Forum Replies Created
Hi MattNZ,
Can I still join? Please PM me.
Cheers,
Ged.
Hi Freckle,
I don't think anyone doubts your intelligence, or ability to source a supportive graph or two, but I am curious as to why you hang around a property site if you don't think it is a good investment.
I don't think property is as bad as you think. If you buy at the top of the the market in shares or commodities, I think you will be worse off due to their liquidity. You can dump your shares easier than property which we have seen before. House owners are more likely to hang on till things improve which makes them a more stable investment in my mind.
I certainly don't get 100% deals – more like 8 – 10%, which covers me.
To be down 40K on silver doesn't sound like a better investment to me, even if it does come off eventually! I'd prefer to sleep at night. Have you had any big losses?
Cheers!
Thanks Jane.
Don't apologise, I certainly didn't build the fence that way, and it completely goes against that of the area.
As the left side of my fence is like the back yard, I thought of keeping that the same height, and then lowering the rest which will open the house a little.
Could you email me a photo of some of the fence style that may suit. Also, how much per m do you think the materials will cost for those options.
Thanks for your help.
Hi Jane,
Yes, I have a photo, but can't seem to attach on this site, can you PM your email and I can send through.
Thanks,
Ged.
Thanks Daryl.
I enjoyed your article in the latest API mag too. Things look good for BrisVegas!
Aren't they extending the rail out there in the next few years?
As mentioned above, is it costing you much? If you plan to buy another property, then you have to pay stamp duty and all those fees again, so you should keep that in mind.
The Brisbane market is tough but I would hold, as I am with 3 properties. My rents cover me on 2 though, so it may be different.
Also, I think Redcliffe is a great spot and if you,ve held for 6 years, then you may as well hold for another couple
As Shahin said, build a case. I got 3 properties similar, and 1 in worse condition and smaller that had sold for more than mine.
Ask for a different valuer as they sometimes send the same guy to audit his own valuation.
Last resort mention that you will take it to the Financial Ombudsmen – this magically got me a valuation that i wanted!
I agree. It’s good to read some positive comments rather than all the doom and gloom crap.
The reality is that rents are still going up and the prices have got to catch up at some stage.
Hopefully we will all be in a great financial position over the next few years, while all those negative people talk about how they should have bought some property instead of putting it in some savings account getting a 3% and paying tax on it!
Great rates, great prices and great yields… Buy in Bris Vegas!
Thanks Daryl.
Hopefully I may need your assistance in the future!
Hi Daryl,
That's great info – Thanks.
Would these new rules apply to all LMR zones and suburbs in the Brisbane City catchment or just specific areas, and are there other considerations like distances to train/bus terminal etc… ?
The areas I'm looking at are Stafford and possibly Albion (A lot more expensive).
Thanks,
Ged.
My experience was that I had to fight the valuation. I presented all comparable sales within 1km. They agreed to review the valuation, problem was they used the same valuer (imagine auditing your own work). He bumped it up by $5K. I asked for another valuer who valued it up another $15K. In total I got another $20K which was 10%, but this all happened while trying to organise a 30 day settlement, so nearly lost the deal, but still worth fighting them. The extra valuations were provided by the bank free of charge as an existing customer.
Thanks a lot Les, they are very kind inspiring words.
Yes, i have been reading and absorbing as much as possible.
I guess to this point I am happy with the progress, but you can't help but reflect and think how you would change structures etc…
I guess my next phase is setting up the right financial structure, particularly to allow flexibility to shift income to either party.
The world of property investing is so exciting and really does make you feel like wealth is an achievable goal no matter who you are!
The PPOR 6 year rule is mainly for when selling isn't it? This reduces you CGT?
Hey Terry,
Thanks for your reply….
Yes, the income is incorrect. I estimate she will be paid $41,600 gross, which would work out $36,000 net.
So, taking this into account, the upside of renting looks even more attractive.
We would be in a position to buy in around 10-12 months, but this would get us into a house earlier, and potentially save us some money (if my sums are correct)
After reading some articles on this site, I noticed some investors prefer to rent their PPOR rather than buy and live in it as the expenses aren't tax deductible if you live in it. I guess this concept seems to defy my initial logic, as I was always told to pay your house off as quick as possible, and "rent money is dead money". I just want to make sure this really is the best option.
I think so?
My partner will pay around $100 per week in tax, so that will be our saving – that is based on us renting a house for the same price that we rent out the unit for.Am I missing any other costs or savings? Am I using the right formula?
Agree with other comments, it depends on what you want, and how much time you have to contribute. I have 2 older properties, and the potential repairs do play on my mind sometimes, however, plenty more oppurtunity to add value, and on large blocks. If you can buy them at a point where they pay for themselves from the start, then you aren’t relying on the depreciation to bring you back to square or better.
Hi Derek,
Thanks, I certainly see your point, which I guess helps to accumulate more property, quicker.
The $40K does come at a cost though and adds principle to the loan, which may suit some. I guess I am a little more conservative with leverage, and also the cost of that equity.
Maybe as middle ground go the 85% lend, no LMI and still keep $25K in the chest.
Has anyone ever negotiated LMI with a bank for LVR 85%+.
I have used citibank for 2 properties and will most likely roll a third at the end of the year to them as well. I have a good contact in Brisbane who was exceptional compared to other banks. Good after settlement service and follow-up too, which no one else seems to have.
They lend to most postcodes with a decent population. One of mine is in Rocky and that was fine. Both are positively geared as well which may assist.
Both of my settlements were 30 days as well so they can be done if needed.
Happy to pass on contact if you're in Brissie.
….I sound like a Citibank ad!
If I was at 87% lend and paying the 13K LMI and had the 13K personal debt, then I probably wouldn't buy the property to start with – But that's just me.
I guess my point is that we sometimes get blinded by the "tax deduction" value which doesn't always mean you are "saving" or getting ahead. I refuse to pay LMI, and don't think that the fact it is a tax deduction means it's a good idea…
Hi there,
While the $13K is tax deductable, it is still $13K outlay for a reduced tax rebate.
I would use your own cash to reduce to an 85% lend and then approach the bank to waive LMI. I went with Citibank who will go to 85% no LMi, and they still have very competitive rates…
At the very least, a 85% should at least be a reduced amount of LMI.
Cheers,
Ged.
