my info, I started out investing in 1978ish
I would have started sooner, but I was too young and my parents didnt have the money

my parents were both in business, I too have some sort of business background

I learn through reading, asking questions and talking.

I dont beleive in seminars for ME. Only because I begrudge the payment (though they have a right to be paid for their work)

i bought a second property when I was married and a block of land. we eventaully sold one. We lost money due to bad tenants no one knew about insurances back then!

in the 80’s my marriage folded, so too my home. so i went on the rental trip for years as a sole parent.

in the late 80s i became self employed.But no one wanted to give me a loan. I ran a successful business or two or three, and they said I would never do it. I did. But still no home loan.

I took off went to uk and came back, moved in with someone and started the investment strategies again. The relatioinship fell apart….LOL

So I gave up until three years ago. Got my loan, got my home, read heaps of books, did loads of study (business course hahaha, and now financial planning) kept working for someone else.

Left the relationships out of it this time!
I still had one block of land, bought the other in the 90’s btw and built a share portfolio for balance. Bought house 1/2/3, rent them out, just sitting at present.

would i do anything again? change anything? no
you learn by your mistakes and I made plenty.

I jsut bought two propterty amangement software programs to try out, a portfolio manager, reading three books at once…get tired of one, pick up the other etc….and stil studying, not to mention working.

single, one income, daughter and grandkids

so if I hold and dont fold, I have a house for each…LOL

cheers

Elves

I agree again westan, although I have reasons for my cashing up…some things

I will hold my current properties, rentals
I am selling land off, which made good returns, because it is not income producing and because I do not have the time or inclination to fight one of the hardest, meanest, environmentally disabled councils out there! So selling those assets give me cash to buy income producing properties.

As with other asset classes, the buy and hold strategy is for those in the long term.(as a rule) there are a number of well known authors that view the same theory…even as a core portfolio.

cheers elves

I cant answer those except to say, check around, an accountant is still a personal choice, do some yellow page looking, phone them up aska few questions, see how you feel with the answers.

you dont ask you dont get. a lot of people dont like to say who their accountants are for good reasons, especially on a forum like this.

I agree with those points people made.

I would re evaluate, and whose goals are they? Collective or yours?

You need some time for yourself, time for family and time to acheive your goals, if you dont then stick with the 200k income, it isnt that bad is it?

well it can be I know. I left a busines earning over 250k plus to go work for someone for 33k a year.I needed time out, but to keep my skills up.

I now earn at that job 47k in 4 years, I dont have a partner, so to get to my goals I had to really be a scrooge.

Someone said cut back. It is true anyone on that income, their spending increases to something akin or comensurate with income…

I am cashing up to get ready to reinvest.
but I have three properties rented, my own home now with mortgage, shares that produce income and I still am incredibly frugal as I want some more properties. I have two blocks of land, in the process of going.

you would be amased at where your money goes and the silly things it goes on…. so do check that out and maybe redefine your goals and put a time frame on them, but hey make sure you can acheive them or you are setting yourself up for not reaching your goals

now thats ok too….but you know, I dont know about your daughter, but be careful you make the time and make them feel important, and not the money, even if thats what your aim is in the long run to provide….

elves

yes I have been cashing up ready for my move, but not taking it until I have it all in the bag.

my mortage is going to look good soon! yeah

sorry forgot to say;

they are tying you into a long lease
be careful of the wording, for example
1 year, with option to resign at 3+3, so first year if ok then resing at 3 year intervals, you got the foot in the door.

bear in mind cpi in any clauses
is the rent fixed over the whole period?
what happens if you want out? consider the long lease you might be caught with, but if a good business, consider you wanting to protect it.

you are talking 3×3, do some more research

Personally I got my contacts started from people who had used them, sort of an insuance policy, if someone recommends a trade person, you can almost bet they were ok. I say this becaause anyone that has had a bad run in, will most certainly bad mouth the trades person.

