Forum Replies Created
(Bicheno is in the North East of Tas).
Yes much higher CGT on the East side. I don’t see much in cap gains for a while on the West Coasr (unless moon landscapes become all the rage! L0L).
I do a worry about the growth rate of the little island a bit though… Any thoughts?
Rgds.
Lucifer_auI didn’t know the internet came with a home loan! (j/k).
As for interest, for where you live (principal place of Residence) the short answer is No.
For investment properties the answer is Yes.
There are ways of getting the tax deductable on your home mortgage but you have to use things like trusts and companies to do so.
Rgds.
Lucifer_auWhat usually happens here in Aust. is with bank foreclosures the property is auctioned off by Real Estate agents on behalf of the banks, this is to be seen as totally impartial (and to avoid messy court case for under selling the property), so the banks basically do it this way.
Council foreclosures usually happen the same way (council gives properties to RE agents to auction off). Though some councils do sell them off by themselves (to reduce costs, but still through an auction) but it it’s really up to the individual council.
The best thing to do would be to ring up Anthony Cordato of Cordato Partners as he is up to date with American techniques and how to do them in Aust. Their phone number 02 9290 2773.
If you’re ever in Syd. or find out more about the process for Aust. let me know (PM me, or email me). I am fascinated by the concept (BTW: Do you know of John Burley?).
Rgds.
Lucifer_auWow. That provides a good solid return! Good on you for finding a great deal, esp. at such a young age!
There are a couple of downsides to berths, first off I’m unsure of finacing , the second are fees (do they charge an advertising fee, mgm’t fee, or any gov. rates/fees?)
And third is the vacancy factor.If you can borrow from your parents equity from their house it could be an excellent deal! I’m sure you be making clear at least $70 p/w!
Fantastic!
Rgds.
Lucifer_auYes they can qualify for it when doing wraps, and it will hit your bank on the first payment (or usually a bit latter, due to it being a Gov. Department).
Rgds.
Lucifer_auCar ports are cheaper! And so are those prefab sheeds which you can fit a car into. You should be able to bump up the rent by $15-$25 (usually).
Check out Dolf De Roos book ‘101 Ways to Massively Increase the Value of Your Real Estate’. Thats got a great example with carports (from memory it’s the first one he gives).
Rgds.
Lucifer_auUnfortantly zero capital gains. It’s already had it’s run, and due to the number of out state buyers droping off I don’t think it is fully sustainable with the increases with the price increases we’ve seen.
The east coast of Tas, is still very beautiful with rolling hills, country pubs, etc, where as Queenstown has a moon like landscape… Some I guess would like it…
Rgds.
Lucifer_auRgds.
Lucifer_au130 is achievable, but Steve strategy and the market conditions did help allot (but Steves skill also helped allot!).
Rgds.
Lucifer_auGeneral hosting and Bandwidth is very expensive.
Also I assume Steve pays a web designer to update the site and perhaps pays a fee for the forum (royalty payment to the progrmaers).
Then there is the merchant account and CC systems that need to be coded.
It’s not cheap running a site as popular as this one!
Rgds.
Lucifer_auJohn Burleys material is good as well (and of course Steves is).
Rgds.
Lucifer_auI wouldn’t allow anyone to rent out a wraped house.
Can you imagine the legal issues. Not only with a take back from the bank, but even insurance issues (if the tennants burn the place down good luck with trying to get your insurance to cover it).
Also the level of risk is quite large. You are clouding title, and this guys income is hard to verifiy.
I would stay clear of this. A huge amount of downside for not much upside.
Rgds.
Lucifer_auALthough most rich people earn a high income they are chained to their job.
The main reason why people want CF+ is because they don’t want to work (or at least have some control over their work, as usually it’s the other way).
Negative gearing counters this and makes people more dependant on a high paying job.Also it’s hard to live on negative gearing when you retire (if you saw Steve’s free book launch speech you would know why).
Lastly after you buy a property if you have the right systems, property management can be reduced to a large extent so it takes less of your time (see Steve’s free book launch speech – doing more with less).
Also I might add that most people who negative gear don’t know when the property will turn into a CF+ property. Usually the aim is to sell it off, but there they usually incur high CGT.
As the saying goes- when the Doctors are buying get ready to sell, and when the Busboys are trading tips – Sell!Rgds.
Lucifer_auWell the level of remuneration generally applies to how much you are going to hold their hand and your mareting effort.
Rgds.
Lucifer_auForeclosures don’t really happen here. They do happen in the US but mainly because their are a whole set of circumstances wich allow them to happen (and foreclosures only happen in some states).
Usually houses are given straight to the RE agent for auction.
Rgds.
Sorry wrong program! The one I was talking about was a mentoring program he does. I don’t know enough to comment about this new course.
Rgds.
Lucifer_auI’ve spoken to a few people and apparently it is excellent. Just a word of warning however do expect to break through a few comfort zones.
Saying that though Keith has a very impressive CV. He started a couple of cable companies, and listed one of those on the US stock exchange.
He also has a great tapeset: Keys to $1 Million, 65 Houses, 18 Months.
Rgds.
Lucifer_aurichmond – yes it is known as velocity (kiyosaki latest book: “Who took My Money – Why slow investors lose and Fast Money Wins”).
You can use http://www.jaffasoft.com towork out your C0CR.
Rgds.
Lucifer_auNo extra taxes but if you don’t set it up the correct way profit (monies left after the mortgage) can be included on your personal tax return, and if you sell a property you can still be liable for CGT if you bring the money back to AUstralia.
Rgds.
Lucifer_auI bought a house where a murder had been comited outside. THe dicount of the buy price was not because of the murder, but rather the bank was about to foreclose on them!
But yes I would disclose.
Rgds.
Lucifer_auThey are very slowly tightning the rules in regards to Negative Gearing. And looking how the US have done it they basically will only allow a certain amount you are able to offset on other income. When they need higher taxes to pay for the baby boomers I’m sure they will be doing a similar thing.
Rgds.
Lucifer_au
