Forum Replies Created
- Originally posted by Mortgage Hunter:
If the equity and income supports it – then no problems whatsoever!
hmmm I doubt there will be equity for a while..
Hey in my position, would you just continue paying down the 25k debt I have whilst paying the new mortgage or would you combine the debt into the mortgage somehow?
Originally posted by neo25x5:Agree with Rick here. Finding +cf properties is rarely dished out to you these days. You certainly need to look for it or use creative ways to make an investment cf+. There are several ways to increase rental yields for instance that has a positive effect on cf.
Eric
Can you list several of the ways to increase rental yeilds please?
Cheers
SimonOriginally posted by Pixietron:A person can have a full healthy life with only one kidney…also if you sell half your liver, it will grow back
Not sure if that would be 15K worth thoughgood luck[biggrin]
I think having that extra kidney provides a certain security. risk vs reward!!
Hey good to see another late night poster! (I’m working from home through to 7am manning an afterhours helpdesk)
me too!
Although I have to delay getting into IP until partner and I get PPOR.
But a mentor would be ace, preferable someone in Hobart, either into computers or motorbikes or both, but more importantly into investing!
Congrats on being debt free! I have 25k of personal debt and no PPOR house yet.
But my girfriend and I are close to being able to go shopping for a property around the 150k mark in or around Hobart.
Combinied with FHOG about 7k would get you into 150k unit I think?
I believe people are either looking in regional hubs that are experienceing growth, or they are generating +ve cashflow by different means, eg wraps or by renovating (so they can increase the rental)
Ive only had Steve’s 0-130 book for a week (also bought 1000000 in property in one year which I havent had a chance to read yet (came with fast track2) ) and Ive found some properties that almost meet the 11 second solution but I havent followed up to see if there is a worthwhile rental need in those areas (isolated communities)
I think the trick is to just look through a big volume of properties until you see one that meets what you need..
To answer my own question…
I guess they are out there… would need to offer slighly less eg 60k, and offer improvements to increase rent slightly…
Dont know how risky the area is tennancy wise.
I would investigate this further but the significant other I suspect would like me to use the first home buyers grant on something local (hobart)
How involved does the website have to be?
Does it need a forum? does it just need static text and pictures? Or does it need an on line ordering capability?Cheers
Simon(being an I.T. dude I can do webby stuff)
I’m yet to invest.. still saving towards a ppor and I have to try reducing my personal debt. I’m currently in I.T. but not a flashy programmer or anything, just an I.T. helpdesk analyst. To non I.T. people, when asked, I tell them i fix people’s computer problems. When people in IT ask what I do they probably take pity on me that I’m still doing helpdesk work when I have a degree.. I dont seem to have what it takes to sell myself to get ahead… however I want now to be in property. I want to be able to tell people “I’m a property developer” or “I work in Real Estate” and I hope the quality of the houses (once spruced up) or new houses if I end up going that route sell themselves… otherwise I’ll probably have to pay someone else to do the selling for me… I’m just not a salesman.
Crikey! I think you are doing well already!
compared to me anyway.. 37 years old. 25K in debt and no house yet! My partner and I are saving though.. got 7k plus first home owners grant..hopefully stamp duty will be abolished in tassie sometime next year..by then we should have a good deposit.
Originally posted by Brenda Irwin:I agree, having untaxdeductable debt on your PPOR is a killer. It was the hardest thing I ever did when I bought my own home. ASAP I sold one of the IP’s during the boom and payed off my home’s debt. Gee, it really made a difference to my cashflow, and I was able then to go forth and buy more IP’s. The feeling of actually owning your own home, is good for your own wellbeing as all that stress of losing the family home is gone.
If you want to get out of a hole, first stop digging.
sorry for the newbie question, but what is a PPOR?
Originally posted by Mortgage Hunter:You need to work on a 20% deposit and this will cut the Mortgage Insurers out of the loop.
On a $50K income you may well be able to buy a home for much more than the range you describe – but I would need to ask a few more questions to get a feel for the upper limit!
