I agree with your understanding re high capital growth/low yield and vice versa. However, there’s often exceptions to this rule with decent yield and decent growth being achievable in certain areas.

Like I said before, there’s no wrongs or right and if you ask for an opinion your bound to get a number of different points of view.

I think what’s important is that you do something.

Cheers

Jamie

Yep, thanks Ten_Burner. I’ve been looking for that site for ages – I stumbled across it a few months back but couldn’t remember the sites name.

Cheers

Jamie

Even on $500k + it’s still a pretty good deal (from an interest rate perspective anyway).

Cheers

Jamie

I would have thought that vacant possession would be better than occupied.

My assumption would be that a tenanted property would be a bigger deterrent to an owner occupier than a non-tenanted property would be to an investor (if that makes sense!)

Cheers

Jamie

We have a few listed here – http://www.passgo.com.au/property-data-websites

It will be updated with more shortly.

Cheers

Jamie

Hi David

Welcome to the forum.

Yep, I’ve used these type of schedules for older IPs. More specifically, I used the corpred silver package. I have no complaints.

Cheers

Jamie

Hi Anh

Welcome to the forum.

It looks like you’ve answered your own questions

As you’ve alluded to – if you do decide to live in this property and then turn it into an IP later, you would be best off taking out an interest only loan with offset.

I’m not sure if you’ve put much thought into your first property but if you can find something that you can add value to (especially with simple, cosmetic renos) then you’re onto a winner. I strongly believe that these properties are ideal when starting out. Instead of waiting for the property to go up in value (so you can buy the next) you can add value to it (and purchase the next property sooner).

Best of luck

Jamie

You wouldn’t have to pay interest on the $50k if it were in the form of a Line of Credit or if it was an interest only loan transferred to an offset account.

That said – I agree that a $50k buffer does sound like a rather large contingency.

Best way to ensure independence (and peace of mind) is to source your own broker.

Cheers

Jamie

Hi Billy Bob

Welcome to the forum and congrats on saving such a large deposit.

You’ve certainly done a good job timing your entry into the property market. I’m not sure how things are looking in Melbourne but my general observation is that most major markets have cooled which presents great opportunities for buyers.

What have “experts” been telling you to do with your $50k?

Much of the $50k would get chewed up by one purchase in a metro area (higher growth, lower yield) or could probably spread across a couple of deposits in a regional area (lower growth, higher yield). Obviously, these are just general comments and there are exceptions to this.

If I were you, I’d work backwards – decide what you want to get out of investing and then devise a plan from that.

Also surround yourself with people in the know – a good accountant, mortgage broker, etc.

Cheers

Jamie

As the others have mentioned – try and meet up with like-minded investors. Learn from their experience. Also, continue contributing to forums like this. They are full of up-to-date information and knowledgeable people who are always willing to help out and answer questions.

I guess that was covered off in questions one.

Cheers

Jamie