SIS, do you ever intend to pay HECS? If you don’t, then to me that’s the same as people rorting the FHOG, or getting the dole when they shouldn’t. I remember there was a guy on here who was happily claiming to be unemployed, whilst investing in property. I’m buggered if I knew how he did it.

Cheers
r

I think Matt’s getting a bit too much titilation out of this thread. settle down young man.

cheers
r

what definition of member are you referring to there pelican?

cheers
r

By the way. happyjak, why not develop your blocks in Merimbula and start earning some income off them?

Cheers
r

Yack,

This is where the holes in your line of thinking are exposed… if coastal land in NSW and Victoria is worth so much, why are you against investing in coastal cities and towns in Queensland or other places, where you CAN still find cheap houses around 80-150k with good yields of 8.5 – 10%? WHAT IS WRONG WITH THAT?? I guess when those same houses are worth around 250-300k, you’ll think about investing then… I think you’re extremely narrow minded to continually bag other people’s strategies. I bought 4 in June for a total of 300k, returning 10%… in a city of 50,000, 15 minutes from the beach… They’re worth around 350-400k now, fully tenanted by good people in an area with low vacancy rates, and I don’t have to worry about meeting the repayments… in fact, there’s money left over each month…

By the way Happyjak, congrats for having the foresight to invest where you did… muchos kudos to you…

I’m sorry to sound so aggro, I just don’t like people bagging the plans of others when I don’t think they have really looked into, or understand, alternatives.

Cheers
r

I’m a tiger, which kind of goes with richmond, the victorian members will know what I mean…
cheers
r

wow, Monique Wakelin advocating buying only in inner-city areas… so what’s actually new in that article?

quote from the article: “She uses the comparison between two $300,000 properties – both delivering a total return of 15 per cent a year. The first property does that with 10 per cent capital growth and 5 per cent gross rental yield. The second with 5 per cent capital growth and 10 per cent rental yield.

Wakelin says over 20 years the property delivering 10 per cent capital growth would be valued just over $2 million. The property that generated the higher rental yield by comparison would have a value of $795,000. Clearly a prime property with good capital growth is the better long-term bet but for a lot of people the prime inner-city properties are out of their price range.”

well, example a is going to restrict my borrowings whereas example b is going to add to my servicability allowing me to buy more places…

It’s the old horses for courses argument… personally I agree with an approach somewhere between Wakelin and McKnight.

cheers

r

Hi Thayer

Go to google.com.au, type in mount isa, add different search terms such as economy and population.

See what comes back

Cheers
r

Hi yack,

I believe Jan Somers has been investing for years, have you read any of her books or checked out her site, http://www.somersoft.com? She advocates, for the average person, that regional centres (not little one horse towns, but cities) are the way to go (at least that’s my interpretation) for a mix of CG and yield. I thought you were solid in your resolve for metropolitan… as I have said before, there are more cities than Brisbane, Melbourne and Sydney. Regional cities are good investment areas too. There’s more than one way to skin a cat…

Cheers
r