Forum Replies Created
Coloured render is tricky to get the right colour from a small sample (pretty much like trying to choose a whole house colour from a 2" square card from bunnings). Going down the base/intermediate/topcoat paint option is safer, and the colour is much closer to what you choose. Also be mindful that amature persons spraypainting could be disasterous if you havent got the right precautions in place for spraydrift. Cutting in and using a decent roller still results in desirable painted outcome.
Good renderers are hard to come by. Look forward to the pics Jamie.
pinkboy
camjanice wrote:Thanks Pinkboy. I bought in Plantation Palms, happy with this purchase too with all the new development – schook, and shops in the vicinity. Thanks for your info on Mirani and Marian. Will pass this onto my friend. (and wish I had more $$ to spend up on investing but have to wait!).I think PP will do quite well in coming years with the whole area going through its major development you mention.
pinkboy
camjanice wrote:Pinkboy, I would be interested to see what areas of Mackay you recommend, being a local. I have a friend buying a house and land package in Mirani. I was thinking it is a bit far out of town but maybe it is closer to the mines? What are your thoughts? Cheers, JaniceHi Janice
Personally I think Mirani is just a wee bit too far out. 9km closer to Mackay is Marian – this is where all the action is going to start (well it has already). With the new Development Approval of the Marian Town Centre, coupled with its ease to get to and from the mines makes it very attractive. I have a Dual Occupancy block (Im building 2x detached 4/2/2) and 2 further blocks in the next stage which will title end of October (also building 4/2/2). I also just got pre-sale prices from stage 9 of Nabilla Riverlink Estate from the developer (I have already bought 3 blocks here, might as well look into getting the pick of the next stage as well).
Marian is the same timeframe to travel to the CBD as Blacks Beach or Shoal Point in the northern beaches area. It might not have beaches, but it is right on the Pioneer River. Also the commute is shorter for miners wanting to get home. The newer estates properties have been getting the mid $400's in rent, with a few properties generating $500+ for 4/2/2 with decent sheds for all the 'boys toys'.
If you want any other info about Mackay, PM me. Im no expert, but I do have 28years of local knowledge (ok, so now Ive revealed my age) and some property nouse!
pinkboy
Portfolio PI wrote:Hi All, for those following my regional research here is some information for Mackay on the blog. http://ppiqldtour.blogspot.com/2011/09/mackay-central-qld.html Thanks for following!I live in Mackay and knew about 80% of all the projects you listed. Some are a little outdated and some a definate NO GO, but I think you nailed 95% of everything going on in this great town.
It gives me great confidence in my properties here and the current ones Im building at present.
Keep up the good work.
pinkboy
engelo10 wrote:I think the reason is because the mines arnt as developed yet in Collinsville, its pretty close to the water tho(well compared with the other mining towns). Supposedly they call it the RITZ of mining towns cause of its proximity to the ocean hahaha. I remember seeing it come up in the residex best rent property report last year. The report had a positive outlook on Collinsville and the surrounding mines.Mines arent as developed there? Little short sighted I think, as Collinsville Coal Mine owned by Xstrata (operated by Thiess) was the first mine opened in the Bowen Basin back in the mid 1800's. It is now a 2x Dragline+ operation.
Just worked at Sonoma Mine Tuesday and Yesterday. It has been operating since 2006. As it is a truck and shovel operation, combined with high rock/ash content in its coal, there are plenty on maintenence issues for both the mining operations and the washery = plenty of contractors (like myself) working there, mostly travelling from Mackay/Bowen.
There is also a major Powerstation 5km from town. 85km from Bowen. The housing in Collinsville is quite run down, would suit the astute builder/carpenter type experienced renovator.
pinkboy
dcwwood wrote:I'm definitely leaning towards Mackay, its a real muscle town offering so much more that just coal-seam gas projects.
Pinkboy, the estates I'm looking at are Plantation Palms, Avalon and Mountain View. Do you have a preference – based on location to CBD, surroundings, costs, potential for growth etc? Will most likely be doing a H&L package.
