Couple of basics- borrow 100+% of the costs (as this is tax deductable-your ppor is not)

NEVER tell a REA that you are pre approved to $xK. This would be a red rag to a bull. Imagine your barganing power on a 250k house, and the agent (god bless him/her), knows that you are pre approved to 300k.

No, find out your limit, but keep those cards very…[Read more]

Just had another thought.

Maybe the olds could lend you some money and you buy a 4 bed 2 bath place (4 beds always go quickly).

Then rent out two or three rooms for 100bucks a week to some (relatively normal non-homicidal-axe-wielding-maniacs) people.

That would give you $800-1200 per month on the mortgage.

Just dont get the phone connected,…[Read more]

My 22c worth. (11 times more than usual!)

Price will always come down to supply and demand. Carrs new tax will increase supply (in my neighbourhood, for sale signs have popped up everywhere, people want to sell prior to july) and demand will have to drop (investing today is a totally different climate from 12 months, or even one month ago). when…[Read more]

Oh, you lot do complain and bitch a lot about nothing dont you? With your bank bashing, australias second national sport (after telco and net whinging)

Well, here then is the most positive story I can relate to you about my bank, the glorious institution of WESTPAC

We (the better half and me), had a cheque to deposit with our glorious westpac…[Read more]

Another few thoughts

Where do you live? If you are living in nsw, I think you may be in for a happy surprise over the next 12-18months, as I think that prices will fall/tumble (in part due to the new investor taxes). Thus, saving and not jumping in now could be a good thing for you. I think that the great bull run may be over.

If you are going…[Read more]

Firstly, why are you refinancing? Break costs on fixed interest will be huge, and savings will be nowhere near what you are told.

Secondly, well done by borrowing all on the ip, and bugger all on the ppor. Very intellegint.

Ring your current bank up and ask them for a list of valuers on their panel. It is useless to get a valuation done by…[Read more]

My 2c worth on a topic I know v little about.

If you have termite in a wooden fence, why the hell would you consider spending one cent to treat termites. Get a quote for a metal fence (about 40-60 dollars/linear metre) and dig out the old posts. A metal fence will never have ‘evidence of past termite activity’ in a future pest report.

As for…[Read more]

Thanx re the duplex help- hadnt thought about that!

I think the comment regarding selling in 5 years relates to this. If a building is sold, it has a guarrantee of (I think) 6 or 7 years. If you are owner/builder, then you are liable if something goes wrong with it (because you probably dont have builders insurance) After 7 years, not your…[Read more]

Milkman, I assume that you are asking re rick getting early access to the house, under the guise of cleaning, decorating, etc. The real reason is that you can advertise, screen potential clients, and show them through the house on the vendors money (interest), not yours. On a 200k home, 7% interest =$300 per week. If you get three weeks ‘access’…[Read more]

Over ones head could mean a couple of things. Lets say you were in debt 45k, and wanted to borrow 100% (be it 10/20/30% vf) Is this too much? Kay may believe so (and so would I in most situations)

But what if the client was a recent medicine graduate with 45k of hecs, not a dollar to his name, and about to start a job paying 100 grand minimum. In…[Read more]

Must admit, I have not been to somersoft, so have no comment.

Regarding this site, I believe it is wonderful for many reasons.

i) firstly , it is basically unmoderated to the site owners wishes. Some OS sites are hopeless, and EVERY post is praising the site owners system. What a load of crap. Bec’s postings on vf sites would be deleted in a…[Read more]

Yep, yack, I cringed too. I didn’t scream at the tv, because I was fairly sure the segment was pretaped[wink] I think jenmans books are fantastic in terms of buying, selling, negotiating, etc.

It all comes down to the dollar. If a sale was made, the agent would have earnt about 2% ($20k), if it was not sold, they would have got zero. This makes…[Read more]

Oh dear, I am about to get myself into some very hot h20.

When one is choosing athletes, one can be totally objective, or subjective.

Years ago, a lot of sports were subjective. Weightlifters had no chance of making the team unless they were very good friends with the coach. There was a female rower who was ousted by her three teammates for…[Read more]

Many thanks for your ‘ramblings’ regarding duplexes. Highly informative and feel free to continue to ramble on as much as you like! I am about to attempt a very similar thing north of sydney. I agree with the low maintenance backyard, that is not stencilled concrete in units/villas!

Just a thought. You mentioned it was a wrap to lose money, not a…[Read more]

Good on you afloat! That many in that short a time starting after the boom could not have been easy!

Could you share with the rest of us mere mortals what your niche is -reno/cp/develop, etc?

Talked to dad re this (a chartered accountant), who said
i) unit trusts-good if you are sure of raising the money (about 10M+). Cant easily raise additional money. Hopeless for my situation.

ii) Unlisted company. Easy and cheap to set up, can add cash, use for interest, architect plans, etc. Asset could be revalued after da passes, and shares…[Read more]

Must do’s

i) earmuffs- how many thousand bangs in a vacant loud room do your ears want to hear. Likewise with the eye protection and face mask.

ii) Use a shovel to rip up the old bits of wood with nails on them holding the edges of the carpet near the skirting boards.

iii) Just got our floors done, but we should have really ripped up our old…[Read more]

Another horrible thought. If you do sell one of your duplexes to the oldies, you will be up for some CGT.

In retaining it, you could revalue it (and your own house) when needing money for another purchase.

Oh what a tricky question, full of permutations and combinations.

Some things to consider (random thoughts of mine)

A saying is never to work with friends and relies (and for good reason). The egos, the friction, the fact that how would one’s father feel if they were an employee to his son, etc.

Other siblings. If you are an only child, then…[Read more]

Terry, is that 10-12 % on the whole amount, (borrowed in stages according to the building), or is there a standard variable rate, and then you pay 10-12% on the building costs. (clutching at straws here, and I think I know what your reply will be!)