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  • Profile photo of Scott No MatesScott No Mates
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    sydney is a big place. Any clue as to which area, some building companies stick to a particular region.

    Profile photo of Scott No MatesScott No Mates
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    likewise, you have to address the same issues for sites sharing a common wall.

    Profile photo of Scott No MatesScott No Mates
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    danviv1 wrote:
    …they don’t deserve their commission at all!

    Hold tight on your price afterall it is on your agreement. If marketing is paid by the agent, you have no control over it, so you may have to trust the agent’s judgement on both the price advertised and their strategy. If they advertise it for less, they can’t negotiate the price upwards.

    Profile photo of Scott No MatesScott No Mates
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    Unless the rent is absolutely vital you may be best served by gaining vacant possession, removing the asbestos, doing the refurbishment & getting new tenants at the higher rent.

    Profile photo of Scott No MatesScott No Mates
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    sounds premeditated to me. If the rent is unsustainable, did you do your due diligence effectively? Ie check what the market rent should be, current vacancies etc? Did you pay the selling agent to set up the lease? Were you relying on poor information?

    The sooner you act, the better – probably need to go thru vcat asap to enforce your rights & get a judgement against the tenant.

    Profile photo of Scott No MatesScott No Mates
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    ACA or fair trading. A slow builder is often a sign of poor project management skills or financial issues.

    Have they given you a program for construction or put it in the contract? Have they claimed extensions of time? Have you approved them?

    Profile photo of Scott No MatesScott No Mates
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    also, knock back any offer below your asking price.

    Yes you can appoint another agent after 10 weeks but terminate the current agent.

    Profile photo of Scott No MatesScott No Mates
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    this is very typical of many agents, get you in on a high priceguide Then condition you down ‘because the market has changed’.

    Unfortunately you are stuck with the agent for the term of the agreement unless you mutually agree to terminate but it may still cost you marketing & fees.

    Unless you are desperate to sell, make the agent work for their commission ie do not accept less than the amount that they have put on the agreement. If they realise that you will not budge, Then they will either walk & break the agreement or work for their fees. If you or another agent sells during this period, you are liable for dual commissions.

    What is in your agreement with regards to marketing? Did you get a marketing plan? Did it show only domain.com.au or Realestate.com.au as well &/or newsprint as well?

    Profile photo of Scott No MatesScott No Mates
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    is it an appraisal by a real estate agent for a sale or a valuation by the bank to extend your loan? If it is an rea they will try to buy your listing by an inflated figure.

    Profile photo of Scott No MatesScott No Mates
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    I'd also add, chat to a local real estate agent to get their idea as to what would add most value to the property – they are at the forefront and see many properties so would have a better idea than the architect/designer/builder/tiler etc (each has their own cart to push).

    Once you know what will sell, then tailor your refurb to be the most cost effective.

    Profile photo of Scott No MatesScott No Mates
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    A tender basically means that unlike at an auction you have a closing date and you only get one crack at putting in a price.

    The agent should provide you with a tender package ie all of the information regarding the property, you do your due diligence, work out how much you are going to pay and submit either a conforming or non-conforming tender. A conforming tender matches the condtions proposed by the vendor, a non-conforming tender has additional/alternative conditions attached (proposed by yourself) these may or may not be attractive to the vendor and may risk the tender being declared invalid).

    Tenders should be submitted in a sealed envelope and are opened after the close of tender. The tenders are then reviewed by the agent/vendor and further negotiation may enshew.

    Profile photo of Scott No MatesScott No Mates
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    A val is very subjective and outcomes variable depending upon instructions. They are not shaman (REA’s) nor are they builders or spin doctors, they are there to determine ‘value’.

    It is not simply the sum of what was paid & the cost of the works but a comparison of similar properties, what they have achieved in the market and whether the property is better or worse.

    Profile photo of Scott No MatesScott No Mates
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    If you are buying OTP or newly completed apartments, put it back on the vendor to provide these schedules as they m ayhave prepared a generic one for the complex already and individual ones for investors.

    Profile photo of Scott No MatesScott No Mates
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    Stamp duty is calculated at market value.

    Your accountant is probably in the best position to advise whether reduced cgt would be payable if you sold below market to your son or whether you would pay cgt on the market value or if it could be seen to be defrauding the ATO in an effort to avoid paying cgt.

    If your son then onsells (at a great profit within 12 months) he will be up for CGT on the full value of the gain at his marginal rate of tax. If he sells outside of the 12 months, then the cgt is reduced by 50%.

    Profile photo of Scott No MatesScott No Mates
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    From the flipside, the builder will only be able to give you a really rough figure (which noone can be held to) as there would be no drawings, no specification or council condtions.

    Unless the block is a difficult site (ie anything but square and flat), you would best get a rough guide to a new duplex/house price from one of the project builders then add % above that for the extra works involved eg demolition, clearing trees etc.

    Profile photo of Scott No MatesScott No Mates
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    Generally, you make it a condition of the lease that the tenant must maintain the pool. You are required to provide the tools ie vacuum cleaner, brushes, net, test kit etc and some chemicals to get them started.

    If in doubt, get an agent to handle the first lease (get a copy from the agent so you know what additional clauses they have put into the lease &  what your obligations are towards the pool & property management in general) then manage the property yourself if you feel up to the task.

    Profile photo of Scott No MatesScott No Mates
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    Yes Crest, banks don't  borrow from the reserve bank (long time since I did economics, we were only talking about implementation of the Campbell report, so I stand to be corrected). The reserve bank sends out its signals (based on the economic data available) and uses the sledge-hammer available (ie monetary policy) to effect a tightening/loosening of cash rates in the economy. A change in the risk free rate will affect the whole economy not just the overheating or slow sectors.

    Profile photo of Scott No MatesScott No Mates
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    if you want funds available for ‘justin’, it might be best achieved by a loc.

    Profile photo of Scott No MatesScott No Mates
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    Just need to get something straight – do you intend using funds which are in an offset or other account to pay off your hecs debt (perfectly fine) or increase your debt on an ip to pay off the hecs debt (which would still remain non-deductible no matter how you package it)?

    Profile photo of Scott No MatesScott No Mates
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    banks don’t have money of their own, it comes from various sources like deposits, shares sold/equity raising & borrowings from the money markets.

    If a bank has a margin of 1% that would mean 25% or so above the 5% that the reserve bank has set as their rate.

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