Was the property positive cash flow or negatively geared to start with. If positive…do you want to push it negative, or if negative, can you afford to make those extra repayments??

If it was a positive cash flow property to start with, I would pull out enough funds for a deposit on another property providing it doesn’t push it into the…[Read more]

Our main reason for investing is for positive cash flow, however we ensure the properties we buy are in areas with good capital growth too.

Why not experience the best of both worlds??

http://www.usionline.com.au

Hi Lena,

Auctions can be goldmines! You can purchase property well under value as we have picked up a number of positive cash flow properties this way.

Having said that, I have gone to auction whereby the price sold on the day was twice of what the sales agent initially predicted.

Providing you have done your research, you have nothing to lose…[Read more]

Hi Lena,

Just to pose the question….have you found out why the owner may be selling and why they want to rent it back??

Say they bought that property for $100 000 (hypothetically) at a 7.5% interest rate (not taking into consideration a deposit either) that leaves a repayment of $145 per week roughly…why would they want to rent it back at…[Read more]

Hey Peachy,

I think your offer can depend on how motivated the vendor is. If he is urgent to sell (ie, moving interstate, deceased estate) then hit him relatively low. You may be surprised to find that he accepts your offer.

Generally speaking I find if you are accepted on an offer which is 10% less than the asking price then it is fair.

You…[Read more]

Hi guys,

I’m located in NSW and at the moment am concentrating my efforts here. I will have a website up and running shortly though and will let you know when this eventuates.

There may be formation of some type on Investing group being set up in your state though…

Try getting hold of member: Sarah B.

I think she could be another person…[Read more]

Ditto Josh,

That’s the strategy that I apply. I would never recommend buying in your own personal name, especially if you want to build up a large portfolio. You will get to a stage where you will be tapped out and lenders won’t be so much willing to lend to you anymore cause of the amount of personal debt in your own name.

You need to protect…[Read more]

Paul,

It was a regional town, but certainly not small. I think it comes down to doing your research but most importantly, talking to the people in the area and getting a feel for it. Better still, you may want to stay there for a day and get an impression of the place.

Realistically, a property for only $75 000 really is only ever going to go…[Read more]

Hi Paul,

Nigel is absolutely right…have the best of both worlds! Like you, I am 22 and have a number of positive cash flow properties. Pick the right one in the right area and it will also experience great growth. For example, I purchased a property for $75 000 in late 2004 which has been rented for $150 over this period of time. 18 months…[Read more]

Hi Frank,

Sorry that was kind of cryptic!

What I mean, is that you may initially buy what you think is a negative cashflow property but could be turned into positive cash flow…like a property over two blocks which you can subdivide and either sell off and reduce the mortgage if you wish or put a home on it or just completely redevelop.

It…[Read more]

Cash flow properties are everywhere. However, these days they don’t stare at you in the face anymore, you need to think ‘outside the square’

QL,

If I can give you a word of advice when it comes to positive cash flow properties. YOU DON’T NEED TO SPEND A FORTUNE!

Everyone has to live somewhere and as long as there is demand, there will be tenants. Consider buying a relatively cheap property on the basis it has consistent rent return which matches the price of the property. For…[Read more]

Hi Sarah,

As others have added so far, that would definately verge on a negative geared property. Will it rent for more than $130 per week if you got a new tenant in.

I’m 22 and own many true cash flow properties you may be able to compare your deals with.

For example, I purchased a property for $48 000 which rents for $130 per week at a 7%…[Read more]

Hi Guys,

I’m 22 and have been running a property investing company for the past three years and own approximately 20 positive cash flow deals.

I know many young people who are very interested in property investing but are unsure or need some guidence before they are willing to take that step.

As a result, I’m setting up an 18-30 years Property…[Read more]