Forum Replies Created
The direct approach is probably best ie you have a contract in hand (with the owner's details) – drop them a note in the mailbox (or call if yuo have those details).
REA will not help you as they are not paid (or permitted) to arrange finance unless they are licensed to do so. If they did so, it would be a second deal they would have to broker in order to close the sale.
SS, can I assume that this is Victoria and the contract isn't prepared until a bid has been accepted? If your solicitor is saying that he talks to alot of people then I would also question his authenticity if he can't confirm if he has spoken to the vendor's agent/solicitor.
Purchase of the house would have to be subject to the council approving a relocated house on the block. You will need to submit a DA for the house as well as a design for the footings.
If you go to another lender it will require the consent of the first lender to allow another mortgage to be registered on your title.
Was it the valuation which came back at $260k or was it the amount that the bank would lend on it. I'd push for a second opinion or a thorough val to be done not just a drive-by as well as providing recent comparables.
25-30% IRR depending upon project duration, complexity, size & other factors but that's just me.
Are you using one of your other properties as your PPOR?
Without an understanding of whether US law applies to Oz (considering that precedents have historically come from the Aust High Court) you wonder about the old saying about certain folk & their money.
Providing that you are not claiming any other property as your PPOR you should escape CGT free (based on the 6 year rule).
Mark, units around Penrith tend to be around those numbers, some will be close to CF+
As it is further away from the city, will you need to commute daily?
On one side of the equation is the loss of rent and claimability of interest and expenses/depreciation (so there is the offset of negative gearing) on the other side you will have to pay all expenses & interest from your net income however you may be able to claim the FHBG as noted above.
If you continue to rent elsewhere you will still be getting your neg gearing/depr & some income however you will be paying rent. As you may be in a lower tax bracket it may not be worthwhile so you will need to do all of the numbers yourself to satisfy you of the decision – you will need to consider the net aftertax scenario ie before (living in rented premises on current income) and after living in either rented or your own property taking into consideration your higher living expenses.
Looks good Richard – I might have to investigate further.
There's absolutely no way that you can avoid some degree of soil compaction regardless of what you install unless you build a bridge over the nature strip etc.
WSY, why would the agent recommend your offer if it is less than the best offer? He makes commission on the highest price, why recommend a low one?
Kaz, a few points to consider:
An agent has no attachment to the property and as a 3rd party (working for you) is best able to advise on marketing /advertising, strategy, points of negotiation, presentation and price (if you don't have a good idea of the current market). A good agent will actually save you money.
If you do go down the line of self-marketing – check out the sell-your-own-home marketers, find out if they have access to RE.com.au etc or whether you get preferential rates etc.
The thing to be wary of with self-marketing is that if you fail to sell, then you will make it that much harder for the agent to market the property to achieve the outcome that you want (ie the property has been previously marketed, it is stale – so you may have to have a break/do some minor works etc between you showing it and the agent listing it as you don't want to be reshowing it to the same people as previous efforts). Self marketing companies will have a package/checklist for what you will need to prepare prior to going to market.
SNM
Sorry to be so critical but what do you want out of an investment? What is the purpose of investing if at the end of the day you have not made a 'profit' whether it be a capital gain or a good rate of return on your investment? Paying tax is a side effect. I consider that if I am paying tax then I am still making money (or I will have to find a few more non-cash deductions).
Risk is inherent with investments. You will need to consider whether property is an investment suited to your profile.You will need to consider if investing is for you or whether you would be better in other vehicles like super, managed funds or in bonds/term deposits. Consider that you should have a balanced portfolio ie not just property as that goes against all the fundamentals of not having excessive exposure to one type of investment.
It may be worth you while to sit down with a financial planner to determine your goals and to map out the pathway to achieve your goals.
Keep the ceiling as high as possible, everyone has a 2.4 m or 2.7, height is a point of difference.
Several reasons spring to mind:
a) investor needs to access some funds but does not wish to borrow
b) investor needs to crystalise a capital loss to offset some other capital gain in the same tax year
c) investor would have to invest substantial funds for an upgrade to the property and does not wish to/have the ability to do so eg meet a council fire upgrade order
d) investor is not able to get finance to continue with their portfolio & have selected some low hanging fruit to sell
e) sale will allow the investor to rebalance their portfolio/rebalance or adjust their risk profile
f) sale will allow a tranfer of funds into a higher yielding investment
g) sale may be a CGT exempt property so the gains are not taxable
h) property is part of an estate which must be soldGet a 100% offset account and park the money in there – when you come to utilise this money you will not be redrawing on your loan for a non-investment purpose as it is in a bank account and has not been treated as a repayment of principal.
Check with council to get them to clarify if this will be the case and why you would be required to seal the entire road not just contribute towards it in your development contributions.
Absolutely stupid question, if I may? What does the contract say? Is it subject to tenancies or vacant possession? That alone will give you the required information regardless of what the agent has stated.
In NSW, if the tenant is under a lease, they cannot be terminated prior to expiry (unless the place burns down etc).