Example, I had new bathroom kitchne and building renos done to my home. I went shopping around at bathroom places, asked questions and found 3 contacts, got quote spoke to them and one year later I made my choice. I would recommned my bathroom guy. Not only that but the 37 people I had come through my house in 3 weeks to fit carpets, appliances and the rest, went away with names and contacts. They saw the work done, and know I was happy too.

Given I had a set of trades per job, that is some networking.If I had an issue, I addressed it, even if I yelled at them! (moi? I wouldnt do that)- stressed, you do anything. They were all impressed with each others work, but golly where was my credit for all the hard work I had done? Out of this, I would recommned all product and or trades, with one exception, my kitchen company. Now this is a stunning kitchen, but the customer relations on their part, you bet, I will bad mouth them. Not only that but I wold never go back to their franchise again.

I do all my work over the phone and email. I live in another state to my investments.

As for building inspections: I used contacts as supplied by my family, who had used them. Very thorough so now if I use that area, I use him, he has had 6 building inspections and I get a bit of a discount.

He intern made a suggestion when I asked about a pest inspector, so hes on my regular list. I have a good rapport with both.

My solicitor- was via a friend in commercial lettings, this was exceptionaly good until recently, when she had a breakdown and I ahve not heard anymore, there is some unfinished work to do, which does concern me, but I will move on.

My accountant, again was great, I think he is worn out, so I am looking for a change.

My bank manager changed locations, and I followed. How many bank managers call in and bring you a bottle of red on their way to their holiday destination, out of the way to the ariport? Mine.

My electrician, is on call

My property manager has finally come to grips with my style, but she also knows, if I dont like something, she will wear it in some way.

Dont be afraid to change if those being paid by you to do work for you, are not working for YOU. Because it isnt worth it in the end.

I have a good list of contacts and my netwroking is pretty good, this is how you get things done, and how people react to you, it is how you get work done on a phone call, because you have that rapport, bills fall into the background.

does this help?
so ask around
ask questions
dont be afraid to dump em if not happy
build a network
build rapport
be consistent
tell them what you want
tell them how you work or operate
ask them their expectations, and give yours basically.

things get easier when they feel comfortable.

Elves

you need to be careful when quoting ato rulings, because often there is a ruling that is contrary and then you are left confused. I say this because last week I went to my accoutant, and was discussing the other side of investments….we got onto investment verses trading, capital gains/capital losses…etc

what he said to me was, make sure you get a quantity surveyor! He said you may as well as the ATO will have deemd that you had claimed all the depreciation you were entitled to when you go to sell. He also said that he keesp copies of all the solicitors settlement and disbursements, because it is amazing just how much a problem the sale of an asset that is income producing can cost you…

keep good paper work!

But do the QS thing to claim max you can

Elves

For some mortage brokers and or banks, the problem can be as little as a phone payment default.

Most lenders look for at least 6 months saving, real saving…not just lent and borrowed money- to show you are able and willing.

depending on your defaults one or the other partner? you may be able to explain these, for instance you were in dispute with an account etc.

Some lenders are actually very pedantic about this. You can also do the higher interest rate thing, for being in the difficult category, but you will pay for that priviledge.

Are you able to apply for the first home owners grant, either you or hubby?

Most lenders will also require some deposit but that grant can go towards it. the more you borrow or need to, the higher the possibility of having to pay those other little premiums like insurances etc. If you can keep your loan under 80% as a rule you may escape the insurances…I cant think for my life tonight…forget the term…sorry

200 a week wont pay the mortgage on most places. Then you have the added costs

Elves

Personally I prefer some profit to no profit.
Maybe it has reduced in time, maybe it needs a little help? Sometimes you have to spend money to make money, but hey, there is also the saying that no point throwing the baby out with the bathwater…

Only you can decide, surely there have been tax benefits that increase this? Sometimes regular income, regular tenants, and stable or small growth is preferential to other areas where you have greater problems….but then again maybe it is about location location…but then you pay the price dont you?

a profit is a profit in my books