I want to know where I can get that %1000 offset loan you were talking about. I could do with a couple of those myself. Hehehe! Sorry I couldn’t resist. Newbie here myself so I don’t have any words of wisdom for you.

Jo

My unimporved land value is actually written on the rates. I guess its different in different areas? Seems strange.

Wow! Thats certainly depressing. Can I have two IP’s with dual occupancy, if I don’t want to sell? I guess that eventually I would sell, would that casue any problems later on?

Had some friends in a similar position. Only they didnt sell their house to finance it. They did however not bother to look for more land as they believed they had their land. Therefore price they paid for their new block was far greater then what they would have paid 6-12months ago when they put the first contract on.

Dissappointing for them.

Thx Robo! Ouch on the $5000. Roughly how long did the process take?

OK,

I’ve been reading about sub division from other posts and the general concensus is to call the town planner. So i ring them but does anyone have any suggestions on what I have to ask them? Obviously the minimun block size but I’m sure there are other things that I should know about.
Keeping in mind that I haven’t bought the house/block yet.

Derek,

Actually, there isn’t a whole lot of land in the town and the land is going quick when it comes available.

There are 700 jobs being created by October and the town is already in high rental demand.

If we were to subdived, the blocks of land would still be 885sqm and thats the main reason I would be leaning towards 2 houses instead of the…[Read more]

Hi Paul,

There isn’t a lot of need for townhouses, its only a small town population of about 5000.
Plus, then i wouldn’t be able to collect rent on the existing house as I would need the whole land for that purpose, we may throw around the idea of flats if we decide to go ahead.

It is zoned residential.

Hehehe! Very clever. Not sure the REA amoung us will think the same [rolleyesanim]

Hi Karene,

I was also looking into this as my first investment. The figures that were given to me seemed very reasonable. I think they were returning 9% net ie after costs. They were advertised as 2 units for $190 000. but the banks saw it as a commercial loan and would only lend 70% which left me way short to be able to anything about…[Read more]

Thx Derek,

Will check them out. http://www.seqrets.com.au – this link didn’t work, maybe they are having probs with their webstie.

Jo

Thx Julia,

Anyone have any other suggestions on where can I possible find out employment stats, population etc?

Jo

Someone once told me that the way to assess the risk of something is ask yourself these questions “What is the worst possible outcome of this situation?” & “Can I survive the worst possible outcome of this situation?” If the answer is yes to the second question then you’ve got nothing to lose. Not a bad way to live life

Jo

I’m from QLD and we have a website that you can download things like that from at http://www.rta.qld.gov.au

Not sure if you can use these in other states, but it may be somewhere to start. I’ve noticed that NSW has a similar site.

I’ve noticed that the “tenant” in vendor financing pays for insurance. Question: What if they decided that they didn’t want to insure te place? Would the Wrapper then have to take out some kind of insurance? Surely they would have just as much to lose if the place burnt down. Also, does the rates go in the wrappers or wrappees name?

As a QLD’er we already have the media announcing “Qld property to boom once again as NSW gets hit with tax” Fine by me, but I think they kind of forget that there are other states in the country to choose from.

Seems to me that the government is trying to drive people out of investment in NSW. Risky considering other states can offer lower…[Read more]

Thanks for the responses James and Derek. I was planning on doing it anyway. I was just curious to the tax related side of things when capital the expenditure was so small.

Thx again and heres to making money and retiring young!

Newbie here, so you should probably wait for a more experienced opinion. But from what I gather what you have said is pretty much correct.[thumbsup2]