Hee Hee No Idea Thank you both for your input. I will continue with the multitude of phone calls.I guess what I am struggling with at present is this.Lets say during the day my system generates 5KVA of power. At night nothing.My usage is more like 2KVA per day and 5KVA at night.So if I work on totals I am drawing 2KVA per day that I must pay for…[Read more]

thanks Terry I will have a talk with the members involved and see what they think the future use may be.I am guessing the benificery will reside in it as PPOR for a few years and then likely sell. In this situation would it be correct to say that no tax would be payable?If it were suggested that the home be rented would it be a good idea to value…[Read more]

So do I have to re-do my loans and insurance using them as brokers?I just cant understand… I understand that there are commissions payable in the industries of finance and insurance. I understand that if I dont use a broker the bank or the bank consultant recieves these commissions. I tend to think that fair enough, thats how they earn they pay…[Read more]

Hello Terry,I was wondering about the situation whereby an elderly relative wants to leave their PPOR to a family meber.I have read on here before advice about this – something along the lines of the transfer of ownership post death would incurr stamp duty and tax however the elderly can gift a certain percentage each year pre death avoiding this?

a quick questions if I may fword and ummester… fword you state (sorry dont know how to make it do what you do)"(24% or so) of Australian households being renters and without a mortgage. Furthermore, another some 30% of Australian households fully own their home with no mortgage on it whatsoever"Can you further clarify where these numbers come…[Read more]

I'm confused, did Americans stop breeding? No wonder they so cranky… hee hee hee (just playing )

I didnt take up the offer (no flights included).However a free week in Thailand is appealing. Maybe next time I'll call and say 'include the flights and I'm there!' hee hee

I must be missing something. I have flicked through the OCT API mag a few times looking for Richard's article, but I cannot find?directions or page number please?

How did you go itsAndrew?I realise I am in a different state and things might be diferent but out of interest I asked an RE friend of mine yesterday.He advised that In my state QLD, if you terminate due to the building and pest clause after the cooling off but before the expiry of the building and pest condition date, then no termination penalty…[Read more]

In QLD the contract has a warning statement (30C). In this statement it says that if the purchaser withdraws during the cooling off period the seller must refund your deposit within 14days BUT may deduct a termination penalty equal to .25% of the purchase price. So I guess the grey area is if you terminate after the cooling off period expiry but…[Read more]

Thanks Derek, appreciate it…. so when you asked what my gearing level was.. the answer was I am 80% geared (meaning I have borrowed 80% of  the value of what I have)

Hello Sparkys,a couple of quick points for consideration.. generally speaking I think there may be a few additional cost (looked into something similar myself)1) I dont think many agents sell their own homes. Not because they cant, but because it becomes hard to be objective and thus a good negotiator for the deal. I think in some states there are…[Read more]

Yes thanks Derek,I am not 100% sure I know the answer…. perhaps you can helpMy PPOR is currently bank valued at $400,000My loan is $302,000 IO and I have $13,000 in the offsett.I have also got an LOC (equity) of $18,000 taking me upto 80% LVRWhat does that make my overall gearing?I was considering using the $13k and the $18k LOC to purchase an…[Read more]

Nope not lost.. I dont think! Thank you so much for coming to my aid.I have been using a negative gearing calculator I found and I can see that my out of pocket costs are halved due to the tax benefits. I think one of the challenges I may be having is that my budget (at the moment) is low therefore the homes are old and thus no depreciation.…[Read more]

What the… I have used two of NAB's loan calculators with the same figures getting different answers…grrr

Okay, this has been doing my head in…. I think I am near the end, anyoneUnless I jag a bargain IP's in my current price range will require me to input around $500pm. If I calculate putting in that much for 9yrs and I calculate the estimated value of the property in 2020. I can see that I would need 5% property growth p/a to earn myself $74,000…[Read more]

Thanks pinkboy,  Seems I had the math just not the approprate formatting in my spreadsheet.. All fixed thanks again

I am not for nor against brokers… Brokers I feel are tarnished a little with the same brush that affects real estate agents, car sales, finance and tax advisors etc.I think the truth of the matter is that there are good ones and not so good ones (not unlike any other profession). There are people who are genuine, committed, educated and willing…[Read more]

Is this one of those questions that only I can answer?Anyone got any views as to what they would do in my situation?

Really good article thanks Mark – very helpful.I think it answers my question.. I need "1.25 times the interest rate (ie if interest rates are 8%, then the total return is 10%)"Soo, if I understand correctly I want the rental income to come close to covering the cost of borrowing (interest amount) and I then need a say 2-3% pa growth rate? If my…[Read more]