An agent only misses out if the solicitor or person doing the conveyance is dodgy and does not pay the agent as part of the settlement advice.

This doesn’t bother me that much though as some agents often do the the dodgy on their clients. Pay back is sweet!!!

TMA

carolsha, since when does a real estate agent “draw up a contract”?????

None that I know of do this!!!

In any case, a real estate agent will never work as hard for a vendor as the vendor would themselves. Think about the following scenario (other things being equal)…

Agent commission is 2%.
Vendor wants to sell at more than $200,000
Agent finds a buyer pretty quickly at $200,000 and tells vendor.
If vendor sells, agent receives $4,000 and vendor receives $196,000.

What if showing the property for two more weeks and doing some additional work resulted in the sale price being $210,000????

Additional agent commission is $200.
Additional money for vendor is $9,800.

You tell me why an agent would bust their chops for another two weeks doing numerous hours of work for a maximum extra income of $200 when they can take the $4,000 now!!!

TMA

It would be cheaper to stay with the current loans. The LMI premium alone would eat up most of the benefit if not all!

The Mortgage Adviser

Negative gearing is the old way of investing. It is commonly said that negative geared properties usually attract higher capital gains. I guess your research will identify the most suitable property for you to buy.

The Mortgage Adviser

My biggest idea is to live on a 40 foot sailing cat so if I get sick of the view, I can raise the anchor and move!

The Mortgage Adviser

Usually positive investment properties go in the name of the lower income earner and negative imvestment properties go in the name of the higher income earner. It will depend on your tax brackets as you may both be in the highest bracket where it won’t make much difference.

The Mortgage Adviser

I would be finding another lender as it is common for couple’s to use property held in joint names and purchase an additional property in a single name.

The Mortgage Adviser

Many of the lenders have 0.7% discount. They are all adjusting their products ever so slightly in an attempt to grab at market share. Just make sure that when you take the 0.7% discount, that it is not on their loaded SVR rate which used to apply to their Portfolio Loan. St George also has a lot of fees for multiple property owners and anything more than 3 properties (or splits), usually sees St George towing the line.

The Mortgage Adviser