Forum Replies Created
Thankyou everyone for your input. I would dearly love to have a shot at it, but I am not sure about the risk-level at the moment. That’s why I wanted to pick all your brains! Foundation, hubby and I would be buying under-market properties – at least, that’s the plan…we’ve just finished reading “The One Minute Millionaire” – wow, talk about inspiring. Certainly helped us to see there’s plenty of opportunities out there!
Thanks again everyone. Will let you know how we go…
Redhaven.
“I alone know the plans I have for you, plans to bring you prosperity and not disaster, plans to bring about the future you hope for.” ~ GOD ~ (Jeremiah 29:11)
I agree with Kerwyn. A week goes quickly! Perhaps mention that for reliable payers each 6 months they get $100 voucher to spend on making the house their home?
Redhaven.
“I alone know the plans I have for you, plans to bring you prosperity and not disaster, plans to bring about the future you hope for.” ~ GOD ~ (Jeremiah 29:11)
And thanks Dazzling, yes I did read that post, so did hubby. We are considering the commercial side of things but so far we’re getting very good results with our rentals…will probably stick with what we know til we get up and running a bit more. Thanks.
Redhaven.
“I alone know the plans I have for you, plans to bring you prosperity and not disaster, plans to bring about the future you hope for.” ~ GOD ~ (Jeremiah 29:11)
It was approved a number of years back then it fell through (before we bought it) because a neighbour complained. However, now that neighbour is also willing to sell his block beside us for development…however the council is saying “not yet”. I am not sure where you got the 5M bit but you can see why we’d be reluctant to sell at the moment, for the going rate, when it isn’t costing us to hold it. We just have to sit tight and wait. Even if it takes 10 years, it’s accruing in value all the time so we will be able to use the equity in it. Don’t get me wrong, I am a microwave girl and would love to do it all now, but maybe I am learning a lesson in patience here? Not my favourite subject…
Redhaven.
“I alone know the plans I have for you, plans to bring you prosperity and not disaster, plans to bring about the future you hope for.” ~ GOD ~ (Jeremiah 29:11)
Yes Jason, we know it’s going to happen. We actually bought it from a developer who went bust. It’s right beside the township. The surrounding development is all 1 acre down to quarter acre lots, and our property is unique and has wow-factor in that the views are breathtaking and are unable to be built out, and every block would have an incredible view. If we sold for 1 million now it would hardly be worth it, it’s not that much money in the big scheme of things (although years ago it was the magic number) but if we wait 5 years we stand to make around 14 million from the place on todays prices…to me that’s worth hanging out for. So selling it isn’t an option. We can get around 460pw rent from renting the two farmhouses out, which amply covers the loan repayments of 340pw…much less once we put that 100K against it, if that’s what we do?
Redhaven.
“I alone know the plans I have for you, plans to bring you prosperity and not disaster, plans to bring about the future you hope for.” ~ GOD ~ (Jeremiah 29:11)
Foundation and Terry, thanks for the input. Foundation, I understand what you are saying. I was thinking more along the lines of 4 to 6 a year and doing them during school hours. However I know you and many others are of the opinion that prices will soon be dropping, and as such perhaps it’s wiser to sit tight and wait!?
Terry, we would be leaving the farm with our PPOR and an IP on it, and renting both out. We would not be planning to move back into our PPOR, instead would be buying or building another one at Redcliffe. Here’s a question for you. When we eventually develop the farm property the value will have risen considerably. If we’ve had it as our PPOR for 5 years and then rent both the houses out for the next 5 years (not the whole 100 acres) what does this do to us tax-wise when we start cutting it up into blocks? Would we be better to leave the PPOR empty in the meantime (or relocate it?)
And back to our original question, another thought, would we be better off to rent for 12 months in the expectation of the market dropping considerably, rather than buying in this year?
Aaaaaaaaagh so many questions!
Redhaven
Try Residex on this link.http://www.residex.com.au/index.php
I believe they have lots of different reports to choose from and reasonably priced for what you get out of them.
Redhaven.
Thanks Calvin for the reply. Hubby and I are both rather burnt out from overwork and financial stress over many years. We would like to re-discover each other and spend quality time with our family. Hubby has quite a decent paying job here in Toowoomba but cannot transfer. He would probably get another job fairly quickly but then we’re back on the working treadmill, kids growing up and not enough time or energy to put into fun stuff. Our desire would be to clear 80K a year from reno/sell’s…so we can organise our life with family as a higher priority to work. Hope this makes sense?? The farm will eventually be approved for development, which will set us up very nicely, but until then (could be 5 yrs away) we need to use this 100K in the wisest possible way, like a catapult, to get us up to the next level.
