the whole reno cost me $ 4,240.00. The place cost me $95k and is now worth $115k 6 months in. Oh yeah the old druggies were paying $95.00/wk new tenants now pay $145/wk.
Dada!!!
DD
Don’t sweat the small stuff,and it’s all small stuff!!
A bit harsh monopoly, at least I gave some hints.
[biggrin]
DD
Don’t sweat the small stuff,and it’s all small stuff!!
I go to the wealth creator seminars in Sydney. This morning we were treated to threeunder 30 multimillionaires who each spoke then were a panel fielding questions. These are excellent monthly meetings that give you business and other investing info, not just property. The networking sessions are excellent and past seminars are available on DVD and will soon be online by subscription.
No I dont work for them but have seriously benifited by opening up my perspective on certain things. Buy the mag first and then all the contact details for the seminars are in there.
Brizzy starts next Saturday so get along and be inspired.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
You guys are all so thorough that it makes me want to invest in Perth again.
My pick is the Kwinana or ‘working’ area south oif Perth. Why? Good ask and the simple answer is it is cheap still to buy into and with the train line extending to, and another freeway going in nearby, the infrastructure(love that word) means that the residential sprawl down to Mandurah will continue. The growth in Kwinana is as follows. 4 bed house bought July 2002 for $91k is now worth $150K, a 3 bed unit same dates was $70k now $115k. Cant help you more as this is all I currently own there.
Good luck and happy hunting.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Yes, again I find myself in agreement with Derek about get your max equity now. I have so many people that ask me to find IP’s and when I do They say ok ill get finance now and 50% dont or cant for whatever reason.
Now I ask people to at least have pre approval which means the val on existing equity is done and all is set except for the right IP. Saves all the drama of the qld quick settlements falling apart and you loosing a deal I or others help you with.
Go get the $$ first. Plenty will help you spend it I’m sure of that.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Milly my investments are in 2 x Booval, 2 x Bundamba, 1 x Redbank Plains, 1 x Eastern Heights I just sold, 2 x One Mile, 1 x Leichhart and 1 x Rosewood. Yes I’m up there and know the subs to avoid and ones to feel safe in. Booval has the best private and public schools in the area, is close to Booval Fair, and I just sold my 2 on 1 title there for $78k more than I bought it for Jan last year.
When you think about the area you have the stigma in your mind that Mt Druitt in Sydney had even 5 years ago. You cant buy a new Unit there now for under $280K and that usually wedges out the undesirables quite a bit. The area is improving now, and will continue to for the next 15 years.
The River redevelopement in Ippy stage 1 is $6.5m
First ever multi dwelling apartment bluck in the CBD is breaking ground soon.(not allowed to tell you the site). New Olympic pool at Goodna, $22m shopping centre revamp at Redbank Plains. $8.3m goodna to RPlains road expansion, new jobs at the new pulp mill/expansion of the abatois(cant ever spell that), new aluminium smelter/new 40 hectare powerstation/5000 student Uni campus at Springfield/ business park deveopement there too.Shall I go on. I really know whats on there and who to talk to to keep in touch. I shouldnt reveal this to everyone but this is only a snipet of what I know of the area and I personally was there 2 weeks ago(changing managing agents but thats another story), so please allow me to have an opinion thats not hounded too much as it does sting.
DD, yeah I know its small stuff…..doh!
Don’t sweat the small stuff,and it’s all small stuff!!
Madhun, you have mentioned areas where I personally have 17 properties in your short response. Uncanny, totally uncanny.
Good call I say.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Forgot to mention, all of my property managers get a personalised coffee mug with their name on it. Spelling unusual names correctly gets you big brownnie points too.
So in a busy office with lots of people in and out, everyone knows whos cup is whos and I also have my business card on the opposite side of the cup. They never have to look far for my number in emergencies(and it is free advertising too).
Try something personal. I do personalised mousemats for my good customers too, yes I’m an IT man.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Baaaa humbug and poppycock, you guys are missing an area where there is a high propertion of great size blocks and only 40 mins to CBD.Thats Ipswich area, which is only now reaching the early $200k level for this style of house. I just sold one in Eastern heights a few months ago for $185k near great schools, it was 800 sqm, was close to a bus stop and literally 5 mins to shopping in Ipswich CBD which in 10-15 years will be their Parramatta.
The suburbs of Deebing Heights and Flinders View are just south of Yamanto just below Ipswich and these two subs are selling brand new house and land packages for $395-435k now. Its in Brand new estates with super access to the city on the centennary freeway extension happening NOW!!! Its a bit to the left of Forrest Lake and the Greg Norman designed Golf Course and man made lakes estates near there. Cap Growth there is super dooper potential as the Ipswich Council 2021 plan(of which I have a full copy SHHHH!) shows a massive growth of jobs, infrastructure and services planned for this yummy new area.
Tell these others to think outside the square a bit next time.
Happy to help
DD
Boy do I know IPPY!!!!
Don’t sweat the small stuff,and it’s all small stuff!!
I did the same with an airconditioner for a house in Redbank plains I own, used LOC to pay for it, depreciate it nicely, claim interest and got $10.00/wk from tenant.
I also wholesale aircons now to investors witha 5 year warranty on the compressors. Any interest let me know.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
wraps are designed for owner occupied properties. That is the person that takes on the low deposit high repayment part, not the original owner. So if you do the wrap, you have to live in it. If the property is in SA with a no wrap policy, guess what, move interstate or you are stuffed.
Thats my understanding but goto webuyhouses.com.au
and that might have more info. Hope thats the right website????Good luck
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Sorry Kay, just a small dose of calm in a very large pond of this discussion.
