Forum Replies Created
Superted:
I am not well travelled but one comparable example (as Mini mentioned) could be NZ. I do not know for sure as I have only ever briefly visited this country.
On the surface it seems that the population in NZ is more integrated than in Australia and that the country has gone ahead and dealt with land rights issues in a fair and mature way.
More power to them.
Regards,
Tim.No matter what I say, what I believe, and what I do, I’m bankrupt without love. (1 Corinthians 13:3b – The Message)
Point taken LifeX.
However with a comment like:
“Being poor must sux (yes i can spell) because their attitude is always “money isn’t every thing” well my question is, why are you on this site finding out how to build wealth “
…I would think resiwealth was looking for reactions. That is precisely what he got.
Kind Regards,
TimNo matter what I say, what I believe, and what I do, I’m bankrupt without love. (1 Corinthians 13:3b – The Message)
CD:
I agree with you about a wider due dillegence clause being needed to get out of unforseen circumstances eg. bad area.
The problem I see with this blank get out clause is that it would not (putting my vendors shoes on) instill a great deal of confidence in me about your commitment. Also if there were two offers of an equal price i would take the one with more specific get out clauses.
As to your comment about why 20 year old buildings. I only used this as an estimate (very rough) to indicate that a building report is bound to come up with something that needs repairing/renovating of a building of this age or older.
In reference to the dishonesty of using the builders report to get out of a contract when it is not the real reason I basically agree with you. However we both know that in reality contracts fall through for a variety of reasons and that purchasers use finance and building clauses to get out of contracts all the time if it is not to their advantage. I need to sate that for the record i have never had a contract fall over but am relatively new to the property game.
Regards,
TimRob:
A quick one b/c I am short of time
I agree with most of what you say.
Having a property subject to building inspection wshould always give u an out of the contract if the building is 20+ years old. This is because a good building report should list all repairs, minor and major and one cannot possibly be aware of them all when you bid; hence the building report.
Sometimes I guess you just have to be creative.
Kind Regards,
TimI could be wrong but just putting ‘Due Dillegence’ seems a bit vague to put in a conditional contract. Things like LIM, Building Report, Finance are part of due dillegence.
I think that if you put conditions of finance and building report that should cover most things.
Regards,
TimGood examples Mini. Samll baby steps is all it takes to start with.
And I absolutely agree with you about racism existing everywhere and that it much worse in other countries than Australia. On the other side of the coin there are most probably a lot of countries much more tolerant than Australia.
Regards,
TimWoodend:
Not sure about all your questions but as to regards a NZ bank a/c for rents. I highly recommend this for the following reasons:
1. You may be charged for for property managers to put your rents into an aussie a/c
2. If you are using an aussie a/c you are continually exposing yourself to the foreighn exchange rate on a monthly basis.
3. There are fees/commissions involved in completing a foreign currency exchanges especially on amounts less than $10000 AUD.
4. Foreign exchanges take a few days to take place whereas local deposits are very quick.Also what I am doing with NZ is using 20% deposits from an Australian line of credit to fund 80% loans in NZ. This mean I would only have to do a currency exchange about every 3 months to service by 20% deposits.
Hope this helps.
Kind Regards,
Tim.thanks Steve and Rod. That is just the info I need. Also thank you for your suggestion about paying for stats steve. I have purchased a residex report on the area and am waiting for the email.
Kind Regards,
Tim.I have emailed Jo/Monopoly and we have agreed that this thread has gotten a little out of hand and off topic. I would like to say that I fundamentally agree with Jo’s position of racism existing in Australia in addition to other types of discrimination.
I also agree with other posters that racism in Australia is not as bad as other countries.
It is my personal opinion that historically things are improving in Australia in terms of racism and discrimination. Witness the demise of One nation and Pauline Hanson as evidence of this.
Regards,
TimSuperted:
Here we go again bash australia from within.Maybe to put your comments into context you should travel overseas and see how racist Australia really isnt.Are you asserting that Australia has no racism in it whatsoever?
And if you are not how is what we are discussing bashing Australia?
