Forum Replies Created
l’m not a wrapper but l was forced to buy my first house through a wrap loan so l made damn sure it was a bargain with plenty of leeway [ $70,000 ] , so that l could fix it up and still resell with good profit which we did . So l think wraps are a good thing in helping people get started . But , l can’t understand how anyone who can’t get finance can pay a $300,000 wrap , the repayments are so high and if they can repay that sort of repayment they should be able to find a normal mortgage .
Cheers
MkcThanks Tyrone
Afraid l’ve had to turn into the king of creativeness due to a late start and too much travelling. But l also know a few people who rent or own industrials and noticed the rents are dear but industrial land and buildings are often alot cheaper than houses .
Cheers.
MkcA favorite subject of mine , thanks to everyone for talking about it.
l know a few people , one owns 5 Macdonalds resterants , he came here with nothing 12 yrs ago . Another friend started collecting houses at 21 -20 yrs ago [nice and cheap so they’ve all been payed of buy rents and he lives of that now at 41 – does what he wants .
Me l got a late start due to traveling but l hope to be doing nothing within a few yrs = what l want to do instead of what l have to l’d be 45 then . l tried to find a property with built in rentals & future subdevide potential as well as lifestyle which we’ve bought now & hopefully we just have to get all that going which will take afew yrs then everything should pay for itself and us , atleast that’s the plan.
Cheers
MkcThanks very much for that advice people . l didn’t really plan on going crazy with 20 or 30 properties , too much on but l am looking for just one right now that could bring in some extra bucks,
atleast that’s my thinking .
l have started scanning although very 1/2 heartedly and found another industrial workshop shed number that is currently rented out at $300pw , asking $120,000 .
l haven’t done serious sums on it as yet but have thought if l was to put $20 on that , leaves a $100 loan , then cleaned it up abit put the rent up l could come out with a couple of hundred change each week . lt’s also on a big block so if l put an extra shed on it which my other brother builds , l could get an extra 2-$250 pw from that for only spending an extra 30 grand on the lot .
This is the sort of thing l’ve been thinking about so far or maybe even a cheap block of flats .
Food for thought .
Thanks and cheers to all.
Mkc.Thanks very much Simon .
Those are crucial factors in my situation as l don’t want to put much down . l’ll do some digging in the new yr and see what pans out .
Cheers . Mkc.
Think l have an idea – all feedback welcome .
What about buying an industrial building , they sell very cheap but they rent out for top dollar – l think !!!!
My brother owns a factory [ just a big shed really ] in Melbourne and said he can get $700 pw for it . He only paid around $ 250 . That seems like a very good well above average margin to me .
Has anyone got any pros and cons to this idea ?
Cheers
Mkc.Thanks for that guys .
So does this mean the general vibe is OZ realestates too flat to bother with for awhile and investors are looking elsewhere Something l’ve been thinking about is a cheap house with rent outwaying costs – a cheap block of flats in a country town somewhere , often their rents aren’t much cheaper than city rents but the building’s cheaper to buy , poss’ change . l’m just bouncing idea’s here hoping you’ve all been there done that type of thing .l have been thinking about the stock market to Jen , maybe joining a stock report thing like Australian Stock Report but l really don’t think l’m easy about it . Has anyone got any feedback on that or my rental ideas ?
All the best.
MkcThanks for that Hrm
Yeah it’s near the Great Ocean Road a big holiday area so we’re thinking of running adds for holiday goodies storage.
The 3 ac block we decided we can’t part with so thinking of turning that into a driveway .
Brother reckons could always sell the shed if no customers – an option l spose though l’m getting kinda fond of seeing the big bugar everytime l go down the back .
The dairy’s on hold till l come up with a brainwave for that one.
.
catch and thanks for the tips
mkcOriginally posted by hmackay:GDay Mkc,
110 foot shed wow!
Storage sounds the way to go if there is demand. Perhaps Melbourneites could store their water toys, caravans etc.
Surely others on this forum could make some suggestions!
Perhaps this post will put the topic near the top to recieve some attention.
hrm
Thanks very much Megan.
Your spot on about agents to, alot of owners feel the same l found if you can get to approach them.
All the best.
MkcOriginally posted by gafama:Congrats!!!!
Yes, anything is possible – and you went about it the right way – trying to find out what the vendor wants.
I find it so important to get past the agent and directly to the vendor in order to create win-win situations – so often the agent jinxes a deal that could be great for all parties.
Well done – with that attitude it’s all up from here! Looking forward to hearing about more of your successes.
