Forum Replies Created
Your serve Dacium!
The views expressed thus far seem to cover the spectrum, except to add that perhaps some new cars are really a very good option in certain circumstances: eg, In the range of $17500 to $28000 (which will cover 1.6 litre Hyundai to 4 litre Falcon/Commodore, all ex gst) , should you have self employment status and significant taxation bracket, you can benefit from the tax angle,Wilrose, why do these type of vehicles represent a good option? Can anyone lease a car, or do you need to be a business or have an ABN?
Do you personally lease a car?
Regards
Wayne
“What is the lap record, and which way do i go?”
Hi Parraboy,
Looks like your choice of an IP in darwin has done well, almost doubled in 7 years. Is Durack out near palmerston? I was born and bred in Darwin, and as growing up there always remembered it as being expensive for rentals. I dont think Durack was even established when i left in 1985, but i still frequently vist my daughter and family up there, and am amazaed at the amount of building activity and growth happening there year by year.
I think the local government are doing a great job, and the town has plenty to offer in the future. The area from the northern suburbs out to howard springs is virtually joined up, and could only imagine house prices would continue to appreciate with the urban sprawl heading further south all the time.
In my opinion, when you take selling costs, capital gains and stamp duty on your next IP in to consideration, why throw that away, you have an IP that has already proved itself and is probally cash flow positive currently.
Regards
Wayne
“What is the lap record, and which way do i go?”
Hi Amanda,
Correct me if i am wrong, i though that i read somewhere that the smoke detectors had to be checked annually, by someone that was qualified to do so.
If that is the case, what makes someone qualified, and i imagine that it would only add to the cost of ownig an investment property, if you were not able to complete the task yourself as an owner?
Regards
Wayne
“What is the lap record, and which way do i go?”
Hi Cruisader
Let me say firstly, i have never done a development project and am certaintly not the full bottle on the pros and cons.
When i bought my current PPOR which is on a corner block with ocean views from all rooms of my home, it had approval for a second storey extension. My home faces to the ocean, which is great, but there is a vacant block on the opposite corner which i feared that should it be developed i may lose my views.
The local shire building inspector informed us that since there is no neighbours within 15 meters from us, we could build a second storey with balcony because we were not overlooking neighbours and imposing on their privacy.
The corner block opposite us, if they were to build 2 storey would be restricted to building a balcony or verandah out to the front of their block only. They would be unable to build a balcony or verandah on the side of their home, as they would be imposing on the privacy of their neighbours beside them. The local building rules would also only allow certain size windows on the neighbours side, if they were looking down on to someone elses windows.
Hopefully i have not confused you, but depending on what you want to build, your location and local building rules, there may be some great benefits from developing corner blocks. As you said the most obvious, is the dual access.
Regards
Wayne
“What is the lap record, and which way do i go?”
Originally posted by dacium:Don’t be fooled by all these people claiming ‘no right or wrong answer’ or some such rubbish.
The right answer is always the LOWEST interest right with low escape fees. The best right now is clearly http://www.ratebusters.com.au. The variable rate is just 6.92%. on a $300k loan that is $50 PER WEEK cheaper than ANZ and other big banks who are at 8% or more. Don’t be fooled by all the crap out there, interest rate is what really matters.
I think you may find that the views of those quoting some of that apparent rubbish, are respected and valued forum contributors to all topics. They are just protecting the interests of those that may not have the knowledge or experiences in the subject.
Interest rates are also not the only solution to the right loan, depending on your individual circumstances, you some times may wish to use a loan that has higher interest rates but is more flexible in their lending criteria.
But that is only my 2 cents worth.
Wayne
“What is the lap record, and which way do i go?”
Hi Guys
A lot of very interesting views!! We have been a 1 car family over the last ten years, driving a reasonable bomb, and have only just recently bought 2 new cars within the last 12 months. I suppose i should have asked this question before the horse had actually bolted!! It is only since my introduction to this forum in the last few months, that i was sure there would be different views on buying a new vehicle.
When we bought the cars, we wanted to reap some of the rewards from our efforts, as we have always tried to keep a balance between lifestyle and investing.
I appreciate everybodies view on the issue, also russ, would be keen to hear how the leasing option pans out for your situation, if you dont mind sharing with forum.
ps: I still have got my old bomb, have been far too slack and have not yet sold it.
Regards
Wayne
“What is the lap record, and which way do i go?”
My apologies Terry, not Richard!!
Wayne
Hi rp2606
I am currently holding block of land which i am waiting release of titles, i have onsold this block prior to my settlement. I had to pay the stamp duty before the end of first 12 months, and both contracts will settle immediately after one another.
As Richard had mentioned, you have to own it first, before you can sell, hence the need to pay stamp duty.
Regards
Wayne
“What is the lap record, and which way do i go?”
Thanks Richard
Do you deal with WA clients? Also i have a current LOC (200k) on my PPOR, do lenders see this as a debt, even if there is no draw down on the LOC, am i better off closing this LOC loan?
Wayne
“What is the lap record, and which way do i go?”
