Hi

Use the redraw and equity and why not buy 2 or 3 properties?

Brendan

Is there a way for you to increase the rent?

I have just gone through a similar thing.

Let me paint a picture for you.

Single mum 18, and has a baby 1 year old. She had to move out of home because she was pregnant. She has been renting my unit for 1 year now to the day, and her lease had expired 6 months ago. She is a really good tenant pays her rent on time and never has a complaint.

I have wanted to do some renos on it for the past year and also increase the rent for me to do this she had to move out. After attending the master’s seminar I realised that I could make this a win win situation. So here is what I did.

I went around to see she and introduced myself to her, as we had never met before.

My wife and I chatted with her for a bit about her life and how she was going raising a child on her own.

I then told her that we wanted to some renos on the unit and for this to happen she would need to leave the unit and her furniture had to go as well.

She wanted to stay in the unit as it was in walking distance to her mother’s house and shops.

I told her that I arrange for a removalist to come and collect her stuff and we would put it all in storage for her at our cost and she would not have to pay any rent. She would need to find a place to stay for the next 4 weeks.

She agreed.

We then told her what the renos would be and if there was anything else that could be done to improve the unit for her. She offered some ideas.

In walking into the bathroom to inspect a new skylight we had installed I saw in the bottom of the shower was a plastic baby bath. I asked her if her baby liked to play in the bath, she told me that he loved to but there was not a fixed bath big enough for him. I said that we would try to get a bath put in for him.

By this time our conversation was drawing to a close and I have not said anything about the rent going up. I did not want to increase the rent I just wanted to help her out. But I had to push the emotions aside and increase it.

I told her that to do all this would increase the rent by $10pw and her response could not have been better she said ” I will pay anything so my son can play in the bath”

She also wanted to now after that if she could sign a 12-month lease.

My advice to you, listen to your heart after all you are the one that has to live with it.

Shane

Hi All

I would like to put in my two bob’s worth on the topic.

I believe that you are more blessed to give than you are to receive.

Steve and his team have done extremely well to create an environment here on the forum that helps you to grow as an investor.

This site gives away more information than any other investor website I have found. So I say a big THANK YOU to everyone involved in the forum.

Keep up the good work and never get tired in doing good!

Shane

I purchased Jan Somers PIA software. It has a lot of good features on it, so Im lead to beleive. My only problem I have with it is that I dont know how to use it.

A software package that would enable you to do the DD on a complete wrap would be good, ie you cost and the cost to the purcahser.

Maximus,

I have a question for your regarding your situation.

What investment strategy are you looking at using Renos, Lease-option, Wraps or Buy and hold?

Your last question to the forum was where do you find these so called +ve properties? My answer to you is, you create them each property requires a different strategy it. Anyone can invest in -ve properties, it takes skill and patients to create a +ve property.

If I were you I would use the 100k to invest in about 4-5 houses not units using one of the above strategies.

I hope this helps you, the more questions you ask the more knowledge you gain which will help you make a more informed decision.

Shane