Local council 👍😎

In most cases (I reckon) the vendor uses a professional photographer, usually sub contracted via the REA.

The copy is usually written by the REA which can be great, decent or poor. I guess you could approach agencies and offer them your services but can’t say for sure if they will be happy to happy for it or go to the vendor and say: “you can eit…[Read more]

Well said, Benny.

That’s why my calculations are always based on 105% of purchase price (to account also for purchasing costs) 👍😎

Am pretty sure body Corp is responsible. Did you contact them? What did they say?

What reason did the REA provide for being against it?

Agree with the above.

If I were you, I would aim at getting ‘conditional approval’ where the only condition is the title being registered. Such an approval is usually good for 3 months and can be extended as needed.

This should provide you with sufficient peace of mind I hope? 👍😎

Or keep spending your savings on the shortfall until portfolio becomes positive (but that could be risky, all depends on specific situation I guess)

Agree with Terry, it does sound like a servicibility issue.

Two ideas come to mind to mitigate, which may or may not suit your specific needs but probably worth exploring:

1. See if you can reduce the personal loan limit instead of closing it. This way you would satisfy the lender’s requirements and release as much equity as you can.

2. Does t…[Read more]

Hi Ajay,

5.2% is rather high for full doc. Not sure what’s the story there…

I do hope your broker doesn’t intent to cross collateralise those loans(!) but it does sound like that’s the plan? Hope not. You should be able to refinance existing loans as stand alone and then use those funds for the deposit and purchasing costs. That’s the way I w…[Read more]

Hi Ajay,

A few queries come to mind:

1. What is the ‘higher interest’ that is being offered?

2. Why would you need to refinance 2 other properties to the potential new lender?

3. Do you require the release of equity from an existing property? If so, perhaps your JV partner agree to both of you top up the existing loan so you both pull out som…[Read more]

Hi Dham,

Doubt you’ll find answers here for such specific questions…😬

I would present the lease query to a local commercial REA and the build cost to a builder, ideally after you have sketch plans to show them. That’s at least what I would have done 😇

Hope this helps?

Cheers,
Ethan

Hi Dham,

Doubt you’ll find answers here for such specific questions…😬

I would ask the lease query to a local commercial REA and the build cost to a builder, ideally after you have sketch plans to show them. That’s at least what I would have done 😇

Hope this helps?

Cheers,
Ethan

Hi Mish,

Sounds like what you’re considering is vendor finance, specifically via carry back.

It can be done but you may face a few hurdles:

1. Buyers need to have a lot of borrowing power and yet, for some reason, a small deposit

2. The lender may see the 5% loan the buyers will owe you as ‘private loan’ (same as any other loan such as car o…[Read more]

Agree with the comments above, I would just add that the most accurate method would probably be to engage a valuer to provide you with current valuation AND end valuation (based on the schedule of work you plan to do).

Banks use such end valuations all the time (mainly when financing construction loans).

Hope this helps?…[Read more]

Agree with Corey 👍😎

If you want a quick formula (let’s call it the ‘6 seconds rule’?), here it is:

“(Purchase price/1000) + 10%”

Example:

$500k purchase (side note: personally I like to calculate the purchase price as ‘the real purchase price’ which is ‘purchase price + 5% purchasing costs’), so:

500,000/1000 = $500. Adding 10% brings it to…[Read more]

A simpler solution might be your friend applying for a loan with a lender that will take into account only 50% of the loan on the existing. The lender will also accept only 50% of the rent but overall, this could work 👍😎

It’s ok. We don’t know how to respond to your post either 😂👍😎

Terry’s advice is solid. Getting the equity available for use and knowing your borrowing power afterwards is step 1 IMHO.

Only then can you proceed to actually purchasing anything. What to buy is eventually your choice, suggestions from anyone may help or may overwhelm you (and from your description it sounds like you already had your share of…[Read more]

😂👍😎

Hi Ben,

We probably lost most readers already (long posts…) so I’ll keep my replies as brief as possible.

No worries but why look at 5 properties’s current average return? Why not 2 properties that were bought 20 years ago and provide now each $50K rental p/a?

Are we talking accounting laws or property investors’ strategy? ;-)

If I…[Read more]