Forum Replies Created
Hi Jamie,
I was planning on getting the solicitor to review the vendor statement and contract during the cooling off period, rather than going to him for every property I'm willing to put an offer in for (I understand in VIC I'll lose 0.2% if I cancel during this period). I'm just not so sure on the restrictions I should place on the B&P clause.
Also, another question I had:
If I put in an offer (and I understand in VIC you basically sign the contract as a written offer), I have my 3 cooling off days from the day I sign. If the Vendor chooses not to accept my offer for 3 days, I could lose my right to cool off before it has even been accepted. What time restriction on the offer is common? 24 hours? 48 hours? Appreciate any help with this one too.
Thanks JacM,
I've had a look at Residex and found that Bayswater for example:
House
Median Purchase: $436k
Median Weekly Rent: $370
Gross Yield: 4.41%
Unit
Median Purchase: $348k
Median Weekly Rent: $350
Gross Yield: 5.23%
The average growth for both types of property in the area looks similar, and the vacancy rate seems to be at an average of around 1.5%-2.0%
Am I missing something here, is there a reason you would chose to purchase a house of a unit in this area? Granted there are options for subdividing on a house.
Also, when you say 'cover the holding costs', are you suggesting the best approach is to have the rental income paying for mortgage interest, rates, insurance etc. and any additional income remainding should go to my PPOR, or any other loan in which I can't offset against my personal income?
Would paying only 5% or 10% of the deposit and leaving the rest in the offset be worth it in the long run? I would have to pay a higher interest rate for the loan I'd like as well as paying LMI.
