Forum Replies Created
sorry to pop both ian_from_brisbane and foundation bubble but sydney rents are currently moving up and the demand is returning to some suburbs.
The demand currently for the dulwich hill ashfield marrickville area out strips supply and will for some time as supply is not there.
when demand outstrips the inner sydney supply then the prices will rise.
As foundation will know I watch rental rises as that gives me the potential growth areas.here to help
hi alatter
all of the above is correct but this is for bank lending private lending is different in that they do look at the directors of the company but do not in all cases cross migrate as long as you inform of the directorships of the companies so if they look at craa they see these loans they are not as big an issue.
The loan can be a stand alone loan I think it maybe time to talk to a broker and maybe change to a more switch on accountant ( you need to be a little creative with your lending options)here to help
hi all
Roy is already asking when the next one is on and I think it is a good idea.
For a minimal fee canterbury hurlstone park rent out there convention section down stairs next to the bistro, can enquire if is what people want it seats about 5o people.lets see when and how many.
I have been asked if i will be going and I enjoyed the meeting so yes I will be there.
timing, day and agenda need working on but there are a coupole of people there last night that will be able to formulate that reasonably easy.here to help
hi steve
I must disagree with a couple of things
number one I’m on the other side of the fence and see this market as a good time to make very good investments as long as your fundimentals are right and it doesn’t make alot of difference if you are in a bull market or falling market.
I have the opinion that investing is a long time projection and cost of oil and global changes are factors that will impact but these to me are short term issues and are for day traders on shares to worry about.
The second thing is that I understand this post and your reasoning but I don’t agree with having to reason any commercial decision that you make. If half my investment partners(including my accountant and legal team) asked me to explain my reasoning then they would be very quickly swopped to a group that is business focused but it is your choice and we do have freedom ( to some extent)of speech and accept differing views.third and final your person structure or personal details nice to know as they are, shouldn’t from my view be made public but again this is only my view
here to help
hi brisbanescouting.
seek and find a good accountant that does both Australian and overseas tax.
Not sure about claiming there maybe a possibilty depending on the structure used.
Positive or negative is dependant on circumstance and the accountant can organise.
for growth depends on the type of investment and your risk to profit mix again that is, work out your exposure requirement.
There is no crystal ball stuff you need to look at the area you are looking at investing in and market research that area there are companies that will do the research for you but you pay for that I again are not one of them.here to help
hi Nat R
Two things make sure you email me before you give the nod and a wink to foundation I like to be at the front of the line.
Second not sure which bank but I would be very interested as I’m looking at lenders nearly every day and need investors with in banks as they can understand my business easier.send me an email and if there are any other bankers or private lending institutions who read this also email me.here to help
hi munjy
simple answer if you told them (yes)
but it depends on the structure used to purchase the overseas property.
The above if you told them is dependant on the structure used and if you would need to inform them, company, trust or foreign entity.
This is not financial advice and should not be seen as said advicehere to help
hi brisbanescouting
Are you in Sydney.
I would not give you advice as you need to structure your affairs to suit your needs but you should be looking a negative gearing in high growth areas for a number of reasons which I won’t list here as they are seen as financial advice (Which I don’t give)
Have a chat with an accountant and they will explainhere to help
hi Top Ender
I’m interested that nobody has replied and 38 people have read your post.
11% of what is the management fee
If you take the management fee out then it is a reasonable investment but I’d need the other figures.
who and how long is it going to lease for.
cost of all fees etc
on the face it would be a reasonable investment( all thou I wouldn’t invest unless I checked the rest out)here to help
hi visiongirl
I work on a steady 6% increase on top of cpi which takes in rises and falls.
and if you project far enough forward the 1 and 2 mil is within that area.ashfield to the city is at 1 mil now for a 1/4 acre block with house.
I’m in ashbury(15% increase this year for this suburb don’t see falling prices here) next to ashfield and you can’t buy under 600k for a 1 and 1/2br house.
scary or absurd depends which side of the fence your on or suburb your inhere to help
hi landgrabber
even if you paid for the site cash and you built for cash and paid no interest the return is 12% on your figures and my min is 20% so this land will need to be land banked for some time to make it worth developing.here to help
hi all
yes foundation i think you are right but also I think that all the banks including westpac have squeezed developers to the state that the developers have shifted 9 we have0 to private lenders and I will give you a very simple.
20 unit devel bank lend 6.7 mil bank squeezes developer goes private.
Where do the 20 single lends go not to the bank but to the mortgage originators hence the banks get a double wammie and from me it serves them right.
Of the banks currently westpac, hsbc, cba, and nab (forget about anz)you won’t get building lending thru and you are right they must lend without lending a bank will stop and die.
