We have 5 in one town in Vic, and pay 5.5% instead of 8%. We get great service from them also. Their ppty mgmt skills are much better than most others we’ve dealt with.
We always politely try to negotiate, although they seem to be getting tougher to get down in price.
Sounds like due diligence, rather than being negative to me.
“Negative” to me, is putting people down, or saying “it can’t be done”, and not listening openly to others trying to explain that it can.
Due diligence is very important. I’d definately like everyone to explain to me, or newish investors the hazards that perhaps they or I can’t see, but I was just getting tired of people saying that “it can’t be done anymore” or things like that.
All I’d like is those sceptics out there (nothing wrong with being sceptical), to ask more questions on “how it can be done” not merely state “it is now impractical, or can’t be done”.
Lets all keep an open mind,
and keep a great forum,
Perhaps, so that it will be the last thing that we remember from your book…
Like a warning, that this sort of thing does happen often and might happen unless we are VERY careful buying properties with existing tenants, and also making sure that we do our due diligence on new tenants also.
I think everyone will probably come across one tenant from hell in their investing, it’s good to have prior warning and know how to handle it.
Just lately, the last week or two, everyday when I go out the back door, I just about stand on bits of dead birds – GROSE []. (It’s Sooty – the female I think, cos Tiger is too slow). They are bringing them right to the back door to show us. YUCK!!!!!!
They are neutered, and sleep on our dog’s hammock snuggled in blankets under the verandah at night time, (because our dog – golden retriever is too scared to climb on to it – He sleeps in the horse stable on the straw, and loves it).
Sorry bird lovers, but they haven’t eaten any endangered or nice birds yet…
Another thing you can benefit from is by reading more. Start going to the library again – (feels like being a school kid again) [] but it saves heaps of money.
Try reading some more property investment books by authors like Robert Kiyosaki – Rich Dad, Poor Dad etc..
“Education” is gaining a competitive edge over many “average” investors. Helps to give you the correct mindset to succeed.
There are a few VERY good mortgage brokers that assist people on this site. If you flick through a few posts, I’m sure you will find them. Stuart, Terry & Melanie & others, all know their stuff. I would recommend them over other brokers as they understand what you are trying to achieve.
My opinion for what it’s worth, brokers ARE better for finance, as they can often obtain interest rates that for you going into a branch yourself, you would not get. They also know what products all the banks are offering, and they could point you in the right direction. If you stuck with your own bank, they may not offer what you need.
It is hard changing banks though, for someone who has always stuck with the one bank.
But the bottom line is – the bank doesn’t care about you, why should you care about the bank!
As for borrowing ability. Many lenders take into account around 70-80% of your rental income. Some even 90%. A broker will direct you to the right bank for your circumstances. Usually when buying cashflow +ve property, a second or third property or more, is fine, as long as you can pay the 20% deposit & costs, and your income can support it. Steer clear of Mortgage insurance if you can.
Steve’s book is a great starting point to your investing career. It is full of common sense ideas, but it hits you like a brick – (so logical). He makes success seem so easy, well it can be. I believe success starts from your attitude. If you “believe” – then it will happen. (You also have to put in a LOT of hard work, and research).
You are well on the way, by getting rid of that visa debt & loan, and by the time that they’re wiped out, the property market may be changing a bit.
There will be plenty of excellent deals availalbe when the “downturn” happens.
The $2 question is “when will that be”?
My answer: Your guess is as good as mine, but be ready!!….
For now on, how about we all, (including me) make a real effort to only post about things that will REALLY benefit someone, and when we do, that we speak to each other in a courteous manner, whether we agree with their opinion or not.[]
There are nice ways of pointing out differing opinions, and then there are rude and insulting ways, [] like a few posts especially this week. Lets all put those posts to rest….
We all put up with enough stress at work.[]
This will make this the BEST property forum around again. There is so much great FREE advise here, it’s a shame if others are turning away from it.
New look forum, new look forumites,[]
How does that sound?
Feel free to comment – nicely of course…
I’m not a Mortgage Broker, but I think that many of them are feeling lots of stress from being overworked, frustration, anger, and even suffering from sleepless nights (well that’s the ones that care).
The bank’s seem to be impossible to deal with lately, with loans taking MUCH LONGER to be approved & settle.
They are “beating their heads against a brick wall”, and to me no money in the world is worth that.
Of course, things may change when the downturn happens, banks may actually want their service.
FHOG wasn’t around when I struggled to buy my first home.
It REALLY makes me angry that millions of OUR dollars are being wasted, when so many young people in our society are homeless and living on the streets, and our hospitals are financially up sh*t creek! There has got to be something done.
I am not getting into the “shares” debate, but don’t take the negative comments too personally – not easy though.[]
Take a deep breath, “take in” what has been said, and move on. Then go and try to answer some posts to help someone who can benefit from your advice, even though you are probably feeling a bit like someone else on this forum (me) and wonder why I’d bother.
Live by your conscience, if you can do that, you are doing OK, and that’s all that matters![8D]