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In brisbane rate include water so you find that they are this high.
Hi noviceM
I would talk to your accountant about this, If he sells it to her it will trigger CGT (if it has gone up)and she will ahve to pay stamp duty.They have obviously been affording it for the last 3 years without the benefit of negative gearing. Sorry I couldnt be of more assistance but she needs to look at why they have this property and does it still meet their goals.
Erika$40/week for expenses I think you are living in the land of SIS with $30 for 3 weeks food. Do the sums dont just guess.
One of our properties
Rent 265/week * 7.5%/52 = $19.9
Rates $1800/y /52=34.6
Oh am I over $40/week yet and I havent even added in insurance or land tax let alone maintenance.
Sure these are all tax deductable but you should atleast have a good estimate of these things before you buy, ring the council find out rates dont just guess.
ErikaSIS how can you buy 3 weeks worth of food for $50 that is only $17/week. I would take my kids to the movies.
ErikaHi guys
I have been looking at these areas, and my main question is do you buy only for CG or yeild. I have found the rent to buy ratio makes most of these properties very -ve geared.
ErikaHo All
We bank with CBA and have pushed them to 85% without LMI, we went to the bank with our business plan talked alot and eventually got 85% so it can be done but they dont like it. Other thing is banks may be getting more stricter with money now than they used to be what with talk of the property market maybe peaking.Personally I think that you should find the area of investment that you like and do that. Diversity for the sake of diversifying is not a good enough reason. You will ultimately keep at it if you enjoy doing it.
Look at all the types of investment reseach them try them out then decide what you like to do.
I also think financial planners are for people who dont want to do the hard yards themselves they just want to be told what to do.
ErikaHi fitness
I think in life you do tend to gravitate toward like people. We have very close friends that we discuss many things with and then we have other people who dont even know we own property. My current job is as a share trader and PI but to most of the people at school I am a stay at home mum. I think most people arnt interested in finance or they just have a general winge about not having enough money. We move around often and are continually having to make new freinds but it is only a few of them that will be freinds for life.
Dont dispare about losing old friends there are always new ones to be found.
SIS try schoolfriends.com.au for all those long lost souls.Erika
I must admit that I find sis behaviour strange, if you dont want to share information why put any out there in the first place. You talk like you have so much knowledge but refuse to share any, why are you here? This forum was set up to exchange ideas and info but people are nosy by nature and when you put information about what you do out there for people to read some people will get very nosy. I think for your age you have done many incredible things and many people could benefit from your experience if only you would share.
Most people will read this info and do nothing with it but you may just help one person on the road to riches and what a feeling that would be.Petels
Try looking in the paper they are in my local paper all the timeI always thought that you had to ultimately prove the deduction not your accountant.Just because your accountant claims everything doesnt always make them good to me a good accountant will explain to you what and how you can claim not just blindly accept that you gave something as a gift.
Hi
I agree with minimising your tax but the fallacy that you can buy a property in an area you want to take a holiday then use it as a tax deduction is wrong. If you go on holidays for 14 days and look at your property for 1 day you can only claim 1 day or if the purpose of going there is for a holiday you cant claim any.
Also remember that the way we have schools , roads ,hospitals etc is because of our taxes if every one pays their fair share maybe these things wouldnt run out of money.Just a quick question, how many of you are tenants and do you receive these things.
ErikaHI Sooshie
great post, we do most of these things but it was good confirmation of what others do.
Erika“Each to his own, be careful, be warned….. for all the guru’s out there, each of us gets different values out of it…. it’s not the story, its the message, and, if it gets you going and changing the way you think and act, then it has been worth it….
“
I couldnt have said it better than Scott, a guru is an individual choice and it is what motivates you to improve your financial position. Is he good unfortunately only you can answer that I know some people who paid a sqillion dollars to go to HK he motivated them to get off their butts and do something and they have made their money back many times over.
Its only money keep looking until you find your own path then take it.Hi Nailwog
We also renovate properties to leapfrog onto the next one after the renovation we refinance to get back all our money to do it again. This has been very successful but it is much harder to find properties to do this to and still get a decent rent on them at the moment so we are turning our attentions to other not allowed to mention investment areas while still looking for suitable properties. Personally I love renovating so this style suits me but I know alot of people who dont.
If you choose carefully doing renos can add many tens of thousands in instant equity and you usually end up with a property more people want to rent.
ErikaHi Elysium-M
Why are you collecting the rent if you have a PM, are you still paying him? With our PM he rings them if they are a day or 2 late just as a reminder but at 2 weeks he sends them a formal letter outlining what will happen if they dont pay this normally gets a response otherwise it is more letters and court.
If you are going to manage your own propertis you really need to read up on when and what you can do so that you know when to send out the appropriate letters.Erika
I am another one who would like to be financially free. This means that my husband doesnt have to get up at 5.30 every morning and go to work. I am relatively lucky I am a stay at home mum and love it. I have no desire to go back to the workforce and so must find an alternative job which brings in money, I do this by PI and shares. Unlike my husbands job I am working hard now so that my work will oneday pay me without me having to work and I dont want to wait until I am 65 (like super)for this either.
But I guess the main thing is I enjoy PI and share trading, so I feel I am blessed to have found a job that I really like and gives me some freedom to decide my working hours.
ErikaHi Gen
when you looked at the property did the vendors indicate that the house would need restumping, or was it a total shock when you had the building inspection done. If you didnt know about this then try negotiating. What you need to ask yourself is do I really want this property, if it is a rental do you really want one with structural problems. Many people buy with their heart not their head unless this is your PPOR and you just must have it,look at it as a business decision and do the numbers stack up if you have to spend another $6000. Also check with the builder who did the inspection that if you restump will this put doors and windows out of alignment, make sure it is only going to cost you $6000.
Hope this helps
ErikaHi All
We pay land tax [}
], all our property is in Qld and they send you the bill, it comes about sept and is assessed on all the properties you own at june 30th, I guess they want their money each year.[:o)] and arnt prepares to wait for you to lodge something. You will only start receiving a bill when your land value exceeds the threshold.
], all our property is in Qld and they send you the bill, it comes about sept and is assessed on all the properties you own at june 30th, I guess they want their money each year.[:o)] and arnt prepares to wait for you to lodge something. You will only start receiving a bill when your land value exceeds the threshold.
