JJ &Jo,

Congrats on a great profit.

The are tax issues that should be considered too.

Who claimed the tax deductions?

What is the CG?

Recommend you both see an accountant.

hrm

Hi Jae,

I think using the FHOGs to buy a property is an easy way to start.

I note thet you are single so perhaps you could get others to share the costs of the property.

You would have to live in the property for at least 6 months.(corrected thanks Simon)

AND. who knows when the grants will stop!!!!!!!

hrm

Jason,

When and where please.

hrm

Agree with MH, I would be surprised if you had to pay back the grant. Be honest and give them a call today.

hrm

Paula,

Answers:

Offering $20K less, you don.t ask you don’t get. Make the offer and see what happens.

Depreciation. 2 types: building @2.5% per year, and fixtures like floor coverings, cupboards, appliances, light fittings, swim pool, security etc. variable rates.

Perhaps you could PM Scott at “Depreciator”, he’s a member on this forum and I have used and recommend his company for setting up depreciation schedule.

Claiming purchase costs at tax time: I am not a 100 % sure but I think its over 5 years, but another Q that Scott can answer. Good luck.

hrm

Agree with LifeX,

I would request the agent send me a copy of the report before I dismiss it. Lots of props have termite damage.

hrm

Hi Puala,

What you are suggesting here is Vendor Finance I think.

The bank lends you $80K under a first mortage, and you seek the vendor to provide finance for the remainding $20K over what ever term you agree on.

Vendor finance would cost more perhaps about 2 percent above bank rates.

By financing the property this way would save on Mortage Insurance.

If you have equity in other property you may be able to get a loan for the total amount, or about 106% to cover all costs.

Hope this helps.

hrm

Ubique,

Perhaps this deal could suite a builder. He / she may be interested in the block at the back or the lot.

You could:

Email or fax a heap of builders,or

Advertise in the Saturday paper under investments/ development, or

Seek agents who have builders on their books and are looking for such properties.List with afew agents (conjunct, non-exclusive agreements).

PS. You could contact Dr. X on this forum as they buy and sell props in SA.
hrm

Hi Bloggs,

I bought a townhouse in Rimfire Walk Maribyrnong about 2 years ago for $333K. I tried to sell recently but could not get any offers above $300K.

This area appears to be saturated with a heaps of townhouses from a few developments that were completed in the last year or so.

Your development sound a bit different and may have water views. i would suggest doing a good check on sales and rentals for the area.

As for saving stamp duty by purchasing off the plan…….I think you should be able to get it, but seek advise from your solicitor.

Hope this is of some help, regards.

hrm

Hey Spider,

What about a simple Stat Dec signed by your tennants stating how long they have been renting and the amount they pay?

hrm