Forum Replies Created
On behalf of Lucifer.
We need to know what you need before we can send it to you….
Otherwise I could send you info about tax benefits of property when you want to know about ways to avoid paying high deposits…
Rgds.
Lucifer_auPosting this response on behalf of Damien.
I sort of get the feeling that’s one of the resons for these forums
What were some of the specific things you were wanting to know.. I’m rather new myself – so cant guarantee I can help – but there’s plenty of helpfull people here that I’m sure would!
Damien
PS Benny – Post the question only once – I have deleted all of the other posts that asked exactly the same question.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Originally posted by DamianHartin:I was sort of getting the impression from Steve’s books – that the whole point was NOT about location?
Hi Damian,
Steve’s first book focussed on cashflow and also mentions a number of critical criteria that identified ‘Ballarat’ as being a suitable invetsment for Steve at the time. These attributes are listed on 36-40.
Just because something is cashflow positive doesn’t naturally mean it is a ‘good investment’ – there are other factors to consider.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi all,
For those looking at Port/South Hedland
Calvin is in a better position to clarify current state of play.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Yack,
Appreciate the original comment and subsequent discussion has largely focussed on people buying now.
However equally (even more ?) disconcerting are the number of recent posts asking whether or not people should sell a performing asset. This is where someone like Peter Spann’s comments come into play – sell if you get an offer too good to refuse, you have better use for the money or it is a dog.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Kp,
Certainly something to have up the sleeve and addresses the serviceability issue that some people may run into.
Using Steve’s share fund at the moment to keep all available equity working – and working very nicely for me.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Originally posted by kp:I would suggest you speak to a good broker, to secure finance to tap the equity, and also to Steve Navra regarding the cashbond.
Hi Kp,
Were you at Steve’s course last year?
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Caesar,
Popular opinion is that they are, generally speaking, difficult to find – especially when looking for something that meets the 11 sec rule and is a good investment.
For me CG is the key – that is where the real $ are – it just depends on your investment philosophies and your personal situation.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Originally posted by Michael King:The property is cashflow negative by only about $2,000 pa.
Another point that you may want to consider is the property has grown in value by $150K (and compounding) in 4.5 years and currently costs $2K per year or $40/week.
$40 buys ~2 pizzas – makes the property pretty cheap to me.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Terry,
I would ring said accountant before you go in and ask him/her about their knowledge of wraps and if he/she is uncertain then move your books to an expert.
I prefer to know that when I deal with the ATO that my accountant knows what he is doing.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Mike,
I fully agree with Yack and Terry – why sell an appreciating asset and especially one in Sydney – which tends to lead Australian property cycles.
If cashflow is an issue consider the use of depreciation and take todays dollars today.
It would also seem that you have neglected the 2.5% vendor tax that is now in place in NSW which will further reduce your gains – and finally I suggest a discussion with a broker as you may well be surprised by the amount you are able to borrow even under your existing circumstances.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Originally posted by thecrest:I don’t agree with placing a rental property with more than one agent and starting a race because then the temptation is there for a PM to place a less than satisfactory tenant in your property merely to beat the opposition.
Hi Crest,
There is still nothing to prevent the owner from ‘sifting’ through the applications to ensure suitability of the tenant.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Zen,
I certainly wouldn’t be in a hurry at the moment. There are plenty of properties out there, take your time and source the right property for you with a long term view in mind.
If you are happy to negative gear in the pursuit of good quality property in city areas (I do and look at it as an investment for my future) then I suggest you look in areas closer to the city, river, beaches and major transport areas. These are generally proven suburbs and should serve you well in the long term.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Tracey,
Ditto the previous comments and adding that most display homes I have seen seem to be placed on the major roads (often the entrance point) to subdivisions and estates. As a result future growth may be somewhat compromised.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Originally posted by Bonnie:Hi Everyone,
Does anyone have any magical ways in which to find a tenant for a property? I was told when purchasing this IP that the most time I can expect to wait until a tenant is appointed to the property is 1 week. Well guess what – it’s now been 2 and a half weeks and I’m getting a bit aggitated.
Any suggestions would be most helpful.If you haven’t signed an agreement you can distribute the property to other agents in the area as per Qwerty’s suggestion.
Otherwise get on the phone and check to see what the vacancy rate in the area is from other agents as well as the existing PM, find out if anyone has been shown through the property – what was the feedback, are the comments the same or similar and can this matter be addressed, is the rent too high.
Once you know the complete picture then you are in a position to make an informed decision.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Originally posted by Domo:Listing an IP with more than one agent is a good idea but I found as part of their standard paperwork the agents want you to agree to be listed exclusively with them for a set time.
Hi Domo,
It’s simple really – you do not have to accept the standard paperwork. You can make changes to suit your needs. While some REA may try to insist on exclusive and fixed term management rights you can adjust those that you disagree with and if they don’t like the changes go elsewhere.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Caesar,
I am not sure that the 11 sec doesn’t work – it is just that the numbers of properties fitting the 11 sec rule seem (by popular opinion) to be further afield or overseas and, by virtue of their location, not necessarily be sustainable long term investments.
From comments regularly made on this forum it would seem that many wannabe investors often overlook pages 37-39 in their quest for an 11 sec property.
Finding them is all about knowing where through research and then extensively ‘networking’ the area for reliable contacts who can assist you on your journey.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Divcor,
A Quantity Surveyor can establish the ‘start up’ value of the building and also of the plant and equipment contained therein.
The age and nature of the building will determine how much depreciation is left to claim. Recommend you PM/phone ‘depreciator’ (AKA Scott) for expert comment. His firm will prepare a depreciation report for you.
Also recommend a search of the forum using ‘depreciation’ as the topic has come up before.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Originally posted by Brooke_D:Any feedback is much appreciated!
My sincerest apologies – I didn’t realise you only wanted feedback that supported what you had done.
Sometimes contrary ‘opinions and criticisms’ are the most valuable.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Recoveryman,
All REA fees in WA are negotiable.
By way of interest we paid less than that for a property that sold at a slightly higher price in Perth in 1999.
Derek
derekjones1@bigpond.comProperty Investment Support Available. Ongoing and never stopping. PM welcome.
