Originally posted by rpbrown:

Another thing which puzzles me is Yardney’s article ‘The Keys to Building a Substantial Property Portfolio” where is says you can use the equity in your property for the 20% deposit. I have naively thought that the bank required the deposit to be in cash not equity.??? If the former is the case, in my circumstances…[Read more]

Originally posted by investToSurf:
Hi all, I’m a virgin poster and just read this thread and sounds like i could be half way through an investment that might not stack up. I’ve listed the details below and can provide more if needed. In a nutshell, I’ve just bough a big block 900sqm with a 3 br house on the front, community title hammerhead…[Read more]

Few yrs back we were DINK with good income in Melbourne.
we bought a block of land with potential to subdivide into 2 units. had no idea about value add or even neg gearing. so we built a 4 Br house [stretching ourselves].

Transferred to Brisbane and rented our brand new house in Melbourne. sold it just before the 2000 boom to repay a minor…[Read more]

Originally posted by smoothsatin:

“….but Yarraville has “gentrified” and Footscray shows little sign of doing so. Simply put, and not being racist, but “Australians” like every nationality i have encountered are pretty racist. They dont want to go down to their local shops and see Minh Phat bakery, they want to see people (looking) like…[Read more]

Hi Leo,
I presume that you are looking at Tarneit as an investor with a view towards:
1. Capital Growth in your IP OR
2. Rental returns and CF+ OR a combination of both.

Cap Growth is likely to be below average for the next few years in this area:

Construction activity [H&L packages ] is heavy along the Western corridor from Hillside [west of…[Read more]

For example, he argued until he was blue in the face one night that if you insure your $200K house for $100K and it burns down, the insurance company will pay out the full $100K. I tried to explain about under-insurance but HE KNEW BEST.

Hi Wylie,
what is the deal with “Under-Insurance”.
could someone clarify the issue.
Checked it up on the net.…[Read more]

For example, he argued until he was blue in the face one night that if you insure your $200K house for $100K and it burns down, the insurance company will pay out the full $100K. I tried to explain about under-insurance but HE KNEW BEST.

Hi Wylie,
what is the deal with “Under-Insurance”.
could someone clarify the issue.

Thanks
Kattan

Originally posted by kattan:
Heading back to oz to warm the bones for a few weeks around the holidays. Is it time to buy yet

sorry mate, just testing the post functionality.

sorry mate, just testing the post functionality.

Heading back to oz to warm the bones for a few weeks around the holidays. Is it time to buy yet

sorry mate, just testing the post functionality.

Richard,
The following are the reasons why I would prefer not to buy:

1. Funding limitations: this way my total funding requirement is limited to construction only; not the land portion and hence gives me the capacity to do bigger projects.

2. Risk minimisation: if the permits don’t come through I can get out of the situation with minimal…[Read more]

Banks have a reason for what they are doing – risk management [theirs not yours].

Town houses in suburb A may be the flavour of this month but 3 months down the line the Bank may have too many of those in their books – hence no more loans for Town houses in Suburb A.

The poor consumer [us] is obviously confused and bewildered. it was ok then but…[Read more]

FM,
hb is right. Buy-Reno-Keep will provide u with better figures [on paper] than BRS. the transfer just kills the numbers.
Anyway the bottomline is that u make your money when u buy.
u will have a great reno outcome if u had done ur due diligence [expected price after Reno, cost of Reno, Transaction Costs buy/sell, and your projected…[Read more]

lets see some more details on the proposed development[atleast how many squares or SqM]

btw
whose responsibility is it to register easements?
if unregistered how is the prospective buyer going to be aware of the condition?
Kattan

The e’Book is OK. You always pick up something.

Feasibility has a few ommissions/events out of Sequence though.
1. Selling Cost: Commission on Selling Price (say 2.5 to 3%) is calculated after you have assessed the potential Sale Price.

2. No mention of GST & Input Tax Credit;This has a major impact on your feasibility now.

Kattan

and have accesss to a lot more money than you think you will need

very valid comment.

Life’s little surprises are always around the corner and these ******** have a habit of coming and biting you when you have spent your last cent.

For my current Project [upmarket T/House in Melb Inner City Suburb]I have paid off for the Land (with Permit).…[Read more]

I did find a website http://www.homebuildingmanual.com with relevant Info but sounds American. will the building practices vary a lot?
Kattan

Geo,
The following is from the Dymocks website. looks like a book to me.
Kattan
AN INTELLIGENT GDE TO AUST PROPERTY DVLP – $29.95

FORLEE RON
ISBN 073140131X
Format Paperback
Category Real Estate

“Start here..an intelligent guide to Aust poperty developing

Has anyone read this book? any good?

Kattan

speckles,
1. if u set up a trust and transfet the land u will pay stamp duty on price of land again. (but better than transfering to a trust structure on completion of building).
I made the mistake of buying land under my name but decided to pay SD again & moved it to a hybrid discretionary trust structure. definite gains in the long run (CGT, neg…[Read more]