Hi all
I recently have come across this forum and have found it very informative, but with so many opinions out there it gets confussing which way to go. I also just received an information pack from Hans Jacobi. Has anyone got any opinion on Hans’ “Super Secrets to Real Estate Wealth” and is it worth getting? it is a lot of money to invest in when you are not sure if it is the one to go with.
I am very interested in going with IP as a future weath builder – but so much info out there, where does one start !
I have accumulated books and information on various mentors of IP strategies, including Steve McKnight, Jan Somers, Hans Jacobi, Ed Burton, Jamie McIntyre 21 Century, John Fitzgerald, etc etc – Now I am confussed!
Need some assistance in where to start +CF properties. We are looking at a 3br unit at the moment in (rural NSW) it currently rents for $250 per week and the current owner is asking $185K for it, would this be a good deal or not? although the 11 second rule doesn’t apply to this. It is a nice unit!Any input would be appreciated!
thanks
ConnieHi Connie,
There is always more than buying property than running the ’11 sec rule’ over it – you need to see what employment prospects are like in the area, towns population, inductry base, infrastructure, economic foundations, long term growth prospects and so on.
It would seem to me that you have done an awful lot of ‘book learning’ and the time has come to buy a property after doing a reasonable amount of research and investigation. Your learning journey will only be completed when you buy that property. You will also find that most learning will take place when that property is bought as there is only so much the books can tell you.
I recommend setting yourself a deadline to have purchased property number one by ……..and bear inmind you are not a ‘property investor’ until you own that property.
Hope this is provides you with that ‘little kick in the pants’ it seems you need.[biggrin]
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Connie,
Make sure you do your research on this unit that you are talking about. The term “nice unit” seems to have allot of emotion involved with it.I have heard experienced investors say don’t buy on emotion, buy on the numbers. When I first read that I thought “yeah no worries easy” but then I soon realised how strong the emotion thing is.
I think that some risks are more prominent when your starting out and then there are other risks that are more prominent when you get established. For a newbie I personally think that the emotion one, is a big one.
MarkyMark
Connie,
Re Hans Jakobi’s product… I see Hans as more of a “clearing house” as in a person who collects products from other “gurus” and who sells them in a job lot. A lot of the products he sells (other people’s books and his own) come from varied approaches- which is a good thing, in my opinion! But basically, if you’ve read a lot of the books already, you’d have an idea where each of the authors is coming from.
Re your rural property, you’d probably have to work out- just how rural is it? If the current tenant leaves, will there be enough tenant population and infrastructure in the town to get the same rental? For 185k for a 3-bedroom unit in a rural place, is it newish? Post 1985 or 1987? Because if so, the depreciation allowances available will push up your yield.
Sounds like you’re on your way though. Maybe Derek can push you around a bit more if you need it [strum]
kay henry
Many thanks for your replies
Yes! I have looked into the employment, industry and other aspects of this town and they are all good, capital growth is in one of the top for the area. Tenancy rates are high and constant, as this town has many surrounding industries.
Median prices for 2 br units are around 170-180 in not as good condition as this one, which has recently been renovated and is 3br. The only reason I said that it was a nice unit, cause I have been looking at others and it is in better condition than the others we have looked at. If I was a tenant I would certainly pick this one to live in compared to others etc. So, it is not as emotional as it first sounded !
We had another look today, the agent tell us that it is around 17-19 yrs old. so there may be some benefits with depreciation etc.
Also it is being sold fully furnished, as that is how it is being rented.
We are not new to the IP as we have another unit in Qld which is negative geared. We are new to the CF+ strategies though, which I am trying to learn about as much as possible.
Cashflow positive seems to the way to go, but as you all know it is hard to find the good ones.
Sorry for the late reply, I have been having PC problems, so had to pull out the laptop to respond.
ConnieHi Connie..
Agree with Kay..re
Re Hans Jakobi’s product… I see Hans as more of a “clearing house” as in a person who collects products from other “gurus” and who sells them in a job lot. A lot of the products he sells (other people’s books and his own) come from varied approaches- which is a good thing, in my opinion! But basically, if you’ve read a lot of the books already, you’d have an idea where each of the authors is coming from.[/blue]
I recieved a few of his e-mails containing Property investing Info..however they’ve stopped sending to me, i must’ve not been active enough responding for them..who knows.
[blue]”We had another look today, the agent tell us that it is around 17-19 yrs old. so there may be some benefits with depreciation etc.”
I don’t understand the relevance of this age with depreciation, puts property at being built around 1987..? I’d definetly get a depreciation schedule done though, as it would be worth it on any building..[thumbsupanim]
Best of Luck with your deal..
REDWING
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorConnie,
Seems like you’ve done lots of checking out about this place
Good signs of CG etc. However, don’t forget the RE “bubble” is over, according to the Reserve Bank- something to take into account when thinking about CG. So you would be working on fundamentals- as you’ve obviously done- tenancy, population, etc.If you’ve been told that the place is “17-19” years old, you may wish to get the building date confirmed before purchase. You don’t want to miss out on the depreciation allowance because of some fuzzy guess by a RE agent.
Furnished places can be GREAT for depreciation. However, if anything breaks or breaks down, you’ll have to repair or replace it- that’s the downside. But I still think furniture is a great asset- it means you could get a professional who was in town on a 1-year project, for example, to move straight in, or a student, or whatever [biggrin]
And regarding your emotion.. you are ALLOWED to think the unit is “nice”! You’ve done your numbers and checking- why not buy the nice unit over the other ones that aren’t so nice, if all else stacks up. Emotion is a good thing, I reckon
kay henry
Uhuu . . .what have I done[cigar]
May God prosper you always.[biggrin]
MarcThanks to all who answered my queries, I suppose in the end it is my decision and as you all are only going on what info I have provided, and that is great to know that there are people out there who are willing to help others in need or give advice, since you probably have all been there and done that !
It is nice though to get someone else’s opinion who also has the same ideas and dreams. Sometimes it is hard to find someone that you can turn to for an honest opinion, who know what they are talking about on the same subject. [specool]
I have learnt a lot just reading other peoples ideas in this forum, I think it is one of the best thing I have found on the internet yet!
Keep up the good work ! I’ll be back for more soon!
Connie
Good signs of CG etc. However, don’t forget the RE “bubble” is over, according to the Reserve Bank- something to take into account when thinking about CG. So you would be working on fundamentals- as you’ve obviously done- tenancy, population, etc.
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