Forum Replies Created
Just a question…
Who pays for the contract written by the solicitor…the wrapee or you ??Thanks…KP
Which book redwing?
Do you mean trust magic…or is ther anothe one?KP
Hi Y
How far North??
I’m North..and lookingKP
It is usually a requirement for the council to require the developer to seek neighbours comments and / or consent before council will approve plans.
Especially with regard to walls and windows along boundry lines.
It is important that you phone or better still, go to the planning dept. in you council office, and query them as to your rights to object to the aspects of the development that are upsetting you, or affecting your property.KP
Wow Misty…So many questions !!!!
I would think that if you have a full time job, that is your primary occupation.
If you buy investment property, build houses, subdivide land, or whatever, thats all incidental.
Whether you structure these activities via a company or a trust, that again is only to get the best asset protection and tax relief from structuring.All within your rights..
Are you concerned that the ATO will come knocking on yr door and declare you a developer, or an investor ? There are no penalties for engaging in these activities….
I think its the other way around, ie.. you declare to them that you are a developer, or a full time property investor for some taxation benefit, and they will come to you asking you to substantiate the claim..
If you are going to turn over more that $50k in cashflow, and do many developments, then sure, register for the GST. If its only a couple a year, I would say don’t bother. Many investors do this now without consequence.
As far as using a company or your individual name, it all depends on the taxation implication.
Probably preferable to structure your property investing via a structure as recommended on this forum.
If you are developing property, then you are by definition, a developer. You don’t need to register as one, or call yourslf one,and it doesn’t have to be your only occupation.
Finally, if your activities put you in the position of the possibility of being sued, then more likely its better to not go in your individual name…Cheers….KP
Slightly different strategy, build and sell. (build 2, sell 1 keep 1) take a profit, leverage it into some more property. Keeps debt level more managable.
Only my opinion…but seems to work so far..KP
Looks like my accountant let me down….
Built two units last year completed in April. took 10 months to complete. Rented one in May to Jun (end FY) and accountant only claimed propotion of interest for the period of rental income. When I queried this, I was told that the balance of the interest gets carried forward as a capital cost, which can be offset against the gain when I sell the property !!!
From what is being said on this thread, I’ve been misinformed by the accountant?KP
OOPS !!(Don’t know what happened .in the prev reply..)Looks like my accountant let me down….
KPBuilt two units last year completed in April. took 10 months to complete. Rented one in May to Jun (end FY) and accountant only claimed propotion of interest for the period of rental income. When I queried this, I was told that the balance of the interest gets carried forward as a capital cost, which can be offset against the gain when I sell the property !!!
From what is being said on this thread, I’ve been misinformed by the account?Hi Hotrod,
Any clues about areas outside Perth that give you +cf ??
Are you talking about regionals such as Gtn. and up North ?
Are they so +cf that interest rate rises will not turn them -cf…I am curiousKP
Don’t know about buying, but I’m selling…..
Hmmmmm…
I am in Karratha and I’ve been to Broome.
Personally can’t see what the attraction is with Broome. Must be something I’ve overlooked coz Qantas and Virgin blue run direct flights from Melb, Sydney etc. to Broome.
Maybe its the “thaw out” factor with Melbourne visitors.
To me its like the Gold Coast, OK to visit but seriously overrated.
But Broome ppl wouldn’t live anywhere else…
Lord McAlpine transformed Broome a few decades ago, with his vision and investing huge capital in the town, but he has since sold out of the place. His opinion was that Broome should have been colonised before Perth and been the capital of WA. He gave various reasons for this…Karratha ??well, rents are very high, costs are very high, properties show a good yield, with low vacancy rates. There are some passive investment properties where the tenant is the Govt. (GEHA) or the Defence Housing which offer long term leases (5 to 10 yrs) and may include the tenant paying for maintenance items and maybe even rates and taxes..but in my opinion, this is built into the asking price ($300 to 400k)
Unless you have a good PM or are familiar with the location, all I see is RISK investing this way…KPHi melbar,
How on earth do you manage to have a taxable “income” of – 107k ?
Is this from capital losses, or is this neg. income…
As the great Pauline said……..please explain..KP
Its chinese…..Malaysia is populated by malays who are muslims, who are not allowd to drink alcohol,,,hence they have no cheers….
I’m kidding…they do drink but thy’re not supposed to
But it is chinese (yam seng)…KP
Marisa,
Seeing as you no longer want to purchase the property, how about passing the address onto someone else who might consider it.
Sometimes more than one offer at $50k is the wake up call the agent needs that MAYBE thats where the property is, pricewise…its only worth what a willing buyer and willing seller agree to transact at….regardless of sales evidence, current market,,blah,blah.Especially after 9 months !!!
Unless the vendor is difficult, or stubborn and simply not negotiable…
As far as him being rude, that is simply not tolerable, agents have a code of ethics and conduct to abide by, and this clearly seems to have overlooked by this one.
A quick complaint to REIWA or REBA is whats required..KP
Hmmm, can you just post the answer ? I would like to know as well…
KP
Thats an oxymoron Property9,
Good area + good yield ?
Its one or the other I believe(for Perth)…and the feedback I have been getting is that yields are pretty average across the board …especially in the Perth metro area..thats why they’re all flocking to regional areas chasing the good yield.
I had a Sydney investor who moved to Perth all cashed up (semi retired) looking to buy property. According to him, he looked from Yanchep to Bunbury and came to the conclusion that the return was not there, and the “to let” columns were too long in the papers.
He was contacting me regarding a property I had for sale in a regional mining town, showing a gross yield of 10%. He wanted to jump on a plane and come up to see it, commenting that he wanted to buy two at that price. Unfortunately for him it sold.
The word out there is that the boom is over, moderate growth for the next few years, and interest rates on the way up. Doesn’t sound like prospects for good growth or good yields…KP
Most are already on a strata title, but I think calvin is describing on in the country (regional area) and it is quite possible that it is on a single title. ie buy the pair or not at all.
Advantage for him is that he can strata title it and reap the benefit of having two.
But all a moot point till he can confirm the title statusWaiting calvin ……………
KP
Me the same. Paint the interior: $500 for cost of paint or get a painter in for $2500.
Apart from phone calls at STD rates, you’re also up against average to poor property managers who don’t seem to care…why should they ?
The pos geaing will turn negative with interest rate rises, because rents will not keep up.
These area and their tenants are blue collar or unskilled workers or even unemployed persons, without capacity to pay increasing rents, so they move …
Socially it will cause havoc..Then the investor gets so pissed off and the property goes back on the market….circle complete..
KP
There is a considerable cost difference between the strata title process and a green title subdivision, not to mention extra delays to get the title through (typically 3 months for the green title vs 6 wks for a strata title)
The green title subdivision needs to go to through the Planning Dept. for approval whereas a strata title can be approved by the relevant shire council.
Also, there is minimal if any, sales price difference between the two, with most new strata developments having no common property and no strata levies.
Usually all they share is a commom sewer main..KP
Doesn’t the FHOG only apply to your first purchase provided it is a PPOR ??
What I mean is, if you purchase an IP first, then you are not entitled to claim the FHOG for a subsequent property even if you intend to live in it.KP
