Hey crashy, glad to see you’re still around (like your course too so far!!)

Would you not be better off, and certainly positively geared if you ‘build’ the bottom unit, and rent them both out? I have a place at the moment that has an upstairs and a downstairs two bed unit, and they do really well – much better than what a single house of same purchase price returns.

As to how easy it is to strata and sell off, I think it depends on your council. It may not be possible depending on their rules.

Cheers
Mel

Hi Jarvis

You might find that your borrowing capacity at the moment could be substantial! I suggest finding one of the mortgage brokers on this site, and dropping them an email. I think Melanie is in Brisbane, so would be probably the closest if you wanted a face to face meeting.

Cheers
Mel

Hi C2

The ato does not care what the security is – you could borrow against your stamp collection if somebody would lend to you.

The interest is only tax deductible when the purpose is investing. The only thing to be aware of when borrowing against your PPOR is that if there is any other debt at all – KEEP THEM SEPARATE. This will save a whole lot of hassles later on – accounting wise, and taxation wise.

Cheers
Mel

Hey C2, there has been a thread posted on the acronym topic, I think it may have been in the Forum Fun. If I can find it I will post the link.

Cheers
Mel

Found it, but it’s more about chat abbreviations than any property ones. Oh well, I’ll post it anyway

https://www.propertyinvesting.com/forum/topic.asp?TOPIC_ID=4903

Yes Poltergeist you are correct. If you had read my stax of stats post though, you would have seen that I have no kids, and I think I said one nephew. And it’s the ‘doting parents’ who are sitting with Cameron, smiling down.

Westan, I think one of my loans is fixed at 5.67% or something like that possibley for three years.

I’m currently looking at moving four of my properties away from a mortgage originator to one of the big banks – and getting 80% lend on value. I’m looking at either a professional package with one of them, (esp for the .5-.7% discount) or the best interest rate I can get, which may involve fixing the rates, cos these places are long term holds, and the extra cash I pull out will go into a LOC.

I did have one other loan on a fixed rate, but of course that was the property I sold most recently[].

A ‘quick and dirty’ calculation based on the .25% rise showed that on our combined loans, that’s an extra $8K per year!! So the next .5% will be another $16K. That’s a lot of rent to have to raise!

So yes, I do agree with your other post about fixing some rates, but they would have to be less than 7% fixed or I won’t go near them, and I’m unsure as to the length I wish to fix.

Shaun, where are you? 152 reads, but no response from you!!

Cheers
Mel

Hi Jmskim

I would suggest you do a bit of reading (in the States there seem to be millions of books on how to buy property), and perhaps attend a course or two (john burley, robert kiyosaki, robert allen are a couple who spring to ming).

Also talk to some accountants (www.sageintl.com) regarding how best to be structured. With the number of lawsuits in your country, I would suggest that you could be a target, not only as a physician, but just because you will be seen to have money, and I’ve seen that one of the easiest ways to become a millionaire in your country is to sue someone who has a couple of million.

Congratulations on graduating, and good luck with your career. I’m sure that one of your major debts is now your school loan, so maybe look to pay that off as soon as you can.

Cheers
Mel

Hey Bill, I know that the first two are both correct, and would hazard a guess that the third one may well be.

I think bigpond only want x number of users per domain, and so issue out the next one when the current is ‘full’

Cheers
Mel

Thanks Terry

I’m wondering why that didn’t make the news? Although I suppose we still have a war to cover, and the Rugby.

Any bets on how long it will take for legislation to be introduced outlawing this practice?

Cheers
Mel

Muppet, I thought your cricketers were called the Black Caps (?). You are talking about them beating India for a chance to play Australia in the finals aren’t you?[]

Oh, I think you might mean the Rugby team.[]

It’s not my fault, it was like that when I got here!

Hey Phil, 94 reads, and still no sign of Shaun!![^]

Cheers
Mel

Jake, self doubt is understandable. Check out the posts by fudge on his strategy – he’s only a young fella too (bit older than you, but still a ‘baby'[] – now please you youngsters, don’t take offence, it’s a joke!).

Also check out still_in_school (I think he means Uni/Tafe, so again older than you) but he’s managed to acquire 11 Properties this year, while working part time and studying.

The world is your oyster. If you are serious about succeeding you will. If you listen to everybody else around you who’ll tell you you are too young (which you probably are just now, but if you work out your plan and aim towards that, you’ll be better off than 99% of your mates who just spend all their money), then re read what some of the young guys on here are doing.

Cheers
Mel