Thanks for your comment Richard…Will do.

Thank you to all above.

I have previously bought two investment properties.

I'm in WA and it is not my first purchase.  What if I show the bank I have savings but would rather not use them and ask the seller for a second mortgage carry back.   Could I do this?  Would the bank be ok with something like this?

What happens then in a situation where I have good LVR, employment history, clean credit, servicability and little debt but have savings less than $20K and want to buy a home with a deposit of $80K.  Technically the bank could say I can service the loan but do not have funds to pay the deposit.

Can I get a loan from the bank and apply a second…[Read more]

My accountant wants to charge $770 for set up of a discretionary trust.  Is this a good price?

What ongoing costs can I expect come tax time?

Good points.  State Government is worth while pursuing if the need arises however Collin Barnett is all about mining and mining royalties and anti GST.  If it makes his state wealthier and he looks good then it is approved IMO.

I will sit this one out for now and see what happens to the local real estate market.

Good question…

There are a number of issues the town faces in order for it to grow past 10K population and none more than that of a good source of water so the town can only grow so big without sourcing water from other means than naturally.

Recommendations to Council were:
Support a family’s based approach to FIFO workers as opposed to single…[Read more]

That's the problem with generalising!

Ah…don't we all from time to time! "the product of the vine" that is.

Good call TerrywIt goes back to the type of investor to a degree – capital gains or cash flow.  If cash flow then capital gains may follow later on but is not originally considered in assessing the deal.

Ok, my mistake.  The oroiginal post has left out some detial, perhaps too much!  Thank you for questioning the example Anthony and clarifying some points Richard.Richard in your answer to Q1 did the SMSF have all the funds available to purchase the property and did not borrow?  I was also under the impression you could only have 1 investment pr…[Read more]

Forgive me if I have this wrong.  Assuming the SMSF has been set up to comply with Australian Super Rules, then the fund is entitled to make some sort of investment – in this case buy property.  The fund may also be entitled to borrow funds for investing purposes against its holdings ($100K) and so buys a property worth $400K.  Note the bank ma…[Read more]

Sertainly technology has changed the game.  Reputable people can be found all over the world to do business with.  I undertook a vendor finance agreement with a company from Melbourne on a property in Tasmania and I live remote NW WA.An exercise I recently went through was to build a team – as you would have it – in New Zealand knowing little a…[Read more]

I would tend to agree with "taking a breath" comment.  Although there is nothing wrong with wanting to achieve and climbing the next mountain.  Sometimes you need to let the weather clear before you can reach the sumit.I recently sold 7.5 arcres of land on the NE coast of Tassie (poor location) after trying to find a buyer sinse 2007.  The land so…[Read more]

Had a look at the info Peter thanks.Belwo is a response from a chartered accountant in NZ…"They key to the structure question (and a Trust in NZ will work well if cash flow and tax positive) is to get advice from an Australian advisor on the impact of your capital gains regime (CGT) on any property holdings you have in New Zealand.New Zealand…[Read more]

Nice returns on the project Saphire101, especially since you were not tied up in the ronevation.  Cashflow is healthy in NZ at the moment favoured by low interest rates – 1-1.5% less than Aust. banks on average.  It's always nice to have a prospective buyer in mind before undertaking a project such as yours.

LOL!  I like it.That appears to be the common thread when talking to NZ investers when compared to Australian property.  The NZ government has twice recently looked at introducting a number of investment taxes and CGT was one of those.  Fortunately it has not been introduced however I believe it is only a matter of time.

Congratulations RickH on the purchase.I am interested in what "buy" strategy you guys have in place when buying US properties similar to those above such as buy under market value reborrow and go again, use cashflow to build equity and repurchase or something else?CheersRory.

Jamie's way provides greater flexibility in your situation for further options down the track.

Hi Losty,An option is to pay down the PPOR as soon as possible then redraw with a LOC to be used as a deposit for an IP.  It will take time however.    Another option is to seek out a vendor who is willing to offer a Second mortgage carry back on certain terms as defined by you and the vendor.  You will only pay for legal fees and closing cos…[Read more]