se7en,

Here’s Roy Mcdonald’s new cult page:

http://www.onelife.com.au/default.asp?pg=1

Check out his calendar on that site. Seems it’s full all year of events!! [lmao]

Wish I wasn’t so jealous of this guy and all his successes! It’s why I’m bringing down such a tall poppy- because I just wish I’d done what he’s done [jerry] hehe. I urge you ALL to learn from this financial wizard and guru- good luck! [upsidedown]

kay henry

se7en,

depressing story (for the vendors, at least). The auction really is dead, post-boom.

kay henry

LifeX,

Perhaps the asking price is in line with market value. Check out homeprice.com.au or residex to find out the stated values. Sometimes people don’t know what their home is worth until they get an agent in to ask them. Whilst locals are astonished at the prices NOW, perhaps thry might change their minds if they put their own homes on the market. It’s probably a good reason for inexperienced sellers to get an agent. Otherwise, they sometimes think in terms of 1964 prices, and undervalue their home.

kay henry

Nathan,

Brian Rees in Wollongong is a great accountant and knows heaps about property. He’s also a very nice guy.

kay henry

Madankumars,

You ask what is the catch, but you have mentioned the price. Don’t you think that price is expensive? 419k for a 2-bed apartment? Does it come with a security parking space? What is the rental guarantee in terms of percentage? What are the body corporate fees? What is the median rent for the area *after* rental guarantees have finished? Check that out on an ljhooker site in the area.

Look up google.com.au and type in “southbank melbourne” in the google news section and see what comes up.

kay henry

The only comment I have re your use of the credit cards, elvces, is that you did a reno, which will most likely add to the value of your home. The IR is obvoiusly an issue, cause it’s big, but seems like you’ve used “bad debt” for good things!! :o)

I’d pay off the credit cards, and then think about what you might do with the 20k cash you have left. Deposit on a pozz cashflow property, perhaps?

kay henry

Not so devil’s advocate as you might think, Rugs :o)

Seriously, the couple opens their house for open house. 100 people look through it with the agents. Let’s assume these potential buyers know theitr market, have studied similarly sold properties, and realise they would have to renovate/restyle that older couple’s place (it was pretty old-style). So the buyer’s tell the RE that they would pay around 2.4 million. What is the RE to do? They are testing the market and think the older couple are being unrealistic. I am just not sure they screwed over that couple.

Rughead- you are an auctioneer?? Really? That is very cool :o)

kay henry

I did see that yack. Do you know how many years ago they paid 200k for the property? I didn’t see the first part of the segment.

Jenman, on his site, also has an article right now, about how people might choose to accept bids at auction now because they may have to accept lower later.

There’s a lot of articles at the moment written on people “reducing their expectations”, and agents are trying to ensure they don’t overestimate prices to vendors.

It depends on which perspective you have. I did absolutely cringe when I saw those discussions between the RE and the vendors. But because I didn’t see the beginning of the segment, i was wondering myself if the vendors were asking too much. The RE seemed to be just trying to tell them that $1.8 was out of the question. Seems the buyers were only willing to pay $1.4- so that was the market value perhaps.

Interesting thread, yack- thanks

kay henry

Zena, I got a deal of about $280, I think. For Pest and Building Inspections.

kay henry

Brenda said:

“…a great public speaker I aren’t.”

But noone can say a great property investor you aren’t, Brenda! hehe

kay henry