lmao….I liked that one

I know of someone who recently bought a property at auction for $ 700 K yet the lender’s valuer saw fit to only place a value of $ 620 K on the property ‘because he considered that the
purchase price was too high’.

This is unheard off as it is pretty well standard practice that a sale at arm’s length (certainly a sale at an auction) that the valuer automatically would adopt the selling price as the value of the property.

So yes it certainly looks as if prices may be in the process of stabilising for a while.

The market collapsing ? At this stage that is much too strong an expression to use.

Pisces133

I don’t understand what is so complicated about the subject.

The less securities one commits to a lender for a particular loan the more ability you retain to
raise further moneys if required.

Pisces133

Bill,

Thanks mate but I’m still confused. My home is where I hang my hat, if I owned a hat. I have no emotional attachment to bricks.

I understand the long term thought as per Mel’s approach. What of having cash on hand to grab an opportunity ? I don’t plan on living here forever. What’s the diff in selling whether it be IP or PPOR, given your point on 12 months and 1 day ?

Regards, Phil

Hi Mini,

I knew someone would compose the same thoughts as I. You saved me the trouble.

Regards, Phil

Alf,

HELP !!

I am experiencing the same indecision. I’m a bastard for procrastination. The what ifs are never-ending. One thing I have learnt, when I don’t know what to do I do nothing. Then the market makes it’s decision for me.

As you said Kay “If you think you have max value, then it’s time to get out”. Yet .. Mel’s proven approach is one of long term thinking.
Bill.. you’re a bugger for making me think. No, I would not buy my own house today, but yep I’d short sell it. Question is, where does this leave me for borrowing next time?

CashKing .. maaaate .. I just love your succint, colourful and “to the point” approach. Your thoughts are what I needed to hear. You have certainly made me think again. Thanks for your reply here. I think I’m acquiring a taste for blood!

Rather than start a new thread, would those of you have responded here be happy to reiterate your thoughts on my simple dilemma? Kay, I like your point about selling up to buy other cheap properties in time. Other opportunities apart from direct property investing are also an option.

Agent suggests I would realise $300K. I owe $220K. Bank valuation for debt consolidation came in at $255K. So, I know it’s inbetween the two.

Prediction .. rates will increase by 0.25% next quarter, followed by another 0.25% – 0.5% within say 6 months.

A/ Stay as is .. no car payments nor credit card debt due to consolidation. Increased mortgage payments (PPOR)with a levelling off in CG at best.

B/ Sell .. Up to $80K cash in hand (call it $50K at worst), no more car payments, no credit card debt, have to rent, cash at ready for opportunity.

Last question .. My PPOR is in Canberra, as I bought in January, am I subject to CG tax if I sell prior to 12 months ownership?

Thanks for those of you who have stayed with me on is. I do need some direction, as simple as my dilemma may sound.

Thanks for your valued time.

Kind regards, Phil

Having an option to buy and thence selling the option ?

I believe that the stampduties office would consider the option itself as a document which will attract stampduty at the same rate as a contract.

So you wouldn’t be able to avoid stampduty unless your friend the developer would be prepared to co-operate.

And both of you would be breaking the law by being a party to evading stampduty.

I doubt that a solicitor would be readily be prepared to be involved as it wouldn’t be worth his while to run the risk of losing his ticket to practice.

The vendor’s solicitor too will not be happy being involved and will therefore be advising his client (your friend) against replacing the contract to purchase with a call option.

If you want to get advice from your solicitor it would have to be based on a hypothetical scenario.

You can also get the same information free from the stampduties office.

Pisces133

Mc Cleods daughters….never watched it…looked way boring.

Home and Away sux

Any sport program..especially when the men are fully covered…sux

That david letterman dude……sux

Days of our lives…I mean that sux so bad it SUX!

BachelorbacheloretteMarry a millionarireJoe millionaireWho wants to be a millionaire… they all pretty much sux too LOL

Bring back Happy Days!!! The FONZ was a reaaaaaaal man!! LOL

pinky is here!!!!!!

I worked all weekend….explains my absence LOL

Arty has been busy keeping the kids busy…and hes had a few tests….nothing bad!! He will be back to his posting self tomorrow LOL

And muppet…dont tell anyone…..but I missed you too!!![] [] []

~ It is better to live on your feet than to die on your knees ~ :þ