Jess:
i know how you feel. Sometimes I feel the same as you for a variety of reasons. Can’t we just all get along?[strum]
in answer to your question: Yes racism still exists in Australia. However things are better than they were say 40 years ago. Did you know that it is only since 1967 that Aboriginees were counted on the census (population and stats count every 5 years).
I admit that personally, when i was younger, I used to be racist against certain groups in a passive way. Looking back on my reasons for this shameful past attitude I would say put it fundamentally down to ignorance and wanting to feel superior.
The answer to racism surely has to be different droups socialising, mixing, working together in the community. Pretty soon people start thinking “hang on maybe these people aren’t all bad after all”.
Kind Regards,
Tim[thumbsupanim]
Seriously you have time on your side. Unless you can borrow some money somehow you first need to save. Now I realise that you might only be able to earn about $10 an hour but at your age most of that will go into your pocket. Not on mortgage, car repayments, food, insurance, rent etc. Save as much as you can. Perhaps open an ING account. They will pay you 5.25% per year on your money with no fees and no min. balance. Also I think they give you $15 for just opening an account. Wow I just made you your first 15 bucks…..and no I do not own ING shares or work for them.
Hope this helps,
Tim.For my first property i put down a 20% cash deposit for a NZ ANZ loan which only amounted to $15000 Australian. They offered me $500 rebate on my legals, no application fee and 7.75% 3 yr fixed (IR are higher in NZ). For subsequent properties in NZ I will use a line of credit from my homeloan (LOC is 6.67%) for the 20% deposits. I am only looking at buying property in NZ with a 9% or higher gross yield with some prospect of capital growth.
Hope this helps,
Tim.In Sydney the median house price is about 500 k. If prices were continue to double every 10 yrsthen in 20 years the average price for 3 b/r cottage in the suburbs would be 2 million dollars.
I wonder about the feasibility of this and whether residential property does get to point of simply being overpriced or at a stagnated price.
I don’t know either way; just thinking out loud.
Amit,
From the little I know of NZ RE I would agree with you. Perhaps Peter could arrange a joint venture with someone?
Regrads,
Tim.I think you will find that most Christians believe the earth is a lot older than 12000 years. I am a Christian and think the earth is millions of years old.
I know one benefit for me with an Australian loan for a NZ property is that in Australia I can get 6.67% whereas I have just fixed a NZ bank loan for 3 years at 7.75%,
The disadvantage of the Australian loan is that to service my debt I need rent payments from NZ. This will most probably mean doing a small international transfer from NZ to OZ about once a month which means losing money on the ForEx as well as fees.
However for me at this point having an Australian loan is the only way I can buy a 2nd NZ property.
Regards,
Tim.This is very different to the numbers given in the first post Mischief. If I was in ur situation I would seriously do some independant research (outside of the selling agent).
The figure of 120 vs 145 is a massive difference in percentage terms.
It would certainly press a few warning buttons in my mind.
Regards,
TimHi,
I am in a similar situation. I am in the process of buying my 1st IP in NZ which I did with a NZ loan with 20% cash deposit.
I amcurrently researching tapping into 200k equity on my owner occupied Sydney mortgage. St George have said I can do this with a line of credit (LOC). Set up fees would be about $300 + mortage stamp duty of about $500 on $100000 loan (I think). They said they would lend me, on a LOC, up to approx. 100k.
Does this sound like a winner or are there better options out there? One for the mortgage brokers I guess.
Regards,
Tim.I agree Trisha. Being financially independant allows u to make choices.
I also believe that money/material wealth will not bring happiness or fulfillment.
I believe the real danger in just having financial goals is that what happens when u achieve them. Sure u may say travel, nice car, harbourside mansion. But are these lifelong fulfulling goals
But say (as I have read) someone retires at 40-45 and the average life expectancy is 80-90, what do u do for the next 35-50 years.
Please do not take this as an attack. I do not wish to judge. i aim to be financially independent too like most people on here. Also i am still working out my goals beyond financial independance.
Out of interest we are a LONG way from financial independance and are only in the process of buying our 1st (my wife and I) IP.
Regards,
Tim.[exhappy]
