There are other areas than Ballarat that could give you a better return,but it has had some capital growth. My cousin has 3 houses there that have doubled in the last few years in a lower income area. Some nice areas close in to the cbd or close to the uni. Wendouree West and Sebastopol,Redan etc are the lower areas,Alfredton and Ballarat…[Read more]

The structure will need a little more planning than that IMO. If you use IP3 as security for IP2 then they will be cross collateralized, which isn't an ideal situation. More creative with stand alone loans or a LOC etc would be better,but there are more clued up people than me that can answer.

 I think the idea sounds great in theory,however in practice would not be so good. In your hypothetical example above, each investor has invested 30k. If for example rent was $350 per week,disregarding pm fees,they would get $35 a week,or $1820 p/a before tax. This is before all other costs,rates,insurance etc. The same 30k invested in a term…[Read more]

 So how did you go Dark Knight? Is the flat pack installed and your wife happy? What problems if any did you run into?

 Indeed. Correct me if i am wrong but was it Winston Churchill who said a country that tries to tax itself into prosperity is like a man standing in a bucket trying to lift himself up with the handle? Firmly believe that is the case here. Can only hope something good happens before July 1st.

 Hi callum, i saw the same thing happen in my suburb,and it has improved the surrounding property values. It is a quality development though, this will also have a bearing on what will happen in your area.

  The worst part of all of this,is that carbon dioxide is not even on the government's own national pollution inventory,which is a rather comprehensive  list.  Since it is not a pollutant this is not a surprise, but the carbon tax will have a quite negative effect on the economy imo. People seem spooked enough as it is,the last auction i went to…[Read more]

Hi scotts, this link should give you the required information.http://www.ato.gov.au/corporate/content.aspx?doc=/content/00208572.htm&page=22&H22

  From initial reports it appears that any compensation will be far short of any added costs incurred. If it wasn't there would be no use of having the tax. I can only imagine that if the cost of livings escalates far ahead of wages the people paying mortgages will be struggling more than they are now.

  Thanks Richard, will have to engage a broker when i am ready to make sure i start on the right foot with this little venture i am considering. Found a suitable loan on my own last time but broker seems the better option for me at the present time.

Sound advice,thank you. Heaven forbid i be classed as a developer, i'm a maintenance fitter

  Thanks for the speedy reply Terry. So the best time if possible to advise the bank of my intentions would be at the original loan funding stage? Then use some of the profit from sale of rear block to bring down the LVR and the rest on PPOR offset? May be best to stalk through the ato website then speak to an accountant regarding CGT if it is…[Read more]

    Thanks for your explanation Jamie, i understand that much,including the article you linked to. But what is the difference from just re-drawing the amount to take it across to your new ppor? Would the ato frown upon deliberately increasing deductible debt and reducing non deductible?

I have wondered this too for a ppor,suppose im quite sure i will be there a while, what is the difference for having say a 200 k mortgage with no offset,paying it down to say 110 k,to having it the same 90 k in an offset account? Will the ato be sus if i found another house to live in and just pulled my 90 k out to use on the next house?

   I'm assuming you fall in the maroondah council area? Your only hope is to have them declared dead,dying or dangerous by a suitably qualified person,which will allow you to remove them without a permit without being fined. I would not advise trying to poison them as they can be tested. Maroondah is very militant in their approach to tree r…[Read more]

 I was thinking the same,although this covenant takes in about 25 other houses… The owner at the time in 1949 upon selling placed the covenant over the entire block of his which he had divided in 25-30 blocks, all with the single dwelling rule. I think it would only take one greenie who is in current residence in one these properties to…[Read more]

   I too am in the same situation, have found what i believe to be an awesome deal, but looking through the section 32 there is a single dwelling covenant on it dating back to 1949. Surely this man would be long dead,but doesn't seem an easy process to have it removed…. By the way your site is very impressive Christian!

   I too am in the same situation, have found what i believe to be an awesome deal, but looking through the section 32 there is a single dwelling covenant on it dating back to 1949. Surely this man would be long dead,but doesn't seem an easy process to have it removed…. By the way your site is very impressive Christian!

I personally find the best way to save aggressively is to pay yourself first. The day you get paid the highest amount you can possibly save should be set up to transfer automatically  into a high interest savings account,or into an offset account on your PPOR loan if you have one. Works for me,the best thing about it being put away as soon as it…[Read more]

The exact same thing has happened to me twice, very frustrating to have your offer knocked back only to find a lower or equal one was accepted. In one instance the agent rang me 30 mins after my offer was made to tell me,so sorry, but the house was sold. I asked him how much and it was equal to my offer. I said he should of run a dutch auction…[Read more]