wilko1 replied to the topic First investment property in the forum Help Needed! 11 years ago
The short answer to your question is No. You won't save money on tax really by using a bond not much anyway.
– a deposit bond is given on behalf of either cash or equity .
In this case As a first home buyer. If you were to get a deposit bond from a bank.
lets say you have 40k in cash.
They assume your cash as security (a promise that your…[Read more]wilko1 replied to the topic First investment property in the forum Help Needed! 11 years ago
1) Your choice, work out your numbers for if the deposit bond % charge costs more or less then the amount of interest your cash would earn (minus tax) in your own bank acccount.
2) Depends what state you are in. But usually 0, Some agents take $500 which is completely refunded if you are unsuccessful. If you are really really interested in the…[Read more]wilko1 replied to the topic Petition: Bring back First Home Owner Grant for existing dwellings in the forum Help Needed! 11 years, 1 month ago
Record auction prices and clearance rates might have something to do with the record low interest rates we are experiencing in the last 25 years
wilko1 replied to the topic Petition: Bring back First Home Owner Grant for existing dwellings in the forum Help Needed! 11 years, 1 month ago
The first home owners grant just inflates the marketplace making it more unaffordable for first home owners to get into the market. Sure it gives them some extra capital but it just makes emotional first home buyers over pay for properties and create a hype.
It would be better to see the grant reduce or cancel the stamp duty payable on a First…[Read more]
wilko1 replied to the topic Off The Plan – Speculating in the forum Help Needed! 11 years, 1 month ago
Id say that strategy is more akin to gambling. Most of the people on here would agree. Thats a quick way to get yourself into some financial trouble and not a investing model i would use.
10% deposit can come from – equity which would be in the form of a loan against other property and assets you own
or cash
Or a deposit guarantee (which is…[Read more]wilko1 replied to the topic Simpliest property value adds in the forum Value Adding 11 years, 1 month ago
More so for cities then for Regional and rural areas. I have seen some 2 bed unit into 3 bed unit and they can add 50-100k in equity.
but you have to find a large 2 bed unit to start with to make that viable. But I have seen it a couple times and it does workwilko1 replied to the topic Simpliest property value adds in the forum Value Adding 11 years, 1 month ago
A lot of older housing used to have 2nd living areas. That was there actual design back 10-20,30 years ago. Not some much in fashion now days. So there is a better use for these spaces.
trying to fit a room in the original floor plan. Because more often then not you don't have to get council approval. Council approvals and development approval,…[Read more]
wilko1 replied to the topic What happens when you sell a house that you used for equity? in the forum Finance 11 years, 1 month ago
Bank will Pay off Line of credit from proceeds but wont have to come value property B again (advantages if you were half way through renovation on a new property etc)
wilko1 replied to the topic What happens when you sell a house that you used for equity? in the forum Finance 11 years, 1 month ago
– Bank will make you repay some proceeds from house into House B to ensure their LVR ratio is kept
– Take out 2nd loan on Property A, Can be called Line of Credit.
– Use this as deposit on property B
– Take out 3rd Loan on Property B (Line of Credit + New home loan for new property)wilko1 replied to the topic Have to wait 6 months. in the forum Help Needed! 11 years, 1 month ago
Couldn't really see going to a bank as another option. Unless you said you did work on the property and ordered a upfront valuation see if they will lend on a higher value. But they will also look at when you purchased it. And the new valuer will see the previous valuers report and 9 times out of 10 will value the same unless they can see…[Read more]
wilko1 replied to the topic Have to wait 6 months. in the forum Help Needed! 11 years, 1 month ago
If you have the cash. You could go out and buy a property tomorrow.
that would mean minimum of 5 percent deposit and 5 % to covert stamp duty and legals. So say 10 % of property's value to be safe.Unless you do work/ renovate or make improvements to the property. They might not revalue it for up to a year- or if booming markets could be as a…[Read more]
wilko1 replied to the topic Depreciation Table in the forum General Property 11 years, 1 month ago
It should last for the duration of the property's depreciable lifetime. So on a
Brand new property can be 40 years.
It usually has the amount you can claim
in a table on each year ie year 1 (from year 2012-2013 – $5,000
year 2 – 2013/14 – $4800etc etc
wilko1 replied to the topic Simpliest property value adds in the forum Value Adding 11 years, 1 month ago
New bedroom – but only if it can come out of the original floor plan of the house. Ie making a 2 bed home into a 3 bed home provided their is the room. Or increasing a 1 bed unit into a 2. Adds value to property Because of the additional income stream that can come in.
But My top 5 things i would do first to a undesirable property or just to…[Read more]wilko1 replied to the topic Advice on how to put a development deal together in Launceston TAS in the forum Help Needed! 11 years, 1 month ago
Its not going to be worth significantly more.
ie if the block can fit 3 homes on it and thats within the development plan. it might only be worth the cost of the plans more ie 5-10k more. Not significantly more. If it was something that was extremely valuable. Ie a uncomplying development approval that has managed to get through council. This can…[Read more]wilko1 replied to the topic Advice on when to subdivide in the forum Help Needed! 11 years, 1 month ago
Depends on if you have the money now..
Because you already have approved plans for 2 units/ this means you have submitted those plans to council.
Now all you need to do is get a surveyor to put in their surveying plan.
But they usually wont submit their final plan until the house is demolished and they have a clear site. ( but can have it all…[Read more]wilko1 replied to the topic investment property in trust’s name but loans in our personal names? in the forum Finance 11 years, 1 month ago
Australians have a obsession with negative gearing i sware.
Anything for a bit of tax back. Btw theres extra setup costs involved in that structurewilko1 replied to the topic Property data analysis in the forum Help Needed! 11 years, 1 month ago
RP data also shows the previous photos from when it was last available to purchase if they were there when they advertised last time.
I personally am not going to invest 1-2 million building 10-12 units etc
without knowing 95 % certainty what my end values are going to be and that means I need to
Be able access all sales history's in a suburb not…[Read more]wilko1 replied to the topic Advice on how to put a development deal together in Launceston TAS in the forum Help Needed! 11 years, 1 month ago
Just off the what you have said. It is a fairly large development proposal and with only 40K i wouldn't think a good first option. As much about the deals your don't purchase then the deals you purchase. If you had said you had 240K then i would say go for it. But 40K isnt enough really.
But if he is willing to sell In stages with settlement on…[Read more]
wilko1 replied to the topic First Home in the forum Help Needed! 11 years, 1 month ago
you can always claim the grant later… provided they dont get rid of it.
I think the potential CGT excemption outweights the alternative of having it as a IP for the whole duration. Better off living in there for 6 months taking the grant money and then renting it out after that and being able to claim it as your PPOR if ever sold
wilko1 replied to the topic Property data analysis in the forum Help Needed! 11 years, 1 month ago
When your buying more then 2 properties a year or doing million dollar plus developments. I would say its worth it. When your negotiating a first home purchase, how do
know accurately what a suburbs/house value is.
A lot of those "free" websites only get generic data that is available from auctions or declared sold prices. They won't tell you the…[Read more]- Load More