Hi KP,

You said:
“Sal if you’re buying to hold then follow what Jan Somers says and that is it doesn’t matter when you buy, as you will pick up all the swings and roundabout over the long term”

Actually that’s not completely true. Jan does warn about buying around the time of a boom in her books!!!

Hi Tru,

Hmmm, do you really think being an agent today is worth it? In my area 2 agencies have closed down and amalgamated with other agencies in other areas. I think these people are “battening down the hatches” for the lean times to come.
I now also get pamphlets in the mail all the time from REA’s introducing themselves and begging me t…[Read more]

Wait a bit longer salacious,

Wait for vacancies to tighten up and of course rents will invariably start to rise, then make your move. (Duh stuff I know but worth noting……….. again!).

I reckon you’ll have a 2-year head start on the rest of the general public this way.

Exactly Monopoly,

There would be some sort of time delay that might test your serviceability but like last time they tried it rents did skyrocket.

I’d love to convert my NG portfolio to even a neutrally geared one and buy more that’s for sure!

Hang in there Property Lee. Soon your ex will grow tired of majority custody when she cant go out on a Friday /Saturday night because she cant get a babysitter. Always offer to take the kids at every available opportunity and document it. The more you get them the more you’ll get them (if you know what I mean). Before you know it youâ…[Read more]

I did some telecommunications work in the Isa many years ago and Greg F summed it up nicely.

Some parts of the Isa are really crappy. Stay away from them.

Some unit construction is so cheap and poor you’ve got to see them to believe them!

Good luck

Hey mono,

Pity the family law courts don’t see it like that (what’s yours is yours and what’s his is his).
Marital assets are marital assets no matter whose name their in!!!!!

When it comes to investing as a couple or going it alone give me going it alone any day. My ex loved to spend and was a real drag to our financial independence. Since we parted in ’99 I have more than tripled my net worth without her (courtesy of the boom of course but I am far more focussed financially). Also of great value is a good mort…[Read more]

Hi Brisbane 04,

At this point in the property cycle +ve gearing leads you offshore or to the back of woop woop and –ve gearing has you paying out for years and years waiting for CG’s.
So, for some to make money, a form of property investment “cannibalism” emerges where market savvy investors try to feed off the not so market savvy inve…[Read more]

Hi Calvin,

Yeah , but what’s left that’s +ve geared and worth it?

If one is that desperate to make $20 a week without the fear of your original capital declining, problematic tenant issues, maintenance etc etc, then just bring in a home made meal to work everyday instead of buying it!!!.

Sit it out a bit longer T D. With so many developments in the pipeline I reckon you’re going to see more price corrections with units in Sydney.

If –ve gearing disappeared a lot of investors would disappear.

What do you think would happen to rents for those investors who held on?

This is what happened last time they tried removing –ve gearing.

Don’t be afraid to sit it out for a while to see where things are heading! I think real estate is soon going to NOT be the flavour of the month (so to speak).

Good one Geo![biggrin][biggrin]

Hobnob,

Who did your divorce? Did it end up in court or was it a mutual agreement? Do you have kids? This would have changed your split ratio. Without kids your wage doesn’t come into it. You should have got out of your divorce exactly what she did (50 / 50 on the debt and 50 / 50 on the assets).

I would say that you’ll spend a lot of time –ve geared before you see those capital gains again. Although I know people who bought at the very peak of the last boom and today are way in front.
I personally would wait a bit longer (i.e what’s the rush to –ve gear?). Wait for vacancies to tighten up and possibly rents to trend upwards be…[Read more]

Hi Spoony,

Renovating / selling in a rising market tends to mask what value the reno’s add versus the capital appreciation the land added. I know of one chap (on another forum) who painted the front of a house, put up a picket fence and on sold a place for a $95k profit. He was delighted with his “profit”. His neighbour sold in roughly the…[Read more]

Is it in your depreciation schedule? If it is it might be financially advantageous to write it off!

Hi Tools,

Hey mate hope I didn’t offend you. Basically I’m a nice bloke really. I don’t employ many tradies as I do a lot of the work myself. But I do see, via friends and family, the results of crappy tradespeople. Just last weekend a mate had a slab laid in his backyard for a double garage. The concrete truck cleaned his excess concret…[Read more]

I’ ve got a friend who’s an electrician and he leaves a mess when he does a job. When the customer asks him about cleaning it up he usually replies with “I’ll clean it up at my hourly rate if you want!”. They usually scurry off grab the broom and clean it up themselves.

I totally don’t support his attitude here but this is the way he…[Read more]