Forum Replies Created
I suggest you read what TerryW has written. Banks will lend to anyone as long as you can prove income/job, have savings and have a deposit. Minimum age is 18, if banks didn’t lend to you I think you would have a case for discrimination (you can vote at 18, and goto jail for murder…).
You can get 95% lends, and many banks allow you to capitalise mortgage insurance, so you don’t have to pay that upfront. So in the end these loans can go up to 97% lend aginst assets (you still have to pay a 5% deposit and keep 5% for closing costs).
As for deposits – go for lower priced properties (sub $150K), usually these are positively geared as well. Also check out student loans (must be a full time Uni or TAFE student), some have periods where you do not have to pay interest (check these loans out though… know the downsides). Beware though of using these.
Slodki check out the ANZ, through a broker (of course).
Rgds.
Lucifer_auFor me it’s the fact that sales pressure inhibited the client to do their due dillegence.
Rgds.
Lucifer_au“I’m a little disappointed that the ATO still regards politicians and journalists as unqualified to offer financial advice.”
L0L Aceducey!
I like how politicians aren’t qualified to give advice, but somehow are qualified enough to legislate, approve and amend) on taxation legislation. Fantastic!!!
Good to know Australia is in such safe hands.Rgds.
Lucifer_auWell I would suggest you download Windows XP Service Pack 2.
It contains all the fixers for Windows to date, plus a few more updates and features.Another recommendation is Firefox. Firefox is an ultra cool browser; Go here for the download: http://www.mozilla.org/
Just FYI – Mozilla contains an email application (called thunderbird) and a browser (firefox). Both are free and are very good (try tabbed browsing! just press ‘Ctrl+Tab’).As for anti virus, I would suggest you either get AVAST or AVG. Both are free! And are updated regulary.
Go here for a copule more apps.
http://forums.speedlabs.org/index.php/topic,164.0Rgds.
Lucifer_auCitiGroup (i.e. Citibank) is the largest financial institute in the world. If it was to default it would cause an international banking crises.
In fact when NAB was looking at potentially buying St George Bank, CitiBank offered to finance the whole deal by themselves. The NAB Chairman said in an interview that it would be difficult for the Big 4 and St George combined to be able to get enough to even finance the merger (even with other partners)!
My guess is CitiBank won’t be going anywhere for a very long time. There just too big… (esp. with $23Billion Revenue in 3 months!). In fact my guess is that the NAB and CB will go down way before CitiBank ever will.
Rgds.
Lucifer_auI agree with Terry,
My concerns are:
->How you are valuing the property with the prop. slump
->$120 per week goes into a bottmless pit? Charging way too high for ‘option’
->Very high difference in rents Vs owenership (though this is always a problem with higher priced property on Wraps/ LOs).
->Second option fee is way too excessiveI wouldn’t accept this deal, and my guess is you probably wouldn’t have too many tennats accepting this deal. A fear is that if you hold the property for longer than you expect are you going to let people who aren’t as good quality as you would like into the place? Will they trash the place because they feel they are getting ripped off?
It seems here you pushing down on the greed button way too much, and you will get burnt if you aren’t careful (vaccancies really can be a killer – I know). So don’t burn yourself and potential tennants. The deal has to be a ‘win-win’.
Rgds.
Lucifer_auJust a quick note, it will take longer if you use a company/trust and/or use a shoie box to keep your reciepts in.
Rgds.
Lucifer_auWraps are being done in WA, so their not illegal, you just need a CCC licence. From what I’ve been told their not to hard to get, and they shouldn’t be too expensive. As for the cash requirments you ccan simply place $$$ (from home equity lets say) into a bank account, show them you have proof of the funds and you shouldn’t have too many problems. Just to let you know the DEp. is getting a bit ‘dirty’ on wrapers, so just keep peservering.
Rgds.
Lucifer_auThere are higher regulatory requirements than say of a company/trust (i.e. more rules to follow). But it is being done.
Check out Legal/Accounting forum.
Rgds.
