Forum Replies Created
Hi Pete,
Sorry, I have been away with work for the last few months and haven't had the time to keep up to date with what's happening on the site but at this time I can make it for the meeting.
I don't know if you got the contact details of the other members whom expressed an interest from my post on the topic.
Cheers,
Hi All,
Haven’t thought of a venue as yet. Just wanted to find out first, if there was any interest, which of course there is.
Some where nice goes without saying. Some suggestions would be great. Maybe the Quarry at Salamanca or IXL Henry Jones hotel (The long bar) or if you know of any pubs with good counter meals.
Cheers. [smiling]
Originally posted by Pete&Jackie:
Let me know how it all goes.
Cheers
Mk2r [exhappy]Hey All,
That’s great. We may even be able to organize something before Christmas.
Talk soon. [thumbsupanim]
I am currently living in Rockingham in the Anchorage Estate, and in my opinion the market on the Rocky foreshore is over heated.
For the money you’ll spend down there, you would be better off buying the same closer to the city.
My recommendations are buying anything around the $230,000-$280,000 mark in the surronding streets of this estate (The Anchorage Estate). It’s beach side of Read St which is the better side to buy on. Render and do up the properties for a good captial gain.
Also, trying looking at http://www.rdo.wa.gov.au
Here you will find the 3 options for the Cape Peron Redevelopment plan due to start in 5yrs time ( A very exciting development, if it gets the go ahead).
And stage 2 of the Rockingham Waterfront village development plan (Flinders Lane,Kent, Wanliss Streets), which is the next block up from the waterfront and behind the big appartments being built.
Rockingham infrastructure is continuing to grow.
Areas of Cooloongup and Leda are still showing low prices even though there near the new rail network.
Rare but still around are good priced house and land packages in Goldern Bay,Singleton and Madora Bay (Half way between Rockingham and Mandurah.
Hope this info helps someone.[smiling]
G’Day Cama,
Give Cairns a try. I bought a $83,000 1 bedder unit up there in Nov’04 and now getting $160p/w rent. Even though I bought it in November, there are still good deals to be done.
But make sure your able to gain finance for a property under 50m2.
Regards,
Mk2r [smiling]
Hi Eyesclosed.
My opinion is, it really depends on your situation.
Even though I agree with Steve’s philosophy, it’s becoming harder and harder to find properties meeting the 11 second rule but they are still out there.
I believe in a balance of both.
If your young enough and have a good secure salary, why not go for negative geared to start off with then go positive cash flow for your 2nd or 3rd property.
For every negative geared property, you should look at getting 2/3 positive cash flow properties to balance it out.
You’ll then gain the benefits of capital growth (provided you purchased in a good area/location) from the negative geared property and good returns from the postive cash flow property.
Regards,
Mk2r[smiling]
Hey guy’s,
I don’t know where each of you have been looking but it’s not the same place as I. I have had a lot of success in Cairns in the last 6 months.
For example.
Nov 04
$83,000 one bedder,full furnished
currently rented @ $150 p/wJan 05
$85,000 one bedder,fully furnished
currently rented @ $140 p/wAnd I am currently settling on two others at the moment,
$94,000 one bedder,expected rent $170 p/w after spending another $10,000 on repaint,new carpet and fittings, bathroom and furniture.
$93,000 one bedder,fully furnished expected rent $145 p/w.
All of which were built after Jul 85
Not meeting the 11 second rule but not far from. Give it a couple of years
By the way, I just moved from Cairns after living there for 16 months.
Regards,
Guy[biggrin]
Zentrader,
At the top end of the market this maybe true. At the moment Cairns is being flooded with new apartments due for completion in about 6-12months time. But buying in at the bottom end of the market should be ok. Figures releasted about 1 month ago perdict growth in Cairns in the next 20 years to be better than S/E Qld.
Will be interesting how it all turns out.
Guy.[smiling]
Hi Free
If your thinking of employing the services of a Property Manager to look after your property, they should inspect the property, let you know what the likely weekly rent will be for the area taking into account the physical aptitudes of the property and the current market and what you would need to do to improve the property to gain more rent (eg. paint job, new carpets, install an a/c unit etc etc).