Rates are important but lending criteria is the most important and the banks have put themselves into a corner that it is very hard to get out of.
If developers don’t use banks (currently they can’t)then they must lend to other markets or area’s hence they chase lowering there margins.
If they go the other way and chase developers they risk more exposure to a market that they have been cutting there exposure too.
They are in a no win situation they must hold and wait and while they wait they are not lending,
it easier for me to get a 225,000.00 credit limit then it is to get a 225,000.00 development loan at the same interest loan it is all to do with exposure.
To understand lending you must be from that market.
Watch this space and see a drop in one of the rates for business finance or equitiy finance from nab, anz or suncorp next.
We live in very interesting finacial times.here to help
hi Willie
I to wouldn’t go Guarantor unless you are going to get 33%(sister and brother in law) or 50% of the potential profit.
Then only if you believe the business will be a success.
If you lake the risk you need to get the profit also.
To me it doesn’t matter if its family, friends or partners each deal is done on a case by case basis and needs to be look at that way.here to help
hi
who’s larry.
I may retire to the rsl for something to eat as I have a rsl badge any others bring there along.
as for knawing into a chop and beer both will be at the rsl.
see you around 3.45here to help
hi all
yes I know especially the military as even laptops dont have these drives for the same reason.
The chair was a different project ( the orange, yellow, blue high chairs most of the babies sit in)I don’t only do real estate business.
I have found there organisations to be very slow moving compared to the asian or european businesses.Qlds007
not sure if you have anyone with connections in dallas usa maybe looking for a 50 to 100 sqr mtr shop and a bank/lender or an accountant for us business structures.
early days at the moment and will be looking for them.here to help
hi lifeX
Some time you make me laugh and the one knock on doors and poach tennents thats great. a man after my own heart like your style.here to help
hi fredong
couple of things.
1. yes people do rent these offices but it depends where they are go and eyeball the office and ask the tennents next door what place is like.
2. strata fees
3. waiting list for tennents for that building??
any investment can be good you just have to evaluate as with any investment.
I own a car space as one of my investments and its smaller then this investment strata $300 per year 7% return nil up keep and a waiting list of 14 for the building with a growth currently running at 18% on cost, not bad for a city (sydney) that is supposed to be going backwards.
If I sold today after 50% cgt I would walk away with a 25% return on cost.here to help
hi jtw
I read with interest your post and your figure seem ok except for one minor point.
What if you are investing as aliving and your earning are directly related to your investments if you put your equation on a spread sheet it would tell you that you are in a circular equation.
Ie your wage is relative to your investments and your investments are relative to your wage.
Your figure do work if your as a paye investor and I would probably be close to working with them.
But as an investor.
I look at growth or likely hood of growth against risk,
Return against outlay.
lend (80% or 100%) against rental for the area.
demand against vacancies.
Type of property comm against resi
Stats are helpful to answer the above but good old fastion get in the car and look at the property is best.
Take at least a day to check all of the above in the area you are investing in and then make an informed decision.here to help
hi all
I’m one for moving as well just make sure you move in the right direction and if its slightly wrong adjust your plans.
I always get “don’t you think you are biting off more then you can chew” ( accountants and solicitors) but the only answer is.
I think I’m right and I’m the one employing you.
If I get it wrong the tables may change.
one day the rooster, the next the feather duster,
I like being the roster.
For whats it worth I’m not one for reading books but the Harold Trump book written by george his right hand man is an excellent read and is very good for negotiating ( he teachs negotiating at new york state uni)here to help
hi all
I’m not one for following dazzling but I agree that stats are good as a guide but the investment itself is the main item to evaluate.
I follow rental returns which haven’t been mentioned in any of the stats.
It gives you a good idea of the movement of the market around an investment.
And if you used rental against demand and return against risk the stats are not that inportant.
I like foundations spread sheet and they would be interesting to have a look at but evaluation of any market place will take in this type of information prior to purchase (or should)
I don’t look at the market negative in any market.example
In a hot market you have the opportunity to sell at a good or high profit.
In a flat market you can rental or lease to carry the investment.
In a falling market use number two to hold that property and leverage to purchase investments to the highest level you can accommodate and time the bounce.
The bounce cannot be worked out with stats but must be worked out by you using your fundimental understandings (which is not easy to teach).
The market you are currently in is a very good market for the yidn_shalom24,Dazzling,MichaelYardney and etc of this world.
I like the current market as opposed to a hot market as it gives me a lot of bargaining power ( and negotiation is bargaining) and movement and for the people of 2002 who didn’t think this movement would happen it has been on the wall for some time.
The investors I see currently in the market place don’t work on stats they work on profit and to get that profit we must negotiate in all markets.
evaluate,evaluate,evaluate but at the end of the day the only way to make a profit is to take a risk.here to help
