Sorry Arthur I wasn’t trying to be rude but if you read my first paragraph I was actually trying to explain the approximate code we property professionals on the forum try to stick by, given it is an investor forum, and encourage you to become a part of things here. With your 20 yrs experience I think you would have heaps to offer the forum. No one is perfect and I have made plenty of posts that I would consider mistakes over the yrs but the beauty of the forum is that it “self corrects” meaning I have had advice over the yrs from others too when posting something outside the line. All the best to your venture.

Arthur you should know this is an investors forum that values membership contribution. Those of us who own related businesses contribute our advice and expertise free of charge over years not months weeks or days because we are investors ourselves and value the conversation plus as a way to give back in a small way. In return those that like what they see get to “try before they buy” and have a better sense of our business style and so some end up becoming customers.

This is not in any way the kind of place where we buy or sell leads. It is not a place where we would sell our database of existing customers to spam email firms or others looking to co-opt a valid list. My limited understanding of Australian law ( @terryw can correct me) is that this would not be legal.

(this assumption is based upon your post over in buy swap sell https://www.propertyinvesting.com/topic/5023764-wanted-old-opted-in-data-bases-to-be-refeshed/) I would never personally sell my list, and I imagine the others here would not either as our clients signed up in good faith not expecting to be spammed by someone else.

All the best with your search for lists/leads but I imaging you would do better trying to find a paid source and there are plenty of marketing firms who can help you for a fee.

^^ what he said. Added to capital base for reduction of future cg like stamp duty.

Jprop wrote:

Thanks for the response DK. I was leaning towards the first option as well. I do want to build a large portfolio but since i’m still a newbie at property investing and i wanted to play it safe which is to keep the deposit at 20% of every property i buy. I was speaking to my broker and he did suggest to borrow 90% and purchase another IP but doing the numbers i think it is better to stick to borrowing 80% for now and once i get the hang of it might make that decision to borrow more. My goal for the year is purchasing 3 IP that are positively geared with only borrowing of 80% of the value. :) End goal would be to be financially free, buy family home, travel with the family without worrying about expenses etc (20 years to achieve).
BTW. These forums have helped me with some research for the 2 property i’ve chosen as options so thanks everyone.
Thanks,JT

Great set of goals. Nothing wrong with 20% deposits but give your stated aims of 3 in year 1 you will need a really good income to save the next 2 deposits in a short space of time. So I can’t see how you will hit your goal unless you go to a 90% lend and preserve some cash. 2 IP’s now and saving 1 extra deposit is way easier than saving another 2 in a calendar yr. Perhaps if you are dead set on 20% deposits then re adjust the goal to 2 for the yr?

It would be worth talking to one of the good brokers here such as Corey or Jamie as they are wizards with setting it up for future purchases and possibly a good property savvy accountant if needed but FYI my first 3 IP’s I used LMI for, after that they say no anyway but you don’t need it when you have plenty of equity, so I rekon might as well use it a stretch that valuable cash as far as it can go (as well as preserving buffers for safety) in the early days especially if your income is good and you have no debt the risks are smaller. If you are spending everything you earn and have an expensive lifestyle, 12 children etc etc then please be cautious and don’t take any silly risks as the extra debt will hurt. If you are single and cashed up in low risk position I think that is the time to accelerate. Buffers provide the extra safety even in this situation.

Re the property – I would choose based on the potential short term gain either with or without reno, as in the next 2 yrs you are likely to want to draw the initial equity gain to buy more property. This will speed up your retirement plan. I don’t know much about the properties so can’t comment which is better other than that.

Congrats on where you are at! Good starting point for sure. You need a big picutre goal, one you really believe in, then you need a good strategy. Each property should fit into that and be purchased in the right order so your equity and cash flow position are as strong as possible. Some might involve value adding like renos, or development/building such as you have done or just buy and hold. Along the way I would get some some good accounting and loan advice before choosing the structure and debt levels on the new IP. Talk to a good broker at least, like some of the regulars on this forum who are great, or if you have one a good property accountant. Paying down the wrong loans and properties in the wrong order will impact your tax badly and slow you down.

In this case the loan set up may suit turning it into IP. Is it fixed interest only or fixed P+I? Either way there is not that much profit in selling so perhaps worth considering keeping it as you say. The infrastructure project development for your area sounds positive but FYI the growth rate of 15% was in 2013 not sure if there is evidence this is currently happening in the market right now. SQM has rising listings and vacancy rates for your area so I would expect a slower softer short term growth picture, not saying you should sell, just take a long term view. You have mentioned buying more and paying down debt. Both are good but at a certain point you will need to choose between putting your extra savings into deposits or into debt reduction. This can change from yr to yr but it is difficult on limited cashflow to do both simultaneously. All the best with it.

Igal wrote:

I agree, user experience is paramount. I lack the visual design skills to make the UI beautiful, but I try to keep it simple.
Domain and realestate.com.au are not willing to share their listings, so I’ll have to approach the agencies. I’m hoping that most agencies won’t mind sharing their listings.

You are on the right track but try and get someone who is skilled in design to help you, even if overseas via upwork or fiverr etc. Not surprised that the big ones won’t share but there are about 30 smaller ones that might, otherwise as you said you really need a systemised way for attracting the agencies. Best of luck!

• This reply was modified 8 years, 10 months ago by  BuyersAgent.

Steve McKnight wrote:

Many people find negotiation confronting and difficult, but here’s a tip to remember: be sure to ask for something you don’t want, so you can then concede it later on for something you do want.
Here’s an example, recently I made an offer for a house. The asking price was $350,000, and I offered $330,000 including all the furniture. I didn’t actually want the furniture, but later on I conceded the furniture if they would accept my price. If I hadn’t asked for the furniture then it would have left me little wriggle room on price.
You could ask for anything… the house to be painted, some repair done, longer settlement, owner finance. It doesn’t really matter because if you get it then it’s a bonus and you are only asking to toss something else back into the deal pot to make your ideal price and terms more achievable.
Cheers,
– Steve

Great food for thought @stevemcknight. Do you have a position on the benefits of this approach compared to a strong offer like a low cash offer or a faster settlement and bigger deposit. I was talking to someone today about a property purchased a solid 15% under market purely because there were no conditions and a really fast settlement. I oscillate between a range of approaches depending what each client of mine needs but it is fun to study the negotiation phase neutrally for possible changes I might make. I am wondering if in a flat market with less competition your strategy of many requests to give back later could work, but in a hot market it may mean getting disregarded by agents as “its just too hard”?