Hi Curtis,
Just in case you didn’t find this one

A common question when investing is, “Why use IO loans and not P&I loans?” Click below to read on….
https://www.propertyinvesting.com/topic/4410491-the-big-picture-for-new-readers-especially/#post-4697976

Benny

Cool, Savannah – do drop in to tell us all how it goes !! Good luck,

Benny

Hi Suzy,
Some good thoughtss already – here’s mine too…. Keep the “numbers” in mind. What if you might need to wait 3 weeks to get someone to rent it at $420/wk? Or, opposed to that, what if someone will pay you $400 straight away?

Using those numbers as an example:-
Run the numbers, and you will see that you will lose $420 x 3 = $1260…[Read more]

This has been the most interesting poll thus far.

Even at the time of creation, I wondered if we should have an “All of the above” button. As of right now, four out of the five options are ranking between 22% and 28%.

Certainly several things are having (or could have) a major impact on real estate values. Perhaps it depends on which…[Read more]

This has been the most interesting poll thus far.

Even at the time of creation, I wondered if we should have an “All of the above” button. As of right now, four out of the five options are ranking between 22% and 28%.

Certainly several things are having (or could have) a major impact on real estate values. Perhaps it depends on which…[Read more]

This has been the most interesting poll thus far.

Even at the time of creation, I wondered if we should have an “All of the above” button. As of right now, four out of the five options are ranking between 22% and 28%.

Certainly several things are having (or could have) a major impact on real estate values. Perhaps it depends on which…[Read more]

Hi cs_rlewis,
Re this:-

As for the westnblue story, do you think his high rental yields are constant year in year out? If he’s bought in a mining town then perhaps the rental yields will decrease once a boom has finished – hence why hes only fixed his rates for 2-5 years.

A quick look at what he has bought, and I see some exposure to mining tow…[Read more]

One more recent read is a succinct post by BuyersAgent. In it, he talks of HOW to keep a portfolio growing. Useful comments re DSR, LVR and the balancing of the two.

https://www.propertyinvesting.com/topic/5014274-how-do-people-buy-multiple-properties/#post-5014359

Here is a teaser from it:-

Overall it is a balancing act between LVR and DSR.…

[Read more]

One more recent read is a succinct post by BuyersAgent. In it, he talks of HOW to keep a portfolio growing. Useful comments re DSR, LVR and the balancing of the two.

https://www.propertyinvesting.com/topic/5014274-how-do-people-buy-multiple-properties/#post-5014359

Here is a teaser from it:-

Overall it is a balancing act between LVR and DSR.…

[Read more]

Hi ZC,

is there any lenders out there that will be more generous?

From what I read from the Brokers on here, “Yes, some lenders are more generous.” More generous than yours? Well, that depends on who you are banking with. Share more information upfront, ZC, and you will likely get more useful information back to you.

And me? No, I am not…[Read more]

Hi Christina,

Does anyone have any advice on financing your first ip with nothing but cash in the bank and no income? We will have (roughly) 30k USD.

Since I gather from your words that you will be buying in the USA, I would suggest you check out the forum called “Overseas Deals”. In there, a few people are discussing the USA property market…[Read more]

I read both posts. I now realise that buying a $338K place for about $330/week is not ideal on a $200K loan. It would be much wiser to haggle the price to $318K, and aim for a rent of $350 upwards. At least then I’ll be heading in the right direction

Yes, you will – but think bigger again – if the $338k property can’t return $450+ per week, g…[Read more]

I read both posts. I now realise that buying a $338K place for about $330/week is not ideal on a $200K loan. It would be much wiser to haggle the price to $318K, and aim for a rent of $350 upwards. At least then I’ll be heading in the right direction

Yes, you will – but think bigger again – if the $338k property can’t return $450+ per week, g…[Read more]

Hi CS_R Lewis,

Are these properties geared so positive that its funding all their line of credit equity loans?

In a nutshell, YES !! But there is a longer answer, so stick around… :p

First off, I wanted to say that you are already in good shape with $150k in Equity, so well done already. Second, I would not be buying an apartment…[Read more]

Hi Savannah,
I agree with the Realtor. Certainly, if the other rooms look good, then the kitchen floors will “stand out” even more. And the major problem I see is in the buyer’s mind :-
e.g. “Ooohh – look at those tiles – they look quite dirty. I don’t know how much it would cost to clean them, or (horrors) replace them !! Could be $5000 or…[Read more]

Hi PLC,
Of course, you are correct – “running the numbers” should always be done prior to making such a move.

My response was another option (as opposed to “the ONLY way”) but it certainly may not be the best option – unless there was no other way. Then, the choice then comes down to
“Do I walk away from a screaming-hot deal because I…[Read more]

Hi Becs and Sasha,
Great to hear from both of you as MAP students. I thought Sev’s question was an intriguing one, as the MAP goal was (correct me if I am wrong) to become a “property millionaire” within 12 months. i.e. to have $1m more in assets than you did when you started the course – something like that?

Now, Sev’s question came at it…[Read more]

200pw was for the property in ravenswood which is 130k. The property in Georgetown is 100k with 150pw

So, which has the better yield? We don’t know the Nett Yield until all costs are known for each – but the Gross Yields are there :-

Ravenswood – Gross Yield is $10400 divided by $130k x 100 = 8.0%

Georgetown – Gross Yield is $7800 divided by…[Read more]

One other thought – did you see this? It may hold some clues for you :-

https://www.propertyinvesting.com/topic/5010490-tasmania-is-it-worth-it/

Benny

Hi Lorella,
Do you have an idea of the kind of rent the Tasmania properties would fetch? To be able to have it pay you something (be positive geared), the rent needs to cover the mortgage, insurance, rates, maintenance, and Real Estate Agent fees (i.e. all costs) and STILL have a bit left over.

To do that, with a $150k property (and mortgage…[Read more]