kp, Most experts suggest that if you don’t seek the cheapest solution you could expect more professional expertise should things become ragged. Personally I make a point of not going for bargain basement in most business dealings I do. Having said that, we did negotaiate a better rate than std, but the value of our home dicated a lot of earnings…[Read more]

Thanks AUSPROP, I figured that was the case. 5 days penalty interest may not be so bad, but becasue we are seeking extra 3 working days, as I understand the penalty interest will go right back to the initial settlement date, and that will inclusde 2 weekends which makes it 10 days total.

Ill take it up with settlement agent on Monday, if anything…[Read more]

I need to be clearer in my thoughts, I am not suggesting that you can buy 4×2 homes in Sydney within cooey of the beach for $350k, just that IMHO the value is getting better in Sydney and prices are falling. You have a wiiiide selection of property that is staying on the market. I have spoken with agents who are using the language “any reasonable…[Read more]

Hang on, the statement was 4×2 homes 800m from the beach for $350k. You have nominated property that is 40km from perth and is one suburb in from the coast. Its north of Merriwa for goodness sake (affectionately knownas Balga by the sea)

$350k for this area is crazy, like I have been saying.

Just take a look at Sydney pricing….its simply…[Read more]

Please tell me where I can buy a 4×2 800m from the beach in Perth for $350k? You certainly cannot buy this type of beach front value within 20km of CBD if at all! I havn’t looked at the extreme north coast of Perth but even there I reckon you couldn’t go close to less than $500k. Dianella is now $400k minimum (with average block), Morley is…[Read more]

And this hot of the press..see ‘in the news’ ..

“This means Australians are now more in debt for houses that are worth less than they were a year ago in Sydney and Melbourne, and for houses that have not increased in value in other capital cities.

But in Perth, the exception, house prices were now more expensive than those in both Melbourne and…[Read more]

Yup, look I understand all the forecasts of continued growth, and all by people / organisations who have mountains of theories (and evidence) to back the claims. Its just that if we go up much more we will be as dear as Melbourne, and in some cases Sydney will offer better value for money when spending $400-$500k…to me thats just silly and when…[Read more]

Thanks KP, thats excatly the information I was seeking…sounds like you have some experience in this arena, do you belive given the current ‘boom’ property environment over here that there are any ‘profitable’ opportunities to develop?

JES

Ill I could add, is make sure the 7% return is net. If it is a gross figure, unlike commercial property, you will have to factor in strata fees, management fees etc. This will definately make the property negetive geared, and with the tenent locked in for 4 years your options are reduced.

Is there a problem here to solve or are you solving the…[Read more]

Yup, I could be wrong about Perth about to slow, but the point is we can only offer opinions coz we don’t really know what will happen.

Interest rates will go up, not sure when but they will. With so many investors, flippers, FHB, paying to the MAX of their landing capacity (and sometimes more) just to secure property here the slightest rise will…[Read more]

Be very careful in WA. IMHO, the market here is just about to slow. Property is being snapped up instantly, and in my opinion silly prices are being paid. Sure mining Job’s are paying big, the economy is strong etc, but the fact remains that not many people earn more than $100k or families combined income exceeds say $120k. This means on current…[Read more]

I am in Perth, getting trades right now is difficult due to a building boom.

You need a project manager, I belive a project manager should earn around 10% of the renovation cost. What were you hoping to spend on the reno?

JES

Personally, I subscribe to positive cashflow strategies, especially if you are looking at leaving work within say 5 years. Positive cashflow property investments are the most difficult to find and in my experience can only be found in the commercial arena right now (unless you can put say 50% down which it seems you cannot). (your state maybe…[Read more]

Thanks very much everyone. Appreciate the low down.

Cheers,

JES

mmm..my concerns are that this adds up to speculation. The development I had looked at is now nearly sold out and only the scraps are left. Much more apartment development is heading to the eastern river sector of perth with 30 story towers planned. Perhaps more opportunities will come from here. However, there seems little way to ‘value’ landmark…[Read more]