Hi Terry,
I would have thought your accountant would know this stuff.
Exactly, the very thought that he could not tell me straight of the bat has got me now a little worried, i have just changed thid year from an accountant that i had been using over the last 10 years.Just checking the thoughts of some of you property gurus, should the accountant come back with a “No”, before i go in to battle.
Thanks
Wayne
“What is the lap record, and which way do i go?”
Hi Guys
A very interesting thread for myself, as we type i have my Finacial records in with the accountant, and find myself in this exact position.
The information on this thread and previous threads on this subject alerted myself that i may not have to pay CGT on one of my propertries, resulting in a saving of $30,000. I asked my accountant, who claimed that they would have to resaerch the subject, made me a little nervous, as i would expected that they deal with this issue reguarly.
The only thing that will prevent it is if you own another home.
Simon, are you talking about another PPOR or any home, such as another IP?They can overlap by 6 months if you are selling one but you cannot claim two PPORS otherwise.
Simon do you need to move back in to your PPOR prior to selling? My situation is, bought PPOR in 2000, lived in it until 2002, then moved in to company supplied accomodation and rented out PPOR as IP.We quit our jobs in July 05 and moved into our new PPOR, which was an IP prior, and placed original PPOR on market, which sold in Dec05. Would my situation, fit this criteria? I hope i have not confused everybody.
Regards
Wayne
“What is the lap record, and which way do i go?”
Hi jag36
I run my investment properties on Posh software, it can be found in the back pages of the API magazine. It can produce a variety of reports, which will make your time at the end of the year less stressful. If you enter the data as it is accrued, it does not take up to much of your time.
I also have a simple but effective spreadsheet also, which your welcome to use if needed, just send us your email address if required.
Regards
Wayne
“What is the lap record, and which way do i go?”
Hi Ryan,
I am currently a sales rep in WA. Do know what state your purchase is in, but in WA, a buyer has the right to withdraw their offer anytime up to the vendor accepting the offer. If the vendor has not signed or counter offered, i belive you have every right to withdraw your offer and not putting your deposit at risk.
Regards
Wayne
“What is the lap record, and which way do i go?”
Hi Nikikb
Like all the other guys have said, dont sell. I am a Darwinian, born and bred, and from what i remember the rents being, you would most likely get a far better rent return on your current property, than if you were to sell and buy another IP elsewhere.
Go the Buffalos!!
Wayne
“What is the lap record, and which way do i go?”
Hi Paul
Totally agree with Terry and Richard, why hang on to an asset that is costing you money and doesnt allow deductions.
What are the advantages of buying vacant land only over a house and has anyone done this in the past and would recommend it as an option?? Any thoughts would be greatly appreciated.
Saying that i currently am holding 2 residential blocks that have given me a great gain, with not too much financial pain.
The first block i paid a $2000 deposit on a $90,000 block with settlement expected within 9 months when the titles were to be ready. It has now been 20 months and titles have just been released. I actually on sold it 12 months after my purchase for double the price. I had to pay the stamp duty before the 12 month period had expired, but other than that i have only paid $2000 and have not had the need to draw down a loan.
The other land i bought in March 06 ($150,000), the banks would not lend me the money, so i had to go with a low doc loan at 70% LVR, i used the redraw facility in my PPOR as the deposit. I knew the land was approximately $20,000 under market value at the time, and believed the WA market was still on the rise at the time. I will sell this block once the 12 months is up, at market value, app $275,000, after all CGT, fees and interests are taken in to account, i should still make $60-$70k.
I could not save that amount in a year, so they both seemed like good deals at the time. It is not my preferred option, but if your in a boom market and can find land with small deposits and long settlements, there is some money to be made.
Regards
Wayne
“What is the lap record, and which way do i go?”
Congratulations!
Hope all goes well on the day!
Regards
Wayne
“What is the lap record, and which way do i go?”
Thanks Luke
Yes it is brand new, it is on the Gold Coast on the canals, 4 kms from Surfers Paradise with views over the city. It also came fully furnished, the family and i spent 4 weeks in it last August when we went over to take possession of the property.
I have been investing in property over the last ten years, and done very well, to the point that both my wife and myself resigned from our mining jobs 18 months ago, and went for the sea change. Prior to winning the home, i was working 2 days a week, whilst my wife has decided not to work ever since we left the mines. Winnning the home has taken the pressure off, for my wife to work at all or for myself to increase my days.
I have only recently discoverd the advantage of trusts in in the last 12 months, and kick my self that i had not found this site earlier. There is so much knowledge and help on this site, from people who are actually doing the things that they recommended.
It has certaintly brought us closer to retiring frommy 2 day per week job, but have to ensure whatever i do, it is still flexible enough to allow us to keep building our portfolio and investment goals.
Regards
Wayne
“What is the lap record, and which way do i go?”
Thanks Scott,
I will be in contact.
Wayne
“Whats the lap record, and which way do i go?”
Self Managed Super Fund
Wayne
“What is the lap record, and which way do i go?”