Lucifer_auWell it depends…
With negative gearing you get all sorts of nice tax deductions, where as having a home mortgage you don’t get the same taxation benefits, so I would say your house. However you can use the extra money to positive gear the IP (say $150p/w), then use that money ($150p/w) and the rental/+CF into your house mortgage payment. This could get it paid off faster (if thats your aim).
But in my mind it all depends on the IPs debt level. If it was going to take a long time to make it CF+, it would probably be better to use it on your home mortgage and use the equity to buy CF+ property (borrow agisnt the euqity in your home and use that for deposits), while still getting some tax benefits.
Rgds.
Lucifer_auFrom memory you can actually buy stocks in a company that just buys gold bars, each stock is issued at 1/10tb (so if gold was $500 an ounce you could pickup up a share for $50 and that would give you ownership of 1/10 of an ounce). The ASX code is gold.
Or just do what Aus suggested!!!!! (There could be hidden costs, or some sort of unprotected liability so check it out before hand!!!).
Rgds.
Lucifer_auYes you can, you simply put it on your own personal income statement or your trust (you hold your IP’s in) can pay your company for you to do the book keeping (just right down how many hours you have to do, for proof – and you’ve got your certificates too! (so slam dunk against the ATO!)).
Rgds.
Lucifer_auI know you can still get 90% loans for a trust (I’m not too sure about 95% though).
The problem with having assets in your own name is that if you are sued (say someone damages themeselves while diving into a pool) you can lose the property, even if you have landlord and public liability insurance.
From perosnal experience if you are injured it can be more benefical not to have assets in your own name when you are suing the other party as well (ironic!).
Also 15% CGT is nice too.
Also you may have to pay a small fee for the banks soliciotrs to look over the trust documents, but it is only a couple of hundred dollars.
Rgds.
Lucifer_auI claim them in the category of ‘cleaning and repairs’.
100% write off.
Rgds.
Lucifer_au“Property Investment Support Available. Ongoing and never stopping. PM welcome.”
The difference between your add and Derek’s add is that Derek gives his advice for free (to my knowledge) and you are trying to solicit funds for an investment.
Rgds.
Lucifer_auIf you start adding loans it can complicate a simple system. For example if you go before a judge, your occupant might claim that they have just refused to pay the personal loan part (so he/she part pays the payment for the RE, but not the total on both).
Also you have to tie up an additional $6K, for what??? The banks are demanding a higher interest rate because s/he is a credit risk and there is less security, you should be demanding an even higher interest rate on the loan because you don’t have the advantages the banks do (ability to take $1 and lend out $20, loan tax write offs, etc).
If you want to do it, do it as a personal loan and take other collaterial (like a car) rather than the house. Keep them seperate.
Rgds.
Lucifer_au“Rrent roles were an unnecessary burden that should be sold off at the earliest opportunity. Now however, he is offering seminars on how to effectively manage a rent role”
Wow – What a surprise! Jenman has quiuckly found out the boom is over and his sale system dosen’t work in a down market.
I know a guy whom owns a RE agency. Both of his competitors use then Jenman system. During the boom he used the excess wealth he was generating to buy these two RE agencies rent rolls. They were using the excess wealth to upgrade their cars or houses.
Guess who’s jumping for joy! He basically runs all the rentals in his whole area. He has gotten alot richer, and is very ready for a RE slump.
I do think Jenman is good, but now he is exposing his own views on things he has no idea about and thats what I dislike about him. It is good he has become a watchdog but why can’t he simply stick to bashing dishonest RE agents, and try to up the standards and ignore the stuff he knows nothing about.
Rgds.
Lucifer_au“We have our own aussies doing it and the money stays in the country.”
L0L!!!!!! Nice one yack!!
According to Jenman the only way to be succesful is to buy one of his franchises.
I find it interesting that Jenman has never supported any type of wealth creation…. As for me? Im very glad that I never followed Jenman’s ‘dosen’t work’ advice.
“We have more tallent in this country who are smarter more apt to give advise than Mr Allen in my view”
Care to sugest any names????
Rgds.
Lucifer_auI like Interest Only loans as the create a higher cashflow from my properties. But some people prefer P&I (for the sleepfactor as mentioned above).
Rgds.
Lucifer_au
