Forum Replies Created
hi all
nice post not sure about getting to a level to retire but if you aim for 2.5 mil in equity with a investment structure that gave you 10% return your there.
I like what I do and no I don’t sell books nor do
I write them and as for retiring full time not sure yet, similar to dazzlings guy I enjoy what I do and it gets alot easier when you know what your doing.
when you get to 30 with 2.5 mil equity you also won’t want to retire you will want to use the equity and not sell.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi all
not sure if its the same company but Cameron Bird from my deals was a liquidator company and I have had alot of dealing with that Cameron Bird and it sound very similar to my dealing with them I tried without success to stop a perfectly good business being cut up and sold as piece meal in the end i bought just the name and the phone number not the company or any assets and started again with the employees the company traded for 5 years and was sold to a competitor ( the one that had instigated the liquidation in the first place)( I find very few that deal out of adminisration or liquidation)so if it is the same I am not surprised in the least its a wonder they didn’t ask for your credit card details to cover the cost of the information if you didn’t go with them.
don’t laught I can give you a company in the city( sydney) and it is one of the largest resellers of commercial that asked me, as they had sent me to much in formation on to many dealshere to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi andrew west
right click my name.
go to any of the posts with regard to sdg 3
and come along to the next meeting its this sunday 27th at petersham rsl at 4.00 there is usually a broker there.
hope to see you there.
I am a licenced mortgage group broker but don’t broker to the general market place but any question ask away.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]Hi vyvyen
This one is a hard call because people keep saying its a buyers market, well it is if you are willing to sell.
If these people are not willing to sell under 1.6 in this market and you want it you need to find away of getting there.
My veiw as an investors is if this property is valued at 1.6, you will need a very good return to make it work and unless its commercial there are not alot of 1.6 mil resi properties in this market that I would be throwing my hat at.
If its in sydney you are in big problems because the upper or high end value properties have not moved at all with in the last 12 months up or down and the people that have them are waiting for the market to move, from the real estate I have spoken to have told me that part of the market is selling but no significante movement so I would either keep going closer or move on and invest a high return vehicle and as for dream property well I don’t get emotional about property it is a vehicle and I’m not a rev head, look at this property as an investment and if you can afford it do so but don’t over stretch as people that over stretch just like reaching for that apple have attendancy to come crashing down in a big heap.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi nickelben
quickest way is go to site drive within 5k of the site and find any building site, unit or townhouses and ask there constructual engineer they have to have one its the quickest and cheapest.
If I have a site I’m looking at I do the same.
not sure your state but this is the best advice failing that talk to the council ask for there planing dept, the construction section here in nsw it the cc dept and they will be able to tell you the engineers in there area that work on these project as they would have 4 or 5 project in at any time.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]Hi cameronsmithaus
sorry but they are totally different.
house
The best way to add value quickly is rip the roof off and add a second addition do it cheaply.
The return is higher then any thing that will be below, bedroom are only walls but the value flys up.
units
a bit hard to rip the roof off so two areas that sell a unit, kitchen and bathroom, min the bedroom and extend the bathroom the price goes up.
or close off the balcony with shutters and run a track system for the flat screen tv and use the balcony as a tv room the price goes up by 40 to 50k in surry hills sydney.top ten would be.
get a real estate seller in (walks the walk and talks the talk ie he sells)
he will tell you what he can sell or rent
do the bathroom and kitchen min
rip out everything in the house and unit that you can carry in the way of furniture get a rental design company in to furnish the house or unit. If rental tell them this is the old tenants stuff and will give them a number to rent the same stuff.
Get a landscape company in to get the garden into shape if a house or in the case of a unit hammer the body corporate 5 month before sale or rental that you are sick of the sh-t hanging around and they will give you the job of cleaning it up ( we are creatures of habit the flow of least work usually wins) and they pay and do as above.
next when its all done then ask a propective tenant or if your selling purchaser to have a look.
The price will rise depending how good at it you are.
we buy or rent on what we like so make it what people like and thats what these guys/girls dohere to help
If you want to get involved in some of the projects I’m involved in email to [email protected]Hi patbc
Welcome also from me.
Couple of things.
First AUSPROP nop its not unusual to hold one, two or three unit depending on the development and as for (was the accountant hinting at fiddling books a bit or is this a legit strategy?) well this is the norm as long as the structure has been setup at the start I am currently hold 3 in a development that is about to finish, whitelaw accountant is correct you take the profit in the form of product and you have a lower base value but because there is no profit at the end as its neutral, there is also no capital gains tax its a little more complex but whitelaw accountant is right as long as its is a trust structure but I will get back to the post and that is.
hold hold hold hold and if possible hold I would put in capitals but dazzling would tell me I’m shouting.
If I was in your shoes I would fix price contract( build price) the site, build, refinance, and hold,
check out your medium price return for that suburb for the last 5 years.
you can sell as a couple of indians have just done with me but then I develop and hold, your in the driving seat its risk against return.
As for capital gain not sure because you don’t have to worry about it if you never sell.
unless you have another project that will return a higher return then this I would consider it and even if you did the cash flow from the end product after refinance will be more so my 002 is develop but not sell and get hit with cgt but hold.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi palmer707
not a great reader myself but I buy the mags go and get this months financial review smart investor and australian property investor.
Chat to the shop owner and get them each month and have a read they are a wealth of information on areas that you can look at and structures people use.
I don’t have naything to do with either except I buy them each month and from the same news agent as he flips thru the mags and tells me if he see any thing similar to what I buy it for.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi andrew west
I have yet to find a lender that is the same you need to talk to lots and then decide which to run with.there rates, setup costs and on going cost are different so have fun.
try not to cross colat if posible and look at all costs.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi PaulDobson
not sure about the first three had a quick look.
