Here’s some;
“Mediocrity – it takes less time and by the time anyone notices it is too late”
“Winners – true winners never quit, but he who never wins and never quits is an idiot”
“When all is said and done, more will have been said than done”

Gday Nathan

Good luck finding development land at a reasonable price now in Perth, there’s no room for development margin (for small players anyway) and all the risk is on the downside as I see it so be careful. Remember your product won’t be available for 18 months, what will the market be like then?
I have been working on a development for 2…[Read more]

Hello Scott

What’s a good accountant? If you mean one that is proactive and who invests in property themselves (and hence has a vested interest in staying abreast of relevant laws) then I am yet to find one in either Mandurah or Perth. I always feel as though I have to prompt them.
If you live in Mandurah then perhaps we can catch up sometime for…[Read more]

Don’t know any websites but you can get a good idea by looking at advertised new house prices in your area from a variety of builders. Better yet phone some builders, quantity surveyors, valuers or even draftspeople.
You didn’t mention house size or fitout quality but here in WA a single story good quality single level home may be $700 per m2 and…[Read more]

A used car with finance company loan at 17 years of age! I have never borrowed money for a depreciating “asset” since. What a great lesson it was.

Regards

Clive

quote:
I think it is something new investors should know about as it could have a big impact on profitability once several properties are accumulated.
Shirley

Hi Shirley

A very big impact indeed and the reason for my original post. While having the value of one’s properties grow by 100% or more in a short space of time might give one a warm…[Read more]

Hi David

It’s a good question. When trying to aquire multiple properties one either runs out of equity or cashflow.
The property you own, is it the place you live in or an investment property?
In order to aquire a second property you would require money for a deposit (or equity in the current property) plus sufficient income to service the loan…[Read more]

Gday Keith

As Bill said, not a lot of info given, however my general opinions are;

Interest Only – Pros
Improve cashflow
Certainty of interest and payments
Can service more loans.

Interest Only – Cons
Lack of flexibility
Costs to pay out early
Rely on asset appreciation to build equity.

Principal and Interest – Pros
Flexibility
Pay out early…[Read more]

Gday David

There is in fact a way to set up so that losses from investment properties (or shares) can be offset against the beneficiaries income. I say beneficiaries as I am guessing that is what you meant rather that trustees?
It involves the use of a unit trust set up for the particular property, borrowing money to buy units in the trust,…[Read more]

Gday Kelvin

If it is Karratha or perhaps Port Hedland then it would not surprise me that the rent was that high, given that it is furnished.
Karratha in particular is enjoying strong rental demand at the moment with LNG train 4 on the go, but like a lot of resource towns, it can change. Already a number of mooted projects for the Burrup have been…[Read more]

Hello ACTandy

It’s a good idea.
Pooling resources can be very lucrative, people do it all the time via syndicates to purchase commercial properties in the three to 15 million range. Why go for a listed entity? Then it would behave like the stock market in a fashion, not to mention the costs of setting up etc $$$. The only plus is liquidity.
There…[Read more]

Hi Deborah

You could always enquire with the tax office.

Regards

Clive

Hi Milla

I have been looking at establishing a hybrid family trust and company trustee structure but for different reasons to yourself.
My advice would be to do some reading up beforehand, although it sounds like you have already, and then consult a solicitor who specialises in these kinds of structures.
This is something you will need to get…[Read more]

Hi Allan

Regards paying off principal vs int only. If one wishes to pay down principal then they take out a P & I loan. Extra payments etc can be made to speed up the process. Remember though that these payments are made from after tax money, so if you are on the top tax bracket then effectively you must earn $2 to pay off $1. Also remember that…[Read more]

Quote:
hi there
im new here, i found this site after reading o – 130 properties…

anyways my question is has anyone heard of morgan pacific?

the hanna brothers run it and are multi millionare
property investors..

i work for morgan pacific and i dont really like what i see…

what i mean is that what i think they are doing is this,

they…[Read more]

Hi Allan

Here is my interpretation

1. I believe To and Put are accountancy terms, double ledger accounting perhaps.

2. Paying interest only loans improves your cashflow, therefore increasing the number of loans you can service and therefore the number of properties you can hold.

Also only the interest component of an investment loan is tax…[Read more]

Hi

I use software called property manager pro, at least I think that is what it’s called, as I am not home presently. Ordered it online some time ago through API magazine. It was about 89 bucks I think. It does the job.
All purchasing details, valuations, income and expenses are entered and reports generated at end of financial year for multiple…[Read more]

quote:
Hi,

I have a question for all you ‘experienced’ investors out there.

After much thought re PI, we’re seriously considering buying a block of land and constructing two townhouses.

The reason for this decision is due to the fact that it is so hard finding an exisiting property to buy with a respectable rental yeild. So, we figured we’d go…

[Read more]

quote:
Not specifically a property investing program, but we are about to purchase this one:
http://www.mortgagewatchdog.com.au/default.htm
Basically will tell you how much the banks are ripping you off. Cost $200 and has a $300 money back guarantee if you can’t find any overcharging by the bank.[]

We are wondering about getting Rick Ottons Wrap…

[Read more]

Hi Terryw

I wasn’t looking to avoid land tax, merely avoid the exponential increase in tax payable which occurs as one accumulates properties in the same name. As it stands a cashflow positive portfolio can rapidly become a cashflow negative portfolio.
I have read of people owning rental properties through unit trusts and hybrid trusts, also as…[Read more]