Forum Replies Created
yeah i know what you mean redwing.
i’ve read alot of the books mentioned, and some i only sort of get. absolutely love the richest man in babylon.
jan somers books are always a great read.
cheers
shaunLead, Follow or get out of the bloody way
i went looking for the book in dymics here in canberra, cant find the bloody thing.
oh well i will keep looking! might have to buy it online, damn i will have to sort out my credit card first!
cheers
shaunLead, Follow or get out of the bloody way
go to the ato web page.
everytime i have a question thats where i start.
http://www.ato.gov.au
look for property investing claims
i am hesitant to ring the ato directly as i never get the same answer twice!
cheers
shaunLead, Follow or get out of the bloody way
try this mob, they are very good.
just give them a call and ask all the questions you wont. they dont mindcheers
shaunLead, Follow or get out of the bloody way
thanks crest,
i will speak to the owner tomorrow (friday) and find out exactly what he’s trying to do. paying for equipment is a bit dodgy. why he doesnt just sell me the building and lease it back to me, seems to make more sense. taking on all his debt for pittance isnt going to happen, especially for a 5% return. as i said earlier, i’m not sure if i take on all debt and assets and get profits from turnover, or is he just after someone to take on his debt and bugger all return.
the area is a good area (its my home town). theres no mcdonalds going up in that area.
and it is considered a good area, plenty of business’s around and plenty of residential.
will keep you all informed how i go.
cheers
shaunLead, Follow or get out of the bloody way
hi all, an update.
i rang the agent again, after speaking to the accountant to find out more details.
i got a copy of the compilation report (this shows costs and expenses) profit after expenses is around 120k.
as i will take on everything, the current owner owes 600 a week for the equipment. ok my profits gone down from 800 a week to 200.
at this stage i’m not really sure what the owner is wanting to do.
do i own everything and pay it off and he still takes home all profit, leaving me with a COCR of around 5% (hardley worth it and i will not bother)
or does he intend to run the business for me in which case after expenses i keep the 120k a year and take on all responsibilities for running the business, ie pay for replacement of equipment etc as required.
will let you know how i get on
cheers
shaunLead, Follow or get out of the bloody way
thanks for that.
i dont want to mention the town for obvious reasons, however the population is above 50,000. for this area 120k is low for the shop.
the add doesnt give shop size however it is a takeaway shop in an area described as
“the store is situated in an area bounded by homebase, a major vehicle retailer and a number of high profile businesses, as well as a residential area”.
i’ve rang the RE agent involved and i have a meeting with him friday to discuss details of the sale prior to looking at the property on the saturday.
i will do as you advise and get solicitor and accountant to look at the books etc.
the deal just doesnt seem right, but it may just be a distressed seller, who’s accountant has told them to do it this way. so at least its worth looking into.
thanks for your help
cheers mate
shaunLead, Follow or get out of the bloody way
an another update,
guys you’re going to love this.
i went into the RE agents office on friday to sign the new contracts and he’d changed alot of it to lower numbers.
he now reckons it will sell for 150 – 155k.
wow a 3k drop in 2 days,, impressive.
so i rewrote the contract as per email above and gave him seven weeks to sell.
i havent heard from him so it must be ok (i hope)
cheers
shaunLead, Follow or get out of the bloody way
hi all, the latest update from the RE agent, ref my email that i sent him earlier.
his replyShaun,
Thank you for the reply and yes I did actually get your message and a new
agreement was at the counter yesterday afternoon.In relation to the price I did supply the market evidence to support our
market estimate due to the current market situation. I do believe that the
unit will sell for a price between $153,500 and $158,000 as stated on my
appraisal letter.After reading your e-mail I would recommend advertising the property at
$162,500 and listen to all offers from here. In relation to clause 2 we
believe, through competitive pricing of the property, that the property will
be sold.We look forward to selling the unit for you and appreciate you appointing us
marketing agents.Regards
Jason
so it looks like ive won (so far) next step will be to get a friend to the open house and see what he does then.
cheers
shaunLead, Follow or get out of the bloody way
thanks for that leigh, i guess i meant to say that there are times when i am absolutely humbled by the people i get to talk to and be around.
as for going outside and doing something.
just went outside into the courtyard at work.
theres a gym where you can see through the windows about 10 feet away from me.
i sat down had a smoke (i know filthy habit) and a can of coke, and yelled go you good thing!
does that count as helping someone? [biggrin]shaun
Lead, Follow or get out of the bloody way
thanks all,
i will be putting it on the market for 162k as advertised price, and giving him 7 weeks to sell.
