Go to:
http://www.somersoft.com/forums/

and do a search for “Steve Navra” and/or “cashbonds”.

They are ideal for someone in your situation who is asset rich but cash poor.

If you leave in Melbourne and are quick enough, you may be able to book into Steve’s weekend workshop which is highly recommended and all will be revealed to you. It will be…[Read more]

Hi Dorothy,

I think what you’re asking is the difference between the gross yield and the net yield.

If you deduct the annual costs of the property (maintenance, rates, agent commission, insurance, body corporate etc) from the gross annual rent and then work out the yield, it will be lower.

Example of gross yield:
Purchase price =…[Read more]

I agree with Gus and would give it a wide berth as it sounds like a total rip off.

You can buy a lot of books for $15k, alternatively you could use it as a deposit on a property.

If you’re asking whether an interest only loan will help you pay off the mortgage quicker on your own home than having a principal and interest loan…the short answer is yes.

The extra cashflow you will have with an I.O. loan can allow you to divert that towards your own mortgage.

If you had a P&I loan on your IP, your repayments would be…[Read more]

Here’s a review of some of the more popular books around.
Out of them all, I highly recommend Jan Somers books for a tried and tested method of gaining wealth through property.

Happy reading []

“How To Create An Income For Life”
By Margaret Lomas.
A fantastic book that is easy to read, written by a lady with lots of enthusiasm. For an insight to…[Read more]

Have a look here:

https://www.propertyinvesting.com/forum/topic.asp?TOPIC_ID=1269

This is where you asked the same question and got a reply.

I found 6 questions of a similar nature on the last 5 pages. If you do a search, i’m sure you’ll find a lot more.

Here’s my good deed for the day – i have posted links to the same type of question you…[Read more]

Sounds a bit on the high side and the yield is pretty ordinary at 5.3% for this area.
If you bought up the road at Beenleigh or Logan, you’d be getting about 8%.

The problem with Coomera is that there is still a lot of land in the area that can be released. Obviously this will satisfy any future demand which will not be good for cap gains.

Where is the land located?

Is it possible to buy a PPOR in a trust structure and gain the same tax advantages (CGT exemption), as i always thought a PPOR had to be bought in your own name?

I agree with Terry and would invest in Dale’s “Tust Magc” book – i’m halfway through it and it’s got a lot of good info in it.

Make sure the schedule is done by a qualified quantity surveyor as i’ve heard some ATO audits have knocked back DIY schedules and those done by people who weren’t qualified.

Also make sure they actually come to visit the property as i’ve heard some won’t and also that their schedules are for 40 years and not 10 years.

Make sure the QS that you…[Read more]

You’re right – i think they are rarer.
As they say, they don’t make waterfront land any more. Especially absolute beachfront which would have the strongest cap gains of all property.
But then again, you will also pay a huge premium to get one of these and yields will be very low at about 2%-3%. The baby boomers who are retiring soon and the…[Read more]

As AD mentioned, if you wanted to buy the property in your name only, you should get hubby to go guarantor for you.
However there’s nothing wrong with both of you going on the loan application, but the property being in your name only.

I’d highly recommend a trust structure to purchase your IP in as it will give you greater flexibility with…[Read more]

I’d also like to add extra info by saying that your selling price also has a base which includes the agent’s commission, advertising and conveyancing costs.

So with Michael’s example:
Total base cost = $110,500. Sale price is $135,000, so your gain is $24,500.

Sale price less conveyancing ($500), Commission ($3,000) and advertising ($1,500) =…[Read more]

Get an I.O loan.

“so what do you think i should do based on my figures? IO or P&I?”

As many have said before me, get an I.O loan.

Have a look at Derynaka’s post right before your last post where you asked the question “so what do you think i should do based on my figures? IO or P&I?”
S/he has summed it up beautifully and has answered all your…[Read more]

I agree with what the others have said, and recommend you DIY for the knowledge and experience gained, as well as to save some $$$.

I also receive their newsletter and have been to their seminars which is the usual spiel, i.e. “property is such a great investment, have a look at these statistics and oh, by the way we happen to have some…[Read more]

Hi Quasimodo,
I’ve also been investigating financial calculators to calculate cashflows, compound interest, etc. and some good models i’ve been recommended are:

– Sharp EL733A & EL735
– Casio FC100 & FC200.
– Hewlett Packard 10B (older model)
– Hewlett Packard 10BII (new model) sells for about $80 from Dick Smith and I hear it’s very good and…[Read more]

Hi GUNNER,

I think you’re referring to “split loans” where loans are split between a home loan account and an investment property account. Repayments are directed to the home loan, and tax-deductible compound interest accrues on the investment property. Ultimately, the strategy makes the interest on home loans tax deductible.

The main lender…[Read more]

For anyone looking for some reading material to get educated, here’s a link to some book reviews on real estate investing that i’ve posted on this site:

https://www.propertyinvesting.com/forum/topic.asp?TOPIC_ID=1141

Please feel free to add to it and also provide any other recommendations you think may help the forum.

Please lock this thread…[Read more]

Hi Jason, thanks for your advice on Jenman’s book.
If anyone else can add to the list or give their own opinions on some of these titles, please do so for the benefit of the forum.

Moderators: It might be a good idea to also lock this thread to provide a great resource for those getting started.

Bye,
Quentin

Hi aliases,
Firstly, congratulations on not spending $15k on a seminar. That sort of money is a decent deposit on a property and much better spent elsewhere other than a seminar. You can buy a lot of books for that sort of money and you’re probably also feeling a bit better about your decision if you saw 4 Corners on Monday night.

I’ve been told…[Read more]