Lol
People make money in boom and bust.
If I had a dollar for everytime time I had someone tell me not to invest in something I would would be a rich man. These same people never have anything in there life.

I asked this question a little while ago and didnt get much of a response. Scott no mates is right to do it properly and make a profit you really have to add allot of value and buy in good locations (wealthy areas). For example. Buy a runned down two bedder renovate so its a 4 bedroom home with a study and off street parking. So adding value by adding rooms and off street parking is the key in this example. If you are just buying and renovating you may lose money or just break even.

Anyone else disagree or have a different example?

Hi Jlia
I dont know of anyone in that area. But I would suggest you make a trip to Liverpool and go hunting for PM. By this I mean actually go and visit all the RE agents in the area and see what best rate and fees that they offer. While talking to them you should get an idea of the ones that are good and the ones that dont want your business.

Good luck.

Hi Jamie
Thanks for that. I understand what an offset account is and know how to use the search functionality in the website.

What's the benefit of an offset as opposed to paying the loan down. The interest you save on the offset account would be the same if you pay it directly on the loan and you can just redraw the money when needed from the loan. Some banks may charge a redraw fee for that. Mine doesn't. (scrapped recently)
 I know there is some tax benefits to having an offset account but my understanding is that you would lose those benefits because a bank will charge you slightly higher interest rate on your loan because of the offset account? Maybe that's what people don't get?

Hi Jo
I asked a simular question to this about a month ago and recieved no feedback. I would also like to do the same thing. Maybe we can put our heads together and work out if its worth doing.
G

Hi Jess
7% is pretty good rate actually.
I use a PM and actually I think they are worth it. 7.5% I pay.

My advice to you would be spend $600 bucks and do a real estate certificate of registration coarse. Its a 3 day coarse and qualifies you to manage and sell real estate. This will give you some incite into what PMs actually do and also will prepare you to take on the role yourself.

Lets assume your tenant gets behind in rent or stops paying rent. Do you know what steps you need to take to protect yourself and your investment? Do you know whats needed to take a tenant court? If you answered no, then get yourself educated first before you go a head and manage the property yourself.  

I would say that most people that had bad experiences with managing their own properties, were not educated in managing a property and thus made costly mistakes. More than the $15s a week.

If are not interested in doing the coarse, then I would say talk to all the PMs in your area and compare prices and cut the best deal possible. You might find that one PM might give you a better rate just to get your business. Having said that remember that a good PM is worth paying more for.

Good Luck
G