Let’s see – you have 800K cash; you need to borrow 850K (taking into account you are now unemployed) to complete the development. That’s 1.65m now that’s quite a project. What sort of development are you working on Steve?? [blink]

First point of consideration YOUR BUDGET, second point of consideration YOUR BUDGET, and final point….you guessed it!!!

From my understanding, students are generally the only ones who make use of share accommodation in which they rent by the room, therefore as your targetted market does not match your financial budget you will (as you indicated) need to modify your strategy. As Derek stated, the further from the uni the less likely your tenants will be students.

Buying a cheaper property (ie. 2 bedder) does not necessarily mean it will be +CF and it really depends on the area (in this case, as per that nominated which seems to be within your price range) and what the rentals are within it. I suggest a bit more research may be the order of the day.

Good luck,

Jo

Yes Martine,

You’re pretty much on track, except that the gross amount will not necessarily be paid to you if you engage a PM in which case the agency will take out their management costs, GST and any repairs that you give them authority to conduct.

Gross rental yield is what the return is before you take out ALL associated costs including PM fees, BC fees, rates, insurance, land tax, repairs and so on. Nett threefore is the end result when all associated costs have been paid out, and it is what you are left with.

Do remember that although some costs are deducted by your PM (as stated above) it is always wise to keep money aside for when those other bills come in, as they surely will!!! [blush2]

Cheers,

Jo

Yes please explain “what different strategy”??? [blink]

Oh and exactly HOW MUCH research did you do; I mean you spent three days looking, hence apart from the quick calculations, what other source of information did you avail yourself of???

I buy shoes at a whim, I spend months researching the area/state in which I wish to acquire property in!!!

Cheers,

Jo

Foundation,

You have presented some excellent sources of information/data, all of which has merit, however and please don’t take this the wrong way as I am just expressing my curiousity out aloud, but EXACTLY WHY it is so important to you to discredit the doubling (every 7-10 year) of property prices theory???

I am not concerned one way or another, and I am not challenging your beliefs, I guess as a psych I am more intrigued by your entralment of this topic. Is it in the interest of generating feedback for the purpose of debate, or is it to confirm/deny any doubts you yourself have???

Personally, you can start up “myth buster #233” and IMO still be no closer to a resolution one way or another. And really, at the end of the day, does it really matter??? [blush2]

Cheers,

Jo

On the contrary superman, I don’t discount you as any such thing, nor do I see a problm with you supporting Foundation’s points; he has made some exceptional comments which are both valid and worth taking into consideration. My only objection, and I beg to differ on your view re his “personal jabs” there have been several, especially when there has been an opposing view to his own put forward. As for undermining his integrity, please note:

Integrity comprises the personal inner sense of “wholeness” deriving from honesty and consistent uprightness of character

None of this is about truth and/or character, it is about net etiquette, respect and maintaining harmony in a public forum.

I used to be a moderator on this forum, however for various reason I chose to resign, however I have always been concerned with maintaining some level of harmony within this public domain, and if that means, addressing concerns of other forumites who approach me (knowing my past role) to “do something” then believe me, I will not ignore them!!! If that does not sit well with you please take it up with admin.

Cheers,

Jo

So you did; my apologies. Yes your ignorance is crystal in this post about wrap deals in which you infer that wrappers are liable to do the dirty on their wrappees. Oh and your mere reference to ACA/TT is surprising to say the least considering your stance on more factual sources of information. Hardly your style at all now is it???

Nice try Foundation,

But you will have to excuse me if I don’t buy into your flattery for either myself and/or Derek as this is typical of your posts until there is an opposing view then sweet is soured in record speed!!!

You have not offended me in the slightest, although I am disappointed in your lack of concern for and disrespect for other people’s views.

I neither care nor want your approval/respect. I will be sipping on my latte while you are still analysing data and trying to figure out where you went wrong!!!

http://en.wikipedia.org/wiki/Internet_troll

See definition:

Internet troll

From Wikipedia, the free encyclopedia.
An internet troll is a person who sends duplicitous messages hoping to get angry responses, or a message sent by such a person. The term derives from the phrase “trolling for newbies” and ultimately from trolling for fish; it first appeared on Usenet. The term is frequently abused to slander opponents in heated debates and is frequently misapplied to those who are ignorant of etiquette.

Trolling is often described as an online version of the breaching experiment, where social boundaries and rules of etiquette are broken. Self-proclaimed trolls often style themselves as Devil’s Advocates or gadflies or culture jammers, challenging the dominant discourse and assumptions of the forum they are trolling in an attempt to subvert and introduce different ways of thinking. Detractors who value etiquette claim that true Devil’s Advocates generally identify themselves as such for the sake of etiquette, whereas trolls often consider etiquette to be something worth trolling in order to fight groupthink.

Trolls are sometimes caricatured as socially inept. This is often due to the fundamental attribution error, as it is impossible to know the real traits of an individual solely from their online discourse. Indeed, since intentional trolls are alleged to knowingly flout social boundaries, it is difficult to typecast them as socially inept since they have arguably proven adept at their goal

No problem Brad,

Sorry if I sounded somewhat sharp with you, it was not my intention; my desk looks like a war zone atm and hence I have 1001 things going on at one time.

Simon,

Thanks for tracking that, I knew it was on their website somewhere, but as I explained to Brad (above) I am flat out atm and all I could muster was a quick explanation (and a lagging one at that).

Cheers,

Jo