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Hello,

Rugbyfan,

so do you have an IP or not? [xx(]

******

Yes two infact. One bought in 2001 – Brisbane (cash flow neutral) and one in Sydney (-grd). Both have increased in value a lot. Both were bought well before I read the book and looked at cf+ properties.

I am very new to the cf+ scene.

Our investment is in New Farm (not actually inner inner city but close enough). New Farm is across the river from the CBD (West).

It is a 2 bed/2 bath with balcony and underground c/p in a small 3 level security complex (40 units) with a pool in the middle. It is 5 minutes walk to the ferry and the bus stops virtually outside.

It cost us…[Read more]

Julian

The dropping rent by 5 – 10% is a good idea, we have had an IP in innercity Brisbane for two years. It has only been without a tenant for 1 week and we now have a good agent. My wife and I adopted the strategy of dropping it to begin with and that helped to get a tenant (it was brand new as well). We changed agents after a huge problem and…[Read more]

Thanks guys lotsa info in there to digest in the next day or so. We are on a Pro Pkg with CBA and get the half% of etc etc. My wife is a solicitor (not conveyancer, – corporate) but we have a v good conveyancer that we have used a few times ( we have two IP’s already – 1 X neg, 1 x neutral).

We probably need a better accountant though, ours is…[Read more]

Thanks Pinit

We looked at trusts but not going to down that road as yet. There are some upsides but the major downer is that Land Tax is accumulated from the first dollar, there is no threshold. Once I get to near the threshold levels I will probably do it.

Thanks for all the advice though.

Everyone else too.

Give us a clue Bear[][][]

I think it is good idea to spread your eye over not just the state you are in. We have a cf nuetral IP in inner city Brisbane which has increased in value bigtime since we bought it. I must admit it took us a few plane trips to find the right one but as my parents in law live there it was worth the trip anyway.

Good luck – Do you want the stamp…[Read more]

Thanks guys, I new I was missing a key ingredient in my spreadsheet.

Perhaps I am destined to have the ‘brain of a rugby forward’!!!!

Steven

Perhaps we need to be talking to you on a serious level. I guess I can’t get my head around where this $5,000 – $20,000 magically appears from.

Excuse my ignorance but does everyone who is on these boards and have purchased positive cash flow property either:

1. find property with 20% yields or better
2. Have no mortage on their PPoR
3. Have a lazy $5,000 – $20,000 lying around to use as a deposit.

If 1, then lucky them, I will have to look harder. If 2, then good on them, we will be…[Read more]

quote:
I have an investment loan set up and ready to go with approval for almost 1 mill.

Perhaps I am doing the figures wrong but if for example I bought a place for $17,500 which rented for $75 per week this only returns $5 per week to me.

Income
Rent $75 x 52 = $3900
Outgoings
Repayments $30.90 x 52 = $1606.80
Stamp Duty (1st yr only)…[Read more]

I have an investment loan set up and ready to go with approval for almost 1 mill.

There are many states that bung on land tax from the first dollar of an IP (NSW is one), if you purchase or have properties under a trust. I looked into this only a month ago and was informed by the accountant that unless you were over the land tax thresholds in the relevant state, it would not be worth putting it into a trust.

Oh…. I have just…[Read more]

Sorry to take so long to reply and I thank you for your patience.

The home loan we have on our PPOR is a standard homeloan from CBA to which we have a $30,000 home equity (offset/line of credit) where the salary goes into.

The IP’s will be bought using the same type of loan.

So how do we make the interest repayments tax deductable?

P.S. Sorry…[Read more]

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Could i please receive some feedback on what investors think about having investment properties in other states. I always liked the idea of having an investment property at close proximity to my house of residence. The idea of having a far away property always filled me with concern about, whether the agent cares and the condition of the…

[Read more]

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I don’t know about other states, but the Council rates for our Queensland properties – and these are units – are twice those of our houses in NSW, eg $1200/$660.

Land tax threshold NSW $232,000 last I read.

Anna

It is now $260,999

Thanks Pinit2000

After the effects of the wonderful Barrossa Valley Chardonnay wear off (ie. tomorrow) I will get back to you with my details. I did not explain everything in my first post either. We are a one income family now as I have resigned my job to look after our baby while my wife (earns much higher wage) goes to work.

.

Jeez I should have asked for money!!!!!!!

I will send it off either tomorrow(Sat) or Monday.

Thanks for you patience.

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I vaguely remember hearing somewhere in the last few days, that land rates are more expensive in Tasmania – does anyone know what kind of difference there is between the various states?

Allan.

I have the complete and up to date Land tax rates for all states of Australia in an Excel Spreadsheet. I would be happy to email it to you if you…[Read more]

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Not buying but we are selling in the next month as well as building.

Just getting started into ‘THE GAME’. I have pre approved finance and plenty of time to look for property. I am really looking forward to buying some anytime from now on!