Forum Replies Created
Drop me an email – the Duke of Wellington is my local….
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Sounds like they have read some investing books.
Well you need to decide to take it or leave it.
Was there enough other interest in the property to justify holding out for the higher price or do you think you should take what is offered?
Noone here can tell you what a fair price is for your place – this is a question only you can answer.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Why don’t you counter offer at $262K or thereabouts?
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Your post makes no sense.
What are the views you are sharing?
Or is this just a thinly veiled attempt to get more hits at your US based insurance site?
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Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Yesfella,
I am in Newcastle and am currently looking for a knockdown for a new home in the Hamilton area. I would love to catch up and chat about your experiences to date.
Coffee or a beer – my shout.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Good post.
Warns all of us new to this style of investing not to sacrifice all common sense in the search for that elusive cashflow property.
It is often better to sacrifice some high rental potential for the important things Bob has so satirically pointed out.
Thanks mate
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
I was going to DIY our floors. My neighbour did and invited me in to see his work.
I immediately hired a professional and paid $800 compared to the $300 he spent on hire and sandpaper, polyurethane etc.
His job was a mess with all sorts of marks and gouges. He hadn’t even punched down the nails and had bright silver spots throughout.
I don’t think this is an area I would scrimp on.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
If you take all loanss to just over 90% LVR you should scrape through.
What is your serviceability like? If it is marginal we might need to identify a new lender to take one, two or all the properties.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Floorboards look hot but deteriote if a soft timber.
Cheap sisal carpet looks OK and wears well.
For renting I would go either way. For selling I would go the polished timber.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Ask yourself:
Is this a charity or a business?
Then you will know the answer.
If you want the tenant out ASAP then instruct the PM to do so. They will know what can and can’t be done and your best course of action.
All the best,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
I can only suggest you refinance with a lender who will go to a higher LVR and capitalise the LMI.
How much is the new property?
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by john_preacher:Thanks for baring with me. This is new to me.
If you rely on drawing from the equity of your house in the years of your retirement then that house must still have a loan tied to it. Is this correct? Because it’s the bank that will be giving you that money.
If your in the stage of paying off your loans and then you haven’t any loans left where does the money come from?Well the reason we buy is for CG. So yes, you will have residual loans but we buy because we believe that the growth will be enough to make the original loan insignificant.
An example might help.
20 years ago a townhouse in Melb cost $50K. I know because I saw one but was too young and stupid to buy it.
Today it might be worth $400K.
Sure you still owe $50K but you have some choices now.
Leave the debt there and just draw money for retirement from yield and from the LOC.
Sell one or more proeprties and pay out debt.
Start paying the principal down which is more than covered by the yield.
Your call.
This may not work if you are chasing cashflow property in places like Broken Hill or tiny towns in outback NSW where there is historically little growth.
But for standard residential property this is a model than has worked in the past.
It isn’t the only path to follow though.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Most lenders offer IO period for 5-10 years as standard. Usually no problems renegotiating it at that stage. Or start paying the P.
I don’t really understand the last part of your question.
Can you expand a little.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by john_preacher:Just on the topic of IO loans. I understand the tax benefits of this type of loan but what happens when you get to the point in your life where you want to retire off the equity in your portfolio where the bank says it’s time to pay off the loan. Do you sell 2 of your 10 property portfolio to pay off the rest?
And if the loans are all gone now and your system is to never sell your properties how do you draw on the equity?
This is something unfimiliar to me so please bare with me.You haven’t mentioned a timeframe here.
Time will reduce the debt as effectively as paying down the prinipal but, yes, there will be residual debt on retirement.
Some people pay IO for 10 years or so then the rents have increased enough that they can then pay both P&I easily.
Others sell down one or two properties to kill the debt.
Others ignore the debt and let inflation make it less significant.
Most, however, see it as a problem for later on and use the intitial phase to build the asset base only. As it gets big enough it gets self sustaining. Rents go up, valuations go up. Debt is the constant.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
If your contract says you can withhold payment then remind them of this.
Downside is that if you do withhold it will probably hold things up for ages.
I would ring the council inspector and find out exactly what the problem is then communicate it to the framer.
If it is serious you may need to involve your solicitor.
Keep us posted.
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by Top Bloke:Great post Simon!!
Thats the sort of stuff that should be taught in schools these days i say!!
Could expand it out a lil more and have a few examples people could work through with there own figures involved (like a debt clearing calculator) and then present it to the education dept for study…as great a idea i think it would be i just cant see them taking it on board some how! [mellow]
Can you explain what a debt calculator is?
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
You would do it through your local council.
They will be able to advise you if you cal land ask to speak to the Town Planner or his staff.
Biggest advantage is that each property can be sold individually and you may find they are worth more each.
Disadvantage is cost, effort and you will get four sets of rates…..
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Either of those guys above will be able to give you sterling advice.
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
My wrap clients nearly all use:
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Can I just ask:
What is a scubs walkers?
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
