HELP!!!! Feedback required please! :-)

Hi

You won’t find any reliable figures for future growth until it happens!

Have a read of Peter Spann’s book, he outlines his research methods there. He basically looks for a suburb that has had consistant grwowth and hopes the consistancy is consistant!

Terryw
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“How You Could Build A $10 Million Property Portfolio In Just 10 Years” by Peter Spann

http://www.dymocks.com.au/Search/Search.asp?Author=Peter%20Spann

Terryw
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Parramatta
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if it was me id be buying a property with big enough land to subdivide and live in the front double story house while building a unit behind it, not sure if you can find the oppotunity in the areas you mentioned but i know thats the path i would take.

“It’s not how much money you make, It’s how you spend it that matters.”

Aspiring property developer

Giulio Taranto

Hello Sanctuary, I have read the responses so far and the upbeat language of those responses will make my advice somewhat dull.
Your enthusiasm is a great asset to you, but you must ask yourself at present ‘what can I afford’?
If you can COMFORTABLY afford the repayments of 475g at current interest rates, calculate an additional 2% IR into the mix. Property I feel is reaching very low levels of affordability for the average joe and remember the country consists mostly of average joe’s.
I cannot see property prices rising for quite a while yet on average but ofcourse there are always areas that will buck the trend. If there was a website or book that accurately predicted the next boom area I would love to know what they are.
I think it comes down to research, education and due dilligence on an investors part to minimise risks and maximise profits.
To find significant capital growth in the areas you have mentioned, by either subdividing or renovating would be an enviable feat and I would take my hat of to you.
Do your maths on renting out your investment property and renting yourself, If your business allows you to work outside the CBD why dont you move out to the burbs for a while, that would increase your cashflow.
As far as finance is concerned, you will probably have to show consistent savings for 12months and demostrate to the financer how your business will continue to make money.
Ultimately, if you can comfortably afford repayments over time you wont lose but finding quick capital gains may prove more difficult.
Chad.

I think the book that prints the next growth areas for real estate is the same book that has next Monday’s lotto results.

Steve McKnight’s books are very good, I recommend them, Sanctuary. I learnt lots.

Best of luck with it.

Dale

<<<If anyone can shed further light on this and re-affirm that I could buy-and-build or buy-and-subdivide, even with a loan on this basis, that would be so helpful……or even buy-and-renovate.>>>>

Pls be careful not to bite off more than you can chew. Read Steve’s books and also books by Jan Somers and Margaret Lomas before getting in too deep. The idea of doing a property development as your first entry into the Property market seems like running before you walk to me. For every marvellous stroy where it worked there are too many that have regretted it.

Go slowly my friend, increase your knowledge and make decisions based on real figures you work out, not on hype and emotion.

JB