Forum Replies Created
That’s Steve. He is the good looking one.
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
Terry,
I lived in SEAsia for some years.
Corruption is endemic in the region. This means that building inspectors are paid off. Building work is very shoddy and there are widespread stories of concrete being mostly sand, steel reinforcing being replaced by bamboo etc etc.
I would also be very concerned about management there. I just know that the rich farang from Australia would be fair game to most anyone you dealt with.
I really don’t mean to sound racist – I love the region and I really enjoyed meeting Thai people – but I would not even consider investing in Real Estate there nor doing business in the region unless I had Thai family to represent my interests.
Sorry to be such a downer [blush2]
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
Do you reckon that it may be the lag effect? Perth boomed some time after us here over east, perhaps there will be a reflection of our current market there soon?
I am aware of a lot of British and South African immigrants flocking to Perth as well as from over this way. Certainly population growth is a major factor for a strong market.
For those from here who may not know, Perth dwellers are a parochial mob. They believe Australia is divided in two with WA being much better than “Over East” which encompasses FNQ to Tasmania and all in between.
It is interesting, and I believe it correct, that WA was seperately invited to join federation and adopt the constitution with no other state being given a choice. There are apparently some significant differences in how WA is treated in the constitution – apparently WA has the ability to secede if they so desire. It is always something that pops up every now and then over there and certainly with the vast mineral wealth I reckon WA would probably be the better for it!
I am a Western Australian myself having grown up in the Hills until leaving home for adventure at the ripe old age of 17!
I guess it is the early hour of the morning that sees me rambling on here…..goodnight all,
Simon Macks
Residential and Commercial Finance Broker[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 you find a house that is doing the same?
Growth has slowed at the moment so you need to be extra selective. Not like a few years back where you bought anything at asking price confident that a profit was around the corner.
Research your market and the bargains will appear. Have finance ready so you can move quickly.
All the best,
Simon Macks
Residential and Commercial Finance Broker[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.
Little cynical Dazz?
I think that certainly the case during the boom when you were competing with other buyers. I think in today’s market vendors would be keen to see any offers.
But your point is well made that an equal offer that is unconditional, or less conditional will look far more attractive to a vendor.
Cheers
Simon Macks
Residential and Commercial Finance Broker[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.
Yes you do.
But even tho it is secured by your home loan try to see it as part of your IP loan.
So you have bought an IP by borrowing the whole price plus the costs.
That loan is split accross two security properties but the total loan for the IP is tax deductible.
Plus I would recommend that the IP loan is IO (interest only). This means that you will be paying down your home loan with as much funds as you choose to allocate whilst still maintaing the deductible loan.
Does this all make sense? There is a lot to learn and many of us in here forget that we too once struggled with these concepts.
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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 am not quite sure what the scenario is you are painting so cannot advise on whether it is right or not.
But remember you always need to leave equity in the deal for the lenders security.
20% or as low as 5% with LMI.
Hope this helps.
Simon Macks
Residential and Commercial Finance Broker[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.
Perfect.
It means an 80% loan which will save you on fees plus some cash for the buying costs.
You will have a deductible loan against the IP and the $50K from your home loan will also now be deductible.
Ensure your broker sets it up so that the home loan has two splits one for each loan. This will make your accountants life easier plus you can pay them down at different rates ie non deductible first.
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
Well I have the 96 commodore that does all I want from it. I guess I could buy a beemer for cash but I really don’t want to. I want a car that we can go sailing with, fill it with sandy dogs and kids and drive it interstate if we choose.
Maybe we are stingy but who cares if we are happy?
Enjoy your car as I do!
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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 Erika:But remember they can ask for you to prove that you couldnt get it.
If you have used a broker he can write you a letter specifying all the lenders he has considered and applied for. I have done this a number of times for clients and never had a problem with them getting out of the contract.
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
Dazzling makes some very very good points.
One idea might be to put your current funds into the existing loan. As Dazzling said – reduce the NDD.
Redraw that money and more if required for the new place as a deposit. Take a new loan for the remainder.
Now the amount redrawn will be deductible plus the whole new loan. Try to get the loan for the parents place itemised with splits showing the two seperate debts ie the parents home amount and the new IP amount.
Take the new loan as IO and pay down the parents principle only – this will maximise the tax deductions.
I am not sure whether you can afford to own both at the same time but check it out with your lender or a broker. Gives you another option to consider. It will also mean that you now have two properties working for you capital growth wise. Just a shame that one produces no income.
I can see that your parents have helped you get into the market but they seem to be doing OK too, what with having someone pay a third of their mortgage and not paying them rent? Are they in a situation to pay you fair rent for your third of their home? This mike make ownership of both homes a reality?
I would also contact your local Office of State Revenue and find out exactly what the stamp duty situation is.
One idea might be for your parents to “buy” your share from you but not bother changing the title. I imagine you can draw up a legal document to stop you from claiming that they bought you out and double dipping (I don’t mean to offend just covering bases here). Would this actually make any difference to their situation?
All these are just ideas tossed up for you to think about.
All the best and I really hope you achieve your dream – I was a serviceman myself in my younger days!
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
Fair enough Mikala.
How about you give me a call I will tell you an upper limit and suggest a lender and you can go straight there and get a preapproval if you like my advice and reasoning.
Cut out the evil broker [biggrin]
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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 give a person a fish it will feed them for a day, but if you can teach that person to fish they can feed themselves for a lifetime…”[sleepy]
One more appropriate for these marketers?
If you light a person a fire they will be warm for a day. If you set them on fire they will be warm for the rest of their life…
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
Jenny,
The broker you spoke to should be able to accurately tell you your borrowing ability.
It is up to you to decide on what you wish to buy within that ability.
You can even ask for a preapproval but it is not really essential – but be sure you include a finance clause in any contract just in case there is something you have overlooked telling the broker or some other reason a lender might decide that finance is not forthcoming.
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
Buyers remorse it is called – we all have it. Have I made a mistake? Is it the wrong time?
Listen to your fears and reason them out.
Try to make the decision on a logical basis.
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
It is different in each state.
In that case I suggest that you would just cross out the price and write in the new price and initial it. The vendor would show their agreement by countersigning it.
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
Rich,
Welcome aboard. You sound like exactly the sort of professional we need to answer some of these tricky tenant questions such as Dazzling proposed.
I will love to see you contribute to our community!
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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 think as individuals. As partners you will have joint liability and run out of serviceability faster.
Once you have some runs on the board consider a trust.
There is prob little benefit in a Pty Ltd entity.
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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 you utilise any equity in the first two IPs?
Cheers,
Simon Macks
Residential and Commercial Finance Broker[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.
Rob is a free spirit in every sense of the word. He probably sensed his work here was complete and there were others to be helped.
He will return.
Simon Macks
Residential and Commercial Finance Broker[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.
