Hi Craig,

As I understand it, taking a mortgage against a house that is an investment property doesn’t necessarily mean the loan will be deductible. This is because the deductibility is based on the REASON for the loan. And, in your case, if the reason is to pay down your PPOR, then that is personal, and thus non-deductible.

HOWEVER, if…[Read more]

Hi Matt,
The way I see it, there is nothing wrong in staying with one lender EXCEPT if they cross-collateralise all properties. At some point though, you may find that lender won’t allow you any more loans, at which point looking elsewhere might become an imperative.

Hopefully one or two or our resident finance gurus (Mortgage Brokers) will…[Read more]

Hi Simon,
Re the Fixed Rate, be sure that you know just what can impact you if your plans were to change. By this, I mean that if you had any reason to have to “break” that Fixed loan, it would cost you dearly. So, if you are thinking of refinancing soon, or maybe needing to sell, or even have concerns about the security of your job, do think…[Read more]

Hi Investor,
I liked this one of Jaxon’s thoughts particularly:-

– understand before you invest (know something in and out and why it makes sense and the risks before acting)

That really is KEY ! I often say it like this “If you think education is expensive, try ignorance”.

Spend the time to get to KNOW where you want to go before you s…[Read more]

Hi Investor,
I liked this one of Jaxon’s thoughts particularly:-

– understand before you invest (know something in and out and why it makes sense and the risks before acting)

That really is KEY ! I often say it like this “If you think education is expensive, try ignorance”.

Spend the time to get to KNOW where you want to go before you s…[Read more]

Hi Simon,
Your reference to the other post reminded me of “all those extra little jobs” that were crushing you…
https://www.propertyinvesting.com/topic/5037056-all-the-little-jobs-loose-ends-at-the-end-of-a-reno/
is the link for any others interested.

So how did you go with all those little jobs? Was the above list detailing them all, or…[Read more]

Hi Sitbon,

Just know that if you ever decide to sell your property, if you have ever rented it, you will need to pay a capital gains tax on it.

Sitbon, just so you know, (and other new readers following aren’t swayed by your comment) the above comment is somewhat incorrect.

In some cases, you MAY have to pay CGT, but in other cases, you…[Read more]

Hi Matt,

Check Jamie’s signature !! :p He is one of several very knowledgeable MB’s who give their time on here. Others can be found by keeping your eye on all sigs of posters, or perhaps check here:-

https://www.propertyinvesting.com/topic/5031421-to-all-mortgage-brokers-and-other-advisers-too/

And no, that is not all of the MB’s on…[Read more]

Bump

Hi Brett,

Question for everyone else though – if you eventually move into the property you purchased as an investment, can you theoretically never pay the capital gains tax, or do you have to claim a taxable event when you switch it over to an owner-occupier residence? Maybe someone here might know the answer to that. It might be a decent way to g…

[Read more]

Hi Brett,

Question for everyone else though – if you eventually move into the property you purchased as an investment, can you theoretically never pay the capital gains tax, or do you have to claim a taxable event when you switch it over to an owner-occupier residence? Maybe someone here might know the answer to that. It might be a decent way to g…

[Read more]

Hi Brett,

Question for everyone else though – if you eventually move into the property you purchased as an investment, can you theoretically never pay the capital gains tax, or do you have to claim a taxable event when you switch it over to an owner-occupier residence? Maybe someone here might know the answer to that. It might be a decent way t…

[Read more]

Hi Happygirl,

Another situation is the gap between two walls from two separate properties could be less than one inch.

Hmm, I have never heard of or seen anything like that, but then I am not familiar with Canberra. Perhaps @jamie-m can shed some light on this?

In wondering “Why” this could be, are these perhaps built on really small blocks…[Read more]

Hi Happygirl,

Another situation is the gap between two walls from two separate properties could be less than one inch.

Hmm, I have never heard of or seen anything like that, but then I am not familiar with Canberra. Perhaps @jamie-m can shed some light on this?

In wondering “Why” this could be, are these perhaps built on really small…[Read more]

Hi Happygirl,

This sounds like a Duplex to me. These are reasonably common and yes, their value is lower than a house that sits alone on a block. There are a few savings made to build them, the land sizes are typically smaller, thus they are lower-priced.

I think a Duplex is less marketable than a house – so reselling would be to a smaller…[Read more]

When KBrodee first started this thread, questioning his own thoughts re Frankston North, one of the parameters that can be useful is to consider the Median Values for an area. In this case, for reasons mentioned earlier, the Median was WAY South of reality. Have a read from here (link below) where I first questioned KBrodee about his purchase…[Read more]

When KBrodee first started this thread, questioning his own thoughts re Frankston North, one of the parameters that can be useful is to consider the Median Values for an area. In this case, for reasons mentioned earlier, the Median was WAY South of reality. Have a read from here (link below) where I first questioned KBrodee about his purchase…[Read more]

Hi again San,

One other thing I should point out relates to the “Median values”. And maybe the best way to explain it would be to point you to a post from last year where someone paid $370k for a property that had the median showing as $316k. At that time, it transpired that the particular area he was buying in had been seeing HUGE growth…[Read more]

Sounds good, San.

You asked “How can you check?” and the quick way is to take a look at the Median Values for the area.

They show $400k for Acacia Ridge 3/1 houses, so you paid way under that – tick !!
Also median rent for a similar house is 4.5%, so if your gross rent is $360 a week or better, then another tick.

Other than that, asking…[Read more]

Sounds good, San. You asked “How can you check?” and the quick way is to take a look at the Median Values for the area.

They show $400k for Acacia Ridge 3/1 houses, so you are way under that – tick !!
Also median rent for a similar house is 4.5%, so if gross rent is $360 a week or better, then another tick.

Other than that, asking around the…[Read more]