For those who would like to take Hong’s 50k and invest it in shares.
The ASX Sharemarket game starts on 23 Feb.
You have a hypothetical 50K to trade over 10 weeks. Perfect for those wanting to do a bit of paper trading.
Sorry Hong there is no options trading though.

Mal

Getting out of your comfort zone, can help you become comfortable

Don,

I haven’t played lotto myself in about 10 – 12 years. I figure if I can afford $10-20 a weeks that some people put on ( I’ve even see people hand over $50-80 a week, which horrifies me), that I can buy a CF- property to that value per week.

My wife now puts in a couple of dollars into a group syndicate at work, and it’s just a bit if fun…[Read more]

Have you tried black mail for future business.
You say you are doing a development, so you you may just need a property manager. Sus out an agents property management fees and conditions for your soon to be completed development. O’h and by the way I’m also looking at somewhere to rent for 6 months what have you go available ??
If they knock you…[Read more]

Hi Spoodle,

If you PM me with some details, I.E a couple of months of a statement, I’ll try and work it out for you. Different institutions have different ways of when and how they apply interest, so there is no simple answer. But I can generally figure it out.

Mal

Getting out of your comfort zone, can help you become comfortable

Top Site
thanks Adam

Mal

Getting out of your comfort zone, can help you become comfortable

Check out this weeks BRW titles “Unreal Estate” it highlight the expected top 10 performers in each State. The cover story is about the expected million dollar suburbs in 2010.

It highlights St Kilda West as the top growth suburb.

Mal

Getting out of your comfort zone, can help you become comfortable

Sorry but no !! If you refinance an IP to pay out your PPOR the interest is not tax deductible. Because the purpose of the loan was not for investment.

If you use it to reduce part of the 180k relating to the IP’s, yes it is still deductible. But not the 100k part.

Mal

Getting out of your comfort zone, can help you become comfortable

JES,
Don’t be so sure!!
I recall buying my PPOR in Sydney in 2001 when things were going beserk, properties being snapped up at the first open house, or before being advertised. After this frenzy started, the market did not top out for another 2 years. In that time I had 50+% growth. That has since slipped back to about 40%, but by refinancing…[Read more]

Q: What time is it when an elephant sits on your fence ?
A: About three thirty, but sometimes he comes about quater to four.

Mal

Getting out of your comfort zone, can help you become comfortable

I believe that there is more use of Promissory Notes under the corporate structure as a way to raise fund without the regulations imposed by ASIC on other types of fund raising. It started to become popular in 2003 and companies like Westpoint used Promissory Notes for building residential appartments. The regulators have since steped in where…[Read more]

Hi tossa,

Well it appears to meet the 11 second solution, however, remember that any property that meets your quick calculation solutions is simply a starting point. What this tells you is that this property has the potential to be a cash flow positive investment, NOT that it a good investment and to go ahead with it.

Now that you have this…[Read more]

WA Real Estates will start to feel the pinch just as Sydney and Melbourne Agents did after things slowed down there. Agents will eventually not only have to work hard to get the listings, but will have to work considerably harder to sell the listings that they do have after a slow down. You will see independants, acquired by larger national Real…[Read more]

You are obviously looking at the wrong media if you haven’t see anything on interest rate this year.
2006 first issue of FR Smart Investor, BRW and Your Mortgage Magazine all address Interest rates.

With the bond rate below the Cash rate it may be a good time for those worried about a rate rise to lock in part of there loans at a fixed rate. The…[Read more]

You answered your own question Mitchy,

You can apply the rule, it just does not come anywhere near meeting the conditions of the rule. Thus most investers are no longer investing in Murray Bridge SA if they want positive cashflow property.

What you have to consider is – can a property which does not meet the 11 second rule, become positive…[Read more]

I think if you rented it out that you are able to proportionately claim the capital loss based on the period as and Investment against the total period of ownership. And you can also take into account the capital costs of purchasing it. Ie. Stamp Duty etc.

Mal

Getting out of your comfort zone, can help you become comfortable

Have you thought of renting it out??
Claim the interest, High Depreciation (as it only a couple of years old). Then if you decide to sell it , you can claim some of the loss if you end up taking a loss on sale.

Mal

Getting out of your comfort zone, can help you become comfortable

Hi dinglc01,

It appears that you are in WA.
Being from Sydney I believe some of the best opportunities are still in your own state. WA is where my last purchase was.
I’m all for investing interstate, I only have my PPOR in Sydney.
You should never have to watch over a good investment.

Mal

Getting out of your comfort zone, can help you become comfortable

Foundation,

as DIY says,
if assuming at the end of 30 years and assuming that property doubles every 10 years
couple 1 now own
House $1,200,000
Cash $ 350,000 (assume they paid 30% on interest income)
Total $1,550,000

couple 2 own
House 1,640,000

And remember in the scenario, there was no pain for couple 2’s gain, because they both…[Read more]

Originally posted by Mabbott:
Has anyone had a property manager find suitable tenants for a standard fee when you intend on manging yourself, is this very uncommon??

This is common in WA,
Most agents have both a Letting Agreement and a Management Agreement. With a Letting agreement, the agent will source the tenants, do the paperwork, lodge…[Read more]

Hi pbrau,

Remember there are heaps of different stratergies, and people use different strategies and combinations of stretegies to suit there own needs.

Cash flow positive – why lose money, when you can make money.

I believe that part of Steves strategy is to identify problems and find the solution that once rectified will make make the…[Read more]