Paul / Karen,On average, how many vendor financed properties do your aquire to service one buy and hold?PJ

Paul,The vendor finance technique is very attractive for the reason you are using it. As a method to develop your servicability.How time consuming is vendor financing? Are we realistically looking at running a full time business?PJ

Hi Terry,The company over the years has dabbled in many different ventures. Some successful, some have tanked. Currently it is a pty ltd company and I am the sole director/share holder. Its only form of income was the failed venture that was sold at a loss and has left this bad debt. The interest repayments are still rolling in and I am paying t…[Read more]

Terry,At the moment my personal salary is being sucked into paying interest on a loan that is for nothing. The original loan was for a business that has been sold and unfortunately the sale has not paid out the original loan.Leaving me with bad debt. I have had to go and find a job to support the family and the bad debt. Thank god I have no mo…[Read more]

Guys,These are issues I can technically sort out. But how do they stack-up when you do the numbers?Do these type of projects ultimately always end up blowing out?PJ

Hi Terry,So, are we saying the only way i can pay this bad debt out is cold hard cash?PJ

John,I am in Perth. Any details would be appreciated. send them here : marsbox@safe-mail.netTerry,I have enough equity to borrow an amount for an IP that includes the amount of bad debt. This loan would pay out the bed debt and purchase the IP. I would have paid more for the IP but I now have no bad debt loan draining my cashflow for nothing.…[Read more]

Hi John,Thanks for the insight.Sounds like you were in a similar boat I am in right now.My objective is to, what I call, change the colour of the loan. From debt that is doing nothing but draw on my cashflow into debt which is for something  appreciating my wealth. The obvious thing is to sell my PPOR and start agan however, that is an emotional…[Read more]

Hi Guys,How much cash should I have at hand? 40 – 50K?How should I use this cash?PJ

Hi guys,Thanks for the feedback.I have no debts. No credit card, no personal loans nothing. Other than a small mortgage of under 50K on my primary residence which, based on the sale price of houses around me, should be worth about 500K maybe more.My income is 65K/year gross (total combined income). I don't know about you but the cost of living is…[Read more]

Hi guys,Let me clarify, I am employed, I just do not have residual income. After bills, family and health there is only enough left to put aside for those little emergencies we all seem to get. Just a few thousand a year tucked away. It seems a pure positively geared property is an intermittent rarity rather than the norm. Which leaves negative…[Read more]