Forum Replies Created
I’m back and thanks for the posts especially yours Dazzling, i’m with you.
D
The numbers and information is very scary relating to retiring baby boomers but;
have you ever read old newspapers – i read a 1955 paper that said property prices to drop!! as market too high 1acre in Sydney Concord for 25,000 pounds – boy was he wrong
Also the future imagration demand must be factored in here some where
D
Good post and comments, my views
Our strategy is to only invest in high quality performing properties, and over the years our top list goes like this;
1
Only buy in the top 4 streets of any suburb – the other streets perform less from our research.
2
Houses first with large land and future possibilities – duplexes second for higher income and town houses last, no high rise
3
Well located commersial suites less than 100m/2 and furnish them charging a higher rent there by increasing the valuation and yield on the property
4
All investments must be with in short level walk to bus/shops/train etc if it isn’t we don’t even look at it
5
Buy some one elses bad luck (divorse/over committed vendors) and turn it into good luck
6
Knock down old homes in quality ares close to CBD’s and build nice two storey project homes – some times sell with da/ba
7
Purchase close to shopping centres in quite off streets and do cosmetic renos
8
All properties must have substantial equity to allow for market changes.
9
Land banking for the next 10 year boom – 5/10 achre lots in south east queensland – also looking at Mackay, Whitsunday areas
10
If the numbers don’t work don’t rework the numbers!!There are lots of opportunities across the property spectrum to make good clean money. We look at each deal and ask this one question “is it a good INVESTMENT’ I feel that most of the bad stories out there if annalised would give the same feed back – wrong property bad research no experience jumped in bla bla – negative gearing is only a bad thing if “you can’t afford it”
D
I’m with foundation on this one Kaz, no matter what the entry point is or exposure how can you say this is a good INVESTMENT.
I would emagine that the body corp fees will be high being on the 22nd floor and the short fall would be too low for a low income earner with this very negative geared INVESTMENT – have you done an out of pocket expenses for a 60k income earner???
D
Thanks Redwing – some times i see or hear of stories where people own large numbers of properties but when you do the numbers on SOME of them their financial position wasn’t that great.
I attended a seminar 2 years ago where the presenter gave a talk on focusing on your target $ ie; work out exactly how much you want before you try to get there. Like using a street directory.
His view from experience was that there are so many people trying to succeed when they don’t really know how much they are goaling for.
One person in the audience said they owned 16 properties, he asked them what was their financial target and they couldn’t answer him, he said “you may have already arrived at your destination and you didn’t know it”
Wow!!! it was very very powerful.
The point;
All i hear is how many xxxxx we own and i feel that it seems to be more of a competition on numbers of properties rather than on fin/performance.
Peter Spann works a lot on the goal dollar ammount, thats why his new book focuses on 10 million and not owning 100 properties, if you get my drift. It’s sort of like what would you rather have 20 town houses or 10 houses.
D
Thanks others and DLPP
If u r James Packer the world is a small place because you are travelling in it dailey but for us little people it can be very daunting.
I just came back from QLD and secured some great opportunities at wholesale prices and met a new builder that is going to construct some homes for me.
It is so easy dealing in our own country that we know so well, do you think some people are losing their focus to chase the big (maybe) buck??
D
Sounds risky taking into account the recent loss of millions in Westpoint.
Unless the BANK gives me a personal guarantee to get my capitol back plus current term interest i would stay clear of it.
Since you are obviously a promoter GROSS are you licienced to give advise on it at Somersoft?
I thought that as the aussie prop market is in a slump we should be researching purchase bargins now ready for the next boom here.
D
Thank you,
How do you control the managing of the properties from here, is it easy just by emailing the agents or management companies.
D
Thanks for the replys so far some good tips there … D
Hi Mate, nice to come back on the forum and see some good content being put forward for a change.
IMHO our society has been driven to spending money v’s the old days when mum and dad told us to save.
Look at what has happened since “interest free accounts” have been introduced v’s the concept of lay-by.
