Hi Paulie,Know what you're saying – my contention is that the big four have now made redundant any RBA decisions. Decisions which are used to manage the economy for the benefit of all. I might add interest rates don't impact on 30% of the populatin who own their home outright and their is a lagged effect on rents (another 30% of the population)…[Read more]

Hi Rachel,I'll sleep more easily now.

Hi Rachel,Are you suggesting you are handling the purchase of this property yourself?Now I must admit I don't know you or your background but I must admit that seems to be a strange decision.Spending lots of money to buy a property and then try to save a few bucks by DYI conveyancing is not the way I would be operating. The purchase of an IP is…[Read more]

ElizabethKruze wrote:
Has anyone else done it the other way around? Buy a few IP's before getting buying the PPOR?

Hi Liz,I am aware of a few people who have gone down the IP first route and they wouldn't have it any other way. Similarly I know people who have gone the PPOR first route and wouldn't have it any other way.Our story:Wife and I…[Read more]

Hi Jazz,All advertising needs to be accurate. In saying this some people make genuine mistakes. In your case the paperwork is accurate (it states 700 sqm) but the photo needs some work. Rather than trying to catch the agent out ring and ask the question and then politely point out you found the photo misleading. I find working with people rather…[Read more]

Thanks for the compliments Sum – they are appreciated. To help your learning I would see if you can grab a book or two: Margaret Lomas, Jan Somers, Steve McKnight, Michael Yardney and Peter Spann all have useful overview type books. While each of them has a slightly different perspective on how to invest they do give a pretty good perspective on…[Read more]

Reading these posts it would appear as if some of the names mentioned have joined the 'platform speaking' industry. It uses a very formulaic seminar structure to create a sense of urgency so you race off and buy the product that is heavily discounted and only available to the audience and only for the first X number of people who come up with cash…[Read more]

It will be interesting to see what, if any, response to ANZ, Westpac's decision comes from Govt and RBA. At the moment Wayne Swan is expending a lot of hot air telling the world how naughty and profitable the banks are, telling people to swap lenders (in a small market where the banks tend to follow similar interest rate paths), doing a bit of…[Read more]

Hi Sum,Your friends are correct about only having to pay stamp duty on the land when you buy a block and build a house on it. Stamp duty is levied on the purchase and not the improvements created by adding a house onto the block. As a bonus the interest on the land will be deductible if you have bought it with intention of building an investment…[Read more]

Hi Sum,Looks like your ideas are all over the place at the moment. So go slowly and one step at a time. A few comments for your consideration.Generally speaking most investors only pay interest only rather than P & I. This is mainly because I/O reduces monthly outgoings and, as the principle part of the loan is not deductible it means, expenses on…[Read more]

Hi Sbhjain,If you are looking for a broker give one of those who has provided assistance in this thread a bell. I wouldn't be worried if they are away from where you live – most people are very familiar with working on a phone and email. Jamie and Richard's track record is here for all to see.

Hi Richard,Love this bit – I don't seem to recall the banks saying 'no thanks' to the government guarantee 4/5 years ago.

Qlds007 wrote:
Australia needs safe, well-run commercial banks that aren’t a burden on taxpayers and that can continue to lend.

To me interest rates are only a small part of the picture.Better off looking for a broker who can structure best, maximise your borrowings and one who truly appreciates what your plans are. I look at interest rates as 'the cost of doing business' and there are more important issues at stake.

Hi Birt,Change you solicitor – send Terry a PM. If handling contracts is not Terry's area of expertise I can recommend a solicitor in NSW. Check with Terry first.

Mining towns always present additional considerations. They are certainly not a set and forget prospect and need ongoing monitoring – look at vacancy rates, prices comparisons, rental changes and then there are announcements by the major players in the relevant community to consider. 

HI Sean,Coincidentally this just arrived in my inbox from Terry Ryder."What's a "boom town"? Here are four definitions… A town of 1,100 where $3 billion will be spent       Hedland – checkA town of 11,000 where $9 billion will be spent on its port         Hedland – checkA regional centre with a key mining province on one side and a po…[Read more]

Hi Sean,Vested interests apply here.I am more familiar with Port Hedland area than Morandah so I'll restrict my comments to Hedland. Terry Ryder's recent Hedland Hotspotting Report ($33) is available here http://www.hotspotting.com.au/report/108-port-hedland I am sure he has a similar report for the basin in which Morandah is located. The report…[Read more]

Offset accounts can only be linked to one loan – it will currently be linked to either IP OT business loan NOT both. From a tax perspective you are better leaving the $50K as an offset against the higher interest rate of the two loans. This reduces your interest bill and means you have $50K of cash reserves up your sleeve in times of emergency.…[Read more]

Hi Rob,I am not 100% sure but I expect any CGT will be determined by the tax laws in the country where the property is.

Hi Property Seeker,Numbers?What is your net cashflow position. What is the toal value of your properties?