Sayan,

No a landlord cant break a lease early – http://www.fairtrading.nsw.gov.au/ftw/Tenants_and_home_owners/Being_a_landlord/Ending_a_tenancy/Giving_a_termination_notice.page

It means if your 12 month fixed lease is due to end on the 30th of June 2015 you as the landlord must give notice that you wish them to vacate on the 30th BEFORE the 1st…[Read more]

Catalyst….how is it my fault and how am I responsible as the property owner.

Please understand I’m not talking about “the building falling on them while sitting on a sofa for a coffee” sure that would be my fault (or in an apartment the stratas fault).

I’m talking about they are walking across the living room and tripped and hit their…[Read more]

the annoying part is probably only a few hundred dollars between models…..but they tried to skim in order to pad the profit.

5% management using the two different agents we have.
1 weeks rent for each new tenants + about $40 for a renewal (if possible I always prefer to have a lease and not go month to month).

What would I like to see more automated online reporting …..
1/ all rent collected, payment dates, last increases, trend line reporting etc
2/ all expenses…[Read more]

$44 in Sydney (carlton) to renew a 12 month lease.

Its a bit of a joke….but I’d prefer to pay this rather than a higher management fee. For what they do I think 5% is too high……

Yep if China sneezes then Australia will be the one catching the cold……and yep Australians love to be xenophobes….I just don’t get it really.

I think its too early to tell if the drop from 7.5% to 7% in China is going to be a big problem or a temporary problem but we should know once the march/april figures start to filter out in June what…[Read more]

@Corey, what are the current maximum interest rates that can be charged in Australia on overdue strata fees?

And I agree with you about getting in new strata managers……it seems like its the little things that determine the difference between getting ahead slow or faster……

@Catalyst….if someone injures themselves in one of my IP apartmetns…..how is it my fault? eg just because I own it doesn’t make it my liability.

This is my point exactly I think people are “over insuring” and if the sh1t did hit the fan would NRMA insurance really say oh yeh we’ll pay the person who tripped down the stairs drunk $1m……no…[Read more]

Yes I understand that strata is not responsible for fixtures and fittings within the apartment envelope, eg if my tenant burns our IP kitchen then it is up to the landlord to replace the kitchen (lol though why the tenant doesn’t need to insure this I’ll never know) but if a kitchen/floorboards/fixtures are crappy then can a landlord decide to sel…[Read more]

IS 3% VACANCY HIGH……DOESNT SEEM THAT HIGH TO ME?

eg that’s only a little over 1 week a year. I build that into my regular cashflow model.

@Corey, yep totally agree, when it comes to cashflow calculations I totally ignore capital growth until its realized.

No because “Yield” should always be value at “current valuation” not what you paid for the property when you purchased it.

If you are measuring yields based on the purchase price eg….. 10 years ago…..then of course you are looking like a genius :)

My thoughts exactly Charlie……if you have an 8-9% yielding apartment (do they even get that high in Sydney these days…..or are you calculating it pre any type of expenses……) then why on earth would you sell it.

Uhm that’s exactly what I meant, there is a reduction in gross yields but that’s a compression caused by SLOSH its the same in every investment at the moment (which is why leveraged properties are as good as they are at 80%).

The fact that your gross yield percentages are coming down/compressing doesn’t mean that they arent following the capital…[Read more]

Sorry Corey, Do you have a graph on the Sydney market to show this isnt the case? yes you can get variances (eg first home buyers grant) but when interest rates go down sale prices go up and rents must follow.

Yes in the USA/Regional Australia things can be economy driven eg for the oil/mining booms etc, but tracking sale prices is going to be…[Read more]