Megan
http://www.propertyhub.net
Your Investing, Structuring and Developing Information Hub.The forums about being creative yeah , supprised you asked if you read what l wrote , embarrassing as it was [ later ] , but we did put down 10%. Which if you’ve ever tried to finance straight rural zone on 10% low doc , you’ll know how hard that is. We are only thinking about selling of a 2 or 3 ac section which l’ve been told now will devide , not the whole place . l don’t need much for that because of the setup , road /power/phone is straight past the gate but we did leave ourselves some cash left from our first house sale.
l’d like to be as secure in things as you sound but eh , we can only do what we can do .
cheers.Originally posted by blogs:Dont mean to rain on your parade mate but Im trying to work out how you plan to affor this property if you couldnt afford the deposit? Do you have other funds/contingincy plans should you loose your job, interest rates go up etc??.
We have always invested so that we have enough saved to account for a year of repayments should anything happen. Might be ultra conservative but?
Thanks hrm.
sounds like a rediculous question but shows just how life can go from one extreme to the other , you just never know !.
Funny you mention caravans – would you believe l actually have a 110 ft shed on the place to [ only 5 yrs old ] with a seperate entrance . l was thinking about seeing if l could fill 3 bays with some storage of some kind , caravans were one thing l was thinking about .
Are people usually after places to store vans ?
The trees – their on the blocks next door – not mine to sell and it’s when they set up their plantations they need to be 100 mtrs from any neighbours dwelling . Can’t seem to find out if it’s the same law for me .
With the other stuff yeah look l will try a few more things to check it all out before bothering with the coucil apps , l have asked them and they want you to go to a fair bit of trouble just to put in the app so l’ll keep checking around first .Originally posted by hmackay:Hi MKC,
I read your other post on the creative way you managed to purchase the property. Congrats , well done.
It sounds like a sought after retirement area.
Sorry can’t suggest anything about the 100m for plantations. You’ve tried the local council but they say put in an application and see how you go but you are concerned about costs. I guess it depends on the the cost, if not tooo much then it may be worthwile. Suggestion: talk to a non-council planner(check the local yellow pages)they may be cheaper that the council, and they may be able to suggest other profitable uses. In the mean time could you park a few caravans or sell a few trees?
Could you keep us posted on your progress please.
Good luck hope this helps.
hrm
Thanks very much for feed back and encouragement .
l hope anyone in a jam getting started or your dream draws things from the forum in general and things like this because l really didn’t think l’d crack this one , it does go to show .
Cheers .
MkcThanks for the good ideas and advice people, muchly appreciated . We hope to hear again from the owners shortly about a few things Dan suggested plus they’ve now agreed to a lower deposit so it’s a good start. Hopefully we can work out the rest from there.
Mark.Originally posted by Terryw:You should be able to do Tenants in Common anywhere in Australia.
Terryw
Discover Home Loans
Mortgage Broker
North Sydney
[email protected]Good one , may have some interested people so l’ll check it out.
MarkThanks for that Beanie & another good quote .
Tennants in common – brainstorm. Would you or anyone else happen to know if that’s doable in
VIC without too many hassles ?
MarkOriginally posted by Beanie:A friend of mine just brought a commercial property with a partner what they did was buy it through a trust. This way you can split the pecentage each person owns to suit your needs.They also have a tennants in common clause which means either one of them can sell without the other having to.I am no expert on this subject though and would suggest you see a good solicitor to explain to you all the ins and outs of what i have briefly described above with my limited knowledge of this subject.Hope this may help you with what you are trying to achieve. Regards Beanie
Live every day like its your last
PS . thanks oshen
l’m just near Merimbula -far sth coast NSW , if anyone happens to know of a solicitor handy knows wraps/sales and purchase and is fair in price.
Mark.Thanks Terry,that’s about how l thought it would be . Unfortunately the plan was to rent it out after refinance but as you might have read in another post since,now l’ve found a new property we want which would need more funds than planned [but worth it ] so- looks like it’s going on the market now instead of the refinance rent it out plan. Not to worry if we manage to get this new place it’ll all be worth it. Love it .
catch you.Originally posted by mkc:Originally posted by Terryw:Hi
As far as I know the two main mortgage insurers do not treat wrap refinances as being refinances, so they will only lend on the contract price, not value. Therefore you will probably need at least 20% equity to refinance. Your figures seem to indicate about 50% LVR so you should be right, even for a low doc with a major bank like ANZ.
Most solicitors should be able to hep you. It is just a pruchase really.
Terryw
Discover Home Loans
Mortgage Broker
North Sydney
[email protected]Thanks for that and your quote – big believer in that myself .
Shame – spectacular property and location .
For anyone else reading l did some checking and it should go into 10-20ac lots l’m told or just do one devide in your own time and sit on it for a rainy day/build sometime whatever.
