Forum Replies Created
Have you heard of the "Hoffmans Brickworks Apartments' in Brunswick, Melbourne?
They are re-developing the old kilns.onthemoney wrote:Hi Packer I definitely recommend I/O loans if you are building a portfolio, in fact I would even suggest having a PPR set up as I/O as well. Whats the point of paying principal now when at some stage later on you will sell one and pay out the debt entirely. Any spare funds you have you can and put into your offset ready for the next purchase. The equity is simply the difference between the value of your overall property and debt. Paying into your offset is definitely a good idea to reduce the interest you pay and of course you have funds that you can draw down when buying another property. The equity will increase as the value of the property increases. You will need funds to buy another property i.e. deposit and costs. You can use any spare funds you have in an offset account and/or you can set up another loan split on top of your existing loans to access the equity for use as funds to settle your next purchase. You might want to consider keeping a safety buffer of funds available, say a spare $20k sitting in your offset. I can send you a flow chart that will give you a visual perspective on the funding structure if you like, just shoot me an email if you would like this.Thanks onthemoney,
Unfortunately I am currently away at work,so I havn't had a good chance to sit down with a calculator and crunch some numbers.
Once I have a look at your flow chart I should have a good look at how interest only will work for me.
Thanks for taking the time to help me out, I will let you know how I go.I went to AFS banned/disqualified persons and a few names came up. Is this something to be worried about???
DWolfe wrote:Hi Packer,It's ok to go off the plan, just be aware that the developer is making their money from you. There are plenty of ligit developers out there just need to check them out thoroughly. Find out what else they have built and go see it, ask for clients you can call to talk to about previous developments.
Get a good solicitor to check out the contract, check exclusions as well as inclusions, you don't always get everything you think you should get. Check the directors on the ASIC site see who they are then google for court cases etc against them.
If it is a rising market people try to get in "off the plan" then sell when complete to make a profit. That is where a huge risk lies. If you are buying off the plan and doing buy and hold make sure the numbers work for you. You can't add any value once the property is finished so you need to be happy with all the numbers straight up.
Do you mind telling us where they are developing?
D
Thanks Dwolfe, It is the Brickworks Kilns in Brunswick, the contract seems a little on the developers side, but I am assuming they are all a little like that, it's like you said it's all on the developers.
What is the ASIC. This wont be a buy and sell on completion definately a restrategise after 5 years.Felipe
No1 wrote:Brunswick is only 6 km north of Melbounre CBD (I have walked it a few times – not far). Access by tram and plenty of trendy cafes.. Only downside is it is not that cheap anymore. Id buy there. But be careful – there are a lot of shoebox apartments and studios turning up there. Try to get 2 bedrooms if it is within your price range.What are your thoughts on the development in the Hoffmans Brickworks? and also with the Kilns getting done up in to 14 loft apartments per Kiln, good or Bad?
While we are talking on Melbourne how about Brunswick??
What are your thoughts?find_another_slave wrote:There are many better options than off the plan. Beware inflated prices in Melbourne at the moment.Thanks F.A.S I do understand that Melbourne is pretty hot at moment to be buying off the plan. I buy this with a long term plan in mind though, not looking for the cheap buy so that in a few years time when it is built I sell and make some quick money (If the market rises). I am really on the fence, I have bought off the plan before and it was a reall good investment, but it comes down to the developer and the uniqueness of the project.
Ninety four feet is A melbourne developer and I would like to know if anyone has dealt with them before or heard of anyone who has?Hi Wasp,
The idea of me for egsample using a BA, is simply to get an idea how the "pro's" work. Ideally I will peal away from that once I believe I have enough experience to pick up the right deals, we arn't dealing with soft money here in the end, and if you are going to spend money on something you don't understand enough about it is an investment to use people who do this day in day out, like the old saying goes 'You need to spens money, to make money', right!
Has anyone bought property off a developer called '94 feet', in Victoria?
Please let me know if you have and if you were happy with them please, also can some one teach me how to post this up as a Topic on this site, really need some insight into this developer.Packer
What you lack in fear you gain in power!
HI Sjostrom,
Try looking into Momentum Wealth, I am currently going through the motions at the moment, so i can't give you a first hand
review but the are reputable, Owner and Managing Direstor is Damian Collins who is a property wizard.
Worht looking into maybe mate, Let me know how you go.Packer
