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Viewing 14 posts - 1 through 14 (of 14 total)
  • Profile photo of Michael and LorettaMichael and Loretta
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    @michael-and-loretta
    Join Date: 2008
    Post Count: 19
    January 8, 2011 - 11:01 pm

    Karlm,

    Further to my comments about photocopying the Balance sheets from 101, I have just seen that you can purchase a pad from the below site for US$5.00.

    http://www.richdad.com/Store/Catalog.aspx?ProdType=ProductMultiTileCatID&ProdValue=3

    Profile photo of Michael and LorettaMichael and Loretta
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    @michael-and-loretta
    Join Date: 2008
    Post Count: 19
    January 8, 2011 - 2:18 am

    Hi Karlm.

    We have both the 101 and 202. All we do is photocopy the pages and rarely use the originals from the pad. Easy done. :)

    We both play these games often and enjoy them very much. Can be up to two times a month.

    Loretta enjoys the 202 as it is very excitng as you can go bankrupt and get hit with heaps of additional expenses while I enjoy the 101 better as it is more in line to what I want to do in my investing.

    We also have trouble having people to play with as many of our frinds and family are not at all interested in investing. As we are are between Brisbane and the Gold Coast, it would be great to get together with like minded people.

    I enjoy both games using our own personal financial situation. We both get out of the rat race easily now.

    Yep next thing is to do it in real life. That is what we are trying to do and working with banks and brokers is a slow and tedious thing. :( Personally gets me frustrated when I know there are deals out there but cannot get the pre-approval I want from my current bank for increased equity as one example. 

    Karlm, enjoy the game and use your own financial situation to make it even more exciting.

    Regards.

    Michael

    Profile photo of Michael and LorettaMichael and Loretta
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    Post Count: 19
    November 17, 2010 - 5:28 am

    Hi Swampy,

    Just another idea that I use for when I look at my current IP to how I calculate the yield for a new IP. Some people disagree with my method and some people understand what I am saying   but still may not agree. lol. This is just how I do it – right or wrong – it is up to each individual to make that decision. ( I see my wife shaking her head as that is a fav saying of mine :)).

    Properties I have held for lenghy periods of times I calculate at the original price to what I am receiving in rent now. So from that investment, that is how much my "money" is earning. Yet with the increased equity from this, I have used to buy other property and a business. Eg Purchased unit 10 years ago as mortgagee in possession for $65,000 and was rented out for $120PW. Eighteen months ago I spent approx $10,000 to update the unit and rented it out at $250. Current rent is $255. So initially my return at $65,000 for $120PW rent was 9.6%. Now my current return is $65,000 plus $10,000 on updates totaling $75,000 at $255PW rent is 17.68%. The current value of the property 18 months ago after reno was $225,000. I am in the middle of another valuationt o see how much it has increased for us to move forward with another IP.

    ATM my wife and I are looking at purchasing another IP. So we look at the yield in the  asking price to the rent recieved. Again it has to be close to 10%.

    Hope this gives another slant to how to do these calculations.

    Have a great day

    Michael

    Profile photo of Michael and LorettaMichael and Loretta
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    June 24, 2010 - 3:42 am

    No we have not done the course yet, wisepearl, as TAFE QLD still did not get it up and going. I have recently searched on the TAFE site again and could not see any courses at all – only for shares.

    So we are looking for other alternatives where maybe you can meet with other like minded people for perhaps social drinks or dinner to share ideas, experiences and maybe even joint ventures..

    Profile photo of Michael and LorettaMichael and Loretta
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    April 6, 2010 - 4:44 am

    Thanks for your information, Richard and Terry.

    i just needed to obtain other opinions as a good friend of ours stated that when he was self-employed he found it very difficult to get finance compared to as an employee.

    I have noted oter comments you have expressed in this Forum and respect both of your viewpoints.

    M & L

    Profile photo of Michael and LorettaMichael and Loretta
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    January 20, 2009 - 11:44 pm

    Thanks, Linar & Michael for your input.

    I agree with Michael that there are seminars that are out to promote their own end…. been to some of them years ago.

    When I Rang Gold Coast TAFE about the course yesterday, the lady that I spoke to was very keen on the course heself as she has heard it was very good.  I have enclosed a brief summary of the course as supplied by TAFE for your viewing.

    Regards,

    M & L

    Property Investing Promgram (CNQ19)

    Over the 20 week course, our experienced team will lead you through the '9 Steps to Successful Property Investment' and give you valuable exposure to the practical aspects of the market that include:

    • Networking dinners with senior industry professionals and local property developers
    • Off campus field trips
    • Online access to relevant industry data (usually only available to real estate professionals).

