hi 007

i think they would be able to get finance on a property if they are cash positive. it shouldn’t be a problem if they could meet the banks seviceablity, which should be achieved with cash pos. property. my son was able to refinance (to pay back a family member) his first invesment property and he was unemployed at the time. but because the 100pw easily covered the loan it was approved. the finance was through homepath who offer 5.65% variable and no fee and no establishment costs.
regards westan

Neologism

try these site for share forum
investorweb.com.au
stockhouse.com.au
hotcopper.com.au

but be wary. many people only post on these sites to create attention to stock they hold in an effort to send the price higher so they can sell. the practice of “ramping” was popular during the tech craze. one person would have multiple identities and hold a converation with themselves to create interest in the stock often small cap stocks. By example the first post would say “a friend who works at abc co says they will make a big announcement on wednesday”. next post by the same person under another name “interesting my sister works for abc co and rang last night telling me to buy as much abc co stock as i could because of big announcement soon”. Get the idea
westan

minimogul
great to have visits from you and other “propertyinvesting” forum member. You friends school in oamaru sounds great, and Oamaru is buzing as a community. (for those who don’t know pop about 12,000). wouldn’t mind living in oamaru but prices have pushed just a little to high for me. let us know if you are in Vic before Jan and i would be more than happy to travel to meet you. i’ll even buy you sux dollars of fush and chups. see i’ve been taking language lessons.
westan

minimogul

i’m in Victoria a town called stawell 220km from melbourne. when we go to New Zealand we are thinking of living in a house we bought in Balclutha 36k and split into two flats we will convert it back to one home to make it big enough for the wife and four kids (not that my wife is Big). will use this as a base. where are you?sydney isn’t it?
regards westan

Hi minimogul
thanks for your post about NZ.
where abouts in kiwi land are you from, and i am i right that your NZ properties are in the north island?
do you keep a close eye on whats happening in NZ, i’ve been purchasing in waimate because of the good yeilds and project aqua, do you have any comments
regards
westan

Hi all
Leigh i think negative posts are very valuable and thats one of the great things about this site freedom of expression. it’s always valuable to way up the pro’s and cons and make informed decisions. David that quote is worth considering.

OK lets put the cards on the table. those who have been investing in the property market for over 5 years are you actively buying, sitting back or selling? i will be honest as i always am, i am selling down, sold 4 properties selling another 6, holding another 15. i would still buy i just can’t find properties that meet my criteria. great buying opportunities will present again but this market is too hot.
westan

hi gianni
tamara is right do it through NZ. i was in NZ last week and found finance through Bank of New Zealand. the guy i spoke to at Waimate was extremely helpful, as i found most Kiwi’s. when you go there to look at properties call in to a local branch as well as brokers. i had no problems getting 80% finance.
westan

bjajcr

i don’t live in SA either. but i know that the elizabeth area has a lot of dab tenant problems. as i said i just sold a pair and have two single in elizabeth. since i purchased the properties one tanant has been in the house for 6 years but the other three have regular changes. i have landlord insurance to cover tenant damage, loss of rent etc. so far i would have made a lot more claims than the insurance costs. i asked a very competant rental manager years ago what percentage of tenants would be problem tenants her comment was 50%. so be prepared to have some problems. But on the other hand i’ve made a profit each and every year on these properties and a very handy $210,000 capital gain, which is a lot of cash for me. these properties have been refinanced over the years so i could purchase more cash positive properties. i don’t think these properties would be cash positive at current rentals. anyway i am happy to be selling out of this area. Having said that there is still increadible buyer interest in these suburbs. if you buy contact me direct on 0415438666 so i can tell you who not to use and who i would recommend as property manager. In answer to your question there is a lot of negative (snobbery) attitude to this area from others in Adelaide as you have discovered, but you are looking at an investment not whether you would raise a family in the area. But i don’t feel unsafe when in the area anyway.
regards westan

Hi bjajcr

i’m thinking that now is the time to invest elsewhere, the returns are not good enough for me in elizabeth area. i’m happy to sell 2 more single duplex properties in Magor st and Guther st if anyone wants them for about 88k, put them on the market yesterday. no i did nothing to them except carpet when i bought them in 1997 for 25k each half a duplex. tenants could be a problem so get a very good manager i can advise who not to use. also landlord insurance is essential.
westan

Hi david U
i agree that sensible investing must have an “exit strategy and a contingency plan for the worst case scenario”. i really don’t like buying in this market, in fact i’m selling half my properties (selling 10)and will reinvest in another market as we have discussed in another thread. My stategy is buy and hold for ever, but when prices double in 15 months and i can get better returns elsewhere best to sell, rather than refinance and reduce a little bit of risk i think.
westan