Forum Replies Created
Hi DanielB
Looks exactly the same except there is no Jamie McIntyre DVD /CD with it.
Chan and Naylors fees can be accessed from their website.
You could try State Custodians. They are a non bank lender and don't deal with brokers. http://www.statecustodians.com.au
I think they may be much cheaper. Better Mortgage Management are another.
No problem, if you don't thnk you will get the value then maybe there is no value. Everyone has to make up their own mind.
As Investorlator hasn't followed me up on this I will now throw it open to those people who have contacted me. Could those people please send me their email addresses so that I can make arrangements.
Thanks
Ic,
I may have another have another set available. Contact me on the personal area with your email address and details.
Same price
Ch4rlie,
You are doing well and only 22. Most people only start a portfolio much later in life and even then we start by buying one or two properties. Over time and slowly building that equity and knowledge you will eventually be able to buy 2, 3 or maybe for at once but to do this too soon is financial suicide and then like a lot of others you would be saying Yeah that property stuff sounds good but it doesn't work. Give it time……and more time….be patient.
Hi Ninh1000
Thanks for the additional info on your situation. Investing is scary and serious stuff. I think a lot of people get carried away at first with the capital gains that can be made but fail to work through the ongoing costs and if's and but's when something comes out of the blue. It's always better to have a long term plan and a good buffer. Buffer being money put aside or hopefully sufficient equity to enable you to refinance. To do this it's best to do this in advance (when equity becomes available) so that you are always a step ahead.
Looking at your situation you have $800k in assets. (Bank valuation could come in at less.)
You don't say how much your current loans are (i'm assuming those figures mentioned are purchase prices)
If you take a normal bank loan of 80% LVR that means you have potential borrowings totalling $640k
Minus whatever mortages you already have gives you the total new finance available. IF your wife only plans on being off work for a year then you need to cover your costs including mortgages expences etc for this time and a buffer of $50,000 for example may do this. IF it is longer than more is required…..up to you to do the figures but selling right now might just cost you money after CGT and selling costs. Have a think about it and talk with some more people……it's quite natural that all this debt scares you. It's only once you do this a few times and get knowledgeable and gain more equity you will feel better able to handle it all. It is a long term thing……I think Terryw points are very valid. How would you know that the trust is tailored to fit your circumstances. Also stamp duty and registration would need to be paid in each state. There is more to it than meets the eye. I haven't had a good look at the sight and I believe your trust may be setup legally but how do you know that it fits your situation and who provides the understanding of how it operates. The trustee….being yourself I imagine would have to be quite up with the duties and responsibilities of a SMSF. Who provides this technical knowledge and updates and what cost does that come at ?
Thanks
Hi Number8,
The cost I was referring to was through an accountant and with the setting up of a company as trustee with ABN and TFN. No doubt there are addtional costs for the accountants services. I am told that not all trust deeds are the same and not all well written. What can you tell us about the trust deeds from this site. I am reluctant to buy something like this over the internet.
thanks
Sorry goldie, didn't mean to demotivate you, just alert concerned that you might not have much equity there.
Perhaps you could provide some additional info.Hey Mortgage Hunter,
Are these rates for real that you are quoting. I'm assuming non bank lenders of course. But they seem too cheap.
What are the exit fees like ?
Hi, not a lot of info to go on here. You don't say whether your paying off your PPOR and if you have any equity in it or the IP.
My first suggestion would be that you look at refinancing your loans to 80% and put the money in an offset account. This can then be drawn on to pay towards the holding costs of the IP. Prices are expected to improve in Qld in the second half of 2010.
Growth on a property at say 10% would almost certainly guarantee that you would make money on holding the property even if you have to use some of this buffer you have created. This is done all the time by experienced multiple property owners. No one has this sort of cash lying around to fund multiple properties from salaries.
This may feel unconfortable for you at first but using equity to service debt and purchase additional properties is all par for the course and learning how to use money wisely like this will keep you making money rather than selling and starting over again.
Hope this helps
Hi I am pretty new to this forum…….less than a week, but reading some of the posts here really puts me off contributing. Surely we can all have an opinion and our say without having abuse thrown at one another. I'm sure many other new members are sitting there thinking the same and whether they dare make a statement. We join this forum to learn and enjoy what each other has to offer. There is no obligation to take advice form any one person. If you don't like someone's advice fine, then give constructive criticism but let's not get ugly.
Thanks
Hi Goldies,
I don't know what age or income you are on but it sounds like you need to do some more reading on things.
If you are looking at needing $20 or $30k to buy another property then you don't have much equity. How would you manage to pay the monthly shortfall ( assuming the new property was negatively geared) if you were to lose your job or suffer a serioius injury. I know the market has been rising but relying on that alone would be asking for problems.
Hi Ch4rlie,
I would like to add to Paul's comment that you should always keep a good buffer to help reduce the risk of holding negatively geared property.
In you comment you say you are earning $45k per year. You own a property worth $340k and have purchased another for $312k.
If you structure your loans properly then after buying the additional property you would have assets of $1,100k approx.
At 80% LVR you would have had to invest around $200k including stamp duty and legals to purchase both these new properties. That would leave you with around $70k (buffer for emergency and subsidise negative gearing) if you borrowed 80% off your original unit. In my opinon that's a bit risky given your age and the current economic situation. If you still wanted to proceed I would suggest a cheaper property that leaves you a buffer of at least $100k or look at higher LVR on the new property. Other than that I would postpone further investment for another year or so. Hard to do when we are young and keen but good to live and fight another day and hold onto what you have.Hi Terryw, you seem to know a fair bit about trusts but in considering Mcgunga's situation I don't think a discretionary trust may be suitable as all the losses from any negative gearing are contained within the trust and he would therefore gain no tax advantage for this on his borrowings.
I have trusts also but they are HBT's and yes they are a problem at present. I believe in trusts therefore, but I feel that they are better suited to people who are well into their property portfolio. 3 plus properties. I say this as many people do not even accumulate this many and due to the cost of land tax, additional tax returns and asic fees you really need to have a few properties under your belt before you actually justify the cost. This depends obviously on what state you are in and the land tax in that state. We purchased several properties before considering trusts and our equity started to grow and we therefore felt the extra cost and protection were justified.
Hi Rob,
Sounds familar but I believe getting advice from a good property tax accountant is the way to go. People on these forums mean well and have heaps of experience but at the end of the day I believe you have to speak to the experts. This some times costs you a bit but when your dealing in the 100's of thousands of dollars it is money well spent. (tax deductible in many cases too!)
Mr501 you are so right on the money with C&N. They are now doing the same thing with SMSF trust deeds. Making out it is there own product but using someone else's and marking it up 300% Check out the competition first. These guys make heaps out of suckering new clients in through their seminars for health checks and then try to get them as long term clients with no CRM and no care policy after that.
Hi Investorlator
Yes I still have them. I'm in Melbourne. I forgot to mention P&H would be extra but at this price still a bargain.
Can you give me some details and I will contact you and arrange details
Thanks
Hi, I attended the Carly Crutchfield boot camp in Feb 09. I have the original dvd's, book and they are all untouched. I didn't get much use out of them as financing is a problem for me at present. If anyone is interested I will sell for $700.
