Here I am again.. and over a month down the track from my 1 st question that kicked off this thread. Just an update. I decided to jump in and buy another IP after all… but this ones off the plan, & nice. So it means in 2 yrs I will have to come up with some serious cashflow by then. (Borrowing total amt + costs. ). In meantime all I have to pay…[Read more]

Happy New Year Folks![biggrin] Here we go again.
While we are on this topic , thought that I could pick you’all brains re problem/question.
I am both citizen of Aus & UK. Living in Aus for 30+ years continuously (apart from UK holiday breaks). My old father lives in UK. Has his own purchased home. However, its way too much for him now, and needs…[Read more]

My prop man fees are 7%. These should never increase their %age, as the rents increase, so will their $s earned. Had one once that suggested they would like to raise their man fees by 1/2 a percentage point, as costs and CPI are affecting business. RIGHT!
Pull the other one, it has bells on!
Anyway, usually at the beginning of the property manging…[Read more]

BreakEven… once you get the independent valuation… would you post it on this thread… now I am sure that we are all interested. I am in a (almost similar position to you). I have unit in Brisbane, 2 bed, within 3 kms of the CBD.
4 yrs ago the banks valuation on it was $300k. We have used that valuation since, as the price would have dropped…[Read more]

Thanks Marc & Simon. Have taken all on board… thinking….[cap]

Hi Jaydee. Best advice I was ever given is “Dont Panic!” and never make any decisions, nor ‘go with your ideas’ while you are in fear, panic or confusion mode. You will more often that not make the wrong call, and kick yourself later. See accountant to make sure you’re getting max benefits .Ask bank to give you a cut on interest rate etc, unless…[Read more]

Hi Bez. You are asking reelly good, logical questions… I am sure you’ll do well.[exhappy]
Mentor is good. Someone who has nothing to gain from your wallet though.

Hey this thread is full of bright sparks and comedians! (What was the question again?)
Oh yes… a ‘friend’ of mine borrowed money from the bank …..at variable rates, ……and bought shares in an unlisted trust that pays 13 %income .
They pay back the banks interest owing each month, and pocket the profit. All that had to be done, is to pay…[Read more]

Hi meatgroup.
reading the posts, & popped on just to encourage you not to be afraid of the -vely geared property,or other investments ,IF chosen wisely & for capital growth. If I was in your position, I would jump in… but thats me. Everyone has a different risk profile, cashflow etc.

I am earning $38 000 per annum gross. I bought my 1 st IP in…[Read more]

Thanks Marc.. bit of perspective there… appreciate the reality check[smiling]

thanks all.. and to cazmeister re small amounts in super. I did claim the co-contribution last yr… I didnt have to put in a huge amount either… think that the optimum for me was $450 of my own money. I used the ATO tax calculator to figure out the best amount.

Another question for y’all. Anyone know how bank guarantees work… if buying OTP?…[Read more]

Thanks Trajic
So I assume then that I’m not actually getting as much tax relief as I has thought, ( being on the lower tax rate). Bum

how does depreciation work? I have 2 IPs, and seems that I DO get tax break for depreciation. Bought new in 1999 and 2001 respectively. And isnt there building depreciation, as well as things like fridges, carpets, blinds etc? Is it a set % each your, and is it a tax offset, or do I only get 21%(my tax rate) of the depreciation amount back? I…[Read more]

Land on the moon for sale!? You fair dinkum? I have to save up for a Virgin Galactic fare to view the site for my due diligence?
Honestly… wondering how that works?

Dear Terryw

I agree with the other posts.. Ok to have 2 x LOC s.Split or create another one.
make sure that you keep your personal incomings and outgoings seperate from investment LOC. Otherwise it developes into an accounting nightmare, you’ll pay higher accountant fees at tax time, and you will forever be asked the question…”is it for…[Read more]

Heck, thanks guys… I sure am glad that I found this forum… I will get on to that calculator
… and have a play around. My hope was that one day I could live off my investments and I think I just need to see myself as having lots of time to invest.

It is so true.. I DO want to travel and get out of the grind.. and see places.. and buy…[Read more]

Thanks LA Aussie… and all you other forumites… maybe I am getting too anxious. I have been stressing about this for 6 mths now. I really wanted to be retired before or at 60, as I would love to travel, but havent had the opportunity to. Suppose if I have to stack shelves for another few more years … so what! I’ll take a deep breath and…[Read more]

I realise now that I should have given out more info… that would have helped in the 1 st place.
I am 54 y.o, have 2 IPs already. Value of them together $600-$650k. Total debt still owing on them is $408k. But I have already milked equity on them to buy shares in an unlisted company….which produce a very slightly positive income( and…[Read more]

Wow! Hey guys.. I’m not used to being on such a fast moving forum… so thanks for taking time out to answer.. I appreciate the support

I realised on reading all your reply posts.. I paid 21% tax last yr, not 27%… my mistake , must have pressed the wrong key. Sorry for that blunder…( and on my 1 st post too!.[glum])
I am on 42 k per yr.…[Read more]