http://www.bestclad.com.au
robo

The whole idea of HWI is if the builder dies, goes broke, retires that the insurance company will have the problem fixed. Thats what I thought, if not what is the point in having it.
I could be wrong though?
Robo
It is a good question? Are you a retiring builder?

Won’t all it take is a interest rate rise next week or next month to slow the spending down. Interesting to hear that in the retail secta the first business to slow down are the mens clothing shops, maybe we should be asking them how things are going?
If rates do go up and there is is the big R won’t those with the most debt be hit hardest good or bad?
Robo

I would hang in there until the kids finish school, tighten the purse strings pay down the PPOR, maybe another IP, then see how things look. Then again i am not you. All said and done i would do what is right for my immediate family. The rest of my family and friends can all take a running jump. As far as Private schools go i was not keen when my wife wanted to put our 1 kid and 1nearly ready into a private school as i just passed year 10 and have had the opinion that unless you know what you want to do ie doctor, or something that you might as well leave at year 10 go and earn the big dollars. I have have had to change my thinking, these days year 12 seem to be standard for education, i am already having trouble with year 3 homework. Our school is only 3k per year but the thing i am wraped with is 1. No bullys or violence, 2. No drugs, 3. No problems with kids friends 4. The teachers are great and love their Jobs. ( It is a Christian Community School with only 250 kids).
I don’t want to turn this into a private v public debate this is just our experience.
Robo

We have IP with 2 showers , 2 toilets and no bath. Never a problem with getting tenants, have always been familys with kids.
Robo

This is what happenened with the last IP we sold, had it on at 245k, 2 weeks in 2 offers 1 from people buying PPOR for 241k, 1 from investor 240k, silly me takes the 241k, the agent lets them fiddle around with inspections/finance for over 3 weeks. When i gave them a dead line to exchange they pulled out on that day. In the mean time the tenants get wind and moves out. So i said to agent put it back on extra 10k you had it to easy. The investor with the first offer comes back and buys it for $247,500 CASH no problem. If there is 2 offers take the cash buyer i say, finance clause can be a get out of jail card.
I was under the impression if you sign a contract in your solicitors office there is no cooling off period in NSW.
Robo
ps not for 20% off though unless you have priced it that way.
Also the agent did take it off the market so we lost a month lucky the buyer didn’t buy elsewhere.

Hi Andy,
Sorry to hear about your predicament, although you will only lose 75k if you sell, can you afford to neg gear it and maybe rent something cheaper? Most people that bought a PPOR in 04 would be in the same boat if they were to sell now. We are building a new PPOR and for sure the valuation would be less than what is has cost us but we are not planning on selling. My agent told me he has sold one lately that the owners lost 60k, they moved from Sydney to Coffs Hbr and didn’t like it?
The problem with selling a home now that was bought in 04 is you are competing against homes bought pre boom which have more equity so owners can drop their price.
Good luck with your decision just remember it is only money, there is more to life than money and houses, when you hold your new baby you will know.
God Bless
Robo

Hi Martin,
I would like to know when starting out any tips about how do you compete with builders and developers in the area that can build alot cheaper.
thanks
Brett

He has a great little book called You need a Rocket, i sent him a email asking where i could buy it and he sent it to me for free which was pretty impressive, not so much about property but taking action, well worth the read.
Robo