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There are plenty of suburbs in Sydney where the median price exceeds $1m but there are also more where it is less than $400k. You get what you pay for.
was any action pursued in a civil court & how much were the damages?
divorce or death – usually a transfer between related parties
It’s a long way from becoming law – there’s an election in march & govt has been in no-caretaker mode for months.
It’ll be good if it ever gets up.
An automated valuation service like that provided by various suppliers (and available for purchase by punters) is not a valuation and would not even be loosely called an appraisal as it is based on a series of algorithms based on certain criteria it does not rely on valuation principles of direct comparison or summation or capitalisation of net income etc.
Scenario 1: You see a 10 bedroom unit – how much should you pay? The 'computer' plays with a number of sales of 'comparable properties' ie 10 bedroom units in the suburb hmmmm…… there are very few 10 bedroom units ever sold – flawed result.
Scenario 2: Let's try 3 bed units……hmmm 50 of those sales, much more accurate. But it will not necessarily filter 'out of line sales' eg divorce settlements, estate sales, related party transactions etc from the analysis. It won't take into consideration location within the block of units, facing/main road location, issues within the building (like structural defects, disparate body corporates etc). The degree of accuracy is much higher due to the amount of data available but falls short of a real life valuation. Probably good enough for you to work out how much you might pay within +/-10%
The banks use a short form valuation which may either be a desktop analysis (review of comparable sales only) or a drive-by (review of comparable sales & external inspection – proves that there is an asset at the address).
It depends upon what you requested to go into the contract of sale. If you had asked your solicitor to include such a clause in the special conditions, then you would get access (with the downside risk that if the contract failed to proceed to completion, you would be liable to repay it).
$1m median house price – so what? If you want a $500k median change your expectations. As Xdrew points out, if people did not have the capacity to pay, then they wouldn't – they would make their decision to buy elsewhere, ie freedom of choice.
There are houses on the market in the US in LA for ridiculous sums of money ie hundreds of millions, yet you have the hide to complain about $1m.
If you watch house prices in the regional capitals, prices have peaked and started to go backwards. They will plateau for several years before going forward again. Rents will play catch up until renting seems an expensive option and property prices will be demand driven once again (boom/bust cycle). There is nothing new about it.
What BS BL!
Valuers protect the interests of banks by not exposing them to adverse risk which their shareholders would not like to carry. Valuers work for those who commission the report ie the bank not the purchaser, why should the purchaser benefit from the valuation or the rationale?
A valuer is not a soothsayer – they are reliant upon factual evidence not hearsay.
Australian valuation standards are amongst the highest in the world backed up by the most stable system of registration of property titles and guaranteed by the Crown.
The new forms are now available online from NSW office of fair trading:
Take the money – it mitigates the risk. Older tenants don't like change so they won't be moving out too quickly, a year up front is one massive bond. Park the money in the offset account. You may need to put a special condition into the lease to show you are bonafide – if the lease is terminated for XYZ reasons then the balance of the money paid to date (less reletting fees, water usage etc) will be reimbursed to the tenant, just so they know you won't break the lease/sell the property & run off with the cash.
What is going to happen after 12 months? will he pay weekly/monthly?
Is he getting a discount for paying up front?
Will you still be collecting water usage?
Still take out your landlord insurance (see if you can negotiate a better deal with the broker as non-payment of rent for first 12 months is a non-issue).
As for his reasonings – over 70 with bad credit probably can't get his hands on a loan, esp no way of financing payback, few people of his genre would prefer to rent if they could own. Upfront payment reduces his bank account (not like gifting money to someone) so he can maximise his pension entitlements – possibly.
a) Crystal ball – it depends on the property, what else is in the pipeline, what has happened in the past, do you think you are locking the property in at a good price (will it be worth more in x years time at settlement), what do you plan to do (hold as PPOR, hold as IP, onsell prior to settlement)
b) Depends on the property and what you are putting into it etc
c) Depends upon what you negotiate (10% standard or less if you can swing it), you may use a deposit bond or whatever they deem acceptable
d) Potential Problems – construction may not proceed, builder/developer may go broke, could be a scam, property could be well over-market, poor construction quality/does not meet your high standards etcTwo ways:
Call the office, leave a message for the PM to call you back and see how long it takes (this will give you a good idea of their level of customer service that you will experience and judge it by what you would expect from a PM) – the pretence is to make a meeting to discuss property management.
Visit the office and speak to the PM (see how much time they will devote to you as walk-in or with an appointment to earn new business). Ask them outright: How many Properties do they have on the rent roll, how many staff they have (work out the staff/property ratio yourself – should be between 1:50 – 1:100), ask some difficult questions – how many properties are in arrears (ie how much time do they spend chasing outstanding rent), what reports do you get, how often, obviously what are their fees & charges etc.
(PM me for more).
This is bound to become another '911' issue – heaps of volunteers rushing in to help with the rescue/rebuilding but with little regard to their own safety or likelihood of contracting the silent killer 'meso' from unwittingly exposing themselves to poor site planning and incorrect methods for the handling of asbestos products.
Class action – here we come. Save us from our own ignorance.
(PS Ana, I look forward to the guide).
Scott No Mates wrote:henry kate?my apologies, should have been "Henry Kaye" damn spell checker.
Unless you can get one of the govt scholarships for the property course, it is a very expensive way to try to save yourself a few dollars on management fees. Do you intend using the course to get yourself employment in the field or just to manage your own property?
TAFE also offers the course either face to face or distance learning options which can be much cheaper.
A few factors to consider:
- the house/units that you buy are not necessarily the ones that you would like to live in (don't go for one with all the whistles and bells because you would like to have them, they are maintenance issues)
- the property should have all the locational factors that are considered important – ie position position position etc (close to shops, schools, unis, hospitals, govt services, transport, employment, roads etc)
- there are just as many types of owner-occupiers as there are tenants (probably a few more types of tenants) however it comes down to tenant selection as to whether they will match the property that they rent (regardless of whether it is a high or low budget property)
- don't get emotionally involved in the property selection (easier said than done) – for novices it may pay for you to use or at least talk to a buyer's agent and run through the issues like 'how do I know what I should buy?'
Paperboy, there are several issues at play here and alot is in the reading.
- In NSW the rental laws are changing on 31/1/11 which will bring the rental laws in line with what you are stating above (which state are you in?).
- The mere fact that the landlord cannot ask for more than 2 weeks rent in advance does not mean that the tenant can not offer to pay rent in any other manner which is acceptable to the landlord ie the tenant can offer to pay monthly or even 5 years in advance if it is going to secure them a discount but as landlord you cannot legally ask to be paid monthly in advance. I have previously accepted a year's rent in advance as the tenants had recently sold their house and would prefer to pay up front & secure a discount (works out well if you park it all in an offset account and transfer it to the IP when payments are due).
- If you need further clarification, you could contact the tenant's union or fair trading office in your state.
- A penalty unit is a $ amount which is adjusted annually. It is a bureaucratic way of being able to adjust costs (eg via cpi or lucky dip) but keeping the integrity of the system in place. If a penalty unit is worth $110, then the fine would be $275, next year it might be $100 and the fine $250 etc. Penalty units are not related to rental values.
mdf is still used. You would replace asbestos sheets with fibre cement, just as hard wearing. Get a licensed contractor to remove the asbestos.
possibly need to hold a real estate licence.
There is nothing stopping you from building on the block other than you will need to build to meet the requirements of the environment and find a builder who is more interested in meeting the standards than building sausage factory products.
