I like that….red abysssss…
I agree with the message…caution required.
Abyss approaching and due..
Too much information overload from too many experts on interest rates, effect of interest rates, economic indicators, comaprisons with previous year, years, decade, global factors…

wrappack, what will your share analyser spit out with all…[Read more]

SP,
Who are you purchasing the lease from or through ???
If its an agent, trying directing yr queries to them,, surely they shoud know…what is being sold.
Is this leasehold on property, or a business..or….or..

KP

AusProp: what yield do you consider to be “good” for your Thornlie property ?ie what weekly rent would you expect ? (just curious)

Isn’t it funny how a suburb can change its status.
When I was in Perth, you would never consider buying in a place like Queens Park. You look on the map, and it looks ideally located, close to major arterial roads,…[Read more]

Yes I agree, I know it did happen….anyone with a toe in the market at the time would have known it was happening. And if you sold, then the money in the bank would have confirmed that it was real.

Terry: if this correction occurs in the next two yrs, what do you think will cause it, eg rising interest rates, distreessed property holder havinbg…[Read more]

Reason being, I’ve been considering building a new home and claiming the depreciation on a PAYG level to help make the new property close to + gearing –
Wayne,
CAn you clarify what you mean by claiming it on a PAYG level.?
For it ot be +ve geared your rent will have to cover the expenses (interest, rates, etc)
Will this be the case ? If so, then…[Read more]

Almost forgot….
Property been on the market 9 months ????
Exclusive Agency almost certainly has expired…. maybe you can go direct to the vendor, ensure he cancels the listing in writing, and then negotiate direct…more scope for price negotiation when there isn’t an agents fee involved. By the sounds he hasn’t been doing his job anyway if its…[Read more]

You’re entitled to see a copy of the returned offer…any decent law abiding agent wouldn’t withhold it from you. Just make your offer and play it out….nothing to lose. As mentioned earlier, the agent is obliged to present it to the vendor. And you are within your rights to request a copy of the returned document.

PS Sounds like its in…[Read more]

Hmmmm Sairah,
Where is the location of the apartments ? and are they new ?
Usually there is a reputable hotel/motel type management operator in place and on site (maybe 24 hrs?)and the place is run like a hotel/serviced apartment. Your rent guarantee (6.5% or 7.5% ?)typically has an escalation clause attached, (either fixed percentage or cpi) and…[Read more]

LifeX,
You don’t need a RE licence to do this.
You’re no different from any other investor controlling you own property.
But… how will your partner be protected in getting his share of the rent if it goes through your comapny first.(except by you goodwill and honesty ?) Seems the risk is on him from where I sit…

KP

Hi Leesa /Lizzy,
Well…..I am in the NW of WA, and most of the properties here are +ve geared (and plenty for sale )
I sold one end of last year for $260k with a rent of $500 pw on a 2 year lease.
There a plenty avail for sale between $200k – $250k. Rents around $350 to $400 pw.
In fact the town is a bit quiet compared to last year, but depending…[Read more]

Hey GAtsby,
A workmate of mine was just saying this morning that a QS will not touch his property as he has had it rented out for 4 yrs and did not get the survey done. According to him, they will only do one on a newly purchased (settled) property.
Something to do with an ATO crackdown. He thought maybe they were coming under pressure from the…[Read more]

Cheers Derek,
I suspect it is not that easy to get issued with a CP Licence.
I started doing FInance Broking 1 & 2 last year, and the FBSB kept moving the goalposts till in the end you had to do all the units towards the Certificate in Finance Broking before you could get a licence.
But I will contact MOFT to check out the requirements regarding…[Read more]

Hi Shane,
How difficult is it to get the Licence ? Do you have to complete the finance brokers course first ?
I too am in WA and have been asking the question regrding the legality of wrapping in WA. I was under the impression that it was not legal, here and in SA.
Any info on this matter ?
Cheers, KP

Hi Marisa,
Going through that very same problem now,…signed building contracts in Aug last year, and pads went down last Feb. and brick were delivered 2 weeks ago. Building is very SLOW at the moment, and the builder says that there will be an 18 delay if you sign up today…enough to send you broke…in holding cost if you are not careful.
But…[Read more]

Hi Derek,
What changes are happening to depn. rules after 1 Jul ?and are they retrospective for property owned/rented prior to this date?
I beleive you were in P Hedland in a previous life… I’m up north currently and trying to complete a duplex dev. in Perth at the mo.
It would be great if the bricks turned up !!!
Between holding costs (delays…[Read more]

Usually the case with regard to sheep or cattle stations. You buy the property leasehold, with a 50 or 99 yr in place. The crown or govt usually owns the land and is therefore the leaseholder. You can sell the lease as you would a freehold property, but a lease has a diminishing value, and reduces down to zero once the lease expires. When you say…[Read more]

Hmmmm,
Great article…but how realistic is it to buy a property for $40k and have it increase 100% in 12 months, and then go back a buy two more at $40k each ?
Surely if your $40k property has gone up to $80k then all similar properties would have done the same ?
Don’t get me wrong, I am not knocking what is being said, just querying the realism…[Read more]

Hello all,
Have noticed the mention of the 11 sec rule in a couple of threads.
Can someone explain what this rule is ?
Thanks, KP

Hi Neil,
The vendor is simply replacing the bank (by loaning money in exchange for monthly repayments and retaining possession of the title deeds as security till the loan is discharged )
Therefore I would think that the vendor has disposed of the asset as far as centrelink are concerned and stamp duty is due on exchange of contracts.
Cheers, KP

Hi Wayne,
Usually the demo company clear the block and rake it level as part of the deal, so that it is ready for the new building. All vegetation is also removed.Thats why its going to cost $6k plus. If you just want the house demolished and removed, then it is possible to get a quote from a salvage yard ofr the salvagable bits, or you can even…[Read more]