Forum Replies Created
Helensburgh – between Sydney & Wollongong.
Hi CR
Derek’s idea of an excel spreadsheet works well. If you can’t design one or find someone else that can, RentManager is a program that tracks all aspects of income and exp for as many properties as you like, and is quite simple to use. Email me if you are interestd and I will let you know the cost and where I got it from.
Wake
I believe Steve McKnight uses a firm called William Partners in Melbourne. Given Steve & Dave’s years spent as accountants, its probably pretty safe to assume that their accountant would be up to speed on property investing.
Good luck
Wake
Hi Dan
In our experience, NSW contracts are usually 6 weeks (42 days) while in QLD they are 28 days.Don’t know about other states. 5% deposit is standard in NSW, but deposits can be negotiated (could be $1000) eg if its NSW and they want a quicker settlement they might accept a lower deposit as a trade off.
As to whether you can get finance finalised in the 30 days depends on your finacer. There should be no excuse for not be able to do so, but some can work very quickly, and some take forever. Your broker should have an idea of who is slow and who is generally quicker. Having pre-approval should help.
Your solicitor/conveyancer should be reviewing the contract immediately, and they will be able to advise on variations to the standard settlement periods.
Good luck
Wake.
Hi Anthony
I’m not sure what state you are buying in, but in NSW the Strata Schemes Management Act allows for two lot schemes (duplexes – joined or freestanding) to take out individual building insurance. This means that in theory, with certain by-laws in place, you can run both lots almost totally independantly, like a torrens title house. However, I am yet to find an insurance company who will do this. I have heard of people doing so, but upon questioning, it always comes out that they have omitted to tell the insurer the property is strata titled.
Unfortunately, you will need to share the cost of the building insurance with the other owner, with your proportion based on your unit entitlement.
Regards
Wake
Hi blondie
Go to Search (top LHS under forum boards) and type in “book reviews”. This will bring up quite a few postings where people have listed books they recommend.
Happy reading!
RegardsWake
Hi steamtrain
Once you have a family, owning your own home will be even more of a good feeling because who wants to have to move around with kids at the whim of a landlord? That may be a good strategy for some, but if you can invest successfully, as you are obviously doing now, and maintain the relative security of your own home, go for it!!
Wake
Thanks for that Derek.
We have spoken to two brokers who have advised that we would be worse off by refinancing at this stage as quite a few of our loans are low IO ones. Quite a few will “mature” around the same period, so we have been advised that might be a better time to refinance.
I will seek further opinions from brokers, as suggested.
Our thoughts were to access as much equity as we could via a LOC and obtain future finance elsewhere with the CORRECT structures this time.
Wake
Hi Residentialwealth
Can you explain what you mean by “critical mass”? Is this like net assets?
Thanks
WakeHi Bizibee
cf+ IP’s in regional areas can still get decent capital growth – you just have to look a bit more carefully. If you want some ideas as to what growth is predicted in different areas, check out the range of Residex reports at http://www.residex.com.au. They aren’t the bible, but can certainly help point you in a direction. It is also very possible to find regional areas that have good rental demand – this will coincide with good infrastructure and good employment prospects/reasons for existance.
We bought our first property in May 03, and are negotiating our 10th now. Jumping in the deep end means that the learning curve has been steep, but VERY exciting. We have 2 CF-, 2CF neutral and the rest are +ve to different degrees. We may not have done everything right, but we are much better off than we were before we did anything.
Good luck.
Wake
Hi Bizibee
Re finding cf+ IP’s, depends where you look.More difficult in SE Qld, but quite achievable in more rural areas, or central, north or far north Qld. You should determine your investing criteria in terms of a town’s population, reason for existance, infrastructure etc. Some people might be comfortable buying in a town of population less than 10,000 with a healthy economy, whereas others might not consider anything under 20,000 pop. It also depends on how you are researching. The internet is great for geting a feel for an area, and you may be lucky enought to find a good deal that way, but you might also have to spend some time on the ground fine tuning your research. Plus, good deals are often snapped up before they reach advertising stage, so it pays to make yourself known to agents in an area you are seriously considering. Hope you are not too hung up on the 11 second rule, cos there are deals that have great potential that might not fit this initail criteria.
The most important thing is to – DO SOMETHING! The first purchase will be your hardest. Best of luck.
Wake
Hi Derek
Read the thread – that’s great news and will make quite a difference to us. Now… to find a good accountant.
Wake
Hi Derek
Thanks.Hubby & I have jumped in the deep end and bought 10 IP since May 03 (2 -ve cf). Initially they were for buy & hold, and without a crystal ball our equity posn looks good for retirement in 10 yrs if we do nothing else. But our plans are changing and we want cashflow sooner so we can ease up on working, which means more of what Steve calls problem solving to create cashflow. Guess we might have to sell our 2 -ve IP as soon as we can pull a reasonable profit, to reinvest, since we can’t count on continuing excellent growth in the short term.
Wake
