Forum Replies Created
Thanks Richard. I have already got a local stratatitling body to look after the task.
If you don't use a standard REIQ contract what kind of contract can I offer while waiting for the procedure to be completed? Or have you already answered that by saying get a solicitor to look into it? MY understanding is that I legally need verified documentation re the stratatitling process to somehow be included as appendices to the contract???
Thanks Raddles, I have been in contact with Insight Lawyers and dthey gave me a brief outline of what is involved. First step is for me to arrange to get the duplex surveyed. How much of this process do you think I can do myself? Council application and land titles office part would be O.K. for me to handle.
You sound like a local boy/girl?? Do the crowd you mention come as a recommendation?[biggrin]NB
Maybe. I thought if I was to sell the duplex as a whole, investors would prefer to pay less rates???
NB
Turnby,
You bought the property in Toowoomba 4 wks ago. How do you feel about renting to students?? Which agent are you using?[exhappy]NB
Raddles
Fairly good summation of Toowoomba. Toowoomba’s referendum on recycled water has spotlighted the town negatively. Toowoomba is no worse off than many other areas in Australia struggling due to the drought. Investing in Toowoomba is still a go – benifitting from the mining closeby, Milmerran power station and its size (100,000) so close to Brisbane. If as you said Raddles Toowoomba is about 12 mths behind Brisbane then I would suggest now would be a great time to invest in Toowoomba.??[biggrin]NB
Originally posted by Bradleyvonx:Turnby,
four weeks ago we purchased a property in Drayton/Darling Heights in Toowoomnba.
Purchase price was $265,000 current rental income is $610 per week.
Toowoomba has good growth and infrastructure, main problem is water restrictions dams are down to 18% but many places have water issues.
I am having a lock at several more properties today, same rental return is expected, probably a bit higher closer to $800 per week.NB
I am trying to get my head about all this using equity business. If you use a current property’s equity to fund the next – say 20% of it because that’s what you need to avoid LMI you are still paying interest on 100% of the purchase price. Most unlikely surely that rent and depreciation benefits would cover the cost of theloan????[blush2]
N. Brown
Michael Yardney would have something to say on this topic having been through 4 property cycles but I am sure each cycle has had its own peculiarities. The person who knows the answer to your question would be a very wealthy person.
Buyers agents and real estate agents in general tend to talk the market up whatever the state the market is in.N. Brown
Thanks for all posts. Certainly a lot to think about there. I will definitely need to talk face to face with someone
Raddles Were with Elliots once but found them expensive and slow. What is your experience like?
N. Brown
Terry, probably not which is why he wants to have a three way conversation with an accountant about the situation. Do you know if these ideas may have some merit? You mentioned super specialist. Not in the yellow pages so where do you find them?
N. Brown
I forgot to mention the duplex is owned by our family trust. How can a family trust work together with diy super?
N. Brown
Richard, who are the guys that waive the probationary period and would the interest charged be higher due to a perceived risk? Employment history isn’t good. Chose to spend as much time with the kids as possible while they were at school so employment was very casual and money not good.
N. Brown
Thanks Richard for your offer. Now for the accountant. It seems no one has any suggestions from Toowoomba. Somehow that doesn’t surprise me. How about anywhere reasonably accessible in S.E. Qld.?
N. Brown
O.K.. Kattan, it seems what I need is some good advice from accountant /mortgage broker because I dont lack the resources to get moving in the right direction. I am not happy with our current accountant – too many clients I suspect.
We are conducting our ‘business’ as Terry called it in a family trust structure, which seems to work fairly well as two of our four children are over 18 and on low incomes. The remaining two are 16. About 18 mths before the big 18.
Does anyone know of a good accountant/mortgage broker [blush2] who could service us from Toowoomba?N. Brown
Thanks Terry. Selling one unit means I would have to strata title the units doesnt it? Rates would then be higher. Maybe these are minor details.
To help reduce interest payments while they were being built and waiting for them to sell I have sunk $205,000 of my own money into the duplex. The expected selling price is $540,000. Was this a good move? I feel I have locked my cash away and won’t see it until I sell which is another reason I would like to sell. Am I suffering from misperception and misconception here because in the end I feel cash is king?
Another thing which puzzles me is Yardney’s article ‘The Keys to Building a Substantial Property Portfolio” where is says you can use the equity in your property for the 20% deposit. I have naively thought that the bank required the deposit to be in cash not equity.??? If the former is the case, in my circumstances I could buy multiple properties today??[blink]N. Brown
How do you get a 100- 105% loan Richard?
N. Brown
Thanks Richard for your reply. It may be better to rent than buy in this situation. Capital gain is attractive but repayments may outstrip and gain. Any thoughts out there?[blink]
N. Brown
Well I presume noone’s thinking about it.
N. Brown
