Hi,

Very hard to say David as you only you know your investing plan.

If you are after +ve cashflow then buying the property would seem to push you further away from your goal. On the other hand, provided the market keeps appreciating then maybe it would be a good capital gains asset.

One thing I would say though is that investing to save tax…[Read more]

Hi,

Tony’s formula works for him, Terry’s formula works for him, my formula works for me.

The question is… what’s your formula and how will it work for you?

As I understand it, Tony made his up from scratch… you can too.

Great to seek some advice though and thanks to Terry for providing guidance.

Cheers,

Steve…[Read more]

Hi,

It’s not complicated… find a deal and then find someone who wants to buy the details from you. Given the substantial number of people who can’t find +ve cashflow properties, you should be doing OK quite quickly.

Ah, but don’t advertise on the forum here as (except in special cases that have pre-approval) it’s against the…[Read more]

Hi,

quote:but sorry to be the party pooper. The 11 second solution was only good when interest rates were at 5%. Now that they arent and if you are using interest rates of 7% you need to find a property with a gross yield of 14% to be positive cash flow.

Bollocks. Actually, the 11 Second Solution was created when interest rates where higher…[Read more]

Hi,

The best I’ve seen in Oz is ten year fixed interest rates.

What I do is know at what interest rate I can lock in my positive cashflow and still earn a good return. That way I can monitor what happens and be proactive rather than reactive.

Cheers,

Steve McKnight

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Remember that success comes from doing things differently.
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Hi,

*sigh*

When you know what to look for deals are everywhere. Sadly, though, people don’t know what they don’t know.

These words often fall on deaf ears, but… opportunities are everywhere. The key is to (1) find a region you want to invest in; and then (2) look for problems.

Good luck.

Steve McKnight

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Remember that success…[Read more]

Hi,

I think that perhaps you echo a sentiment that a lot of people feel after reading the book.

Yep – it’s pretty hard, yet there are a number of factors that will time and time again prove that deals are out there. They are (in no particular order):

1. I believe the best way to make money in property is to find problems and solve them. As we…[Read more]

Hi,

I think that the claim:

quote:The long property boom in Australia is at an end and the blame is being heaped on one man’s shoulders: Henry Kaye…

is about as accurate as:

quote:ABC News, Australia’s main network television channel

*sigh*

Apart from Alan Kohler insights, the rest of the article is hype and lacking in substance.

Where is…[Read more]

Hi Ben,

Thanks for your post and welcome to the forum!

quote: 1. Am I missing something as far as getting the best return on this property? It is a 2 bdrm + a 1 bdrm with seperate leases. Sorry if there isn’t enough info here as I don’t really know what other info would be helpful. It’s not completely dedicated as an investment property as I…

[Read more]

Hi Swampy30,

My moto is buy the problem, not the solution.

Thanks for your post!

Merry Xmas,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

Hi,

I’ve looked at them at various times and found that they would be negatively geared on the basis of an 80% lend.

They are properties that would be better suited for investors seeking capital gains returns and not wanting the usual hassles of tenants.

For cashflow investors, the deposit required to make them +ve cashflow would mean that the…[Read more]

Hi,

Generally speaking, the cost of the asset includes anything related to its purchase plus costs associated getting it into a location and condition for use.

As such labour associated with hooking up an airconditioner in a rental property would need to be added to the purchase price and depreciated.

Nb: You can claim a deduction for expenses…[Read more]

Hi Vegemite,

I’d recommend paying an accountant to flesh out your options with you.

Depending on your situation, you might be able to gain some tax advanges by paying a dividend rather than taking it as a salary.

I think you really need some advice because:

1. It is not wise to operate a business and act as a trustee in the one company.
2. As…[Read more]

Hi,

If you’re an Australian investor then you will also need to have a plan about how you expatriate your profits.

Double-tax treaties can be complicated, and it is best to go into complex issues with some sound advice first.

As for the area… I think that it is good to do your research from home, but before you buy it is wise to visit the…[Read more]

Hi,

Doing things like this to access tax benefits is not a sustainable way to invest.

The points made by mortgage hunter are well made… indeed, this looks like a scheme which is only entered into for the purposes of minimising tax – and as such, if ever questioned, is likely to attract the ire of the tax authorities.

Personally, if you do…[Read more]

Hi,

I’m happy with this post and recommend Rachel as someone with integrity.

Regards,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

Mini,

What have you done? How much is the NZ government paying you? []

*sigh*

Next time you do this could you please put down an e-mail address where people can contact you rather than asking people to leave e-mails in the thread.

Sadly, software exists that strips these out and then sends spam by the truckload.

This post is now locked as…[Read more]

Hi Eternity,

quote:Firstly thanks for sharing in your book “0-130 Properties in 3.5 years”. It was a great read and eye-opener. I really loved it!

You’re welcome!

quote:Would you care to share with us about how you are currently going in your Investing Endeavours?

Yep – this is what I did at the recent seminars that I ran, however as a…[Read more]

Hi,

What actually kills us is the cost of bandwidth!

Plus the cost of moulding the freeware Snitz into the product you see before you, hooked up to a quite elaborate database.

Plus the cost of development.

All up, we’re running at a cost of about $600 per week at the moment, which is (hopefully) recouped through product sales.

Regards,

Steve…[Read more]

Hi Bear,

Go to: [old broken link] and in the drop down box at the top right of the forum area select “show all topics”

That should do it.

Bye,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********