Well, have you read the latest book "Secret" then ??!!!It says, if you visualise your development HARD enough, it will magically appear !!! ..

johann22 wrote:
Hi Bennido,Thanks for your input. The only issue i have in mind is that most houses look a like which makes it even more competitive to sell in a later stage. Areas like caroline springs atm have alot of supply in terms of houses and the demand for these areas have been a bit quiet.  What area are you leaving in atm if you dont…[Read more]

Hi Johann,Firstly, congrats on your purchase. I live in the area so I know the market quite well.While the outer suburbs don't appear much in the news when it comes to property hype (most prob becoz most writers live in inner melbourne!), there is much growth in the outer burbs as well. Especially when people get priced out of the inner melbourne…[Read more]

Yes I agree you can find some great deals in Victoria. Some investors have panicked (due to the drought crisis) and I have seen some properties go for way below their true value. So have a look around and you'll amazed at what you can find.I recently bought a cashflow positive property in the Winmera region without really "solving any problem"…[Read more]

Originally posted by ogilvy:
No. I dont want you to steal all the commerical properties before I get to buy them all. [strum]

LOL ! .. Don’t worry, I seriously doubt if I’ll come close to stealing any from you ..

Originally posted by ogilvy:
Resi sucks…….commercial all the way.

hi ogilvy .. do you want to share what are the main points that cause you to favour commercial so strongly over residential ? .. thanks ! [blink]

Originally posted by MichaelYardney:
The rules for commercial real estate investment are very diffeernt to those for residential investment.

Commercial properties are yield driven and yileds also drive their values.

This article may explain some of the…[Read more]

Like Andrew said, a house wirth 400K renting out for 200 seems way below market rate without knowing too many details.

Is there any way to increase the rent ? In most cases, the rent should be much closer to 300-400 pw for a place of that value.

Used to live in Avoca St so I know the area quite well.

Like the others said, its very blue chips. That means, lower risk but lower returns as well. Over the long term, you should experience stable but moderate capital growth.

And the properties there are definitely -ve geared so take that into account.

Originally posted by freeman cooper:
Hey bennido

I had a similar problem with pigions, about 100 of them, they pooed everywhere and were didrty.
The answer is a can of whiskas and Fenitrothian.
That will stop them.
Or you might want to try chilli, that will burn their bum and give them a rash.

What is “Fenitrothian” and what does it do ? Does…[Read more]

Well, what you have stated above is really all about negative gearing.

You’re 100% right about the huge shortfall between interest and repayments. The tax benefits will lessen the pain somewhat, maybe even up to 40%+.

But the real gain is when there is an improvement of capital value. There are countless cases in the last boom cycle where the…[Read more]

Don’t get me wrong, I neither against or for the trust structure. Frankly I don’t know enough to have an opinion either way.

Thought I would just raise another view on trusts from an experienced and respected property investor for consideration and discussion.

Was out shopping today and passed by a bookstore so I double checked the title.

Its called The Truth About Positive Cashflow Property and there’s a whole chapter on structures (e.g. trusts). Basically, her opinion is that they fail in their intended purposes.

I was just going through one of her books at Borders yesterday when I came across the part where she expresses her opinions on structures like trusts.

Naturally, it stumped me coz it kinda goes against general opinion here. I’ll pop by Borders tomorrow and see if I can find it again so I can post the book title here ..

Doh ! … what an important detail I left out … [upsidedown]

Both properties are in Victoria … [rolleyesanim]

I was flipping through a Margaret Lomas book and she says that trusts are a waste of time and do not really offer any protection.

What do you guys think of her statements ?

When applying for investment property loans, I notice that there is a question asking about whether the loan applicant is an individual or a trust.

Does this mean that loans are harder to get approved when applying as a trust ? Does it affect the interest rates as well ?

Hi Nehal,

I am extremely impressed by your interest in investing as a 15 yo. God knows what I was doing at your age, probably more like hanging around the mall staring at chicks !

I would strongly recommend you start off by reading the book “Rich Dad Poor Dad” by Robert Kiyosaki.

It is written in a manner that is easily understood and portrays…[Read more]

How do I check the value of the land (without the house I presume) ?

This will help to decide on IPs if I want to avoid / delay Land Tax bracket creep.

I not sure I agree with you Kiwi.

For example, I buy a new house and move from my current PPOR into the new house. Then I rent out the old PPOR. I believe the interest would then be tax-deductible although the loan was originally taken out as a PPOR loan.