86% of people refinance and pay interest rates of 27 – 40% to catch up on the interest free period because they can’t afford to pay out the loan.
It’s similar to your car storey Simon, we look good for a few years but our friend (the turtle) who invested diferently passes us by in the future and we look and wonder what happened.
It’s a shame we have to go through the pain before we learn how to gain.
Resi
It must b that these 3 day events are a strain on many people for time and money.
Is there a new way to delivering this information with out having to attend seminars and marathon events.
I am surprised that with 42,000 members here many of these quality questions get such a small response – or the stats may in fact b correct – only 3% succeed??
regards resiwealth
Great idea Matt!!
Why not build a web site and call it “the young investors club”
You can build a community where people all over the world can join in.
You can build a team of licienced qualified independant professional alliances who r under 30 – solicators,real estate agents,developers,accountants,conveyancers,etc etc all helping each other with INFORMATION to make a better out come.
Build it and they will come – good luck mate the world needs more ideas like yours to help people.
resiwealth
Experience doesn’t matter in my opinion but the numbers (roi) do.
Sounds like you have done your home work and have applied some laterial thought based on your reading and market research.
Great job in my opinion good luck and if you proceed please give us an update on the project.
resiwealth
I’m with Mike – clarity of the project would be good.
what is it
when did you buy it ($xxxxx)
value 2day ($xxxxx)
how big is it
what is the current zoning
will the council approve multi dwelings on it
where is it
whats it next to
near by transport?
distance from cbd
current growth of the area
value of similar properties in the area
what is your own personal opinion
do u have an architectresiwealth
I believe that investment cycles in real estate can b compared to other areas of investing as well.
In the stock or share markets we see people making profits in up cycles – side ways cycles and downward cycles.
Many big developers are nervous in upward trends because they know there will always b a correction – the question is when. Its easy to predict the past but harder to predict the future.
However – with study u will see people making profits in a variety of areas – developing, renovating, trading, cosmetic renovations, DA approvals and onselling, simulatenous settlements, rezoning, duplexes, town house sites, flicks etc etc
The truth is all markets change what ever business you are in and nothing is certain, wars, interest rates and many other out side influences will effect our investments.
At the end of the day when we retire we can only hope that our investment out come has lead us to a dignified retirement – good luck to u all.
resiwealth
Hi Herks if u r just starting out as it sounds u r then go to a library or down load from this site what negative – neutral and positive gearing is all about.
Opinions r like belly buttons – every body has one – do your research and find what your passion will be for property investing.
Property is more than just houses and positive gearing comes in many forms and based on many varieties of caculations.
Good luck on your journey – you will succeed in life when you r committed to your out come -regards resiwealth
Wouldn’t it b interesting if we made a list of all the areas that HAVE NOT boomed over the last 5 – 10 years and then studied them.
Maybe we could have a master class of regurlar posties to comment on each area close to them from the selected list and then predict the next boom suburb based on research and collected stastics.
Who’s interested?????
resiwealth
Hey Tony any update mate …
resiwealth
OK here I go, based on research I did on this since 1930 the next upswing, not boom will be 2008.
Our next problem is 2011 onwards when 25% of the country start to retire (baby boomers) this is also when the next recession is predicted.
More people will start to down size and diversify their investments over the next 3 years due to a change in living styles.
Sea change areas and the QLD state will be the No.1 growth area over the next 10 – 15 years. This is due to sun shine, climit, and a happier living enviroment.
WA will perform well however due to a smaller population and distance from Eastern states will not boom past what it has just experienced.
So I agree with John Symons and say that ovey the next 3 years medium price range property will struggle, investment units will yield 2/3% at best and prestigue properties (watefronts etc) will continue to rise as well as properties within 5km of any CBD.
resiwealth[cigar]
I’m laying lino in a new project (residential) it is made by a company called FORBO and has a sound proof rating 6 times better than carpet, fully anti slip with a great range of finishes. I have chosen a timber look alike and believe me it looks beautiful. Its very expensive but what the heck.
resi