If you can transfer the debts to your partners name then you will not need to disclose them. Perhaps a consolidation loan might be the answer? After you get the home then both incomes can be fed into knocking it over?
This is not specific advice – just tossing some options out for thought.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Thanks Simon,
I don’t know how my girlfriend would react to having my 25k of debt moved to her name. How does one actually do that anyway?I dont think I would want to go too much over 180k anyway because of the cost of the mortgage payments. Obviously once my loans and cards were payed I would have an extra 750 or so extra to throw into the mortgage payments, so the equity for our first IP would come relatively quickly I hope..
Originally posted by JohnRizqallah:spend less than you earn (golden rule)AND PAY YOURSELF FIRST then all your bills debts later. this is delayed gratification and over time the compound effect is enormous… buy things that appreciate not depreciate in value and askyourself is it a want or need before you buy.. cheer John Rizqallah
Thanks John. After the last big purchase of depreciating toys (ie the computer I’m typing this on) I wont be buying any more “Toys” untill the Playstation 3 comes out probably around september 2006. I was going to buy a Playstation Portable.. but I would probably never use it… I already have the iPod Photo for music, and all my gaming is done on this pc (SWG,EQ,Guildwars (just cancelled a World or Warcraft accound that was costing about 20$ a month that I was barely using))
For example I got paid on the 15th, my recurring bills (loans etc, phones bills ) have been all paid and I’ve put 500 into ING Direct. I have about 300 to last until the 15th of next month. Apart from petrol for the Motorbike, and perhaps a taxi to get me to the airport in a weeks time (going to Melbourne to see some Uni mates) I wont be buying anything I dont need..
For our first house (to live in ourselves) we would be looking for a house around 150,000 to 180,000 around Hobart. Because of the Moto Guzzi there must be a lock up garage. Because my partner has in the past bought and disposed of a property, the paper work would have to be all in my name to qualify for first home owner’s grant. Based on the debts I mentioned above, and a yearly income of about 50k gross, a local mob has said that approx 180k was the most that home lenders insurance would allow.
furrymoggy if you like surfing so much, why not work in a surf shop?
Mortgate hunter, in my situation, (ie partner and I keen to own our own property even though I have about 25k in personal debt) do you think its wise that we save towards a house deposit? or should I reduce my debt first? (see a few posts up for break down of my finances..
My partner and I are saving towards our deposit for our first house (we are currently renting in Hobart $180p/w)
So far we have saved up about 7000 (we went travelling to England Italy and Hong Kong in February which set us back a couple of thousand)
I think my partner only has a few hundred dollars debt in a credit card. I however owe about 25k in 2 loans and 2 cards.
The first card is in its interest free period , and I’m making payments to have it payed off before the interest free period expires (else it goes to something like 27% interest) I owe 900 on this card.
The other card is on 11% interest (paid for the nice gaming pc I’m writing this on) and I’m paying minimum payments on this card for the time being. This balance is $2850
The first loan is at $5200 13.95%, and is a consolidation of previous cards. Its paid at 200.30 a month. Remaining term at this rate is 33 months.
The last loan is at $16596 10.5%. it payed for my nice Italian motorbike (a Moto Guzzi V11 Le Mans). Its paid at $439 a month and I still have 46 months to go on this loan.
Even though I have all this debt, after my last big purchase (the computer parts for this pc) I have cut back on spending, and am saving approximatly between $500 and $800 a month into ING Direct (5.4%)
Once my partner and I have got a house deposit secured, then I intend to concentrate on the loan at 13.95%, then the card at 11% and then finally into the bike loan at 10.5.
Once that is done I intend to save towards another deposit for my first investment property.
So I have a fair bit of debt, but I dont think it will stop me from getting into better debt… ie debt on an appreciating asset. And I intend to start investing after that as soon as my personal debt it cleared. Does this seem like the right approach?
Originally posted by hmackay:Hi’
In addition to the great advice already given I would suggest that if your partner is not your wife then perhaps you could get the FHOG !!!!
hrm
Thanks for that, yes at this stage we plan on her not being on the paper work at all (at some stage we would have to get her on there I expect… would that be more stamp duty?)
