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It’s good we can have a hearty real estate discussion without people getting personal.
That does sound like a good real estate agent, and I’d hold on to that one. I honestly did not know if Fountain was serious when she put the words ‘real estate agent’ and ‘unbiased’ in the same sentence. I’ve dealt with about 20 real estates in the last year, and I can’t say that about any of them bless their souls.
My point regarding Gladestone is very specific: market timing. I like Gladestone and its got great prospects but the timing is off to buy the type of real estate you described. I wanted to make the point to Richter that positive geared real estate should be considered in this market in that town.
You may have a different view, great. Time will tell who’s right. As you said, success comes from doing things different
“Yes, a Real Estate Agent with a number of investment properties in the area… That would be the best place to get unbias advice.”
Foundation, was the above comment said ‘tongue in cheek’. Was that satire? The concept of a real estate giving unbiased advice makes me giggle more than a little bit.
The last house I sold, my agent actually felt sorry for the buyers, because they were paying a record price for the area. hehehe, you just don’t know where their loyalties lie. The agent didn’t have a problem accepting the commision cheque though, just from memory.
Good luck with everybodies’ Gladestone investing. It is a great little town.
I agree with all those insights Greg F.
“The party’s over” just meant that easy capital gains, mainly, but not only, made by those ‘passive investors’ are not possible in this market, especially in a regional town.
Specifically, your advice to buy quality property near the water in this market in Gladstone is dangerous. I’m sure you have been an astute investor, but there is a limit to the extent you can value add in this scenario, unless you get the property from a distressed seller, which of course may happen in the future with more interest rate rises.
Once Gladstone develops a class of merchant bankers and wealthly professionals, I’m sure the premium real estate would be great in Gladstone. Otherwise, this would be the worst time to buy quality.
No problem..
1. The banks are now generally too lazy to do proper background checks and property valuations.
2. You can always get a low doc from one of the fine lenders on this website.hehhe
Seriously, you do have a problem. No real way of getting around it, maybe an external guarantor, but that’s too burdensome and banks don’t like them for home loans anyway. Maybe your loan is too big if you need the bank to recognise two incomes?
Anyway, good luck
I totally agree with the above advice regarding the sale of one or even two of your properties.
Just regarding your potential move to stocks, just like property, shares are not without risk and complexity either, especially listed property trusts. Do your homework and always adopt a critical attitude.
I make great returns from stocks and options and it does not even depend on a booming stock market. But this only happens by implementing a variety of strategies with great care. Even then, in the right market with the right stategy, nothing beats what an individual can do with real estate, specifically positive geared real estate.
So my advice is to alleviate the current situation and take a step back to learn about all investments and economic cycles with a critical attitude. It does not matter if its property or stocks, if you do the right things at the right times, the possibilities are endless.
Gladestone is a regional town, as such I think your thoughts should be limited to positive geared real estate, which might even make a sneaky capital gain. Investing purely for capital gain is very different to positive cash flow real estate. Read a book titled, “Streets ahead” to see how different
Investing purely for capital gain in a town like Gladestone is nothing short of dangerous. Greg F obviously knows the market well, and I’m sure its a beautiful spot, but to make money on a premium priced piece of real estate, you need a class of wealthy and high earning people.
Gladstone may have a rising number of wealthy baby boomers running to the coast, but is that enough in an environment rising interest rates, rising inflation and potential overinvestment. Unfortunately, the party is over.
“Depending on the actual status of the repo, this could constitute a breach of the federal Privacy Act and therefore the law…”
Hehehe, I don’t think it breaches new privacy Act but I’m sure we could find a law it breaches.
I don’t know why repossessions are so poorly advertised, as the banks do have a duty not to step on their customers (too much)
I know this is a property forum, but really this is a bad market for positive geared property so I think your mother should buy about four blue chip stocks, take the dividends and write options over those stocks for extra income. That’s 100k well spent in this market, making at least 20%
Have to agree with G7 although it is possible to get a contact for repossessions…but not generally part of the ‘industry’…..for example, I used to get info from a lawyer who worked for a major bank and would know of repossessions…this was legal but not exactly legitimate..
