Hi Julian,

Nice Info, just be aware, as there are new taxable income figures now for this new financial year.

Cheers,
s.i.s

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million

Hi Guys,

Another important thing, its important to be able to check accounts that there are always funds in there. You yourself might have no problems with repayments, but some PM seem to put payments in either late or tenants decide to pay rent a week later and thus in meaning. When a bank repayment is meant to be payed, it could be your PM or tenants fault for not paying or direct payment to your account when suppose.

Though this has never happened to me, i do keep regular track of accounts and balances.

Cheers,
s.i.s

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million

Cause its the feeling of Rock Concert Atmosphere [^][^][^]

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million

Hi Native_Metal

1: if I work full time and my partner is a full time student is there any advantage in buying IP’s in her name?

Depending on your income, and what type of investment purchase, like eg. +ve geared vs -ve geared. It could vary who should own the property.

If its +ve best to put in your gfs name as she has a low income. If your a high income earner, and your after some tax breaks, go with the -ve. But again it will depend on the property and both your taxable income position.

2: in the future if I was to leave my job to become a full time investor what rate would i pay capital gains tax at.?

For a property trader, who soley relies on the profits from their investment properties, you might be able to avoid paying tax, though depending again. If you are a very aggressive and but very active property trader. Though you do lose out on your 50% capital gain discount, because your are a property trader.

3: if I setup a Business that buys Ip’s to add value and then sell the property within 1 year what would the rate of capital gains be?

As an individual you pay tax on 100% of the capital gain.

Not sure with Company if it is the same as one year, but you pay a 30% tax on every profit.

Trust – you can distribute, the profits to beneficeries, yet im +ve they will not be exempted from any capital gain tax discount.

Cheers,
s.i.s

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million

Hi Redwing,

I cant complain about your sheet, All thumbs up! [^].

Though im a bit concerned about the property being -ve geared. Main reason is, your approx annual net profit is $2,851.96

$2,851.96 / 52 weeks = $54.84 a week.

Just basing on interest rates of 7% over 30yrs on a 100% borrowed P/I loan. The weekly repayment on:

Selling Price

Out of Pocket (every week) due to -ve geared.

$87k — $144.67 pw Out of Pocket $89.83 pw
$60k — $99.78 pw Out of Pocket $44.94 pw

Interest Only (30yrs @ 7%)

$87k — $117.11 pw Out of Pocket $59.83 pw
$60k — $80.76 pw Out of Pocket $25.92 pw

Just based on these figures, its going to put a big dent in your pocket everyweek, which could make the difference in being able to purchase more properties. Depending on what the growth is and what you think the property will be worth say in a years time or 2, if you were to purchase it for capital gains. Then i would hope for at least the very minimum of $30k capital gain.(To cover orginal cost and now selling and closing cost and factoring a small percentage to tax).

Overall the property seems fine. Though, im very touchie about units, personally i dont like them and also the fact it worries me its a 1 bdrm unit. If the capital gain stacks up, might be worth it.

But if the property is going to cost about $60 – $90 pw out of pocket. Ideally i would look for sumthing that would return a much higher capital gain.

Overall Redwing, i like your sheet and found it very quick and clear to read [^][^], but the property im a bit iffy on.

Cheers,
s.i.s

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million

Hi Guys,

For me personally, its not just sourcing deals and drive bys on a bus going through each town quickly, there will be opportunities, were we get time to wander around at some towns. In this opportunity, i will take the privilge of seeing some real estate agents immediately,

on the drive bys on the bus, ill be taking down real estate agents numbers advertised on there buildings, the opportunity to talk to other investors on the bus.

Yet also when we do dock in for our overnight accomodation, will also take the opportunity to talk to locals of were such towns, or even little towns by that have very cheap property up for sale, or were we might be able to source out some really good +ve cashflow deals.

I think this experience for both me and Kay, will give us a first hand knowledge of these towns, but also real knowledge of them, rather than accessing internet data.

If we dont learn nuthing, hey at least we got a free weekender, and if we do, it could be one thing, that gives us that edge and knowledge, that could be priceless.

cheers guys, hope to see some of you there
s.i.s

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million

Hi Arty,

Do you mind sharing what rules you guys have set up???

[][:p][]….This should be interesting…..

cheers,
s.i.s

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million

lol… only us 2… now should i be worried… [8]

cheers,
s.i.s

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million

Actually i think it will be a great trip, being able to meet some of the forum members and sharing each others thoughts, but having like minded people in the same interest…. will prove that this trip may be worth its while.

And the food i heard is really really good.

I look forward to going. mmmmmm food

cheers,
s.i.s

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million

Hey Property Guru,

This could be the chance for some of us forum members to meet up, imagine that, lol what a bus trip and weekend that would be… [][8][]

lol, for the members who dont know, PropertyGuru, just lives like 5 mins from my place…

cheers,
s.i.s

People 4get that by saving just $3 a day & investing it sensibly
over a working life, you’ll end up with around $1 million