Forum Replies Created
How much has your Broker/Bank said you can loan on these properties under 50sqm?
Some Sydney Investors on this Forum may be able to give you more “local knowledge”re the area etc
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsOriginally posted by queengucci:Hi Guys
I live in WA and are def priced out of the current market and looking to invest in other states.
I have my eyes on Sydney CBD because I believe it is under priced for an international capital city.
I really dont know what to look for because all I seem to be able to afford is a 1 bedroom unit in a high rise.
Is it a good idea buying a 1 bedroom and a high rise building for rental reasons???
I dont know I guess I have always looked for traditional family homes 4by2 and a little scared to invest in something like this..
??????????????????????????????
If you think it’s underpriced and will achieve better CG than investing elsewhere, if you have a good pool of tenants to choose from, if you are getting a good yield and other benefits etc..in other words if it fits what you want to ahcieve and you’ve done your Due Diligence….why not?
If it was me I’d probably look a bit further out than right in the CBD, but again, thats just me…
let us know how you go.
PS- How big are the Units/Apartments?
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsI don’t know how many of you have read the original “Rich Dad, Poor Dad” book, where Robert Kiyosaki’s opinion is that your own principal place of residence is more properly classed as a liability than an asset, since it doesn’t generate passive income (forget about living off equity or hoping for capital gains in this instance).I’m not sure if RK’s thinking applies to OZ as we have different tax systems as well.
Equity in your PPoR could be used to leverage into IP’s as well which can make it into an asset.
In saying that though, your idea has merit as many investors rent and use the additional income free’d up to purchase additional IP’s, some even rent from a structure they may beinvolved in..
The way our system works the best way is to get two similar houses..you buy one and rent to your friend, he buys one and rents to you..
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsHow did everything go with Martin Ayles and the seminars etc??
I think his strategy is a good one for the majority of the time, a search of theForums hasn’t shown a lot more information from Martin though.
Did anyone purchase his DVD set, if so any thoughts?
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsHave a look at Chris Battens site as well as the Knowledge Centre..
My Personal Fave’s (Plus he’s a nice guy) are Dale’s Books Trust Magic and Tax Battles
I enjoyedEd Burtons Book from an Asset Protection view as well (pretty much anything on Trusts is interesting..though Rentons Book is hard slog)
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsI’d be guessing people would want to know your track record as well; Westan did well as did MiniMogul amongst others, both are accomplished property investors as well..
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsOriginally posted by Josh-Prestigeloans:^^^What richard said
Regards
Joshua McEwen
Finance Broker – WAhttp://www.prestigeloans.com.au
Brokers Lic 1297
Licensee Brett ChristieWhat Josh said [biggrin]
Maybe put that exhorbitant fee into an Offset Account on the PPoR, you can also have your wages go in there and take out the least possible for living expenses etc.
They even warn you up front that 90% of people with this product experience problems…
If however you are still interested; check out Mortgage Free Australia’s web-site as well for further reading
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsA few people have come unstuck with Land in Perth of late due to dodgy developers.
I looked at some land at one stage but the developers wanted a deposit as an “expression of interest”..imagine 100 blocks available, but 500 x $1,000 deposits taken, eight months later they return yours and say sorry, you missed out (along with 399 others), they have had your deposit for all that time though..
Droveout the back of VALE and ELLENBROOK the other day..a LOT happening, which I’m sure will push up existing prices of established homes and the median in the area
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsVALE has gone up 114% in the last 24 Months
Land by itself is not my preference though
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsOriginally posted by lifeX:Redbling,
I always thought it was more about what they think you know about what they did that they shouldn’t have done. Even if you don’t know if and what they really did.
Or even if they didn’t really do anything but think that there may have been circumstances that may have been photographed that could have implied their involvement in things that they had nothing to do with.
Live, Learn and GrowLifexperience
[biggrin][biggrin][laughing][lmao]
Sounds good to me..
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsArt would you word it that way ” a 21-day Due Diligence clause ” or would you be more specific?
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating Calculatorshmm even at $0 in savings that gives you a LVR of 20%
Just a thought- You could look at refinancing and take out $150k which could effectively give you control of $180k worth of shares and a $300k IP?
You could also look at some of the Income Producing Share Funds with the money you get from refinancing?
Not saying that you should do either, just expressing some options and thoughts.
The above is my opinion only; Please do your due dilligence…….after all; I am still learning !
RedWing
Hey DV
Try doing a search on Still in Schools Posts; he had some great posts early on in the piece and who knows you may find a *gem*
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsI think Dazzling just replies in bold because of the new “wishy washy” backgrounds ?
PS- Is wishy washy a word?
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsIf you take out Cash from your CC you Pay Interest from Day ONE
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsI’m with Ausprop and Derek here..
The Reason you have the Profits(un-realised)is from the Capital Growth of these IP’s, so why not top up your loans and lock in your Equity?
Have you worked out your Selling Costs and once sold what then?
If you can achieve “better value elsewhere”then definetly look at the options BUT work out everything on paper first IMO.
If you think Values are going to drop- then by how much, 10%, 20%, More?
Maybe you need to work out the various scenarios for your sitaution?
If the IP’s are taking $ from your pocket then have you submitted an ITWV Form; have you explored LOC’s, what is your yield and can ou improve it in any way..etc etc..
I work my yield out based on the Loan, so if Values drop a bit it doesnt affect my yield, which it would if you based your yield on value.
My Capital Growth has been effectively locked in as well with the WA IP’s recently so this gives me a Safety Buffer.
HOWEVER, at the end of the day its your call and you have to do what fits your Strategy.
What was your initial Plans when you bought these IP’s?
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsI preferred “The Richest Man in Babylon†to “Rich Dad Poor Dad†but that’s just me..
IMHO dont worry about “convincing” her..that will just create pressure, we’re all Different and thats a Bonus.
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsOriginally posted by Phorsha:
What are the most important things to be aware of buying outer state? Obviously I’ll be researching the suburb, organizing an architecture inspection and pest control report. What else…I’m thinking agents could do nasty tricks to me [thumbsdownanimIf you’re worried about realestate agents, a good buyes agent could assist.
You can also interview several Property Managers to find one you like, then get them to look at the property you decide on (they will be manageing it anyhow).
A good broker can also ensure that you dont pay too much for the property and act as a checking mechanism.
Look at the different Real estate institute web sites as many contracts are different in each state.
Get lots of photo’s of potential IP’s and start building upa file on your suburbs till you know “more” than the locals
Who will do your conveyancing etc..start pre-planning?
Do the sums and projections…………
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsNot sure whats she means Mkc
Maybe as Tony said she has submitted a ITWV Form and recieves extra cash inher hand each pay packet..
We’re just making educated guesses though without knowing all the info..not sure what the 3 monthly chq is a about; is this property residential?
If she wont give any more info i wouldn’t worry about it and move on (or invite her for drinks again)..but thats just me :o)
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsOriginally posted by tony wpb:. Its not what you know it is always who you know.
I always thought it was “Its not what you know or who youknow..its what you know about who you know” [biggrin]
Great post Tony
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating Calculators