1st one is ok
2nd is wrapping and yes works for wrappers, but I would get involved with a wrapper first before getting into that market,
Its a little sticky for me and not without its litigation that hasn’t been answer to my liking.
3rd ok if you want to sign up for learning not going to help much unless you want to learn at a price.
4th good for info and if you take the information and us it correctly yes this one is very usefull for information.
Your best allie is the vendor and both are fighting the foe, the lender.
As long as you can walk the tight rope you will reach the end with the vendor walking away with a sale vendor financing back the difference between the price and the lend at just below the bank rate.This is what we call the ideal equilibriam point.
that is I owe nothing in the project, the lender is owed 100% and the vendor finance is paid after completion and from the lend, from the bank on end product and I take max profit.
They call it all happy, some happier then othershere to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi flatout
sorry no you don’t.
you need the difference of the lend against the value if you purchase a property with a building on it you need to cover that loan.
the land and construct is governed by the end product and as its commercial (unless you use nab)servicew ability is not an issue if you a term deposit in place there are more then one way to skin that cat.
you can do the example I have given with 5k and using the current no doc system.
the above system is being done with 5k and is thru nab and doesn’t have any building on it it is vacant land in low doc and the interest rate is 5.99% and there are two blocks that are being built.
So for the 250 you can keep your 245k in your pocket.
The example was to be given that using a person that knows what they are doing(not me of coarse) you can find these opportunities.
I wouldn’t say your dumb but use they lenders money as much as possible to gain your return.
in the above project I will have all and any money out with in 1 day of settlement and then leave to construct.
as for lead time you try to get as close to posi as possible but it depends the return.
you take the loan less the rental and cover that part but at 250k and I have had a look at wa( well a little more then a look)and for 250k you may not be able to purchase alot of real estate but I’m sure that a little fluid pen work you would be very surprised what is available.
I may have looked at the post wrong as I was working on the 10k cash.
Usually my deals require less then 50k in cash or 400k if equity.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]YOU LITTLE NIT PICKER YOU.
Mine is vacant land to start.
Can give it later on a property with a building on it but not finished the details.
In your neck of the woods there seems to be a couple of pockets that are very tempting to me at the moment and may be comming over to perth and flying out from there just running the figures at the moment.
Do you have a group that meets around the 15/16 dec might have a look at this rockingham, mandurah areas.
keep nit picking I must admit I like to add to a post rarther then pull it apart but it also need people to nit pick or pull apart so the figures stack up.
devil is in the detail.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]Hi all
Interesting read not into this market as yet and don’t look like being.
Very interesting how different markets move.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi ganakars
couple of things
1. syndication its a word that is not mentioned in alot of investing circles due to the fact that there are a lot of regulations about what can and can’t be advertised I know what and why but advertising the word syndication and telling someone to go and have a look at this type of investing will give you some food for thought.
2. Prakman number look to be right, not run the calcutator over them but I’ll take them as right. The only thing that I would add (and I would think rather then Kalgoorlie (growth 2.4%last year and 4.5% over the last 3 years or Karratha 11.3% last year and 7% over the last 3 years) I would be looking at albury 34.2 % last year and 13.2% over the last 3 years.
and I would look for a property that can be developed into a duplex or unit site.
as for posi’s well the people who tell me that there are no posi in perth sorry your wrong and the same for brisbane or melb or for that matter sydney the only thing is you must build it, you must have a 30% gross return built in to the project,and you must have the capacity to hold the end product. and if you find a property that is a posi or close to it from the start then its even better remember to look for income or growth and if you can try for both
example
duplex
land 310k
build 320k
finished cost 640k split in half
costs 320
sale price 650k lend 80% 520k low doc
520-320 = 200k put in term deposit for 5 years @ 4 % fixed( can get higher but lets work on the low side)
rental 15k loan at 8% ( lets work on the high side)41.8k short fall 26.8k
draw down the 26.8 k for 5 years cost 134k split loan or line of credi doesn’t matter for this equation.
5 years later you still have 66k in the deposit bank and had you done this development in albury working on there three year growth levels the property is now worth in value 1.35 mil if you then sold you would have 833k and pay 50% cgt you have 416.5k plus your 66k and to get this what have you put the 5% to purchase the property at the start as I do, get the bank to lend as high as possible of the purchase price.
The above is an example but also an actual project and the figure are very close to reality as they are not built yet I just hold for longer time and don’t sell.
I would like to hear from a couple of guru’s as posted before if you sound out the letters g you are you tells me a lot about guru’shere to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi Ron Burgundy
I use BH company formation bhshelf.com.au they are the cheapest I have found.
200 for a company and 900 for a trust or visa versa as I buy one of each pro project.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi all
I’ll be there in fine feckelhere to help
If you want to get involved in some of the projects I’m involved in email to [email protected]Hi jenwren
thats more like it.
I like the system,
works very well and if worked corectly does give alot more then a 20% return.
nice post
any morehere to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi jenwren
in whathere to help
If you want to get involved in some of the projects I’m involved in email to [email protected]nice post dazzling
I like solid investments maybe a couple of future investors can take a leaf.
comm is more solid then resi just more out lay, not sure how you got the loan higher then the val but it is possible I have for harrington waters put its a little fluid pensil work.
well done again hope it goes well with comm it will and for the others you don’t need to organise your finances the same as the lenders would wish.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]hi westan
don’t worry about zeros.
I work on either money or equity in and money out or holding equity.here to help
If you want to get involved in some of the projects I’m involved in email to [email protected]
