Please refer to previous discussion on this, to which I contributed.
Its a fantastic product in terms of flexibility.
Ours is used 95% of the time for inivestment.
We have a separate business account we mainly draw wages from, for our usual cost of living expenses.

There is a lot of talk on assett protection.
There is also a lot of fear of loosing assetts.
We hold our assettts in personal names (home)and trusts.
I mean, how real is this threat, are there any statistics on this issue. If the risk is 1 per million or even less, you almost have a better chance of winning tatts lotto.
It seems to me somewhat…[Read more]

What is the old saying, “A fool and his/her money are soon parted”.
Has anything changed?
It continues to astound me that people are:
still forking out to HK courses.
Are still forking out to buy into high rise apartments, for investment reasons.
Yes, lets find someone, anyone to blame, as long as it is not yourself.
Are you telling me I should do…[Read more]

We have agreed on 2.5% commission for the sale of a block of land, usually 3%, on the understanding he will get other listings from us.
He tells me the market in the outer east is a little flat at the present.

The bank will value your home and usually you can loan up to 80% of the value of your home and set it up as a line of credit.
Cross-collaterise means, the bank holds multiple securities over say one property, this makes it difficult if you want to sell or refinance, it complicates everything, so its one property, one title and one security per…[Read more]

My home line of credit with CBA is the best thing since sliced bread!
I have used it again and again and increased my home valuation to borrow more.
Yes, of course the bank holds the title and the title of all other properties that you buy.
A 20% deposit is usually required to buy an invest. property and I find is a good buffer.
The line of credit…[Read more]

As i understand, the main reason you place something into a trust is for assett protection, eg if you are a professional or at high risk of litigation.
If this property is neg geared, you will loose the personal tax benefit of this and have to pay significant stamp duty to place it into another entity, you would have to think about that…[Read more]

coongratulations Westan, that’s fantastic!

Yes, slow down and relax for a while, don’t overcommit ypurself, free up the cash first.
The next deal is always around the corner, remember that cash flow is needed to service alll those ideas/loans.
I have gone over the top at times and all that happens is stress and anxiety, wealth creation does not necessarily happen more quickly.

Agree totally re suburban sprawl, look at the lovely villages in Germany, big community feel, and to me very smart housing.
Look at the ugliness and mismanagement of town planning on the gold-coast, with those disgusting expensive, “luxury” square box houses on the waterways!
the canals have very little fresh water circulation, a haven for all…[Read more]

I happen to be a baby boomer, I think the last answer is too simplistic.
Its not a question of being “hooked” on the product.
!. most properties are negatively geared.
2. Most “invest” seminars are pitched at neg.gearing.
3. Most pos.geared properties are not in the “comfort” zone of areas that people are familiar with.
4. They don’t understand…[Read more]

I have just brought a property at canoungra.
The building inspection was done by Warren Stevens, Coastwide
0407 644 568, 1300 137 414.
He apparently does an excellent job and I will check, but the card says, he also does depreciation schedules.
You also need to do a pest inspection.
Best wishes.
I think he will check the slope, mine has a little…[Read more]

Doing similar for just one 6 year old, extremely well-maintained property on the gold coast (30 k inland), in a strong rental demand area.
the gold coast is going through a huge upswing and growth phase, so at 250,000, we thought it was a good price.
we have brought this one in our names, we are hoping to eventually live there for a little…[Read more]

Yes, we are feeling a little anxious at times.
My strategy is the land componenent to the property and being cash flow positive and having the 20% deposit buffer and sticking to the low median price range in a well established area.
Also, having a rent that’s affordable and a well maintained property, so far so good.
We also live modestly and use…[Read more]

reading with interest as thinking of doing just that, selling our beautiful home and freeing up 300,000 for multiple deposits.
We have a lot of money in our home and potential for being sued, as professionals.
so far, just about all of our investments are in trust.
We have never rented in the past, always living in our own accom., but one benefit…[Read more]

we buy subdivision potential properties, potential for great cap gain in one or two years, but it also takes a lot of effort to source them and go through the procedures.
We have 2 cash pos. properties, approx 8%.

Interesting reading, I am glad we sold our apartments, townhouses in maribyrnong when we did.
So far so good with our rental properties, but pitched at the 200-230 range, outer east.
A huge note of caution here!
The upper middle end of the market is saturated.
All the more reason to pitch at the lower end of the market, where there is huge demand…[Read more]

I basically try and avoid anything “serviced”, like the plaque, be it aged care, students or holiday.
Reasons:
1. our very first investment on Magn. Isl., serviced hotel unit lost us 100,000, and we are still payiing for it.
2. Any capital gain will be linked to the rental increase or income generated and nothing else.
3. These “serviced” units…[Read more]

I believe Bruce does have a point, I do not wish to add to the single mum argument etc.
I know of one single mum who brought up 8 kids, educated them in private schools and ran a business!
Property is pricing itself out of the market for a huge number of low- average income families. the boom is fuelled by baby boomers and low interest rates.I…[Read more]

Yes, we all have dreams.
We returned from the gold coast, after a 2 week break yesterday and it was wonderful.
We stayed on S.Stradbroke isl on a package, beautiful unspoiled beaches, no ugly developements.
we then did some house, chickens and cat sitting for a friend in canungra (foothills of Mt. Tambourine).She has 6 acres!
We spent one day…[Read more]