Forum Replies Created
Hi Guys
Well I survived the meeting. Spent 2 1/2 hrs glued to my chair. Luckily it wasn’t too hard the seat that is.
Here are a number of comments and thoughts about the presentation.
He started by presenting some facts and figures designed to frighten us to whether there will be any superannuation available when we retire. Therefore we will have to create some wealth for our retirement and what better than to use property.(ha,ha)
He then proceeded to use figures showing how
property doubles in value every 10 yrs or so.Now this is where Investors Forum step in. This organisation sources property in HIGH CAPITAL GAINS areas and sells to investors.
These properties are rated as AAA by banks and therefore will qualify for an 80% loan.
They will basically look in cities of 100,000 people or more. These cities include some areas of Dunedin, Queenstown, some areas of Christchurch, Wellington, Hamilton and Auckland. Also Napier and Taupo are coming into consideration because of high growth.They consider areas where people want to live and therefore will pay a higher rent.
Design them with the tenant in mind.
Purchase from the developer at wholesale.
And offer incentives to the tenant(subsidy and savings)These areas include being near hospitals(for doctors etc to rent) and on the fringe of CBDs(lawyers.)
They work with developers and onsell the apartments to investors.
Figures like these were used:
Cost $400,000
10% Deposit $40,000
Negioated discount from 10-30% $40,000
Deposit held in Solictors account until completed earning 4% int.
On completion 18mths to 2yrs later apartments revalued say $450000.
Bank lends 80% of new valuation $360000 therefore you now have about $90000 equity.
The presenter had the gift of the gab with the figures.
From what I can see the whole system depends on capital gains and that the tenant will be paying the high rent required to fund the loan.Also being new there is high depreciation able to be claimed and therefore a high tax refund.
Line of Credit was also mentioned and how to use it to your advantage.
Memership of Investors Forum involves a once only fee of $3500. This is for all the family and entitles you to attend all their three day seminars. However after the first seminar you will be liable for a fee of about $150 for food and expenses.
Also you are entitled to mentoring and appointments with tax and financial experts.One development in Takapuna on the North Shore of Auckland called Shoal Haven is now nearing completion. This building has 133 apartments all presold to Investor Forum investors.
Pounamu at Queenstown has recently started to be built.
It took him 1 hour before he asked for questions
We had a form to fill out if we required another meeting. We have required another meeting.I don’t think I have enough equity to be able to buy into the scheme AND it is very dependent on capital gains.
I hope this long ramble can be understood.
Regards
Hi Pinky
I must have missed something(quite often do anyway) BUT what did you do that upset everyone?
I think I read one posting where you were grizzling about something but so what if you were.
Anyway I for one am missing the repartee between those of us that make postings to your comments and muses.
COME BACK and tell that Arty character to get some more postings he’s way behind the four ball.
The All Blacks by 55pts against the Italians.
Actually it was 63 pts.Regards
Hi AD
Bridgette did say in her first posting that she wanted high rental demand AND capital gain.
Therefore I am saying that these places starting with T and W will have no or little capital gain.
If it is paid off in ten years, yes, you have made $35k but what a slow way of making it. Whereas in a place of capital gain you can make that amount in 6 months. But then again it will take you a lot more money to purchase in a capital gain area.
Six of one and half a dozen in the other.I have purchased two houses in a T town. One property is let at $155 per week but the other doesn’t have a tenant yet. The PM has been unhappy with the calibra of prospective tenants.
I am not expecting any capital gain, I am after the Steve McKnight method of getting +ive cash flow.The All Blacks by 105pts
Regards
Hi Guys
A report in this morning’s NZ Herald about a study that reveals causes of Auckland housing boom makes a statement that says and I quote:
“The widespread belief that proprty values only go one way -up- is not borne out nationwide. Although real house prices have more than doubled in the Auckland region since 1981(up 11% over and above CPI inflation) they have fallen by 27% in Southland.In Auckland City they rose 152% over the same period in real terms but fell 50% in the mill town of Kawerau. Over the last 10 yrs prices have had a stronger tendency to rise faster where they were high to begin with…….. In 1981 an average house in Manawatu/Wanganui was worth about 66% of one in Auckland. Last year it was little more than 33%.”
I can hardly wait to see the rest of the report. It should make interesting reading.
Bridgette – There is a big strand dealing with NZ Suburbs already somewhere in the forum. Use your search button and have a look. Also there are a number of web sites listed in it as well that will also give information that you require.
If you are after Capital Growth then you will have to spend big bikkies and buy in Auckland, parts of Wellington. parts of Christchurch and Dunedin which is starting to catch the Auckland bug.Regards
PS don’t invest in any towns starting with T or W because very few of them are showing any capital growth. They have only +ive cashflow properties if you buy cheap enough.
