I think in any climate you must be prepared for a change in circumstances.

Regardless of your race, religion, political views or position in society, events can occur which can occur which either negate your existing wealth position and may force you to change your strategy or approach to maintain a reasonable situation.

So, on that marker ..…[Read more]

Hello Radicals,

In terms of building a property portfolio, you start like everyone else. One property at a time, and one deal at a time. Once you know what to expect and how to achieve it .. you can do all sorts of things you wouldnt be able to do otherwise. Multiple deals at once. Purchasing sight unseen (you'll know the area). Multiple…[Read more]

Fivemajix,

If you are earning well and have the ability to construct an effective portfolio .. you will need to base it on YOUR needs and requirements.

I can come in and show you cash cows (positive cashflow properties) or negatively geared gems (great for reducing both tax AND income). It really is the choice of how YOU want to live in the time…[Read more]

He went bankrupt to protect himself from legal action brought against him, in a case that he lost against the Learning Annex.

He was required by a judge to pay the Learning Annex $20 Million because 'they wanted a piece of his action'.

He has enough protective structures in place that he'll pay his way and not end up too badly out of it.

It has…[Read more]

CG will come with improvement to infrastructure and the capture of ongoing investment through business dedicated to working in the area.

Mildura is sorely lacking in both at the moment and at this stage this only leads to the possibility of riding a decade or two of stagnation.

You will be living that decade, so keep an eye on it for observation…[Read more]

Can you still get the deal with the Unlimited Tim Tams?

I think what you actually need is a someone who will answer your actual requirements going into the renovation. Last time I dealt with them, Archicentre was absolutely suberb on actually not only answering the questions required but providing enough detail that you could take that report to a builder and have him verify the issues.

And I have…[Read more]

Sundeep I have my answer in Hawthorn 3122 for you.

grab the local listings in 3122 .. and scroll to the lowest priced properties.

I will now mention some addresses, and its almost guaranteed you will find one or more properties from these addresses on the market.

71 Riversdale Road
383 Burwood Road
1 Queens Road

But wait .. werent they…[Read more]

So you've been approved for a certain amount? (i'm assuming its 465k and not what seems to be 4,465k)

So you'd like to create a reasonable starter portfolio?

Well .. lets look at what your existing conditions are and what your goals are so we can match your wants to your goals.

You're young .. so you dont really have any deadlines for…[Read more]

The difference between Strata and Stratum came simply because the state of ownership on property gradually changed and the issues that arose created different conditions for usage.

Its really the same reason that body corporations are now owners corporations. The reason is that the existing body corp framework had limitations based largely on the…[Read more]

There is a 4 point sequence that any lending institution is going to be looking at to assess your possiblities to borrow.

(1) Assets
(2) Residual Income
(3) Ongoing Support Income
(4) Payments and Loan Support Credit History.

Now people think i'm nuts when I have asked them to take out a small credit card and run it up with a small payment ..…[Read more]

Drop the section 8 subsidy .. clear out the gangs .. bulldoze the wasted houses .. install a functional police force .. and you'll have a place worth living and investing in.

A byline on a well watched area. Kmart made inroads into southwest detroit about eight years ago and had to pack up because of a problem of inhouse theft from the store ..…[Read more]

Hello CCMaxwell,

I would suggest running around a couple of open homes with your dad and getting an idea of what works and what doesnt. The most important thing will be of course .. understanding what makes a genuinely nice kitchen .. and a genuinely nice bathroom. Outside of that its knowing when people have spent too much for a result .. and…[Read more]

I think the one key ingredient you leave out of the mix is flexibility (as addressed by JacM).

The  only safety net you could really offer on that is not using the net income from the property for anything in the first couple of years aside from building up a safety bank.

This classifies the whole deal as high risk. ANY major upsets and you are…[Read more]

I would check the bodycorp and rates to make sure your purchase remains viable. Outside from that .. if you can manage the purchase with whatever income you are receiving, most lenders will take into account any allowance paid by the government as possible income.

I have had a cousin that couldnt borrow at all first time around and was receiving…[Read more]

SherJava .. as a newbie armed with what can be anything up to a 5% deposit you could gear heavily or you could gear to a level that you decide is an acceptable risk.

(1) Work out your acceptable risk level. Allow for the possiblity of loss of income .. loss of tenancies .. extended wait periods inbetween tenancies and finally instant or ongoing…[Read more]

You have no liability.

Inspection took place with no adjustment pre-settlement, and the properties full price was paid on settlement.

The property remains theirs in name, liability and ownership, and any deficits or damages that were not dealt with pre-settlement are their concern and not yours. If the place burnt to the ground on January 30th…[Read more]

Lets read back into your leading statement, and then put that out as the wrong criteria.
in fact .. its so important i'm going to quote it word for word.

It is obviously that there is no capital growth for the apartment but I guess the rental return would be fine

So .. on a realistic basis that you've worked for the money (or parents chucked you…[Read more]

Positive cashflow should always be seen as an opportunity and not an expectation.

The most importatnt single rule I have learnt about property is to class my investments as dependencies (I need them to be producing CASH) and as ongoing strategic investments (they make money .. thats nice .. no expectations).

With my positively geared properties…[Read more]

Isnt there only one problem everyone seems to have forgotten in the USA goes broke saga?

The US has been the most consistant provider of ongoing capital in the world for the past sixty years. Reliable .. ongoing capital. And that just doesnt disappear overnight.

The US has been the financing source for a great deal of the world's activities. And…[Read more]