Got a tax lien redemption today, in fact. $700ish in interest over four redemptions (in one cheque).

I can't fault it thus far, but I do have about 30 liens I have to start foreclosure on. It will be interesting to see what happens.

– Steve

Hi Margaret,

Thanks for the post. It's wise to seek referrals, especially when dealing in a foregin investment market.

I have not personally heard of either group. Perhaps if I could ask you a couple of questions:

a) What are you looking for (by way of service)?
b) What are you prepared to pay for it?

I am not solicitoring business, just interested to hear your expectations. As you outline them, someone else may be able to help you with a recommendation.

Have a super day,

– Steve

Hi Dan,

I think much of the budget pain is yet to be felt, but it will bite when electricity prices increase as welfare payments dip. It will be fascinating to see what happens with the carbon tax, and whether the government brings this in as the carrot to make amends for the welfare reductions.

You can see the political incentive… giving back what was taken away is still perceived as giving.

I agree that there weren't much visionary changes, which is why a lot of people are saying it is an uninspiring budget from a government in its first year. It's fair to say that the budgets in 2012 and 2013 are unlikely to be worse since Laor will want to remain in power.

Thanks for joining in the discussion.

– Steve

Hi team,

Nice to see the discussion about the book.

I guess it is still theoretical to buy 130 properties in 3.5 years. In fact, I am on track to do so buying in the States about 18 months ago.

But, the real questions is not the number of properties you own, but what the portfolio delivers. You may be able to achieve your investment objective owing 5 properties. Or 2. Or even 1 (think office building!).

Indeed, the premise of book is not about owning 130 properties. It is about looking at real estate a different way: cashflow rather than capital gains.

So, to answer your question… could a person on an average income in a full time job own 130 median priced Aussie properties in 3.5 years (based on 2011 values) – and contributing 20% deposits along the way. Yes – but not on a buy and hold basis. They would need to do something creative and have a team behind them. Also, it is unlikely they could all be held at once, but, then again, I never did.

– Steve

Hi,

I have been to Lehigh Acres on my trips to the US, and had a good look around.

I think the name says it all… 'acres' implies land, and lots of it – and so there is in Lehigh.

With the lack of scarcity, land prices are extremely low. No one is building on it either because falling property values mean that it is far cheaper to buy second hand than build new. There are also many foreclosures keeping a lid on prices (both short sales, REOs and mortgage foreclosures). It is doubtful whether there will be any capital growth in Lehigh in 2011.

So, as is often the case in real estate, there is opportunity… but you need to have the time, money and skill to access it. The opportunity is cash flow (rentals), flips, vendor finance etc.

I would NOT buy in Lehigh without going to see it first hand, nor would I buy unless I had my management team there to look over my investment.

To date I have bought (with  my business partners) around 60 properties in the Ft Myers area. None of them are in Lehigh though.

– Steve

P.S. Further information on Lehigh at: http://en.wikipedia.org/wiki/Lehigh_Acres,_Florida

Hi guys,

The point I am trying to make is that a developer with pre-sales will find the going smoother. That is s/he will be able to get finance and there is relatively little risk provide they know what they're doing.

On the other hand, speculating is going ahead with a development without finance or pre-sales. This is done in better markets because there is extra return.

What I'm saying is that:

a) When the market turns there will be comparatively fewer new developments coming on to the market that have not been presold, because by its nature, fewer are started earlier when times were tougher.

b) Because demand will exceed supply at that time (when the market improves), prices will be set to jump up rather than float up.

c) Once price moves, developers will be happy to take extra risk and so 18 or so months later, more supply hits the market.

So, the question we should be asking is… what was the market like 18 months ago. The answer is… coming into the GFC when finance dried up. Therefore, we do not have a supply glut coming on because it has been difficult to finance developments without presales since late 2008.

– Steve

Hi,

I've written 14 emails to 250k members… one a week leading into April when I needed to refocus for the Conference. I will be returning to writing emails again from this week.

I agree that the dedicated forum is dragging its heals in a big way… but I promise it is still a priority.

In regards to mentoring, there was no promise made here… just a promise to write monthly emails to Club members, and I feel I have more than done that with my efforts to date.

Cheers,

– Steve McKnight

Hi,

You could seek to get the details of the council… I'm not sure if the rate payer roll is public record or not though.

If not, you can always do  a title search. That will tell you the owner and a contact address.

All the best,

– Steve McKnight