My thoughts wrt to The Investors Club are that they are not bad if you are new to investing and you don't really know what you are doing.  They have researchers who look for areas with potential capital growth potential that also have a reasonable yield.  Their research is pretty good.However (and this is a big however) always get independent a…[Read more]

Hi TammyI can't answer for the bank's about face but you are correct in that the Mortgage Broker has suggested a fraudulent method of getting a pre-sale.  Having said that, I know that it is a pretty common practice amongst developers.  If the bank only wants a signed contract as evidence of a pre-sale then you, for example could sign a contract t…[Read more]

Hi NatI would claim it on the insurance.  The insurance company will send an assessor around and will then tell you whether it was from a leak or from the window being left open.  If the assessor says it is not from a leak then get the tenants to pay for it.Easy done!CheersK

Hi MichaelPM me the details.  I might be interested.CheersK

Hi SoloinvestorIf you sell it full stop you will have to pay CGT.  It doesn't matter whether you sell it to your trust or to your mother or to a stranger.  Even if you sell it for less than it is worth the ATO will make you pay CGT on the market value.Just buy future properties in your trust so that when you sell them you can distribute t…[Read more]

Unfortunately, investment properties incur CGT when you sell them.  There's nothing you can do about that.  A capital gains bill of $120,000 suggests to me that you had a very healthy gain that wasn't subject to tax.However, given the size of the tax bill and your unhappiness with your accountant I suggest that you should go and see another a…[Read more]

Yep.  Real problems with naming RE Agents who are "down right hopeless, unprofessional and unethical".  In fact, not only can you not name them, you can't even only provide enough information to identify them, eg, mining town, north Queensland, approx 20,000 people, pink and red colour scheme on their brand name (the town is Mt Isa but the rest i…[Read more]

That is true, but if you aren't any good at budgeting (and we weren't) then it was by far the best way to save.  We would have missed out on claiming a very small amount of interest as a tax deduction (had it been an IP and not a PPOR) but when it came time to have the place revalued and refinanced, we had a lot more equity to use.  Mind you, t…[Read more]

Hi AimeeIt depends how disciplined you are.  A 100% offset account is fantastic if you are financially disciplined but disastrous if you are not.  My husband and I were not disciplined and the offset account was of no benefit to us.  The best way for us to save money initially was through enforced saving, that is, to pay money straight out of our…[Read more]

Bad luck for anyone who entered long on 15th Jan.CheersK

I have just sold a property in Darwin for $200,000 with a current rental return of $260pw.  The place hasn't been painted for years, the furniture is old and crappy and there is scope to put up a gyprock wall to separate the bedroom from the main room bringing the rent up to at least $300pw in line with other units in the apartment.There are…[Read more]

I agree with MackarI would never even consider negotiating with a purchaser who wasn't even serious enough to put their offer in writing.  Once I have received a written offer I consider the potential purchaser a serious purchaser.  I will then negotiate with that person.  If I was to negotiate with every purchaser who even made a verbal offer th…[Read more]

Hi JamesYou need to work out whether you want to buy the property or not.  If you are looking for an excuse to get out of the contract then the unauthorised amendment would be a good excuse.  If, however, you still want to proceed with the purchase then you should do just that, regardless of the RE Agent's activities.  Don't try to second guess th…[Read more]

It all depends on the wording of the contract.  Let me know the EXACT wording and I'll let you know my thoughts.   I say that with the usual disclaimer that it is not intended to be taken as legal advice and that independent legal advice should be sought.Also, when was the RE Agent advised orally that finance was not approved?  Why was the ban…[Read more]

The seller can only keep the deposit once the contract becomes unconditional and the seller then defaults.  In this case I presume that the only special condition was that the contract was subject to finance being approved by date … at time …  When that time passed the contract became unconditional and the seller then defaulted.  If the se…[Read more]

WowI read this thread looking for opinions on the actual question Phil asked and holy mackarel, my head hurts just from looking at the graphs without any attempt whatsoever to understand them.At the risk of being a party pooper I'm going to give my thoughts to Phil on the question he originally asked: "Is property investing all it's cracked up to…[Read more]

Hey JamesHe has not only breached his obligations under the relevant RE Agent Code of conduct but he has also committed a criminal act of fraud.  Report him.CheersK

Hi ajmartinI use Specialised Business Solutions in Brisbane.  They are both accountants and financial advisers although I only use them as accountants.  They are absolutely fantastic and have set up structures for us that have pretty much pre-empted our business decisions.  Their number is 07 3221 1100 (know it off by heart) and I can't re…[Read more]

I use Conair all the time up in Darwin and have had no real problems with them.  My air con guy up there says that the cheaper imports break down all the time.  Conair is the cheapest brand that my air con guy will install.  They cost about $500 and then another $500 to install.If the cheaper units break down and are under warranty the company HA…[Read more]

You can also charge penalty interest for the late settlement.  The amount of interest you can charge will be in the standard contract.Speak to your conveyancer.CheersK