300 000 in the bank.. what to do?

Not knowing where you will be travelling, 6 months is still a decent block of time – and I assume you don't have a job to come back to.  So I'd set $30k or so aside for travelling expenses and getting set back up in Oz when you return.

One option is to buy two properties on Interest Only loans, throwing $125k at each (some of which will be eaten by stamp duty).  The tenant's rent should pay the mortgage easily.  Any spare cash should sit in an offset account holding the interest down, yet readily accessible if the need arises.

Then again – maybe you are eligible for the First Home Owner grant.  So perhaps the other option is to buy something for yourself, with the solid intention of living in it for 6 months, then moving out and putting tenants in it.  In this regard, you could secure a house before you go on holidays, but aim for a long settlement (ie avoid settling while you are overseas).  Still put down a small deposit, but again – put all the rest of the cash in the offset account.

Welcome to the forum.

How do you plan to fund your holiday ?
Are you having a working type holiday or are you relying on your savings or the $300,000 as this will have a bearing on what sort of investment plan you may need?
If you are away for 6 months on holiday a bank won't be too keen to lend you money while you do not have employment.
If you borrow money you have to be able to make the repayments, so how confident are you at gaining employment once you get back from your holiday. Because you could fund say 12 months of repayments out of the cash you have.
What is your long term plan?
Are you thinking of ever living it the property later or continue renting it out.?
With investment property you can buy it in areas you do not live now!
So If it was me I would look at quantity of land under the building.
Here are some examples
http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=106196932&f=60&p=10&t=res&ty=&fmt=&header=&cc=&c=21109608&s=qld&snf=rbs&tm=1265161067
http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=106157826&f=50&p=10&t=res&ty=&fmt=&header=&cc=&c=21109608&s=qld&snf=rbs&tm=1265161067
http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=106117420&f=50&p=10&t=res&ty=&fmt=&header=&cc=&c=21109608&s=qld&snf=rbs&tm=1265161067
http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=105870703&f=40&p=10&t=res&ty=&fmt=&header=&cc=&c=21109608&s=qld&snf=rbs&tm=1265161067
http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=104980069&f=30&p=10&t=res&ty=&fmt=&header=&cc=&c=21109608&s=qld&snf=rbs&tm=1265161067
Now I have no idea where these suburbs are in relation to Brisbane
but you most likely do.

Say it costs you 330,000 for one of these properties
say at a guess you need $10,000 stamp duty
say a 40% deposit say 130,000
Loan of about $205,000
Rental income of about at a guess  $11,000 a year
Repayments on P & I of $500 a week based on 10% interest rate
$26,000 a year
with the left over $100,000 you should be able to cover 3 years if you have no tenant.
With a Tenant you would be $16,000 you have to find a year. $300 a week.

now another scenario
Say it costs you 330,000 for one of these properties
say at a guess you need $10,000 stamp duty
say a 61% deposit say 200,000
Loan of about $125,000
Rental income of about at a guess  $11,000 a year $218
Repayments on P & I of $278 a week based on 10% interest rate (bad interest rate for safety margin)
$14456 a year
with the left over $90,000 you should be able to cover 3 years if you have no tenant.
With a Tenant you would be $100 a week short or $5200 a year  (I added 2000 for expenses).
you should be able to cover 17 years of holding this property without rent increases.

Are you interested in getting money for nothing (the first home owners grant you may be eligible for it) ?
http://www.osr.qld.gov.au/client-group/first-home-buyer/index.shtml
But for FHOG you need to live in it for at least 6 months before renting it out?
Do you like paying capital gains tax (if you live in it for six months see below links) ?
http://www.ato.gov.au/individuals/content.asp?doc=/content/36887.htm
https://www.propertyinvesting.com/forums/property-investing/help-needed/4330593?#comment-202397.

With borrowing (not lending) the money from the bank you get a leverage effect property grows at about 7% p/a over a long term average. So if you borrow money that is not yours you make capital growth on the borrowed money. Also you have some cash in case things go wrong like the house is trashed (have landlords insurance) and it takes 3 months and say $30,000 to get the house rent-able again. Where as if you use all your cash if something goes wrong you may be able to borrow money from the bank but you will have no spare cash to cover the loan repayments.

