Forum Replies Created
hello,
Both need to be considered; the rental yields + the anticpated capital growth = your % total return. you should not compare one over another. Both need to be in your calculations. One pays you now and other pays you later. BOTH are yours!!
Holding a property is a very differnet questions to which is more relevant. Most (80%) investors sell their property within the first 5 years because they CAN NOT hold on to it for long term (say 15 years). Hence (sadly) end you not making any real money.
Hope this helped.
AA
Hello you may want to evaluate this also:
REMS is a comprehensive property management software tool enabling property owners worldwide to monitor and maintain their real estate investments. http://www.dolfderoos.com/software/rems/
Anthony
Hi Deb2010
I have reviewed it and it is o.k.
You may want to try this site: http://searchinvestmentproperties.com.au/ it allows you to enter your profile and match, sort, compare etc etc etc. very very powerful.
Good Luck
Postive is allowing ALL cost against all income. I too disagree with that author.
Some marketing / website do the same. offer 'Positive Cash Flow' properties and in small print "based on a 20% deposit" this too is rubbish.
there are many properties out there that are (after all cost including borrowings) still cash flow positive. try this site: http://searchinvestmentproperties.com.au/
Hope this helps.
Anthony
Hello johann22,
May I ask, why are you in this industry? What were you told about it?
Aside from real estate training have you done any sales training?
From my experience this toll is due to the overall system. At one time I has a team of 50 and depending on several issues / and how you work (level of professional sales skill etc) can create this lack of energy.
AA
Hello dbliss,
maybe your life is… as your name suggests in 'BLISS' and you do NOT need to do anything.
Of course everyone has a different opinion. There are many ways to get started or expand a property portfolio. You too can have your opinion (based on your collective research) and so far have expressed it in do nothing.
At the end of the day it is your hard work, your money, your future you are talking about. DESIGN it the way you want to retire… and start when YOU are ready.
AA
Hello Sonya,
There are over 700 (from around 2,600) postcodes in Australia that have a population of over 10,000
Yes you can get it from the ABS – but prepared data via other sources generally cost something.
The MORE important part of the question you have NOT asked, is; ‘that also have a continuing population growth’
You see the point? Selecting an area based on its current size alone, will not suffice. You must also note if the area is increasing or reducing in population movements.
Many suburbs that have a population of over 10,000 are actually declining in numbers ; this situation is more relevant that finding postcodes with high population numbers ALONE. From our records (quick visual) it looks like about 15-20% are reducing in number.
PS: We have the data to show the postcodes with populations of 10,000 or more that are increasing in population size. Of course we can also list the fastest growing suburbs by population.
I hope this helps.
AA
Hello Chelkin,
Ryan makes some good points. There are houses available for what you are asking; BUT this does NOT mean it is the price. Another point; a vacant week is the same as rental discount. You can always try increasing the rent in 6months.
May I also suggest that you put it with other agents; this allows for walk-ins not just web traffic. How many is up to.
This form may assist you in identifying any faults with your property:http://www.propertycompass.com.au/2010/02/prior-to-settlement/
AA
Hello Peter,
This is a FREE service and can help with your request; http://searchinvestmentproperties.com.au/
1. How much does this service cost – FREE
2. Can they provide me with location's and what to buy. – YES
3. loan Advice. – YESAA
hello Alchemisst,
This type of property can be a GREAT investment should some of the questions asked (above) and by you prove positive/ in your favour.
You should treat this property as a commercial NOT residential. Hence its suitability should be weighed with such factors/criteria. Meaning you CAN NOT use residential capital performance figures to assess this investment.
Commercial properties have different performance measures different and lending criteria.
AA
Hi Ko_Starr
Population movemenst over the past 8 years, averaged: +2.19% (ABS)
Capital growth averaged: 13.62% – Last year was 6.68% (Residex)
…next two years, I anticpate continued capital growth.
Good Luck
AA
hello brunowa,
well it is not about proving you wrong. we may just have other perspectives.
The income you have is ample to build your portfolio. To levergae your currnet position into multiple properties does not necessarily mean hard sacrifices BUT does require a disciplined stratgey.