I have seen a correction where I invest and not a crash. Based on last years figures which were unsustainable to say the least, there has been a stop to house growth. This is due to a massive surge in the last 2 years and nothing can sustain that kind of growth for long. So what I have done is lock in growth by making a few strategic sales in qld where I was a little top heavy anyway.
A block with a 3 bed home, 2 bed home and a pool I have sold and it cost me $192K in Jan last year and I sold it for $270k last week. The other i bought for $100k last feb and sold for $185Klast month. This was necessary as we are currently buying our new home in Coffs. Cash for deposits is good. What we are doing is relocating our small clumps of growth into our home there, worth more than double our sydney home, paying the bugger off by chrissy, then going ok, $600k loc on it as deposits. muhahaha!!
Lookout bigpond we have to cross to get “mainland” cheese. DD is coming soon.
Perth where we have 2 is slow but growing steadily, tassie is doing a QLD last year fo us thanks. Qld itself has just released another $190k after giving us $210k as deposits last year. This is on 6 IPs on the one loan too. Our other Qld stuff is with 5 leders so a bit harder to have specifics off the top of my head.
More recently we had a property on the market for $175k, dropped it to $165K then to $160K and only got a joke offer of $150k which we declined. Yes there is a correction, yes prices have fallen in some areas so there we decided to hold until later this year.
Looking at the world with tainted glases is dagerous. We accept where prices are at and deal with it. We dont go crazy and sell for the sake of it and we dont hang on to things that are financially unviable either. So yes Kay thinks arent as rosy as last year but theres a whole lot of long term growth to come.
Townhouses and units are playing catchup now to house prices and will level out about $60k below the most basic houses.
There are always opportunities.
Have fun
DD
Don’t sweat the small stuff,and it’s all small stuff!!
the elusive cashflow is interstate and overseas oh great latecomer to the wonderous world of investing. They hide their bushells in paces good people fear to tread. Those bounteous lands that have slight speach impediments and large opinions……WA and NZ. Cheap airfares though!!!!
Dont be alarmed you are not alone. Many have failed to catch this wave. Another in your state coming soon. Maybe 2008-2012.Shhhhh lets catch it.
DD[fear]
Don’t sweat the small stuff,and it’s all small stuff!!
how many do you have where and which one of them has gained the most capital in the shortest time.If you can easily see which has grown the most, and you are desperate for cash, sell this one as long as its over 12 months you have owned it and pay down the others.
We have sold 2 recently and gained 163K having bought them last year in Jan and Feb respectfully.I also need cash and am not emotional about the houses.
Good luck in your decisions
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Sure can move in to it after you rented it for a few years to pay off mortgage. A good idea is that when rented do all and I mean all of the repairs and reno you would like when living there.While its being rented its a tax deduction and when you live there its not.
So rent it fix it and when its yours(and not the lenders) do what you want.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
yeah buy in Perth instead, my two are a bit sluggish there so any help in pricing is appreciated.
Just kidding. If SA is the only state to ban wraps its not surprising. I lived at Henley Beach for a while due to a girlfriend(20 years ago i might add)and I felt so uncomfortable that now I invest it has never occured to me to try any SA deals. I just got a feeling of it being too concervative for eastern states likings. Plus there are definitey better rent ratios and infrastructure going into Perth. With th stamp duty exemption going up there in July for first home owners. It may boost there but sadly nothing to do with SA.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Baa humbug and poppycock,
get into a close relationship with tenants and it can backfire. I chatted once to a tenant at a townhouse and when he didnt pay rent he found my number when we were trying to evict him and pleaded for more time. We finally took posession after he had disappeared, leaving all his s..t behind.He knew by law we would have to pay to get it stored for three months prior to selling it and he just collected it and paid the storage rate later. We had to wait until his stuff was removed then got a cleaner in etc. I’m just saying that should you wish to be nice to tenants do it through the real estate. They get the movie tickets once a year from us at chrissy. Then its an unassociated with anything else “thanks” they get. They still feel appreciated, but you still have your distance and sanity.
Food for thought. What if you give them every three months, like you suggested and a tenant for legitimate reasons gets a bit behind. They miss their movie tickets and feel neglected, if they are having a tough time this may be enough for them to say stuff it and move on. All im saying is that rewards too often, and they expect it.
What if they are on rent relief and its a big treat for them(1 in tassie springs to mind) and they expect it and YOUR circumstances change.A family crisis, loss of work etc and you cant do the tickets anymore. Will that make the tenant confident that repairs will be done quickly if your display of in effect a cash back scheme suddenly dried up. Think long and hard. Interest rates, maintainance, council rates, body corp fees. All can change or suddenly blow out.
A little cash in reserve for the blown up hot water system(just after a 6K reno too), bars on a small window after a break in, tap burst and lost the carpets etc etc etc. Keep it in your account for the year and then give a good tenant a small reward.
This is a bit gloomy but its a bit clearer with a few mishaps under the belt.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Melbear im with you in occasionallly paying things off. In a month we will be in our new Coffs Harbour home worth $850K we will have a $340k mortgage and Ill repost a $0 before chrissy when this is paid off.
Hehehehehe
Have fun and play monopoly too(with real houses)
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Aceyducey are those gaming sessions age of empires2 Conquerors by any chance? And if so my longest game was 13 hours over 3 nights. No trees left and relics out of reach after transport sunk and the relics were just off the shoreline.DOH!!!
Oh sorry this is a property forum oops.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
wezwaz, as Terry said i seem to have ‘nailed it’ with what to do with available cash in another post. Go find the one that does that and see if you would like to talk to me.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
