i have to disagree with your comment about "there are no +ve properties" i am a first time investor and within 2 days i found 3 +ve geared properties. and that is at 95% LVR and if i dropped it to 80% like steve says there are loads of them but if you want +ve geared you might have to give up CG for a few years.
A lot of people say thet they read steve's book but do they understand what he says about buying in regional towns and to buy for CG or +ve geared. exceptions are every where of course.
i don't mean to be nasty but if your going to claim that you have done something, do it !!
i can read instructions on how to build a model plane once and understand the steps needed and then say that i have read it, but i will know very little about building that model plane if asked to do it in one months time, let alone one years time. true knowledge is something that is practiced daily.
just something to think about.
newbie investor
I really simpathise with you Dasheed, I recently started a similar thread.
I have been searching a lot and CF+ are a needle in a haystack however you can get creative. For example i found a property for 115k that was renting for 160pw, with long term tenants. There was no much chance for CG unless u wait for 10 years and the poperty was very old with huge need for attention. Now I followed Steve's 11 seconds solutions or whatever is called and immediately realised that the property was slightly neg geared. However it came to my mind the idea to offset the loan. In order to do that u obviously need cash which I kinda have. So the property was 115k 10% deposit plus 7% leg exp + 5k immediate maintenance. Now the loan is around 100k approx with monthly repayments around 800$ p/m on 30 years loan. What i did was I deposited 80k cash that i had in another bank account in the loan account and the interested were calculated on only 20k and PUFF…. by magik the IP became CF+.
Just an idea
AndyHi
Nothing good will come without hard work.
+ve CF properties are out there – but they won't come knocking on your door!!
Patience, and ability to see beyond what it is, will go a long way.Good luck!
Nani
Email MeThe road to success is always under construction
Kiwi-Fulla wrote:My swing on it is ….Just do something!
Basically there are 3 ways that most people have in thier skillset to make money out of property:
1. Buy and Rent – If the yeild is there…. this is typically in the down cycle or slump in the market
2. Buy Renovate and sell or refinance… if you can't get cashflow then you can get cash to do more transactions.
3. Buy subdivide and sell of the improved siteHere are some other suggestions that can get you to the golden path of freedom…..
4. Buy and add a minor dwelling to create more cashflow and increase yeild and value
5. Buy and add a room or change a room onto a bedroom to create more cashflow and increase yeild and value
6. Lease option to create more cashflow and increase yeild and value
7. Wrap (Vendor Finance) to create more cashflow and increase yeild and valueIf there some skills missing then perhaps we could all get up skilling to increase our chances of success in all market….. we must all move with the tide of change and learn to see the demand no matter what the market is doing.
Good luck all!
Great post. Some really good ideas here.
You must be logged in to reply to this topic. If you don't have an account, you can register here.
