Thanks Richard, appreciate the input. That is really great news then, I am actually increasing my borrowing capacity with every wrap I do. I have tried 2 lenders, after checking with their head office,  one said yes, so I placed a deposit on the property, then they later said no they couldn't after all. After a lot of discussion they have said…[Read more]

Hi Eric,Purchase 1999 for $135k, positively geared, sold 2005 for $235k. Worth a similar amount now as it was in 2005.Cheers,Matt

Hi Eric,I bought my first investment property at 23 in 1999.Cheers,Matt

Thanks Eric,At the moment in Australia the house price to household income ratio is very poor. If I earn $80k today and stretch to get into a $500k home now, who is going to buy it off me in 7-10 years for $1 million, and what will they be earning for the equivalent job? In 7-10 years after that, who will buy it off them for $2 million and what…[Read more]

I attended Eric's seminar at the weekend in Melbourne and just placed a deposit on a property that one of his agents is selling on behalf of his company. I have set up a wrap deal on the property, where I have already got the eventual purchaser lined up and they have been able to select their own personalised inclusions in the house and land…[Read more]

Who is offering this product Richard?

My inclination would be to go with the one that has the cheaper fixed rate. A fixed rate is exactly that, fixed. The margins on variable loans could vary significantly during the current credit crisis, especially if it gets much worse. Also if at some point in the future you desperately had to get out of the fixed portion of the loan, the break…[Read more]

Its only cashflow positive if the net payments are lower than net cashflow. You need to include strata costs in the equation.

Hi Steve,I just found this post.Where is the free information you were planning to provide on wraps? Have you posted it somewhere?Thanks,Matt

From what I have read, they will lose their rental assistance if they buy a home. Something that they need to be aware of. I wouldnt see that as interfering, simply advising them of the facts.

I'm just looking into the Carr government land tax in 2004. It's very interesting to note that the doubling of Sydney house prices from 1987-89 coincides with negative gearing against any income being reinstated in 1987.Its quite scary to think that every major movement in price growth (and losses) of Sydney houses can be clearly linked to…[Read more]

Thanks for your response Steve, much appreciated.I am planning to take advantage of the current conditions. Working for a bank in a well paid job, I have access to credit that others don't, and at preferential interest rates. I see fantastic opportunities given my current situation and the overall environment, especially with large first home…[Read more]

Last shot, anyone else have a copy they wish to sell, otherwise I will wait for Terry to arrive back from overseas.Thanks,Matt

Hi Toree,I would recommend discussing this with Richard. I have always been impressed with his contributions on the forum and he seems very knowledgable.Richard, my comment on being able to do much better deals than any others I have seen out there was not in comparison with banks, but from observation of what other vendor financers have said the…[Read more]

Hi Toree,I am currently working through vendor finance deals myself. Stamp duty is a killer, (not for you as a first home owner, but for your friend who would need to buy the property for you first). Here in Sydney a $450k property would have approx $18k stamp duty. Your friend would need to add that to the property price they pass on to you, plus…[Read more]

My suggestion would be to keep an eye on the market, if you find a fantastic opportunity, grab it, otherwise wait till there is less competition. You may want to look at ways to buy property that no-one else will realise is on the market. Anything that is reasonably priced on domain or realestate dot com you will have significant competition for,…[Read more]

I'm a tenant and am getting sick of the agency trying to lock me into a new 6 month term. I feel I already served my time in the original 12 month lease, I have had a rent increase, but won't agree to any additional time locked in. If they insist I will look at moving from the property.

At least you found out before you bought it.

Assuming that the FHBG additions arent continued in June, prices will definitely be much cheaper at the lower end of the market, simply due to reduced demand. This probably wont be realised by sellers till Aug/Sept though and won't start to appear in statistics till Oct / Nov. The cost reductions will more than outweigh the FHBG benefits, unless…[Read more]

I recently went to bid at an auction for a property which needed a total renovation, hadnt been touched since built 40-50 years ago. It was a deceased estate and I was expecting it to sell for a price that would have allowed the 50k renovation required and a profit margin for the time and effort, as well as the time it couldnt be lived in while…[Read more]