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My god, are there no investors in adelaide who use this forum???? or are there no good solicitors or accountants
Xen
Hi Del, thanks for the encouragement, glad to see there are other parent/investors around, hey why not have the best of both worlds if you can, and no it wasnt hard leaving research, the whole structure is based on getting external funding which is not based on how good you are at your job, but on what the funding agencies have decided in that year. i have seen people with nobel prizes get thrown out for no reason. there is no job security and i think you have to be nuts to depend on research for a primary source of income.
hwd007, yes kiddie does like kinder gyms, i have nothing against them and we do go sometimes, just not at the expense of missing property deals. he can’t talk yet, when he does maybe he’ll protest my actions with lines like “mum this is so boring”. We’ll cross that bridge when we come to it, i think have a few years left until bubs slows me down [
]. im only 45 kg, but im still bigger than him [][]Hi Smithers, thanks for your post, adelaide is still sky rocketing and some property areas like beach fronts have become unafordable, im always stunned at auctions when properties sell at prics even higher than what was predicted by agents
. high cap grown unfortunately usually means low rental return in adelaide, but that hasnt stoped us in the past, we used the cashflow from other investments to support low returning properties (negative geared). it worked for us, as the negative geared properties have no doubled and tripled in value and we use the excess equity finance new deals, that may be a way to go? like to know what others think!!!!For positive cash flow, there are still some pockets of areas that are on the rise but not quite there yet, beach areas around 50 km out of the city of adelaide are still affordable but the question remains on what you can buy that can earn income while you are waiting for the areas to go up [?] been thinking of heading that way, but not sure yet.
im keen to hear other thoughts on this, so please keep the posts coming [
][][][]Xenia
Hi RSTARR,
yes commercial properties do have higher returns and other benefits that make them more desirable such as all ongoing expenses are paid for by the tennant these include renovations council rates etc. Also commercial tennants are not as sheltered by tennancy laws as residential tennants are therefore a penalty can apply if they default on payments. in a nutshell, when they are running smoothly, commercial properties are a much better investment, you hardly ever hear from your tennants, they fix everything that is brocken. we dont bother with prop managers with ours we just give the tennants a direct deposit slip and watch the money going in every month.A few thing to look out for though: are you looking at leased or unleased properties? if leased when do the leases expire? some commercial properties can sit there costing money once the lease expires, they ane not as easy to lease out as residential properties so your you have to factor that into your plan. can your other investments support them in the case of these high vaccancy rates? i would also go through the leases very thouroughly make sure there is a clause that states that any cost incuured for chasing up late rents will be paid by the tennant and that there are personal garantees in the lease. get your lawyer to go through it before you buy. [
]hope this helps and good luck[
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]. im only 45 kg, but im still bigger than him [
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