Hi SJonesy

If it has dropped of your credit file and you’re only borrowing 50% you should be right. However, I’d double check that it will be removed this year.

Cheers

Jamie

Yep, sounds like you’ve got some non paying owners coupled with lazy strata management. I must admit – I’ve never heard of an admin fund being in deficit.

$20k in a sinking fund isn’t a huge amount but I think you mentioned that no special levies were anticipated.

I’d look carefully through the minutes and talk to the strata mangers in respect to this point. I was reading through some strata minutes a couple of months back for an IP I was interested in. They had to raise a special levy because the roof (it was an old unit complex) needed urgent replacing – costing a cool $80k (about $6k per owner). This sent the sinking fund to $0 (which is less than ideal) but it also presented an opportunity because the REA disclosed the sinking fund being depleted (which meant most buyers went running). The result being a massive drop in price (it was a repossession sale as well). However, the strata minutes recorded that no future work (to that sort of degree) was anticipated for the near future and the new roof had worked a treat.

To me, I saw it as a decent buy (considering all the other owners had paid for a new roof) and I was getting it for $40k less because no one would touch it (due to the sinking fund having no money). Even is another special levy was raised in the near future – and I had to fork out $5k to $10k (I’m still better off by quite a bit).

However, as keen as I was on this one – as soon as I left the strata managers office (after reading through the minutes) I called the REA and told him I was buying it…..he told me it sold an hour earlier…..oh well, there’s always next time.

Cheers

Jamie

Hi propertybee

You basically want to ensure that the property is in the same condition as when your offer was accepted.

Settlements usually occur in the afternoon – so you could expect the keys later in the day.

Bank cheque is generally the easiest.

Cheers

Jamie

Ask why the vendors are selling. Try and work out their motivation for selling – it can help you determine the best approach to negotiating. Sometimes it’s not all about the money (I sound like that song) – there can be other factors involved that can sweeten the deal for the vendor (such as a rent back period – particularly useful if it’s a messy divorce and they’re in a hurry to liquidate assets but one side doesn’t want to move straight away).

Cheers

Jamie

Check out Paul’s thread above – I was making reference to that.

Cheers

Jamie

After reading your other post regarding your tenants – it doesn’t sound like you’re receiving “blue ribbon” treatment! I’d get rid of them and get another PM on board. Speak with the potential new PM about your current dilemma and see what they’d do to remedy this issue.

Cheers

Jamie

Hi scullywags

It’s a frustrating situation and one that I’ve experienced first hand.

If your prepared to keep the tenants on long-term, it doesn’t hurt to keep them happy. However, keeping these particular tenants happy is going to be an expensive exercise.

I’d have a chat with the PM and see if you can reach some sort of compromise. Ask him/her to investigate other options for fixing the issues at a lower cost.

If they seem useless and you’re not happy with the service, you should look at getting another one on board. Since you already have tenants in place, you shouldn’t have to pay the usual one week rent for finding you a tenant.

Cheers

Jamie

Haha, I can see Paul now being inundated with hundreds of emails from a flock of new Bird Dogs

Cheers

Jamie

Hi Skyes

95% loans for both owner occupier and investments are available at present (the former is more widely available then the latter). You will generally need to demonstrate genuine savings of 5% over at least a 3 month period.

Cheers

Jamie

Hi Bella

Richards’s absolutely right. The deposit for the house I’m sitting in right now is from Bankwest – the remaining portion is from CBA.

Drop RIchard a line – he’ll sort it out.

Cheers

Jamie