his stats that he showed me says units sell in around 34 days so that should give him plenty of time.
will let you know how i get on.
any other suggestions for viralk and myself?shaun
Lead, Follow or get out of the bloody way
wow, you guys out do me,
i feel embarassed that i put my little car pushing story on here now [baaa]
oh well, i will try to do better next time
cheers
shaunLead, Follow or get out of the bloody way
hi viralk,
i’m doing the same thing, and heres a couple of things that i’ve done so far.
interviewed a couple of RE agents.
asked why it should sell for that price.
not go for the highest price, unless the RE agent can justify it with recent sales in that area and how long it was on the market.
living in queanbeyan, ive finally selected one agent. he’s telling me units have gone down about 16%, fair enough the markets changed. as my IP was valued at 195k 4 months ago, it should sell for 160k. however the problem i have now, it the agent wants to advertise it at 159k for a quick sale… what the?
isnt he meant to get me best price?
i’m trying not to be greedy, and all my stats that i investigated myself tells me that its worth 160k.
so i’ve gone back to the agent and told him to put it on the market for 162k. the minimum i will accept is 157 – 158k and dont bother trying to sell it for less.
is this the right thing to do?
heres a copy of the email i sent him.
what do you guys think?
Gday jason,
its shaun walker here, not sure if you got my phone message,
but will repeat it here anyway (that and give you my email address)
ive accidentally scribbled on the exclusive agency agreement, and will need another copy.
sorry about that.
after getting several other quotes for selling (lj hooker and raine and horne)
i’m a little concerned about settling for 155k.
both other offers came in over 160k but they could not substantiate their claims ie as to why it would sell for that price nor could they give me any time frames.
so i have decided to sign up with you with the following corrections to the contract.
advertised price at 160k, this is still around 18% below last valuation.
i will not accept a price below 157,000 but will happily accept 158k should it be offered. i know that it may seem a little high as you are expecting it to go for 155k, but as the unit next door (same complex) sold for 150k several weeks ago and it hadnt been renovated at all (in fact it needs new curtains, carpet, stove, hot water system and painting), 158k seems a fair market value to me as everything has been renovated.
the agency agreement clause.
clause 1. the date thats fine, 90 days.
clause 2. is fine however i will be giving you in writting on the 90th day that i will want to terminate the contract with no further obligation as the participant to pay you any fees.
i understand that during the 90 days that anyone that i introduce to the property that you are entitled to your fees, (fair enough, you did the work why shouldn’t you be paid)
all other clauses are fine.
if you have any questions please feel free to contact me
cheers all
shaunLead, Follow or get out of the bloody way
yeah i agree its all doom and gloom, we’re all going to lose our shirts.
just thought it was worth a laugh thats all!
cheers
shaunLead, Follow or get out of the bloody way
yestereday (wednesday) i helped a complete stranger push start his car, in the main street of queanbeyan.
cars honking all around us etc. very funny at the time.
cheers
shaunLead, Follow or get out of the bloody way
i have just gone through the same questioning of my accountant and from what i understand is purchasing costs are added to the base cost ie
you bought for 100k
stamp duty legals (say) 26k
interest paid (say 10k
your cost base is now 136k
you sold for 200k so 200k – 136k= 64k
64k/2 = 32k
32k x 48 (your tax bracket)= 15360 you will pay in CGT. do not take this as gospel, your accountant will be able to work it out much better. but im pretty sure thats how it works.
cheers
shaunLead, Follow or get out of the bloody way
i cant answer for bunbury area, however how i went about it is.
asked questions, then more questions. asked friends and people on this forum for contacts.
sacked alot of accountant in the last couple of years until i found one i’m happy with.
same goes for solicitor and mortgage broker.
keep looking, but remember. most of these people come across as your friends but at the end of the day you are hiring them to do a job. if they dont come up to expectation. sack them find another. eventually you will find a good team.
i know this isnt exactly what you’re looking for but it may help you, find that right team.
cheers
shaunLead, Follow or get out of the bloody way
Tip,
never believe what the real estate agent tells you, always double check his/her information from a reliable source.Lead, Follow or get out of the bloody way
mine was yesterday, the 29 july.
i like a tall red head with green eyes, and preferably a police woman! [blink]
cheers all
shaunLead, Follow or get out of the bloody way
not sure if you’re being sarcastic there acey [biggrin], but steve did explain how it worked at his seminar, yes it is basically buy low and sell high. at no stage did he say it was going to be easy.
as for ACTandy, i have to tell you, with the amount you eat, it doesnt suprise me that you got food poisoning.
cheers all
shaunLead, Follow or get out of the bloody way
