Forum Replies Created
thanks for all of you given valuable opinion and point of view. I personally go against the idea of getting an adult shop, as you know that will be negative for other tenants . But was urged by property agent to take serious consideration as the shop had been empty for more than 6 months. In this difficult situation, i have taken a second thought but very much worry what will be the consequences behind it . Woooooo…… it is difficult decision to make ….any more help ? please
Hi Simon , thanks for your points of view. I agreed with you if i can sell individually ,each unit would worth more . Come on Dazzling, do you have anything to contribute with this topic ? you think is a bad idea, why don’t u talk out and let us share your views ?
Nickelben
Ani & Jucque
Good ideas ! I would check through all that lists and hopefully I wouldn’t miss out something important on my check list.
But trouble is , there is no other same type of property near by , and confused of how to compare the rent ? Because it is a freestanding building with big land and plenty of parkings , it stands alone by itself.[glum2]
Nickel
as name
Hi DD,
I got the management fee rates in Toowoomba and Brisbane. I have not idea if small town in remote area………other part of QLD.All guys, thanks !
NickelbenHi Aussielad & wake ,
It is builiding inspection before purchase. I have a reduced price form the vendor and also find out if any movement of the slab, the body corporate will be responsible.
Thank you , guys
Nickelben
as name
Hi millionaremagne,
Thanks for your response , your IP is commercial or residential ?
In Queesland , management fee for residential is 7.5% and commercial is 5%, negotiatable.
I got the same feeling like you , being ripped off. I got a cheaper quote from another agent 7% . This is abnormal compared to queensland .
Just wondering if every investor in WA are paying same rate to the agent for commercial property ? [confused2]
Waiting for more response,
NickelBen
QueenslandHi CoG,
No worry !I can share my experience with you. I had found building defects for 3 properties that I bought. I got the building inspection report to my solicitor and request him to write a letter to vendor’s solicitor to ask for a discount or to fit up all the defects that were in the report. All of them chosen to give a price reduction to my satisfaction , and the contract went on .
Remember : the vendor is as worry as you that you are going to walk away. The vendor normally will agree if you ask for reasonable reduction or even a little more, as soon as you show him the concrete evidence he will NOT agrue with you. And also the vendor prefer to have a price reduction rather than repair the defects. For the cost of repair,you can get a trademan to have a look and get an estimate on it .
I remember there was one vendor who refused to negotiate at first, but i told he is going to face the same problem with the next buyer and finally he agreed to my price.
Hope this will help you, good luck
Nickelben
Great! Dazzling & Michael , so the biggest issue is the enviroment contamination ! I certainly will take care before i dive into it . The agent said he had a ” full Environmental Site Assessment ” report available. So that is no going to guarantee a future leak ? am I right ? better check through the lease agreement to see whether the tenant is responsible for such thing. Thank you everybody ! Any thing else to look out ???
Need more information if possible,
NickelbenHi Giddo ,
In my experience, I have an offset saving account and any money I put into the offset account , i actually earned NO INTEREST ( of course no tax ) . But there is a reduction of an equal amount of interest in my loan account. As a result, i claim less interest as it should be in my loan account and therefore pay more tax as it appears to have more profit (for an investment property).Do i make sense ?
Try to help,
NickelbenI finally got a loan broker from the internet who do not require me to sign a brokerage fee agreement. He is young but great job he had done to get my low doc commercial loan approved !!!
Thanks everbody ,
NickelbenThanks Michael .
You have told me something which i never thought of . If the tenant leave, can i get another tenant to operate the service station ? Or it is very difficult to get another one ? Is the oil company or the owner doing the upgrading when necessary ? Anybody have any idea or experience can shed some light would be most welcome .
hoping for more information,
NickelbenI suggest you refer to a quantity surveyor/property valuer for depreciation staff of a townhouse. 3 years ago, my valuer told me when I purchased a house or when a house changed hand, it bring a new ” LIFE” to depreciation schedule. That means I got a new depreciation schedule after settlement , no matter how old is the house. You have to check with your valuer how true this is. It is worth to spend that money to engage a valuer who may be able to give more depreciation value than you expect.
Just try to help,
NichelbenI agree with KRS ! And also be careful with apartment as the factor of land value is always smaller. When a property appreciate in value, it is the land that appreciate in value. And another disadvantage is to pay endless corp fee, sinking fund and you can do very little to improve the value of the property by adding on something. Why not buy a lowset detached house instead ? For me, i never touch apartment for my investment .
Hope that will help
NichelbenQuote:Originally posted by N_Lam:Hi All,
I’m new at property investing with an eye to buy my first property very soon and multiple properties in the long term. My strategy is “buy and hold†and I’m putting a plan together on how to do this.
My number one concern is CASH FLOW.
I want to spend a maximum of $250K on my first property and rent it out, but the repayments work out to be approx $450 (including annual costs). Even if the tenants return, at best, a rental of $250 I’m still putting $200 out of my pocket per week.
For the first property, I can probably survive. However, once I want to buy the 2nd, 3rd, etc property, the difference between my rental income and loan repayments will be too much for me to afford.
I must be missing something because there are people out there doing it. Can someone please help me out?
N Lam [biggrin]
/quote]
Hi N Lam,
Nowaday, cash flow residential properties are rare as hen teeth. May be in some tiny remote mining towns, you can find quite a number of them if you don’t mind to make a long distance to check them out. But major banks may not able to give good LVR loan for this sort of properties. Could you try commercial property ? perhaps, it could be easier for you to find what you want. Good luck !
My opinion
NichelbenOriginally posted by crj:go to http://www.selfstorage.com.au and look at the investment paper link
will give you an idea of some of the issues
Thanks CRJ, it is a great website and I got lot of info more than I can think of . Looks risky for me to put in my feet or may be not, but just not the right apple for me.
as name
Good idea, Thanks.
All the best
NickelCan you try another broker ? My experience tell me different broker has different approach & access to lender. If you can show them written lease agreement with the tenants , I am sure they will consider more seriously. If the lease agreement is not there, ask the vendor to get it done .
Good luck !
NichelbenThanks grossrealisation ! It looks like a good idea to check out the sites but do they attached to a office somewhere where I can find them easily? What sort of profession that i might be able to find on the internet ?I’m here in Brisbane.
HELP NEEDED
NichelbenCool , Is there anybody in my same boat ? Please come out to response !
Cheers,
Nickelbenas name
Exactly, that is what I am doing ! I walked away and find another one who is willing and has the confident to do it without any agreement signed. I am sure he done a bit of research and check which bank & which product is most likely to be approved before submittion. As he know he will NOT get compensated if he done a lousy job or simply drop my application to any bank . I am sure this broker is very serious with each application to make his living and I have confidence in him too.
But back to the point, I am sure NOT everybody will walk away otherwise we would Not be able to see him around. If he didn’t match a proper product for the client or unwillng/too busy to spend more time to hunt around , knowing the bank will approve but conditionally, he will still submit it to the bank as he know at the end of the day he can get a min. AUS1200-00. SO, he submit 8 of them per month, he get his handsome pay AUS9600 without sweat by pushing bitter eggs down the clients’ throat. Ya, it may not be true and I am just guessing wildy of how he make a living but is possible to happen, right ? This is another important reason that I do not proceed with him. Ha,I got “cold feet” even before application.
Do you have any comment or anyone else ? Or you think I have crazy thought or too sensitive over this matter ?
Cheers,
Nickel.