Of those 3, I believe Plantation Palms will be the performer. Good mix of parklands, close(er) to shops, new approved school in the estate (with cyclone proof hall), all underground services including gas and broadband, 50/50 mix of owner occupied/rentals. To me, the other 2 estates have less potential, and are further out (but not by so much anyway). They will be more 'rental' properties, and have less vibe. You still have to crunch your numbers.
Buy land (pay less stamp duty too) and then source a builder. Otherwise you will be paying quite a premium for the house+land package. In your price range you are going to find building a 4/2/2 pretty hard with prices hovering around $1500/m2. That is around 160m2 house.
If you can save a little more for deposit, Id be looking at Premier Gardens or Cuttersfield and build a slightly bigger house, which will give you a little better growth and rental return.
I am using a couple of builders currently building spec type homes, so if you want any names and numbers for builders, PM me.
pinkboy
Where in Mackay were you looking to invest – suburb, estate???
Which builder were you looking to build property with?
Looking at house+land, or buying land then choosing builder?
Fully furnished?I live in Mackay, and I can help you a little should you need any questions answered , or I could point you in the right (generally right) direction.
pinkboy
csydney wrote:Has anybody got some useful suggestions?1. Get a job(s). You will need deposit, plus expenses
2. Learn the property game (joining here is a good start). Books, internet, possibly seminars dependant on situation are readily available.
3. 1+2= Get youself into the game by contacting a Mortgage Broker (those that are on here are easy to spot, and are all property investors), along with a reputable accountant and solicitor.
4. Buy property.
5-99. Repeat #4
100. Become a buyers agent (spotter).pinkboy
Sounds like no exit strategy for any member of the venture was put in place before entering in the agreement together. I havent got any specific advise for this scenario, but there will be (financial and emotional) lessons learned on this that is for sure. It sounds weird, but exit strategy should be the first thing to consider when making most decisions in life.
pinkboy….married… with an exit strategy! *JOKE*
cheng wrote:When I told these issues to the agent, he mentions that he is selling the house not a boarding house amd I should understand the value of this IP that he is offering. The other 5 potential buyers do not concern with this issue at all. I am not what he implied on this.Is there any other way to avoind these issues?Cha ching!!!!!!! The oldest RE saying in the book! If the '5 other potential buyers' are not concerned, why hasnt the property been snatched up? Why is the current owner selling (maybe they have not got the said approval for instance)?
pinkboy….caveat emptor
Red Flag.
Imagine it…..claiming 40 years capital allowance depreciation on a brand new build straight up first year, then selling up because your circumstances with said property have changed, and probably because something has turned south, with no ability to repay what you have already depreciated. Unfortunately no-one has a crystal ball to see into the future.
pinkboy
gomez109 wrote:So, if you wanted to make a bit of money from this, couldn't you buy a large block of land now (under the old stamp duty rates) and then commence building 3 townhouses for investment purposes on the land after 1st August, you could claim this 3 times, couldn't you?(Of course, it does need to make sense in its own right, but given I was thinking about doing this construction anyway, seems like a good way to get the government to give me $30,000)….
I was going to ask a similar question. I have recently settled on a large block and have chosen a builder etc and currently putting together all the required information for a Dual Occupancy DA. On August 1st we are going to sign the building contract for the first dwelling only, and then submit the DA on the 2nd of August. This will (in effect) stagger the build (approx 60 days) and we will then sign up on the second dwelling, thus hopefully getting the $10k grant twice. If its not possible for the second $10k, at least the first one will be a bonus (but the 2nd one would be icing on the cake). I cant find the fine print to see if this is possible, but might make a few calls in the next few days to see what the deal is, unless someone can confirm/deny?
pinkboy
X + Y = Z
Deposit + Servicability = Loan
Can you cash in any assets or bring money into Australia to purchase PPOR outright?
pinkboy
$6k-8k
I run a business where the general terms of all my suppliers are 30 days EOM and my clients basically stipulate thier own terms upon you which are 90 days EOM. We are always forecasting work/payments etc 3 months in advance, so at the moment June/July are long gone, and we are looking well into August already!
