Yes you would need separate meters unless you pay the utilities yourself.

Outdoor areas should be separate.

The 2 halves of the house would need to be independantly lockable.

Are there common areas? If so that adds complication (eg bond issues, amenity)

If it is a shared laundry then you will need to provide the washing machine.

It is very…[Read more]

Are there separate meters for electricity, gas and water?

Am I understanding you correctly that your goal is to have an emergency fund of 100k? You are willing to give up $100k/yr growth to achieve this goal?

Unless someone has a gun to your head, selling in that situation I think would be a very very bad idea. With $1m in gross value and Sydney in a slump it is the worst time to sell.

Markets tend to transfer money from the impatient to the patient. Don’t be impatient.

Are you sacrificing capital growth? Absolutely YES

Property as an asset class is poor for income. LPT, CPT and high div shares have an excellent track record to provide what you seek.

Originally posted by fivetalents:
Hi,
We are looking at buying around Burwood/Box Hill South at the moment. If you’re into developing you could pick up a old house on a subdiviable block that you could build a house on the back or completely develop later on if you wanted to. Box Hill south has reasonable size blocks and there are lots of examples…[Read more]

If you have 0, 1 or 2 houses then it really is simple. Read a couple of books (Steve McKnight, Jan Somers and Michael Yardney books for example) and away you go. There is a huge amount of information on how to build up a portfolio of 5 or so IPs.

If you have 10 or so and trying to figure out how to expand or retire then I can understand a mentor…[Read more]

The answer to your question is “Yes”. Over time though your wages will increase which will mean your PPOR payments will become less of a burden.

Also consider buying your first house as an IP and renting a place to live in to reduce the cash flow drain.

Originally posted by redspida:
Transferring the property now will incur stamp duty. It may be a way for them to get the pension, but at $420 per fortnight is it worth the hassle and expense – Capital Gains Tax as well.

Hi Terryw,
is stamp duty payable even for transfers to family members without any money involved, just change of name on the…[Read more]

Most property is pretty rubish for cash flow. However perhaps you need to think beyond selling and switch asset classes.

Why not borrow against your existing properties and buy shares/managed funds. These can then be margined to buy more.

Selling property means giving up the CG forever (as well as incurring a whole lot of extra costs).

Originally posted by geosan:
. If you want a really good negative geared property go for it, but be aware of the problems that may catch you out.

………….

I will be pricing it so that it will be attractive to all those negative gearing investors out there!!!

You seem to not understand negative gearing at all. I can tell you that your…[Read more]

I can’t think of a single circumstance that I would even consider buying a unit in the Melbourne CBD.

Is scarcity there? No
Is there a good prospect of CG? No
Is there good collateral value? No
Is the income OK? Um, maybe

That rates 1/2 star out of 4 in my book.

There’s no way anyone can give you an eductated answer based on the info you’ve given. My uneducated answer though is never sell real estate. [suave]

Maybe you could let us know though
– why did you buy the house (as a PPOR, as an IP for growth or income ??)
– why you are thinking of selling at the moment

Fung Shui is very real …. well OK ….. it’s about as real as the Bermuda Triangle, Lochness Monster and the Yeti. OK OK you got me, it has absolutely ZERO truth behind it. There Ive said it.

However, many people are superstitious so for this reason , and only if your target market is Chinese people, you should consider Funh Shui principles.

Good luck

Great to see you’re enthusiasm especially given what you have already had to go through at such a young age.

First I think you are on the right track with regard to real estate being a means to achieve financial freedom.

However….

The most important function of a job is to provide the means to get the initial seed for investments, and the…[Read more]

Let’s talk Melbourne and Sydney.

It is unthinkable that the next boom would occur by then.

There is a great book written by Keiran Trass (sp?) on property cycles. There are 3 phases, boom, slump, recovery. Each of these three can be beginning, in the middle of, or at the end. If you haven’t read it I recommend you do, the insights on drivers vs.…[Read more]

Not dodgy, just trying it on.

How did the tree fall over? Unless it was neglect on your part (eg the tennant had warned you it was dead or likely to fall over) I can’t see how you are responsible.

Call or email Michael Yardney at Metropole. He is a very experienced developer and a regular contributor on this board.

Originally posted by BDM:
G’day Going For Broke,

Another suggestion, if you haven’t done so already, would be to refinance your IPs with a Fixed Rate Interest Only loan, fixed for 3, 4 or 5 or more years. This will make your repayments lower, and also be “locked in” for however many years you wish it to be.

This is good advice. The easiest and…[Read more]

I would think car insurance. Best to ask the insurance company though.