Forum Replies Created
Hi All
I have been looking at starting out in wraps but the feedback I am getting from some people is that lease options are the way forward.
You two have done a few lease options, would you mind giving us an example of some of the figures you have used on a recent l/o to show us what you think would be a fair deal.
Cheers
Delboy
[cap]
Terry
Is that 3 months from exchange of title contracts when the wrapee refinances or sells?
Or is it 3 months from the beginning of the wrap?
Delboy
Hi All
I thought one of the ideas behind the wrap kit was that you did not have to fork out for a solicitor to draw up a contract for you as they were supplied in the wrap kit for you.
Is this the case?
Delboy[cap]
Aaaahhhh don’t worry about the cheque.
Just make sure you get the address right for the wrap kit that is in the mail.
lol
Delboy[cap]
Go Jump Jenman
Who does he think he is. He gets on his high horse to put down others for doing wraps, running any sort of property investing course etc, saying they are just making money for themselves.
What does he do, he charges real estate offices thousands of dollars a year to use his “system”.
His system is promote Jenman, promote only Jenman and promote nothing but Jenman.
He is even happy to tell people to not pay his agents any commission after selling their home if they are not satisified. What does he care, he still gets paid thousands from each office every year anyway.
Will he go away like we all hope. Well have a look around at all the offices that were once Jenman and have now seen the light and got rid of him.
His so called “system” is dying, so hopefully soon he will go away.
By the way, if any of you get really annoyed with agents cold calling your phone or knocking on your door, then blame good old Mr Jenman, as that is his “system”.
In fact, for every cold call each of you receive you should make a call to Mr. Jenman.
Sorry about all this, just sick of hearing his name.
Delboy[cap]
Lozza
Yea there is one, I got the link off one of the posts on this site. http://www.fhog.com .
They have been doing wraps a while now, but apparently it only applies to QLD.
I didn’t know that wrap kits were state specific.
What about the one that you got, you say its worth the money, would you say you have made you money back on it?
How are you going with wraps, many under your belt?
Delboy[cap]
Thanks for your thoughts.
I personally think now is a Great time to wrap.
Just think, prices dropping, vendors finding it hard to sell, you can negotiate a better selling price, then pass this onto your wrapee, which creates a win win for me and the wrapee.
Don’t think the market is going to keep on dropping. As you said, it is cycle, and thats all it is, it will go up.
So your wrapee buys in low and makes even more $$$$$$.
Now anyone any thougths on wrap packs?
Delboy[cap]
Thanks Pisces
So your thoughts or anyone who has thoughts on this.
Is it better to source the loan myself from the banks or use a broker?
What do all you wrapers do?
Delboy[cap]
Ok so I have to tell them.
But if I tell them they wont lend to me.
So if I go through a broker, can the broker push it through?
If not, how do I go about getting finance?
Any thoughts
Delboy[cap]
Hi All
Thanks for your replys.
That post by Julia is very informative.
Steve, the next investment is the Wrap Kit, talked to Brent already.
Delboy[cap]
I hear you, negotiate negotiate negotiate and look towards the actual cashflow figures rather than the actual house price, within reason.
Thanks
Delboy[cap]
Hi guys
Just want to say thanks for your comments.
I guess what I take from that is their are better profits to be made from cheaper houses, where the repayments will be a little closer to the actual rent.
Thanks Again
Delboy[cap]
Hi Guys
Sorry, what am I thinking, too many figures going through my brain.
Of course it doesn’t matter how I work out the wrapees payments so long as it covers my costs and puts money in my pocket.
So their payments would be about $340/week.
Giving me a weekly csh+ of about $60.
Still, your thoughts, do you guys get people willing to pay that much of difference from rent of $200 to payments of $340/week
Anyone.
Delboy[cap]
That is a future plan when we move up there.
At the moment I would like to do something closer to home. Comfort zone for the first couple of dozen.
Delboy
Hi Guys
Firstly, I would be using equity in another property for deposit, so I would be lending the whole amount.
Working out the figures that you guys are talking about, it looks something like this:
Add $20,000 to cost of $172,000 = $192,000
Up rate by 2.5% to 9.06% for wrapee
Wrapees weekly payment would be $404/week.
Is that not too much considering the rent is $200/week.
( calculated wrong on the first example, made repayments for wrapee as interest only, which of course would not work)
As for being able to afford a few weeks vacant, yes that shouldn’t be a problem.
Any thoughts??
Delboy
Hi All
Just want to say a big thank you. Some great advice and ideas. This is why I love this site. Hope I can be of help to you all some day. When I get a few properties under my belt that is. Cheers
Delboy
I think what Steve mentioned at the seminar was that when he hit his credit limit with one trust he would set up another company and trust. He would apply for loans through this one for his next few properties until he got knocked back again. Then do it all over again. However he did mention that it worked this way for him but it may not work for everyone. I suppose it depends on the lenders.
Delboy[cap]
thanks guys
I checked out those websites and they were a great help.
I think I am now ready to find an accountant and lawyer to set things up.
Cheers[cap]
That was they way I thought to go when I first started looking into this. Since then I have found out from many on the site that probably the best way to go is to set up a company and a trust. That is you are planning on buying a number of properties. I just had some questions answered in this same forum heading ” company as trustee” which may help you out a little
Derek
James
Aaahhh (sigh of relief)
Thanks for your reply. That makes a bit more sense. So the only reason for the company as trustee is as a protection buffer.
The plan is to purchase 130 in 3 1/2 years. I heard someone else has done it before, ha ha.
Thanks again, much appreciated
Derek
