Hi Elements of Design

Gavin is correct. Once a wrap contact is signed the purchaser is no longer renting and therefore losses their rent assistance payments. Perhaps you should consider using a Lease Option if it is important for the purchaser to remain cashed up from receipt of rent assistance.
It sounds a bit risky though, if your purchaser is reliant on rent assistance monies to met payments under a wrap contract !!!

Cheers
Nessie

Top of the morning to you Sooshie,

I am looking forward to
(a) spending a lot more of my time researching/buying real estate over the Xmas/New Year period; and
(b) taking up your offer some weeks ago(which I haven’t done anything about – been so busy achieving absolutely nothing) to met for a coffee
(c) expanding our empire beyond my wildest dreams in 2003

Cheers
Nessie

Hello

Well Spooky, there is nothing spooky about you. Good on you, you certainly seem to have caught the right train.

Keep it up.

Cheers
Nessie

Hi John

If you intend doing your own property management, Brett is quite right- make sure that you know how to be a property manager. I have had a property manager and boy am I glad to be parting company. I am now taking over the management myself because my property manager persuaded my tenant to rent another property, which was on her books untenanted for several months, when the lease was up for renewal. Plus she failed to get the water meter read and now I am left with a large water usage account.
I acquired a copy of the Residental Tenancies Act and have read it and re-read it so I know the law. In my experience tenants know the system and how to abuse it and the landlord.
I have discovered that you can make the tenant responsible for certain repairs such as blown fuses, blocked toilets etc. if you put the special clause in the lease. That way you are not at the property wasting time fixing things.

Hope this is helpful

Cheers
Nessie

Hi all

Deposit Bonds were not previously seen to any great extent but seem to be now gaining a foothold in Victoria. They seemed to be a great idea, but if you are a purchaser using a Deposit Bond to acquire a property the risk of losing your deposit is greater. On the wording of current standard real estate contracts, the deposit bond does not fit with standard conveancing legalities. In both the prescribed Contract Note and Contract of Sale it provides through Table A of the Transfer of Land Act 1958 for a deposit to be paid in cash or by cheque. A Deposit Bond cannot be substituted for cash or a cheque without special wording being included to cater for it.
Under the Sale of Land Act(SLA) the deposit moneys paid under a Contract is assumed as being cash or cheque. A deposit bond is not deposit moneys. Deposit moneys are usually held by the Agent or Solicitor in their Trust Account until released by Section 27 of the SLA or settlement. A deposit bond cannot be paid into a Trust Account. Under the current wording of the SLA there is no prohibition on a vendor personally holding or the vendor’s conveyancer holding a deposit bond, even though under the SLA a conveyancer is not permitted to hold deposit moneys. In this sense a deposit bond is not as physically secure as deposit monies from the purchaser’s viewpoint. If the vendor requires the release of the deposit moneys the purchaser can be requested to make a substitution of cash for the deposit bond.
If you are a Vendor and a purchaser wants to use a deposit bond – my advice is don’t be persuaded to accept this. If the purchaser cools off in the 3 day period and you are entitled to retain the 0.2% of the purchase price then all you have is a worthless deposit bond and are faced with legal action in an attempt to recover your legal entitlement.
I hope this is useful information to you all.

Cheers
Nessie

Hi Sooshie

If you want to make money from property you should not limit yourself to just wraps. I am using all strategies. I have B&H, Wraps and am also a developer. I looked at this particular property but decided to walk away from it even though it was an excellent opportunity and very good profits at the end. Why? My love of old properties which have so much character. I am sentimental about these old places and feel that it is important for our State to retain its historical buildings. There are plenty of other properties for development without destroying beautiful places like this property. Did a developer buy the property?
The properties I acquire for development are those which are in very poor condition – beyond rejuvenation – and in most cases structurally unsound.
Other developers who read this will think I am crazy, but I have to live with me and be happy with what I do. The one thing I can’t do is destroy the charm and character of our history and heritage.
So Sooshie don’t worry about being sentimental and/or upsetting the billy cart. You have to live with you.

Cheers
Nessie