Thanks for the information and back story Benny.  It's nice to know I am barking up the right tree even if the tree is falling…or is it?

Mandurah in WA.  I just read an article on API that said that while the entire country had experienced growth of an average 2.2%, Perth (and so presumably its surrounding areas) saw a drop of 3.8%.  Mandurah is just 70kms south of Perth, situated right on the coast and has a great lifestyle.  They recently invested in a new train line to link it…[Read more]

Thanks for that I have also found on http://www.realestate.com.au that you can see that average house price for the last ten years or so.

I'm struggling at the moment to see reports of any plans in the town where I live too to anticipate CG.  I know that there are more places to invest than just where I live but it seems sensible to do it where I live…[Read more]

Thanks to you both.  I am in Mandurah WA.  Do you know how I find out the rates?  I would like to be able to find out the accurate council rates too.  At the moment I am taking my figures from a 3 bed that I have seen advertised and just entered the calculation to accommodate a 4 bed, 5 bed etc and added a cell in my spreadsheet of how many…[Read more]

Redwood wrote:
When you get the dog boarding ste up let us know if you are in melbourne!

I am in Mandurah I'm afraid.  I am interested in doing a house swap once I have bought and visiting Melbourne but I think that is about as close as I can get to helping you out.  We could come see Melbourne and look after your dog too…  Ever fancied…[Read more]

I am new to all of this Terry and to me they seem like the same thing.  Of course there will be differences.  Would we have more protection if we structured it as a trust buying the house?  I know that initially, the entity in which the business is set up under can make differences in protection and liability.  Is this falling under the same…[Read more]

Thanks for the info.  I'll be losing that straight away then since my wife will be running a dog boarding from our house as soon as we buy it. She runs a dog walking business at the moment and she has a lot of requests for boarding which we cant do in our rental.  If I have lost that already, I may as well make as much from the property as…[Read more]

Well that's opened my eyes to something I didn't yet know too.  I didn't know that there was such a thing as CGT exemption on your main residence so thanks for that, good news.  Presumably that's as simple as it sounds.  If you make a gain on the property you live in, there is nothing to pay on tax on the gain?

It's not something I have put a lot…[Read more]

Of course, but wouldn't it be good?

Joelcolley wrote:
Hey catalyst thanks for your reply. 

My long term goal is to replace my salary in passive income – 70000. Essentially to develop a positive cash flow  property portfolio.

guess I would consider renting as I would likely save money each fortnight and would not have to pay annual bills. I definitely have not confirmed costs yet…[Read more]

Surely cash only would be no good to you because you wouldn't be able to use the costs against your tax at the end of the year.  I've assumed that cash means no receipt too?  I think the kitchen looks fine too.  I'd like to see what difference the upgrades make if you would be kind enough to post the after pictures too.  I'm new to this so it…[Read more]

I'm watching this.  I am a huge fan of Florida and have dreams of owning property there one day. Been there 5 times and would like to be able to spend some retirement there in my own place.  They have been in trouble for a while though to my knowledge.  I looked into buying there about 5 years ago and I know there were a lot of price drops back…[Read more]

Is there anyone in Madurah WA recommended? Not just PM's either. I would like to get in touch with anyone in this area who could help me who comes with a good recommendation even though I'm not ready to buy yet.

So who would be notoriously good for planning to release equity in the future and grow your portfolio.  I know you can't endorse anyone but since this is all new to me are their known players in this field?

Ok and thanks again for your advice.  So I guess my next question is what are common mistakes that are made?   I know that rushing in is silly and a fools game.  Research is critical and knowledge is power.  Would any of you be happy to highlight some of the mistakes you have made or point me in the direction of somewhere I could find those…[Read more]

Benny your answer is very understandable.  I couldn't explain it to anyone else just yet but I get the principle.  Thanks

Catalyst, I like your thoughts, to evaluate from the point of view of including the borrowed sum since you are liable for it.  

So I need to know how to increase the value and the profit of the property just like an investor…[Read more]

People will become tired of me asking questions no doubt.  Receiving the answers gives me the pieces to the jigsaw but getting those answers to stick to hard memory is the next step and during that process I am bound to cover ground two or three times and I expect that people will find that tiring but hey ho, I cant please all the people all of…[Read more]

Thanks all.  That was my query.  So if we look at the figures above as realistic figures, how can people ever achieve the minimum 7% yield that I hear Nathan Birch saying he only invests in?   I was led to believe that your property price roughly is your weekly rent price..  ie $400k purchase will generate $400 per week.

Qlds007 wrote:
Charlotte which lender did your current broker advise and why?

From what you told me by email i have an idea who i would have recommended especially with 100K deposit but always interested to hear what someone else in the industry recommends.

Just ask your Broker do they own a property or two and then secondly do they owe…[Read more]

I'm comfortable with investing in domestic property even though I do not know the very best way of structuring it.  I have a good idea on the best way, ie having an offset account so you are ready to take the money back out whenever you like and ensuring that you have at least a cash flow neutral property.  I know I need to buy in an area which…[Read more]