Yes, real estate.com.au will also give you an idea. But make sure your comparing apples with apples.
Guy.[smiling]
G’day Free,
You haven’t mentioned what your property at Thornbury would rent for. Have you had a rental appraisal done? And add that to your income less property management fees, land lord insurance etc etc.
Guy.[smiling]
Hi Globe,
Sorry to hear about your troubles.
If you have to sell, have you thought about selling it yourself. You may consider this to hard considering you are living in Sydney. If this interests you, have a read of Real Estate Without Agents, (I think thats the correct title) it’s by Terry Ryder.Also if your worried about whether the agents are under/over quoting the selling price then pay for a qualified valuer to give you an estimate or research the recent sales in the area to give you an idea if their telling the truth. Ask the agents for a CMA.
Guy.[smiling]
Sorry, I’ve only just read your post and it’s come to late. There were 3 expos/seminars happening this weekend that I know of.
1. The Investors club annual seminar
2. Margaret Lamos’s seminar
3. I think there was also one involving the Reno Kings also happening this weekend.Sorry you missed these ones.[glum2]
Guy.[smiling]
Among other things you need to know your friends spending habbits and know what she is like with her money (needs to be disciplined). Line of credit loans are a great way of cutting down your loan but if you spend the extra money which meant to be used for decreasing your loan amount then you don’t get anywhere and could even go deeper into debt.
If she is good at monitoring her affairs (money) it would seem a good idea to look at these kinds of loans.
In regards to the credit card, they would set up a dirct debit from her line of credit a/c to her credit card a/c so she pays for everything before the interest free days are up.
Guy.[smiling]
From what I have heard in this last week the half percent rise will have an effect. Not much on the general market but to the over committed (which is good for us). Some markets were about to show a recovery from last year but with this rise has softened that recovery. Their saying, if there is another half of a percent increase this will have an a more substantial effect with prices decreasing in most markets.
Guy.[smiling]
If your currently paying a PI loan maybe refiancing it to interest only will help your situation. In my opinion, selling would be the very last thing to consider doing.
The question is why isn’t it rented and what will it take (droping the rent or reno)to have it rented. A 6 month lease on a lower weekly rent is better than having it vacant if you don’t have the funds to do the reno at this point.Guy.[smiling]
Try, Kellie-Lea at FREWS Solicitors in Brisbane. Not sure if she has any experience with flips but I’ve used her in the past.
Try looking at Cairns. 1 bed room units are selling for $86,000-$95,000 and renting at $130-160 p/w. Not making the 11 second rule but not far from it. Alot of these 1 bedders are just under 50m2 (46-49m2) but you will find the odd one over.
Last week it was stated on the local news that Cairns area will grow faster in the next 20 years than South East Queensland.[smiling]
In regards to Westcourt there are a few streets that you wouldn’t want to invest in, undesirables living in the same street. I looked at this 2 bedroom appartment in Westcourt for $85,000. When I got there the complex had broken windows through out and a car which had been stripped in the yard. The tenants were drunk when I conducted my inspection and the place was a mess. If I was going to buy the whole complex and do it up it would have been fine but buying only one or two appartments in the complex, you would’ve had a tuff time trying to attract tenants.
Alot of the one bedders in Cairns are under 50m2 but the markets there for them. The last few months was meant to be the off season but the vacancy rates are alot lower than pervious off seasons with such a high demand.
I am currently serving in the RAN.
My advice is to buy in areas where the the government is spending money on up grading the bases.
Cairns navy base has been approved for a big upgrade so to be able to accomodate the new Armidale Patrol Boats. There will be more personnel posted to Cairns and the area in figures released last week is to grow faster than South East Queensland in the next 20 years.
Townsville has been given the go ahead to have a detachment of American soldiers move there to live and train in the area and in Darwin.
Also Rockingham area in WA is a good pick considering the new train line which comes online next year and the Anzac class ships moving from East based to West based in the years to come.
Keeping in mind that these properties won’t be cash flow positive.
Being an insider, I have been advised by DHA that you will only come out on top if you keep the property for the 9 year period and not sell.
