[AntheaPropertyParticipant@antheapropertyJoin Date: 2005Post Count: 17]

April 26, 2012 - 11:38 pm

I have recently come across a co called Memphis Investment Properties. They offer a full service. Their prices are on their web site. They do deal with international clients. They seem to have multiple repeat clients. Memphis is the headquarters for AutoZone and FedEx. Memphis has the US's third-largest railroad hub and the world's busiest air cargo hub so is a hub for distribution. So plenty of good jobs for renters. There are no state property taxes. They offer a 50% asset based loan on rental properties and is available to foreign based borrowers. I think there are representatives in Australia.

[AntheaPropertyParticipant@antheapropertyJoin Date: 2005Post Count: 17]

February 29, 2012 - 3:51 am

I suppose you have to know the costs involved in doing the subdivision, then the building costs of the houses, to work out the potential rate of return for hold and rent.  Do you have the capacity to keep them all? Perhaps to keep some to build on and sell some blocks to fund the houses. It will take a lot of money.
You need to start with a town planning company to give you advice. Sometimes they give the first consult free in hoping to get your business. They are in the yellow pages either under Town Planning or Surveyors-Land.
This also takes time for a subdivision from stratch. You can only advertise land for sale once the council have stamped the plans and this is after all water and sewerage and earthworks are completed.

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February 29, 2012 - 3:22 am

I am not a fan of -ve gearing. I've always needed an income and need to look at properties that have +ve cashflow.  It is not a sin to pay tax. It means you have made money. I assume your ultimate aim is to replace your working income with passive income. You eventually need to pay tax. Another popular thing to do that is choose a property that will give you a lump sum and and possibly an income as well. There is plenty of info on this website. You look for bigger blocks of land that can be subdived/ sell the spare block/ build a second home and have 2 incomes/ buy flats. There's heaps of different things. But you are right -ve geared properties means you have to make that money with your wages before you can eat and do other things.

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February 29, 2012 - 1:53 am

Hi, I know a salesmen that only sells investment properties. His co sells investment properties all over Queensland and other states for developers. They have sold houses in Biloela and must have thought the return was OK. I'm away from home so can't get his figures. It's not a Gladstone but  Biloela is a good size town for a country town. There is  farming and cattle. I think there's an abattior near the town. Moura is less than 50 minutes away and that's a coal town. Rockhampton is about  2 hours drive away. It's generally good farming land so the cattle properties are closer to town are smaller blocks starting from 1000 acres. Which means more people closer to town. Does this help?

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February 29, 2012 - 1:29 am

I used to live in Townsville. The Northern Beaches side of Townsville is racing ahead. After many years of talk there are new shops being built out that way. Smaller take-away complex, a Coles anchored new shopping centre, plus new shops (Woolworths) at the North Shore devolopment on the eastern side of the main Bruce Highway, which also has a McDonalds. and the existing Derragan shops (woolworths).  I think Oakland Heights is on the western side of the Bruce Highway going north. The Stockland North Shore development will be an extermely large development. Already has new council swimming pool built. There is a new catholic primary school and plans for Townsville Grammar School to build out there by 2015. There is a police station at Deeragun/Jensen just up the road with plans for more police from the city to move quarters out this way. There is also a primary and separte catholic high schools (St Anthonys) and a state primary and high schools all in this vicinity. Only thing it lacks is a good bus service but everyone has cars these day. There are two hotels, one at Bushland Beach and oneThe Bohle. The Queensland Nikle refinery is further up the road at Yabulu.  Ther are 2 service stations at Deeragun and another at Yabulu.  The Townsville by-pass ring road starts opposite the North Shore development and takes one over the Ross River and to the James Cook University, Hospital and the Army Lavarack's Barracks. Only takes about 20 minutes to get there. You can also choose to go to the Willows Shopping Centre this way or head towards the city and go to the Castletown Shopping Centre. I believe the Defence Housing are having more than a few houses built at North Shore. It is a much bigger subdivision than Oakdale. I hope this helps.

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November 29, 2010 - 1:22 am

I bought in Dysart 4 years ago. At the time the prices were a bit cheaper than Moranbah. Dysart is between Moranbah and Emerald in the coal mining basin and is serviced by Moranbah mainly. The rents went down with the GFC but they are on their way up again. Tip is to check out the management charges that the real estate charge. Moranbah Real Estate is fine but some agents furter away in Emerald and Mackay charge 12% management fee.

