Hi SC,Not a broker but it would appear as if you are in position to start investing. Rather than rushing in I suggest you do some more research and try and work out what you want to achieve in the long term. I recommend reading a few books. A good start would be Jan Somers "Building Wealth Through Property" and Steve McKnights two books. These…[Read more]

Hi,Sorry to hear of your frustrations with the Tambrey project.There are similar issues up the road in Hedland with water and building costs. The state government and/or water corporation are working as hard as a government department can to provide additional water to Hedland.We are currently working with small development sites in Hedland for…[Read more]

Hi Matt,Under the circumstances outlined I wouldn't touch it irrespective of potential for a good buy.1. By your own admission you 'have no idea' about developing.2. Picking up someone else's half built project is problematic. Theonly saving grace would be if the first builder was prepared to finish the job – without this definately don't touch.3.…[Read more]

No single 'right' answer as everyone is different.Initially we endorsed the concept of paying off our own home before starting to invest but had grappled for many years about what to do. Eventually we decided to commence our investment journey before we had completely paid off our home. One day we sat down and really looked at the pros and cons of…[Read more]

Hi Henry,Walk away – you don't know enough about the deal.At various times you thought this was a 2 X 1 X 1, then a completed property, your last post tends to suggest it is a house and land deal (construction loan),  ………….etc etc etc.No available address suggests to me the property is in a brand new estate. There are lots of brand new…[Read more]

Henry Adams wrote:
Oh well, there goes $880 down the drain…

Hi Henry,Sounds like you have elected to opt out of this investment property – now I can sleep at night. Just be ready for the follow-up phone calls and stick to your guns. Put the $880 down to learning expenses (not tax deductible by the way ) and move on.

Hi Henry,I'll ask!Why are you so committed to this property, which you haven't seen?In this thread https://www.propertyinvesting.com/forums/property-investing/help-needed/4331128 others raised concerns about the purchase price and in this thread Terry and I (and others) have raised issues that woudl give me cause for consternation if I was in your…[Read more]

Hi Henry,It is starting to make more sense now.So the $79K will be borrowed money (redraw or line of credit). Is this correct?If so, do you know if the interest costs on $79K has been factored into any cashflow projections?$79K @ 7% has an annual interest bill of around $5500 or an extra $105/week.

Hi Henry,Like Terry I am confused – one of your earlier posts indciated this loan was to be 95% and yet the numbers above show your cash despoit being $79K.Where is the cash coming from? Another LOC on  your other property or real cash?As Terry said you are better off retaining your cash (if it is real cash) and placing it in an offset account.…[Read more]

Hi Henry,Do you know what your overall LVR will be after both properties have been purchased (assuming you go through with things)?Reason I ask is that I am not sure a high LVR across a whole portfolio is a wise strategy at the moment. N.B. I have no problem with maximising LVRs on individual purchases but across the whole portfolio doesn't give…[Read more]

Hi Henry,Thanks for that additional information.Looks like some of those services are listed to 'pad out' the fee. A typical contract, which is drawn up by the vendor will include a detailed inclusions list and plans. If this is a house and land package you will be supplied with detailed drawings and details at time of signing. Bank and solicitor…[Read more]

Hi Henry,Is JDL (or a subsidary company) operating as a broker in this transaction too If so looks like a pretty good deal for JDL.Joining fee + finders fee + brokers fee for refinance + fee for new loan and maybe a marketing fee from vendor.Does that sound right Henry?.

Li,Take up Terry's offer. He will tell you as it is without any false hopes or misleading promises. Terry will also give you some balanced and legal opinion which you can use to work though the matters at hand.This may seem a strange comment but here goes.While you may feel wronged and hard done by at the moment because of the changes etc to the…[Read more]

Hi Li,OTP contracts often have a little clause which allows for 'minor' adjustments to plans, rooms sizes etc often also with other weasle clauses in the vendor's favour. The fine print will determine what is reasonable and what is not. Was the solicitor recommended by the vendor or are they your choice? This may have some bearing on the level of…[Read more]

You have a couple of options – give up or have a crack.Understand though that if you are going to have a crack you'll face a few issues:Finance – will prove a hurdle but a conversation with a good broker with extensive contacts would be advisable.Time – given you are 62 you'll need to understand the risks of are somewhat exacerbated and your risk…[Read more]

Hi Bel,Best bet is to contact the Bunbury Council.They will have all of the information as it relates to Bunbury and their various suburbs and areas in Bunbury and greater Bunbury.

Hi Terry,Certainly looks like two fees. One to join and another to find a property.Cannot see how either fee is deductible – capital cost maybe.Reminds me of an experience I had many, many years ago (when I was but a babe in the woods) when we paid a fee to join something. Not wanting to 'waste our joining fee' we then felt compelled to continue…[Read more]

I understand there are a lot of first home owners in the area. Generally speaking these areas suffer first when the economy tightens and/or interest rates rise.

HI abcd,Have sent PM.

Portfolio PI wrote:
If it is tax deductible then you will get back your tax rate on that amount. so if its $8700, and you are paying 37% tax, you will receive 37% back at the end of the financial year if it is a tax deduction.

Cannot see how the fee is deductible – at best may be able to be used to offset future capital gains.