Ah, equity. Thanks for the replies; its a weight off the mind knowing that capitalising interest is possible. However, I have had a closer look at the estimated numbers:

Intended Cost of land when subdivided $75,000
Value $110000 (each block $55000) 68 % LVR.
Could try and sell but considered too risky to HAVE to sell 2 blocks in an old area of…[Read more]

Sorry, but what is/are GRs?

safe as

As an accountant, I agree. Its not fair. I bet it suits the ATO to catch people out on this one, to prevent them claiming the 12 month period discount.
Can save alot to check some items such as that, before selecting dates.

safe as

One of the principles we were taught at the Brisbane Masterclass yesterday was to keep emotions out of it, and stick to the numbers. Maybe make ONE offer only that works for you and if the agent plays up, try and make sure the vendor finds out about the offer and that it is genuine and the highest offer you will make.
The agent’s behaviour may be…[Read more]

I drove 3 hours to be there from NSW, stayed overnight (another $100 + food) and stayed for a while after it to chat to the organisers and got home at 11.30pm! A big effort, but well worth it. I dont have any IPs yet, so I think it would be more useful to newer investors .The future masterclasses after this year apparently will have more case…[Read more]

CA’s start in accounting firms, usually in tax or audit. If you want to just work as an accountant in a company, you may as well be a CPA, as they wont appreciate any difference. If you are being employed by a CA, they will prefer a CA because they know of the extra study required. There are numerous CA’s who started in accounting firms as…[Read more]

You could try the house removal companies, although they will give a wholesale price because they have to made a quid. They may offer only $5000-$10000. Normally, the houses can be moved up to 100km for the same price, so you might get someone interested who is out of Sydney.
You may be able to find somewhere that people want an older house on big…[Read more]

All 3 properties have different problems and all need various renovation, and rank equally in my initial assessment, but I would be buying only one. I need to be able to identify serious problems from easily fixed problems . I may then, for example, be able to eliminate 2 of them and then get final inspections only on the one left I prefer.

fnccollector

Re the September newsletter, I looked at an old property yesterday. The land was very dry except for lovely green clover growing out the front!Luckily, the owner had left the “open house” (private sale) so I had the chance to talk to the tenant and find out the problems.(What an opportunity!)
Plumbing seemed to be a major issue. The tenant also…[Read more]

Thanks for the tips so far.
Yes, it could be complicated, but I need to investigate it further. I would not go ahead with it if the likely numbers would not work, considering that part of the plan would be not to do the rectification myself, but pay experts from my likely (no, estimated?) profit.

What needs to be investigated:

Land cost: $50,000…[Read more]