Thanks for sharing martinw, have a good day

Yes, I’m inclined to agree with the concepts you’ve outlined.

Some will put forward the scarcity factor of property, but I read in the Economist where both Hong Kong and Singpore have had a severn year decline in property values. Neither of those places have much land available, so that’s not a valid arguement.

Some will put forward the “intrinsic” value of property and being “better”, somewhere a family can live, unlike a share certificate. Why would one compare a dwelling with a certificate for the purposes of deterining the best abode? They then use this “proof” to indicate the best investment vehicle.

I’m not suggesting one is better than the other (ho-hum, not again), however, it appears that some people need to clarify their reasons for investing in a particular vehicle type.

To say: “My son and his wife can live in an investment property I bought. They can’t live in a share certificate.” is only showing that this persons prime motivation to purchase this asset type is to provide a home for someone else, not to choose the best overall investment.

We’ll maintain the properties we have, but after 120+ days for St George to refinance on one of them (which they still haven’t completed), I’m inclined to look at investment vehicles that are somewhat easier to move in and out of.

Michael

Count me in as well.

I think the key here is that no such group yet exsists, but it’s obvious the interest is there so let’s organise one. We probably need to agree on a time and place as convient as possibly for all Sydney-Siders.

I’d say the last wednesday every month, somewhere in the city.

My girls are addicted to “feeding the dog” at Safeway. We can not go shopping there without dropping loose change into the Blind Dogs Assoc money box.
They know where the money goes…so they are also moving towards buying presents for kids on KMarts Wishing Tree and stuff like that. Im proud of them both []

As for embarrassing….my eldest, when she was about 2..while waiting in a queue, walked behind me..lifted up my (very long) skirt…and yelling PEEKABOO!! I SEE YOUR RED UNDIES!! There were about 8 very amused shoppers..and one VERY embarrassed mother. Needless to say….I felt the urge to stop waiting in THAT queue.LOL

~ Heaven doesnt want me and Hell is afraid I will take over! ~ :þ

YES!!

PINKY FOR PRES!!!

She…I mean me…has MY vote []

Now wheres all that cash…alchohol…bribe…or cash?? Dont make me tax semi naked people….I dont think I can be that heartless!! [}][}]

~ Heaven doesnt want me and Hell is afraid I will take over! ~ :þ

Hi Argelle,

You’re in the perfect location for that. Appears to be both growth and rental cashflow in your state. Use it

Regards, Phil

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Hi guys.

Im a domestic engineer with 5 children trying to bring my dreams into reality.

Wealth, time and more dreams – bring it on

Have no IP as yet, will get there

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Hi Bill,

Keen to talk with you. Please say g’day.

Regards, Phil

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G’day…

Started in Real Estate in 1971. Self employed since 1972. Added Mortgage consuting in 1993.

Sold out in 1980….traded futures and option writing for 9 years. Back to Realestate and mortgages 1990 as agent/broker.

Last 2 years I’m my only client, I have…more fun no hassles, no office…love doing deals.

Billfromoz

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Hi Bill, Tas and Cobra

This is the guts of the risk .. repayments flipping the positives over to negatives, where the positive is marginal. But then, risk equals return. If the break even point averaged over your properties is 8.5%, I believe we have a while to go before we approach the danger zone.

Still “wrapping” my mind around the best approach. As per Steve’s advice, minimise the risk, maximise the return. I see it all as a balance of finding investments which may achieve some growth, where needed to downsize by selling, to fund the interest rate gap (lower refinanced capital) yet beating an opportunity cost on a cash on cash return less than those other opportunities.

Interesting to consider how one might arrive at a ratio of fixed, P&I and I/O loans. First thought is totally I/O to maximise the basic purpose of cashflow. Continual refinancing will have one-off costs each time also.

It’s a garden which requires regular tending. I have learnt that. I’m aware that one can’t hope to find a set-and-forget loan, with never ending cash return purchases. Can you guys suggest a frequency of, and how to conduct, a health check of investments. What are the red flags to look for?

I guess if we had all the answers, everyone would be doing this, yet no one would be making money.

Has anyone found the magic formula ? (Apart from Steve that is !!)

Regards to all, Phil