lifexperience, I’m wondering how it is that your company can keep the rent? If all they are doing is ‘collecting’ it for you, then any that they keep must surely be their ‘management fee’ which wouldn’t be allowed to be excessive?

Cheers
Mel

imooney, welcome to the forum, and congrats on your purchase.

If I were you, while ever you had a PPOR debt, I would keep the IP as interest only. Put all extra money towards the PPOR debt, and you can then reborrow it as a tax deductible loan to purchase further IPs.

You just renegotiate with your bank when the term is up, or refinance…[Read more]

As Celivia said, I would first find some clothes. []

2. I would make sure that my puppy dog was ok – and the rest of the family’s puppies too, and make sure they had food.
3. I would find a place to ‘set up tent’ or a friend’s lounge/floor to crash on. Or maybe move rural to a ‘cheap’ house.
4. I would go and ask Macca’s for a job []
5. I would…[Read more]

This used to be a really cool site, with heaps and heaps of info. I think that’s where I originally got the link for this site from.

Don’t know what happened to it. The guy that ran the site used to post here too last year.

Cheers
Mel

In answer to SIS’s original question – I am so a negative gearer it’s not funny!!! In fact, it’s not funny cos it’s cost me quite a bit over the years!

However, I would not buy a house with less than a 6.5% rental return. This used to mean that at least the rent covered the interest. Not quite anymore though.

At present, my portfolio (3…[Read more]

Desk Top, when Simon was talking about the 65%, he was suggesting that the bank would take both properties as security – your current $240K one, PLUS your new $240K one, and will happily lend you up to 65% of the total value of $480K. This would cover purchase price plus costs, and perhaps give some ‘sleep at night’ money.

OPM is simply Other…[Read more]

Mini, when/if you talk to that valuer again, ask him which bank they would provide the ‘highest’ valuation for, and check out their terms – you may get a good deal from that bank for a loan, and if you get more than the other banks will lend – well, laughing….

Cheers
Mel

matthew

ok, so in my scenario above, i’ve told the bank i earn $100K so they will give me the loan. My taxable income is $10K after all depreciation deductions etc. etc. It’s fair dinkum, and the taxman accepts that I’m not lying to him.

Then what? I hardly think they will be the ones who will charge me with fraud for telling the bank a…[Read more]

Hallo skozak, and welcome

I would count all fees/costs that I paid out of my own pocket when calculating CoCR.

Cheers
Mel

I don’t think I have ever had Landlord’s Insurance (scratch head while thinking[confused2])

I keep thinking about doing it, but I guess the time I might really think about it is when a tenant trashes the place, or skips town.

As for Public Liability, that’s included in the contents cover I take out for all properties.

Cheers
Mel

Luke, you’ve done well.

If you have the positives cancelling out the negative, that means any extra you were funding yourself you could put towards the next property.

If there is no growth in the positives, you will be relying on savings, and the growth of the negative to provide the equity for the next purchase, but it depends if there is any…[Read more]

PK, that sure is some incentive not to sack your PM!!!![]

We recently sacked ours, and unbeknown to me, they charged us a 2 week ‘termination fee’, but only could charge it for fixed term leases. We also had to give them 90 days notice. Both of these conditions are different to the REIACT ‘recommended’ conditions, which say 30 days, and no…[Read more]

Hi mustang

Residex can be useful to give past sales history, however, I think the sales might be a couple of months old.

I think real estate agents subscribe to some of these services, so you may well be able to ask some of them to provide you with the same info? Doesn’t hurt to ask anyway…

Cheers
Mel

Craig, go for it!

Cheers
Mel

James, so why do we have leases at all?

Leases cannot be broken so easily here in Canberra – not without a very good reason, ie landlord has not performed required repairs (critical) etc.

Other than that, the lease is binding, but can be broken if existing tenant pays advertising and letting fees for agent to find a new tenant.

Cheers
Mel

Hi dreamergirl

sorry, haven’t been in this forum for a while. Yep, you can claim the stamp duty if you rent it for 6 months, then live in it.

Possibly could claim the FHOG, but I don’t know about that as I have never been eligible, so don’t really know the rules too well.

Cheers
Mel

I didn’t think that they were automatically entitled to half the assets that pre existed the co habiting, rather that any assets/growth achieved during the period of living together is fair game. I think it can also be looked on as who put the money/effort in to gain these assets.

I would ask the question of a solicitor perhaps.

Cheers
Mel

HHH,

If you are planning on ever making your current PPOR into an IP, then you (in my opinion!) are much better off having an offset account. this way, if you move out (to a new PPOR), you can take all the money in the offset account and use it to purchase the new PPOR. The entire loan taken out for previous house then becomes deductible…[Read more]

Hey Julie

A good (fun) way to get the kids involved would be to see if you can get hold of the Kiyosaki game Cashflow 101 (board game or on computer) and play that with them. It’s ‘low stress’ learning.

Cheers
Mel

George/Chan$, it used to be an ebook only – which came to your email address.

I believe as George said it has been updated, and now instead of printing off the templates to use, you photocopy them – and you get the two CDs.

Hey George, what’s on the CD’s? I’ve got the old ebook version, and wondering if I should ‘upgrade’ to get the CDs?

Cheers
Mel