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November 29, 2010 - 12:57 am

So what's the ROI in Gladstone? What are the rents being achieved?  I assume the investors are chasing capital growth as not much mention on rents in these posts? I imagine the cost of building in Gladstone is a lot cheaper tan Karratha. And I suppose there is more land available for development in Gladstone/Calliopie than Karratha. The Gold Coast properties have good returns. Lots of workers and students.
So what's the rents in Gladstone?

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November 29, 2010 - 12:41 am

Thanks Tim. Just a point of clarification please. Is the 20% a return on the cash one invests ie. in property the deposit that is put up or a return on the purchase price considering most people borrow? You do say an invetment that  will give me positive cashflow returns from a minimum deposit. So it seems that one should be looking at a return on your money you have tied up in the deal and not the cost of the deal?
Clarification.

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November 27, 2010 - 4:27 am

Thanks. I have researched web sites that talk about positive geared properties and they have properties listed quoting  yields of between 6% and 10% returns p.a. I did my calculations and they are gross yeild on purchase price (contract price) and nothing to do with percieved capital growth and assuming before tax that I can see. There are more than one web site quoting ROI this way.

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November 26, 2010 - 7:38 am

Hi Chrisine,
I bought a 3 bedroom highset house in Dysart 4 years ago. The tennants are usually companies that contract to the big coal mines.They sign 1 year leases or longer. The house is looked after. Any maintenance is costly with tradesmen coming from Moranbah however the rental return is excellent. The workers are not there much as they usually work long shifts.  I not only get a good ROI but also have had capital growth. The rents started at $620 per week 4 years ago. At the start of the GFC the property was achieving a rent of $1200 per week and this came down to $800 per week. My current ROI is 13%. If you look at the return on the cash I invested then the return is over 50%.  The rents are currently on the move up again and am looking at an increase at the next rent review. Moranbah also has good rent returns and has more newer houses. One TIP is to check out the property management fees that the real estate companies charge. Some agencies in Mackay and elsewhere charge 12% but I found Moranbah Real Estate Agency are on standard charges. You don't have to use the Agency you buy the property through to manage the rental.
I hope this is some help.

[AntheaPropertyParticipant@antheapropertyJoin Date: 2005Post Count: 17]

November 26, 2010 - 5:58 am

I've never been in a position to need/take advantage of negative gearing. I went for a positive geared property. If you want cash flow go to the mining towns!

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November 26, 2010 - 5:48 am

I wil put a plug in for the Gold Coast. The State Government are spending a massive amount of money at Southport. They are building the new Gold Coast University Hospital and work is commencing soon on the new light rail rapid transport network. Initially to go from the University/new hospital to Southport and down through Surfers Paradise and Broadbeach. Next to this there will also be built a new Allamanda Private hospital. There's going to be lots of tradies needed for all these big projects. It has been quiet but there's lots going to be going on and that's good for rentals. Also the Gold Coast Council/State Govt have put in to host the 2018 Commonwealth Games. Don't write off the Gold Coast!

[AntheaPropertyParticipant@antheapropertyJoin Date: 2005Post Count: 17]

August 26, 2007 - 6:45 am

Hi. We are onto our 3rd project. Thru trial & error we believe you should start with the yard first as it may take time for the plants and the lawn to grow. Other jobs that you may need to do first is an outside deck, pool fencing, painting the roof, gutters/downpipes, fencing, new garage doors, new putty in the windows, sand back facia boards, TV antena, french doors/change windows. Inside kitchens and bathrooms can be big jobs, change doors, handles, resheet any walls/ celiengs, than plaster any joins, electrician for lights/change power points, install fans & air-cons, perhaps now you can sand the floors, before you can paint you have to putty/seal up all holes and gaps. Last jobs include painting, window treatments, screens, driveways/paths respray. You should try to attend open houses/auctions in your suburb if you are thinking of re-selling to get a feel for the market. There's a big difference between real estate agents as to what they think you property can sell for.

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March 31, 2005 - 9:19 am

We have been cleaning up our properties in preparation to finding a buyer. We have been receiveing $90 a Tonne for scrap steel. (There is a world shortage of steel and coal prices have gone up too.Somehow they’re related.) We only have a small truck and a forklift to load however a good load is worth $150+. Anything not considered good heavy scrap steel will usually attact a small payment or we take it to a dealer that lets us dump it out the back for nothing. Beats having to pay the council to take it to the dump!