Forum Replies Created
I think you need a long settlement for you due dilligence, asbestos certificates, finance etc. Different rules apply for commercial finance so be warned. Many banks have trouble getting the commercial valuers, who will also want to see any leases.
Personally I’d go for 60 days with my due diligence cut off at 30 or so.
Start up a wealth club and sign up 1 platinum member for $20,000 and then give 4 hours af investment advice…whoops I forgot about ASIC regulations- make that 4 hours of education as that is not yet regulated.
PS see if the airlines have last minute cancellation- it may be cheaper.
Yes but expect to be hit by extra stamp duty from the OSR. Why not buy in a ratio of 99% & 1%- you don’t have to commit to this on the contract, only at the later time of the transfer forms
I’ve never been to one of their pricey intensive seminars but I have watched their entertaining hijinks with interest..
Personally I don’t believe in fronting up at the door of elderly owners ( a particularly vulnerable section of our society open to duress and pressure) and trying to pick up the house at a reduced price (as I saw on one ACA show) is a way I can do business but I am not that naive to believe it doesn’t happen every day.
I will confine my comments to two points.
1. Are these people registered with the BSA.? Are they covered by BSA insurance for defective work?
2. It seemed that rather than fix the ceiling on the subject property they just put in a lower frame, a few inches under the new one. The essence seems to be on covering up problems not fixing them. ( shortsheeting Galv roofs, airless spraygun makeover etc etc). I would like to see a show where they revisit the handiwork 3-4 yrs after and see how it has held up.
Personally I saw it all done better and cheaper by a self taught bloke called Luke in Ipswich in the mid 90’s. Now he was a character………….
Hi Terryw,
I was looking at it from a lawyer point of view- here in qld an installment contract allows the buyer some room to move if they default and also the buyer can caveat their interest. On a pure rental agreement it gets a bit harder for them to move. I gather that each wrap deal is different in nature and has to be looked at on an individual basis.I agree with your comments on Gunter’s case however
EEK!!!!!!!!!!!!!!!!
What did I unleash with my innocent post. A few conclusions that I have drawn are:
1. There seems to be a trend towards full disclosure of facts ( which was sorely missing in the Court case I referred to) to the wrappee.
2. Although no one discussed margins in percentage terms it seems that any margin is acceptable if there is full disclosure.Get solicitor certifications to remove doubt.
3. Wrapping as a term means different things to different people. Wrappee protection is offered by way of instalment contract in some cases. For others the wrappee will not appear on the title deed until the final payment is made.
I suppose to address the issue that bugs me about wrapping what happens when a wrappee defaults after 2 years paying an inflated rent of $250 per week when the market rent is actually $150 per week? Who keeps the $10400 extra which no doubt is described in the paperwork as rent? ( I think I’ve just answered my own question there). Do any wrappers offer refund/rebate/pro rata adjustments etc when the value of the property has substantially increased?
I did that once Hallway and the agent went and bought the property himself !!!!!!!!!!!!
Thank you for the replies and thanks PaulDobson for pointing me to the NSW solicitor’s site.
I agree that in this particular case it was easy for the Court to punish the wrapper. I am curious that if the buyers / wrapees were english speaking and fully informed and there was no church involvment would the Court still allow or disallow the wrapping?
How much mark up in a price is reasonable?
I’ve had a couple of clients come to me asking about watertight wrap agreements and are unhappy when I tell them that there is no such thing. From a risk managment p.o.v. I wonder if you can get insurance against the prospect of loss/forfeiture? Hmmm
Going to charge a commission but the property may be sold to her partner/investor mate? Read a book by Neil Jenman called “Don’t sign anything”
Run for cover