I cant speak for retail as we are in the mining industry, but keep chipping away at creating a month or two buffer before handing over some control to your employee, so if they do start to falter, you can step back in before its too late. Worth considering.
I was once in your position, but the employee circumstances changed in an extreme way and faster than immediate, right when the handing over was imminent, so back to square 1, with the finger on the pulse.
Keep at it!
pinkboy
Sash wrote:Paul – Thanks for the insight mate, I briefly thought of that as a concept but thought it would be rare to come by.Shape – Cheers for the feedback regarding banks perception on income generated to business towards the loan repayments. After further research it still seems that the biggest hurdle will be a deposit. What is the highest % LVR that banks would allow generally? I understand business' are assessed as higher risk than standard residential property however if one can run a business as an absentee owner, the extra cashflow would be significant in servicing debt to fund more property ventures.
Does anyone have any experience in absentee run businesses and what niche's work? My 10 year plan would hopefully run along the lines of overseeing 3-4 small business for cashflow and doing property ventures for capital and long term wealth creation. Even though I have a great income from my current role in excess of $120k pa, I believe I can get a better return from my time further down the track when I gain a little more experience than my 22 years of life.
Any thoughts/advice would be much appreciated.
I run my own business, have my own niche market, and use it as my vehicle that drives my personal wealth creation. I started my company at age 23 from scratch, so you are in the exact same place I was 5 years ago. It is great to see young people with vision to run business, but I cant stress enough to fully understand what you (may) get yourself into!!!Running a business has its own inherent degree of risk which should be thoroughly investigated and due dilligence should be carried out, especially buying an already established business.
From my experiences (and expanding further from Shape's comments), more mainstream businesses (franchises for example) which have modelled training and proven recepies for success are a more safer bet, but generally profits get taxed within the franchise (royalties etc), and thier locations (shopping centres) attract higher lease terms.
Businesses that have staff are more challenging. Right from management down to the floor sweeper, you will have staff issues until the cows come home. Big things, small petty <moderator: delete language>, pay advances, bickering, and just pure no common sense to name a few. The more staff, the more you will put up with if you are the direct port of call for the business. When you get a great team together, do whatever you can to keep them, as they are more valuable to keep the business ticking over than holding onto dead wood!
Starting a business from scratch is hard, and I liken it to being 'on commission'. You gotta put the hard yards in, and what you put in is what you get out of it. Starting from scratch is very rewarding (well it was for me), and watching what you created grow is very satifying! I had reached my 10year goal at about the 3rd year, so I had to rehash my goals, but there is the new drive to land that big contract, or a highly profitable job that keeps you going and keeping you on edge!
I would say that a business run under absentee management that is highly profitable would have a serious premium price attached to it, again getting back to due dilligence on your behalf, or why would someone be wanting to sell?
pinkboy
Would be very minimal exposure at best, I wouldnt worry too much about it!
pinkboy
I would at least obtain permission in writing, from whatever source (solicitor, vendor, agent). Just getting 'the nod' might open a can of worms for your sale should the vendor get nasty about you picking up further defects etc in the repaired area.
pinkboy
Take a hammer to the pots!!! 1. It will make you feel good; 2. When they come around to collect, you can claim ‘they broke’!
pinkboy
thecrest wrote:After Bunnings bought out the main local hardware concern in a central west NSW country town last year, the application form for credit required the applicant to agree to using their real estate as security for default.Read the application form very carefully.
Cheers
thecrestI read this in my application for credit at Bunnings in my home town. Very concerning watching all the tradies walking out of thier trade shops, especially when some very large local builders have gone belly up recently, leaving these tradies in the lurch 2-fold – bad debt, loss of work! When in business, never say it will never happen to you!
pinkboy