I am sorry that I have not given you a clear direction or advice but I am not allowed to unless I am a licensed advisor so you need to work out what risk you are comfortable with with your investing
One big risk you are taking right now is having 300k in one bank account. During the financial crisis some banks froze their deposits for 12 months ! Every heard of Pyramid building Society ! http://en.wikipedia.org/wiki/Pyramid_Building_Society
Maybe you could read books on this to broaden your understanding and books do not cost a lot compared to seminars.

Talk to Richard.
 
Since you've come on a property forum you must be interested in property, but most financial advisors will see you as a sitting duck.     Most will convince you put your money to work in managed funds.   Of course, they will want to manage the funds and collect the commissions.  

buy your own home with cash and use  it later as a line of credit to buy other assets such as another property or shares.
The loan then becomes tax deductible.

I am not licensed to give advice, thus this is not advice however putting it in an account with reasonable interest would be what I would do for the time being.  I see the property market as over cooked,  you will find this worth a read.  I would say by the end of this year you may see a clearer picture

http://globaleconomicanalysis.blogspot.com/2010/02/pool-of-greater-housing-fools-in.html

However remember it is worthy to do your homework not just take for granted what is said in these forums

Seen as your new to this and if you have not been looking for very long then I would possibly keep the money in the bank until you get back from your holiday and then focus on what you want to buy.
But if you have been studying a while and your keen to buy something before you go on holiday then have a good look around and see what you can buy with your money and buy 1 property at a time not 5 in one hit (go like a turtle before a rabbit)
Don't bother going to a bank as they will loan you $5 instead of $10, go to a mortgage broker actualy go and see a couple of mortgage brokers and see what they say.
The link above for global economy I did not bother to read but I am sure I have a fare idea on what it says, but don't let this put you off, that was probably writtin by 1 person sitting behind his desk and that will be his thoughts for the week next month he/she will probably have different thoughts along with everyone else.

Or if you really get stuck and can't make your mind up on what to do, Ile borrow the money of you at a rate of 10% return p/a, I know just the property that is waiting for me. lol

I think everyone has given you really sound advice and lots of information for you to consider..

I would support some of the earlier comments and add a few extra..

Before you do anything sit down and work out your ultimate goal.. (ie retire in 5 years with X income, have a holiday for 3 months of every year etc)…
You also need to consider your comfort levels (ie doing renovations – given your injuries does this inhibit you?  If so then you need to make sure your strategy is sound for you and your abilities – as well as your comfort levels ie risk).

The points about having a loan approved after returning from your holiday maybe an issue if you dont have a job to come back to and if I read your information correctly you either have been injured either at work or outside of work – but given how awful that sounds it seems like it might have stopped you from working and therefore once again will effect how attractive you are to the bank… The bank is not a property investor so they don't look at the potential of a property – they look at how quickly can they offload or resell the property if something goes wrong with your loan..

Given your recent injury it sounds like a holiday is just the ticket and i hope you have a wonderful break! (given I lived overseas for 3 and half years I can understand the calling you have!!)

I would support what others have said – be careful about who you disclose your bank balance to, as there are many people in this world who would find your situation very attractive and may not have your best interests at heart..

The other thing I would say would be to ensure that you are absolutely educated before you start making any decisions on property – starting from the beginning of what you want and what you are prepared to do..

I do wish you all the best, it sounds like you have had a tough time and are deserving of some good luck and a good break!

Take care and travel safe…

Wishing you the best future in your property investing journey!…

Jodie
Property Coach and Finance Specialist

 http://www.multiplepropertyservices.com.au.
I help people realise their lifestyle goals using property as the vehicle.. As me how today – no cost and obligation free!

Wow. Look at em all come out of the woodwork the moment you say you have money to spend.

I live in carindale. Work in west end. I'm 26.

I could give you a hand if you wanted, but it looks like you'll have more help than you need.