So, my perspective is YES; you make enough to…. 'sustain property investing'
AA
<!– /* Font Definitions */ @font-face {font-family:"Cambria Math"; panose-1:2 4 5 3 5 4 6 3 2 4; mso-font-charset:1; mso-generic-font-family:roman; mso-font-format:other; mso-font-pitch:variable; mso-font-signature:0 0 0 0 0 0;} @font-face {font-family:Calibri; panose-1:2 15 5 2 2 2 4 3 2 4; mso-font-charset:0; mso-generic-font-family:swiss; mso-font-pitch:variable; mso-font-signature:-1610611985 1073750139 0 0 159 0;} /* Style Definitions */ p.MsoNormal, li.MsoNormal, div.MsoNormal {mso-style-unhide:no; mso-style-qformat:yes; mso-style-parent:""; margin-top:0cm; margin-right:0cm; margin-bottom:10.0pt; margin-left:0cm; line-height:115%; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri","sans-serif"; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-fareast-font-family:Calibri; mso-fareast-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin; mso-bidi-font-family:"Times New Roman"; mso-bidi-theme-font:minor-bidi; mso-fareast-language:EN-US;} .MsoChpDefault {mso-style-type:export-only; mso-default-props:yes; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-fareast-font-family:Calibri; mso-fareast-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin; mso-bidi-font-family:"Times New Roman"; mso-bidi-theme-font:minor-bidi; mso-fareast-language:EN-US;} .MsoPapDefault {mso-style-type:export-only; margin-bottom:10.0pt; line-height:115%;} @page Section1 {size:612.0pt 792.0pt; margin:72.0pt 72.0pt 72.0pt 72.0pt; mso-header-margin:36.0pt; mso-footer-margin:36.0pt; mso-paper-source:0;} div.Section1 {page:Secti
hello brunowa,
well it is not about proving you wrong. we may just have other perspectives.
The income you have is ample to build your portfolio. To levergae your currnet position into multiple properties does not necessarily mean hard sacrifices BUT does require a disciplined stratgey.
So, my perspective is YES; you make enough to…. 'sustain property investing'
AA
<!– /* Font Definitions */ @font-face {font-family:"Cambria Math"; panose-1:2 4 5 3 5 4 6 3 2 4; mso-font-charset:1; mso-generic-font-family:roman; mso-font-format:other; mso-font-pitch:variable; mso-font-signature:0 0 0 0 0 0;} @font-face {font-family:Calibri; panose-1:2 15 5 2 2 2 4 3 2 4; mso-font-charset:0; mso-generic-font-family:swiss; mso-font-pitch:variable; mso-font-signature:-1610611985 1073750139 0 0 159 0;} /* Style Definitions */ p.MsoNormal, li.MsoNormal, div.MsoNormal {mso-style-unhide:no; mso-style-qformat:yes; mso-style-parent:""; margin-top:0cm; margin-right:0cm; margin-bottom:10.0pt; margin-left:0cm; line-height:115%; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri","sans-serif"; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-fareast-font-family:Calibri; mso-fareast-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin; mso-bidi-font-family:"Times New Roman"; mso-bidi-theme-font:minor-bidi; mso-fareast-language:EN-US;} .MsoChpDefault {mso-style-type:export-only; mso-default-props:yes; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-fareast-font-family:Calibri; mso-fareast-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin; mso-bidi-font-family:"Times New Roman"; mso-bidi-theme-font:minor-bidi; mso-fareast-language:EN-US;} .MsoPapDefault {mso-style-type:export-only; margin-bottom:10.0pt; line-height:115%;} @page Section1 {size:612.0pt 792.0pt; margin:72.0pt 72.0pt 72.0pt 72.0pt; mso-header-margin:36.0pt; mso-footer-margin:36.0pt; mso-paper-source:0;} div.Section1 {page:Secti
Thank you. yes I know how the loan process works. I was trying to get clearer on your position.
If I may repeat/expand on my explanation; One of my golden rules is being in a position to 'hold' your assets. Statistically a high number of investors sell/loss their wealth becuase they can not hold these properties, (of course for a number of reasons). One main reason is cash flow. I hope this is making sense.
It depends on your loan structure; re-draw etc. In most cases it is the same difference.
By the way this website has a free on line investment calculator: http://searchinvestmentproperties.com.au
AA
Sure.
1) http://www.somersoft.com.au/
2) http://www.dolfderoos.com/
3) and this website includes an online FREE calculator: http://searchinvestmentproperties.com.au/Good Luck.
Hello Donkey33,
The numbers are not making sense. Sorry, maybe i did not understand. Are you saying that you can hold a loan/s up to $750k on your income and the IP rental?
From this base I see it being tight and possibly defeating your goal…. I don't want to put too much pressure on myself
I have a question/position for you to consider: When you find a suitable property (price, performace etc) suitably matched to your profile. The most important to consider is YOUR ability to hold this or these properties over the next 5 years. If you do the numbers and you can… Then your ready now!
Good Luck.
AA
From a numbers point of view:
Last 8 years averages.
Capital growth Houses: 8.47% – Units/Townhouses 7.09%
Population movements: 0.72% increase
Last year: 1.71% capital growth.
AA
This is a free service: http://searchinvestmentproperties.com.au/
Technically you as the sole owner and the Landlord hence your circumstnaces are taken into account for tax purposes. Hence your time / expenses are taken into consideration. …and any other professional & legitimate expenses.
another point; the ATO does not consider managing 1 property as a business.
if the IP is low maintenance – YOU do it and factor your time.
I hope this helps. Good Luck
No, this is not normal. Maybe a better system may have helped you. Sorry. Prior to the next tenant… here are some resouces:
Resources
1) Property Inspection Checklist (PDF)
2) How to Select a Property Manager (PDF)
3) Rental Assessment Checklist (PDF)Good luck.