Redhaven (Kerrie)
Tony, it seems to me you have no focus. [blink] I did a search on your previous posts and every one had a different tangent, thrust, idea, goal. Obviously you are keen but I can tell you from one who has lacked focus for years, that you need to FIND FOCUS. Okay, you want to invest in property, great. But one minute you’re at home with your mum and planning to stay there another 3 years, next minute it’s a coffee shop partnership, next minute you’re planning a shift to Melbourne, another moment it’s help with a vacate notice…you don’t sound very focused to me.
My thoughts would be to encourage you to “settle, petal”…and read, read, read. Sit down with a calculator and work out a budget…and stick to it. Get out of your current financial problems before you start planning to spend borrowed money.
Yes property can be very good financially, but what are you going to do when a pipe in an IP bursts, or a tenant doesn’t pay rent…you will need “sleep money” as Jan Somers calls it, money put aside to cover those unforeseen problems that do, eventually, crop up! If you can’t manage your own life you certainly won’t be able to manage a property portfolio.
So settle down, you’re miles in front of lots of people simply because you’re young…plenty of time to learn, and get the basics under control. Don’t go racing into investment without the basics secure and strong.
If you’re anything like I was at 20, you will ignore this post and keep charging away with various ideas but getting nowhere, and not bothering to budget. It took me years to smarten up. It’s an ongoing process![biggrin]
Redhaven.
Redcliffe Qld that is![biggrin]
Maybe it’s past my bedtime but I don’t really understand…..sorry!?[blush2] Who, apart from students, would be interested in renting just a room, anyway? Sorry John, I am unsure exactly what strategy you have.
Redhaven.
Good one Brendan. Sometimes it seems you are 16 going on 46……[hmm]
Gotta wonder![wink2]
Redhaven.
Wow guys, certainly a lot of food for thought. We’ve written to the tenant of the brick place and offered it for sale if he’s interested (outright or otherwise) and if he bites then we’ll look at buy/reno/rent the other one. No reply yet.
Foundation, there’s not many times I agree with you as you often come across pessimistic, and I tend to be an optimist, however, I agree with your last post. I, too, would walk away if a better, cheaper home beckoned…! Thanks for the input.
Redhaven.
Ik’m with Derek…where’s vacancies increasing?? Certainly not Toowoomba. We advertised an old farmhouse IP in a rural area for $200pw and got more than 30 phonecalls, swamped with applicants from all walks of life, and ended up with fantastic tenants who want to stay “forever”. Many who rang commented that as soon as houses hit the paper they were rented. One family even offered us $240pw if we’d choose them. None of our IPs have ever been vacant for long![thumbsupanim]
Can someone PLEASE! tell me what the [baaa] sign means?????????????? Is it anything to do with sheep or am I in the wrong flock??
Redhaven
Heaven help us if we have to put disclaimers on the bottom of fun threads!
Redhaven.
This post was in no way directed with malice at anyone living or dead, with or without a sense of humour…
Oh dear. Yuck. I had been trying to keep an open mind about him, “eating the meat and spitting out the bones” to use an old saying. Sometimes the most ignorant folk can be the most judgemental.
YUCK.[puke]
Hi Soum
My gut feeling on this would be it’s too many eggs in one basket? I guess it depends on your own bank account. Myself, I would be inclined to feel it too great a risk for what you’d get back out of it.
My advice would be to sit down for HOURS with a calculator and go through every scenario possible until you find the best and worst case. How would you handle rising interest rates, hidden problems with the house that may come to light? I know of one home, sold for 900K 8 years ago, that had major plumbing problems from top to bottom. Be careful.
Redhaven
I love my old tabby cat who knows my thoughts before I do…..he’s quiet, sensible, non-intrusive company compared to our two farm dogs who can’t be near you without licking and pushing! However, we have bought a Lassie Collie, and they are the most gentle dogs…it is truly just like having a large cat sit adoringly at your feet. So there you go…I thought I loved cats best…
My question: What good can you do tomorrow that will make an eternal difference?
Invest in long johns……[lmao]
