If the bank valuation is low and you still want the deal, why not approach the vendor and see if he/she will give you an extension on settlement to enable you to source finance through another bank.A low bank valuation would be enough for me to grant an extension if I were the vendor.CheersK

I am currently in the process of trying to get a development loan.  My mortgage broker is fantastic and has always come through for me in the past.But none of the lenders want to touch me.  I am a full time property developer with my company making well over $100,000 in its second year of operation.  My husband and I have about 1.5 mill in eq…[Read more]

If the tenant has a pet in the property in breach of their lease then the lease can be terminated.  Yes, if the tenant is difficult and wants to take you to the tribunal then it may be a long and drawn out process.  But if the tenant is keen to stay then it would be fairly easy for your PM to let them know that you want the old lease terminated a…[Read more]

If there is a clause in the contract to the effect that the building must be in substantially the same condition as the day you signed the contract, then you have a way out of the contract.  In most states in Australia, the risk lies with the purchaser once the contracts have been signed.  As soon as I sign a contract to buy a place I ALWAYS get i…[Read more]

You could put a clause in the contract to that effect but I doubt that anyone would sign it.  What if the purchaser has a bona fide reason that they need to sell it?The REA has a duty to you, as vendor, to get you the best price possible.  If the agent purchases it undervalued (and the price is based on the price he has recommended) and he then i…[Read more]

One of the most insightful comments I have heard with regard to property investing was to the effect of "no matter how much you pay for a property now, in 10 years time you will think that it was a bargain because it will then be worth twice as much".I think that now is the right time to buy.  Prices WILL go up in the long term.  Who knows what t…[Read more]

You'd think they would …With the delayed settlement when we had the money already committed elsewhere, the bank (actually it was a subsidiary of one of the big banks) delayed for about two weeks.  I eventually went into the big bank to complain.  They couldn't work out why the subsidiary was not able to settle so the bank manager of the big b…[Read more]

I have been in this situation in the NT as a vendor.  My bank wasn't able to settle until about 10 days after the agreed settlement date.  It was extremely frustrating for me because I already had the money committed somewhere else.  So as slack as the vendor may seem to you, they may be just as frustrated as you are.  Some banks have a lot of dif…[Read more]

Hi TuggerwaughI have a stack of properties in the NT.  I don't use an accountant there but I can highly recommend a mortgage broker, Sam Crowley from Able Finance.  His number is 08 8981 9188.I now live in Adelaide and I used a mortgage broker here who was hopeless.  Now I am back to using Sam for everything I do, whether or not it is in the NT…[Read more]

Crashy"dont take this as negativity…………just realism"It's not just realism.  It's negativity. Jason and Flic have done a fantastic job and the results were better than they expected.  They budgeted to make a profit (albeit small) and they made a very reasonable profit.  It was their first reno.  Their posting of their progress on this for…[Read more]

Hi MadpropertyWhat is your basis for thinking that the property is $60,000 overvalued?I would just make an offer around where I think it is worth and tell the real estate agent why I think it is only worth that much.  If you are right and the asking price is too much, chances are the real estate agent knows that and the vendor is just asking too…[Read more]

Hi again FionaI just reread my post and it sounded very harsh.  It is certainly not meant to be.  I spent a couple of years in the NT and worked through exactly this issue with some friends.  Your partner does not have to be your married partner or even de facto at the time you sign the documents.  They just have to be considered by people who kno…[Read more]

Hi FionaRegardless of whether the loan is in your name or not, you are not eligible for the FHOG or the stamp duty concession.  Neither of these concessions are available in the NT (and probably all of Australia) if EITHER you or your partner has ever owned their own home before, regardless of whether the FHOG was used.  To state anything else o…[Read more]

Hi beaniemonsterThat is one of the problems with investing in a small town.  We had the same problem when we invested in Mt Isa.  There were only two property managers in town and the one we were with was terrible.  I didn't want to complain and leave in case the other one was worse.  In the end I just sold the property about 2 years ago.  I coul…[Read more]

My understanding is that banks don't like them very much and either will not lend against them or will only give a low LVR of 50 – 60%.  Mortgage brokers, feel free to correct me if I am wrong.CheersK

Hi RichardIt looks like you have had some excellent advice in this posting but I thought I would throw in my two cents' worth.Take all the information you have heard and strip it back to basics.  1. Do you want to buy +cashflow or -cashflow?  +cashflow will put money in your pocket (apart from the inital outlay) but are not so easy to find these d…[Read more]

Hi BronteThis is going to sound glib but you should speak to an accountant about this.From what you have said a company sounds pretty good (easy to draw a wage) but is not cheap to set up and there will be ongoing costs like tax returns, PAYG etc.Consider it a business, which is what it will be, and get good advice before you start out.  If you…[Read more]

Hi LA AussieJust did a search on the forum and found the "history".  Fair comment to you …Rowester.  If there is a will, there is a way.  I have done it relatively tough over the last three years including: – renovating with a 5 month old baby – in Darwin – with no airconditioning – during the wet season- working fulltime to set up deals whe…[Read more]

I thought crashy's response was entirely appropriate.  Rowester can't claim the property as his PPOR until the date he settles on it.  It is illegal for him to claim FHOG on a property that isn't his.Rowester, if you are serious about getting into property investment and this is the only way you can afford it, then consider getting a quick s…[Read more]

Hey BennyKI will preface my answers by saying that these are just my opinions and experience but you should get independent legal/financial advice.Having gotten that out the way, my understanding is that you can't avoid CGT by either gifting or donating the property (although I like your lateral thinking).If I were you I would just start putting…[Read more]