Thanks for the comments every one. I have given some more thought to this idea and I think I still would like to pursue it. I really think there is still some merit in this kind of property. I think where I am going to come unstuck is in relation to the borrowings area. Discussing this issue with some other property investors I am going to have…[Read more]

The real estate agent told me that the place was originally set up as student accomodation, but apparently it is now strata titled and anyone can live there.  Its being advertised as being perfect for a first home buyer.  I dont think I would stuff my my first home buyers grant and stamp duty reduction on this place though.Is there anyone out t…[Read more]

bjsaust wrote:
How did you come up with that interest figure? Is that your conservative "what if?" number? It seems to be over 9% p/a.

Sorry, it should have read 'repayments', its the interest & principle on approx $190,000 over 30 years at 7.8% interest.