Forum Replies Created
Hi Darryn,
Maybe a good suggestion that a site like this one could host some sort of contacts or oportunities page that would bring investors – developers – builders and bird-doggers together.
Mary.
Kay,
I think it all comes down to cash flow. When you’ve borrowed 90% of the purchase price of a property (as most investors will if they can) then the percentage of the loan repayment covered by the rent is pretty important. With interest rates at 7% and rental income in Sydney running at 4% that’s a 3% loss you’ve got to cover (1.5% on a good tax break – after the tax return, if you can live survive that long).
I’d rather cover 0% loss from day 1 if I could (but then I have an expensive lifestyle to maintain). In that case I’m thinking Brisie comes closer.Brisie also looks good when it comes to state taxes – land tax, exit tax, stamp duty etc.
Scary.
When My fiance & I bought an IP we had $50K between us as deposit.
We really wanted a house to live in but even back in 1997 in the Sydney market we were looking at $400K for what we really wanted.
So we bought a small 2BR-SLUG IP for $215K and continued to rent a 3BR-DLUG townhouse that was big enough for us and the impending kid.When we sold the IP only 2 yrs later we had an extra $40K for our deposit (after tax etc.).
There is no way we could have saved the extra $40K so fast by slugging away at work and tightening the belt.
We now have a nice big comfortable house – in Sydney, with about 50% equity, along with a mortgate that seems like it will never get paid off – but hey, that’s why I’m snooping around here, looking for some good oil.
Scary.
Hi,
My pet hate is real estate agents.
I’ll live without them whenever possible. They are only working for one person – themselves.
The only good experience I’ve had with an agent was getting one to find me a tennant. They did all the background checks, found me a good tennant, I paid them the first two weeks rent and then they left me alone – I mannaged the property from then on.
If your going to invest all your hard earned bucks in one big basket – you want to watch that basket yourself, not hope that the agent is looking after it for you. Same goes for selling, you don’t need someone else beating your price down, the buyer can try that for themselves.
Scary.