    Program

    Topics :
    • Getting yourself ready to be a property investor
    • Setting your investment goals
    • Create your investment strategy
    • Buying and selling property:  'What's it all about?'
    • Investing in property:  the good, the bad and the ugly
    • Common building styles and faults:
                  – site visit to a renovators 'dream' property
                  – presentation from builder/building inspector
    • Analysing property as an investment
    • The importance of research:  know your market
    • Understanding how valuations work and how that impacts on your overall decision and investment strategy
    • The role of the Property Manager
    • How to finance your property
    • The tricks and traps of contract law
    • What you need to know about property law to protect yourself
    • The ins and outs of tax and how it affects you
    • Renovating for profit:  What to look for
    • Property development: Building for profit
    • Researching property trends:
                  – 1 day field trip
                  – top 20 areas to invest
                  – attending an auction.
    Career Prospects :

    This course is intended for those with a passion for property who want to turn that passion into profit, rather than those looking for a career or qualification. This course is not aimed at students who would like a career in the real estate sales industry.

    Delivery Method :

    The lecturers and guest speakers for this course are all experienced personal investors themselves. They bring a wealth of expertise to the program. Some of the lecturers include: Suzie Crawford, a successful property investor passionate about helping others to become the same; Emma Jeffries, a real estate agent and personal investor; Johanna Meerleveld, an architect and personal renovator. There are also real estate agents, mortgage brokers, property developers and valuers who are all passionate about property investment. This team gives you the opportunity to learn from practicing experts rather than by trial and error.

    Profile photo of Michael and LorettaMichael and Loretta
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    Post Count: 19
    April 3, 2008 - 6:08 am

    With the assets test for investment property,  the nett assets are taken into account – Value of the property less loan to purchase the property. For the income test if expenses are greater than income, it is assessed as nil. This is for Pensions and Allowances.

    Yet in saying that, for Family Tax Benefit (FTB), it is a different story. If real estate is negatively geared, whatever the loss is, this loss is added back on to your Taxable Assessed income. EG If your Taxable Income is $50,000 (which includes the negative geared loss of say $10,000), the $10,000 is added back on to be assessed as $60,000.

    I did work for this organistation for 22 years but have been pleased that I am now able to move on working in my own finance business with Loretta.

    Any other queries re Centrelink or similar, please just ask.

    Regards,

    Michael

    Profile photo of Michael and LorettaMichael and Loretta
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    April 2, 2008 - 4:26 am

    If you buy an IP and most of the value of the IP is in your loan, it will not affect you really for the assets test. The income test will be nil if the property is either positively geared & negatively geared tax wise or it is fully negative geared.

    If you wish to get further clarification talk to Centrelink's Financial Information Service (FIS) officer for more details as to how it will affect you. A good FIS officer should be objective about any investment and should have no alliance to different products such as shares and super.

    Good luck

    Michael

    Profile photo of Michael and LorettaMichael and Loretta
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    January 21, 2008 - 12:49 am

    Taking the above details we have been discussing though – knowing that these types of investments are "specialialised"- I have noted again that the nett return are still between 8 – 10%. Is it still worth considering these types of investments?

    Profile photo of Michael and LorettaMichael and Loretta
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    January 21, 2008 - 12:39 am

    Taking the above details we have been discussing though – knowing that these types of investments are "specialialised"- I have noted again that the nett return are still between 8 – 10%. Is it still worth considering these types of investments?

    Profile photo of Michael and LorettaMichael and Loretta
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    January 17, 2008 - 2:48 am

    Thanks for those details, Steve.

    There are some things I was not aware of – CoCR.

    Thank you for your input.   :)

    Michael and Loretta

    Profile photo of Michael and LorettaMichael and Loretta
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    January 16, 2008 - 9:41 am

    It does, Ross. thank you.   :)

    But it only then raises more questions.

    Which is the best to use then? What you invest in the property yourself or the whole value of the property?

    Also what do you mean by "cash return"?

    Thanks

    Michael and Loretta

    Profile photo of Michael and LorettaMichael and Loretta
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    January 15, 2008 - 10:59 am

    Wow!! Thanks for that, Trakka. We may need to do more research on this then  DEFINITELY!!!!

    Thank you for valuable information you have given us.   :)

    Profile photo of Michael and LorettaMichael and Loretta
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    January 15, 2008 - 7:08 am

    WOW!

    Is that correct that it is hard to borrow for these types of investments?    hmmmm Thanks for that, Trakka. I was looking at putting in about 20% of the cost.

Viewing 14 posts - 1 through 14 (of 14 total)