I don't know what everyone else's experience is but the Australian market seems to be a bit more "straighty-180" than foreign markets.

It would be hard to offer a standard vendor this "renovation JV" and have them say yes.

You would need to be able to prove your track record of success and make the deal very beneficial for them.

I am assuming…[Read more]

I know Mandura boosted significantly a while back due to the introduction of the new freeway and trains to Perth. Is this market saturated? What is the supply and demand in the area?

Are people living that far out of Perth doing so because they want houses or do they want to live in units so they can be close to the beach?

Before asking "Is this…[Read more]

This is interesting as I am considering buying the GC before the commonwealth games too.

Some things I am considering:

– With all the new properties going in to house the athlete will this create a over-supply?
– Is surfer's still oversupplied and does that or will that affect southport?
– What areas will increase in value due to access to new…[Read more]

You can calculate it yourself but it is going to be a PAIN IN THE ASS if you don't know what you are doing.

This is because a lot of things are depreciated at different rates.

For example, floorboards are going to depreciate slower than a whitegood like a dishwasher or a fabric like curtains (they get dirty quickly!).

Depcreciation is generally…[Read more]

As Terry said my general understand is that Capital Gains Tax is paid of the increase in value on the property minus associated costs (eg. selling expenses).

What you pay depends on

1. What percentage of time it was an investment
2. What tax bracket you are in.

So if (as Terry said) you profit $34k after associated costs then you next need to…[Read more]

Have you considered a subdivision and then simply sell the parcel of land instead of constructing a house yourself?

You could potentially use the profit from the sale of the land to buy another property (as long as it doesn't devalue your existing property as there will be less land).

That way you could avoid all the construction costs and…[Read more]

Hey Luisafur (is that a play on Lucifer?…apologies if it isn't),

There are so many things you can do to get started

– Read property magazines
– Read property books
– Save your deposit
– Visit a mortgage broker to find out how much you can borrow
– Visit open for inspections to get a feel for property investing
– Join a mastermind or visit a…[Read more]

It sounds like a ridiculous cost because you could get a house built for so much cheaper in a capital city.

Some reasons for high cost:

– High costs in transportation of materials
– Labour more expensive as less people willing to work out there
– Higher margins…they can charge it because there is no one else
– Subcontractors – Harder to get…[Read more]

I look at Bitcoin like it's the latest "hot stock".

The fact that it has hit the mainstream potentially means that the rich people have already made their money in it.

Bit coin is a very interested currency and hard to predict what global demand for it will be unless you know a lot about it.

Truthfully, if you want to learn about Bitcoin in…[Read more]

Thanks i-smsf for the recommend

I have a podcast called Positive CashFlow Australia. There is about 15 mp3's up there now (ranging from 5-20 minutes) but the idea is that every single blog post we create will also be turned into a YouTube video AND a podcast.

just search for "positive cashflow Australia" in iTunes.

there is also "CashFlow…[Read more]

JacM wrote:
Agree with Redwood.  It's unwise to go around labeling someone as a spruiker unless you want to get yourself sued for defamation.  Similarly, it's a bit steep calling someone "dodgy" without reasons and examples to justify the comment.

Here is the definition of the term Spruiker (aka. Tout in england)…same thing

In British…[Read more]

RobbieP wrote:
Thanks Ryan, i agree, it is very good..

Did you end up taking a monthly subscription after the inital 14 day free trial?

Their system has changed now. There is a 7 day trail period before they start billing you. But you really only get 6 days because if you sign up at 10pm on Wednesday night then they count that as 1 day even…[Read more]

Creasy23 wrote:

what is the optimum amount you should have in your super before looking into this?

There is no "optimum amount" that you should have in your super. It is about balancing the rewards of managing your own super with the extra costs of running your own super.

Because costs are higher people without much money in their super…[Read more]

The art of negotiation is that each side needs to feel they have gained some ground in negotiations.

Going in at $225k means you are unlikely to get it for $225k. 

If you are making a lowball offer I suggest making it and then providing justification for your lowball offer.

Discuss comparible sales, issues with the property that need fixing…[Read more]

I like Mark's idea how the carpet isn't all connected so you can easily upgrade one room if you need to.

I have young kids and have lived in many rentals and while lighter carpet tends to look better to begin with (says my wife) it gets dirty pretty quickly and therefore needs to be replaced quicker.

Turns about carpet isn't meant to have baby…[Read more]

If you don't want to buy positive cash flow property in rural areas why not look for property in capital cities either with a granny flat or that you can build a granny flat on. This tends to spike your rental yield and can push you into a cash flow neutral or cash flow positive position if done correctly.

The key is to understand your own…[Read more]

I am in agreeance with what most people have said. If you are a one income family you are going to put yourself in a lot of danger by buying a $700k house in Melbourne. My guesses are your mortgage would be much more than you are currently paying in rent.

Speaking with a broker like Jamie and see what your options are. You might want to look at…[Read more]

If you are new to this I would definitely advise getting strong professional help.

It may be worth speaking to a broker (there are many great ones on these forums) about your financing options because it seems that is the part you are most concerned about.

Hard to make any decisions without first understand how much money you can borrow.

You…[Read more]

As long as the purpose of the loan is for investment purposes it should be tax deductible even though the loan will technically be secured using a different IP to the new one you are buying.

If your borrowing money to go on a holiday then you might have some issues

jmsrachel wrote:
You would be better off roughing in plumbing and electrical in week 2 well before painting and patching.

Agreed much better to do electrical and plumbing work done before you patch up all the walls. Just incase new holes need to be made.

The easier the access for the plumbers and sparkies the easier it is to get done.