Hi Cutegirl

Have you considered New Zealand, you will still need a 20% deposit but you will be able to buy positive cashflow in a main city. It will also allow you to have a separate income stream in New Zealand to Australia. The problem in Australia at present is that because all property is negatively geared the banks look at that as a loss. They will only lend so much on that basis. In New Zealand the deal will stack on the deposit and the positive cashflow

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

I agree with Surrey

If you can get out of the contract get out. Not all properties can be positive vcashflow. However if capital growth is important then buy something that will give you the highest possible capital growth. If you buy a property for $200,000 and one increases by 5% and the other increases by 10% the diffence works out to be around $41,000 per year for the 20 year period. If you are buying for growth you must look at where you are going to get the highest return. Its not a one bedroom flat

If you want cashflow look at New Zealand

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

Hi Daniel

One bedroom apartments are limited at the best of times. You really only have the investment market to sell to. Personally I do not buy one bedroom flats ok it got a study. If you want an apartment look at a period older style one. The Capital growth will be far better. Or with land running out look at house and land packages.

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

Sorry

Richard

On the whole I disagree with you. Wrapping will not get you a highh return unless you buy a lot of property, where in Nerw Zealand you will also get strong capital growth

Having said that I am deal with builders in Melbourne who are offering investors a 9% return for three years. The do this via a lease to purcahse agreement. The tenant agrees from day one to purchase the property in three years at an agreed price. This means the tenant gets a good deal and the investor not only recieves a 9% return but is also able to claim the full depreciation during that three year period.

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

Can be OK of cashflow but not great. Banks will normally only lend around 65%. Growth unlikley

So unless your 65 and have cash

Dont bother

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

silly me

Who are the board members of the reserve bank

Economists. Come the revolution get rid of them you get rid of half the problem

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

It is clear that will variable rates at 9% it does not suprise me that 3-5 year rates are hovering around.7.6-7.8%. It is clear the the NZ reserve bank get carried away with rates. Economists all agree (thats scary in itself) that rates are on the way down

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

It also depends on whether your investing or looking to owner occupy. If you are going to live there its a great area. I live in Camberwell. If I was going to move I would go either the ocean or ferny Creek. It and Sassafras are the two best areas in the Dandenongs and because its a little damp its the last place you need to worry about bushfires. Spend some time and have a good look around. The areas you are looking at are more expensive than some in the hills but its pretty bullet proof

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

I could not agree more the idea of buying close to home so you can drive past touch it is the quickest way for many people to never invest again.

I have spend a far amount of time in Ballarat and Bendigo, they all want to buy locally, I tell them live here buy do not invest, the market has gone

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars

The reason I make money is that negative people talk the market down. If you are investing for the long term who cares what the market does year to year. Over a ten year period you will more than double your money in most major cities in Australia. I live in Camberwell in Melbourne and I have not seen any real sign that quality housing has dropped much at all. If you are looking to invest and you can buy a number of properties before the next boom, you will double your money even quicker.

Nigel Kibel

http://www.propertyknowhow.com.au

Australian and New Zealand Buyers advocate
service and seminars