Forum Replies Created
I write those computer programs [computer] that rip you off 20c and everyone else also. But the bank doesn’t see it , I use all those 20c to pay off my own loan. No typo, it’s deliberate. [devil]
Mal
Getting out of your comfort zone, can help you become comfortable
This same topic has been raised in the General Property section under “Doom and Gloom for OECD report” https://www.propertyinvesting.com/forum/topic/21115.html?SearchTerms=Doom+and+gloom+from+OECD+report+
Mal
Getting out of your comfort zone, can help you become comfortable
Hi Rastuss,
go to tradingpost.com.au and enter your state and the search words “house for removal”. I can almost guarantee there will be something there for you.
Mal
Getting out of your comfort zone, can help you become comfortable
You say you are thinking about renting it out !! Was this intended to be your PPOR or an investment? As an investment you will be able to offset the Capital loss on sale (if you sell) against other capital gains. As a PPOR you have no way of recovering a loss on sale.
Maybe buy one of the cheaper ones also.
Mal
Getting out of your comfort zone, can help you become comfortable
I’d say, listen to specific.
I’m also from Sydney and own a few units in Cairns area. When looking at units in the area you may see a 2 b’room unit for 120-140k returning 150-170pw, on the surface it looks good, but factor in body corporate, rates and PM fees and these 3 costs along will ad up to 3.5-4k pa or approx $75 pw. That is a big chunk, add the interest costs and you are holding a -ve geared property at the top of the cycle, and it will likely stay that way for some years.The only reason that I would buy there now is to buy the other half of the block of units in the same complex that I already own. Other than that look further out, and maybe at house with large block of land, if its within your budget.
As for taking a trip up there I’d say go for it, wait for the cheap airfares to come online then book a few days up there.
Mal
Getting out of your comfort zone, can help you become comfortable
I’d suggest that you go to or call a few Property Managers (not just 1) and ask for a copy of their Property Management Fees & Charges and conditions.
Sit down and compare what they do for the money.
You want to know are :
Management Fee and Conditions
Lease Fees & conditions ( eg. Advertising costs, who pays ?)
Petties (usually a monthly charge)
Termination period, if you are not happy with them.
Do you have to pay for them to do inspection and condition reports, on top of the management fee. (This is pretty common in Perth and 1 or 2 other states).Mal
Getting out of your comfort zone, can help you become comfortable
Given that the past 2 years Cairns has been Booming, I’d be interested to know what type of capital gain Sam has make on the property and what the CG would have been had full price been paid.
I’ve made 20% 1 year and 50+% 2 years, on older units.
HG, I also think that Cairns is at the top of this cycle.
Mal
Getting out of your comfort zone, can help you become comfortable
Just look up “Structural Engineer” on http://www.Yellowpages.com.au . There are plenty there that can help you.
Mal
Getting out of your comfort zone, can help you become comfortable
patbc,
I think you are in the enviable position of being able to take on a development and not be risking a great deal.
If KP is correct and there is a potential to make 80k it would be worth it. If say you can afford to cover costs during construction and made only 10-20k would it still be worth it? Have you done a development before ?and, how much would you learn by doing a development ? Doing or being involved in, is the best way to really learn.
Getting that first development out of the way will open you eyes up to a whole new area of property investing, that can have significant returns.
Either way, I don’t think you can go wrong.
Good luck.Mal
Getting out of your comfort zone, can help you become comfortable
Hi Barni,
Check your Property Management Agreement first, you will be required to give the agent notice, this can often be up to 90 days. The current lease term has nothing to do with the agency agreement.
Mal
Getting out of your comfort zone, can help you become comfortable
Nothing Exotic about me,
Parents are both Aussies, mum was even born and raised in Kurnell, you don’t get more Aussie than that. Ancestory is English & Scottish.Mal
Getting out of your comfort zone, can help you become comfortable
Shares in recent IPO. Purchase Price $1.80, day 1 opened at $2.22. Day 2 close $2.30, day 3 close $2.38.
The IPO was not offered to the public, employees were offered a 10% discount. less than 5% took up the offer. about 95% of them are now kicking themselves.Mal
Getting out of your comfort zone, can help you become comfortable
Yes.
If say you have an investment account, you can draw on expenses such as Rates, Body corporate, Insurances etc.
If you have non deductable debt, why pay these expenses out of your own pocket. The worst thing you can do in this case is allow a Property Manager to deduct these expenses from rental income.Mal
Getting out of your comfort zone, can help you become comfortable
1) Advertise for longer ther tenants.
2) Check the prospective tenants previous tenant history. Do they more around a lot?
3) Divorcees with teenage kids, tend not to move as often (unless kicked out).Really though do you want to sign a tenant on a long term lease only to have them be a dodgy tenant. A short term lease to start does not mean a short term tenant.
My first lease was 6 months, stayed 5 years, was periodic for the other 4.5 years.
Mal
Getting out of your comfort zone, can help you become comfortable
My brother in law removed the rusted out guttering from the roof prior to selling, the outside of the house was transformed by that simple act. Added about 10k to sale price, not one person inspecting the house even noticed that there was no guttering.
For about $25 you can get about 100kg of red wood chipping for the gardens, throw it straight on top of what is there(rip out big weeds), totally transforms boring garden beds.
Mal
Getting out of your comfort zone, can help you become comfortable
PPOR in Shire, Sydney.
All IP’s are in either Far North QLD or the Northern beaches Perth.Mal
Getting out of your comfort zone, can help you become comfortable
Don and Liz,
You both don’t have to post.
I can’t believe you were both thinking the same thing at almost the same time.
Or is there an echo on this postMal
Getting out of your comfort zone, can help you become comfortable
If your property is believed to have been used for criminal activity, your property can have a restraining order put on it by the state, and the rental income can also be restrained, as it too may have been derived from the criminal activity.
If you every find yourself in this position, seek legal advice at once on applying for the restraining order to be lifted. You will need to prove that you 1) were not involved, 2) you had no idea that it was going on, and possibly that you could not reasonably have been in a position to know (eg. periodic inspections would have picked up the problem).
API Magazine had an article titled “Confiscation alert” in the June 2005 issue. More to do with confiscation due to drugs, but the same rules apply to other criminal or terrorist activities.
Mal
Getting out of your comfort zone, can help you become comfortable
Check your landlord insurance policy, I bet there is a very specific clause that excludes claims against lawful seizure of your property.
It is a common occurance, but more so related to drug offences. It’s possible that your property be seized for 12 months and you will not see a cent for loss of rent. And worse, good luck getting a tenant in a hurry after it is released back to you.
Mal
Getting out of your comfort zone, can help you become comfortable
Hi Tan,
It really does depend on your investment strategy. If you but an IP that is negatively geared then it’s better to be in Hubby’s name if it’s long term investment, better tax adv. If it’s a purchase for short term capital gains then it may be better in your name, as you would be the one to pay the CGT which may turn out to be none. If it positively geared it may be better in your name.
however, depending on where the funds will come from for any investments, a lender may not allow an investment to be put in your name alone if, as you have no income, you cannot possibly fund the investment.Mal
Getting out of your comfort zone, can help you become comfortable