Hi Craig
Thank you very much for the information.
I think I can see my wannabes being asked to buy a $2500 ticket to a weekend seminar.
Regards
Hi Bill
Great stuff. You’ve certainly had a very eventful life.
I enjoy reading the thoughtful replies to newbies questions that you frequently post.
They sometimes help to motivate me when I need a reminding about something that I may have forgotten or not thought of.For my part I appreciate you giving of your vast experience in the art of property investing.
When I see your name and also Westans, Minimoguls, Steves and one or too others they are usually the first postings that I read each day.
And Bill KEEP the postings coming.
Regards
Hi Guys
One One was a race horse and Two Two was one to.
One One won a race and Two Two won one to.Regards
Hi Lister
What is the question again please so that the learned readers on the forum may give it a learned answer.
Regards
Hi Rod
Sometimes.
I was just checking to see how seriously people read these postings.
Also checking to see how well Australians can read.Came across this from my accountant:
A good friend will come and bail you out of jail..
but
a true friend will be sitting next to you saying…….”Damn- we stuffed that up!”Regards
Hi In Theory
What’s this 90 music and mentioning Fleetwood Mac.
Mick Fleetwood was around in the 60s. As I said earlier yah can’t beat the 60s and early 70s music.Regards
Hi Guys
Yeah I have GOT a couple of tats.
They are on my forehead.
I got them while I was mowing the lawn and walked into the corner of an aluminum window which the bl…..g wife had opened.Thinking……perhaps they could be scars…battle scars.
Regards
Hi Guys
I get to work at about 7:30am and saty until about 5pm. Also have at least one night meeting every month.
Also get 6 months holiday twice a year.
Regards
Hi Guys
11pm to 6am with a few minutes during the TV news at about 6:10.
Also needing fewer hours sleep. Must also therefore be getting older.
Good Night
Hi Arty and Arty and Arty and Arty
Thought I would get a few Arties in first.
Nearly all my kids have nicknames. The eldest son (Robert) has Buzz for one reason or another.
Daughter No2 (Hera) is called Sos (short for sausage).
Son No2 (Benjamin) is called George, not by me but the rest of the family.
Daughter No3 (Mei) is called Mup or Muppet. Hence the name I am using. This one is only aged 8, while the rest of the family have left home.You will notice that eldest daughter is not mentioned. Her name remains as Hana.
Hope this is a satisfactory answer? If not, I will try another.
Regards
Hi Guys
Keep the postings coming in.
I’ve just had a look at my library and can add The Rolling Stones, The Cream, Jimi Hendrix, The Royal Guardsmen(of Snoopy fame), The Hollies and The Small Faces.
My favourite drumming solo is part of In-a-Gadda-Da-Vida by Iron Butterfly. Would love to get more of Sandy Nelson.I am very sexist and don’t have any music by females although I do have the best of The Mamas and Papas.
Regards
Hi Arty
Soooooo is that why the postings have dropped off.
I’ve still got $100 on you to be the first with 1000 postings. I want to seeeeee what sort of badge of honour you get. You know it might inspire some of us to contribute more.
Changing the subject…
How do I open a winmail.dat attachment that I got with an email pretty pleeeeease?
At the moment I am listening to Pink Floyd.Regards
Hi Melbear
Poor old Oskar got the snip before he could sire any pups. I have regretted that decision ever since because he turned out to be such a nice dog that I would have liked to have had one of his pups. Still never mind.
Now the poor old guy is about 13 and very nearly deaf. No wonder because when he put a possum or a cat up a tree he would spend hours barking his fool head off until I either shot the possum or rescued the cat.
Regards
Hi Steve
Well done.
The General Forum was becoming too cluttered with distracting postings or rather postings that nothing to do with PROPERTY INVESTING.What about having another forum with home handyman or home maintenace tips?
Regards
Hi Melbear
Have you never heard of the knife or scissors or a bubber band. One of those measures should fix that rotten little Zac from doing the dastardly deed again.
The only problem with Jack Russells is that they are too short in the leg. No good for chasing possums.
What you need is a good long legged fox terrier. Now my Oskar absolutely hates possums.And Soohie he is not too keen on cats either, particularly the neighbours cats.
Regards
Hi Taylah
I know of one forumite who travelled 1800km by plane, hired a car and travelled another 1000km, inspected many properties, talked to many RE agents and property managers put in many offers and then travelled home a week later being the satisfied owner of about 8 properties.
This forumite also has I think bought a few properties sight unseen but has had the properties inspected by a builder first and has made his decision then.
The key point is, this forumite does his RESEARCH first and then decides whether the figures stack up before making his decision. If they don’t then this forumite walks away from the deal.
Regards
