OK Terry seems to have covered the finance side. A $380K property will be pushing it. I prefer to borrow 80% as I don't like to have a high LVR but I'm a bit more conservative than others. Too old to risk losing everything.I like to buy lower end properties as the yields are better thus costing less out of your pocket. Buy something you can add…[Read more]

OK Terry seems to have covered the finance side. A $380K property will be pushing it. I prefer to borrow 80% as I don't like to have a high LVR but I'm a bit more conservative than others. Too old to risk losing everything.I like to buy lower end properties as the yields are better thus costing less out of your pocket. Buy something you can add…[Read more]

The CG gets added to yoyr income. Assume you've had the property for more than 12 months. You calculate the capital gain. Halve it then add that to your wage (nothing in your case). So if the capital gain was $100,000. You'd pay tax on $50,000.As mentioned that is the best time to sell as it's not in addition to your wage.

Depends totally on demand. I have most unfurnished but one furnished. Haven't heard from them in years. Money goes in my bank. I'm happy.

Ok first getting into the IP market to reduce your income tax is the WRONG reason. That should be the last reason. If you are reducing your income tax it means you are losing money. Do LOTS more reading to find out how to MAKE money from property. The more money you make the more tax you pay.  I love when I don't get a tax return it means all my…[Read more]

Yeah sorry about that. I thought it sounded too low. I have worked the figures on 10 years. So there would be $104K in the account. I haven't included adding extra because it's not easy to calculate the extra payments going into the mortgage or the fact that you could have used that extra money to buy a second investment property in that time with…[Read more]

Yeah sorry about that. I thought it sounded too low. I have worked the figures on 10 years. So there would be $104K in the account. I haven't included adding extra because it's not easy to calculate the extra payments going into the mortgage or the fact that you could have used that extra money to buy a second investment property in that time with…[Read more]

Ok. you are focusing on the interest but neglect to look at the money coming in. Just say you leave your $60K in the managed funds for 10 years. 8% (minus tax = 5.6%pa- assuming 30% tax rate). So compounded you will have (after 10 years) $70,665. Take that $60K and buy a house value $300K.  10% deposit + stamp duty etc. OK you have a loan of $…[Read more]

Ok. you are focusing on the interest but neglect to look at the money coming in. Just say you leave your $60K in the managed funds for 10 years. 8% (minus tax = 5.6%pa- assuming 30% tax rate). So compounded you will have (after 10 years) $70,665. Take that $60K and buy a house value $300K.  10% deposit + stamp duty etc. OK you have a loan of $…[Read more]

niyiaw wrote:
So at the final inspection before settlement, what happens if I do find faults that weren't there at previous inspections? Do I have the right to get the vendor to fix them (depending on how serious) and delay settlement? Or can the vendor potentially complicate things by blaming it on the tenant?And a hypothetical scenario: I move…[Read more]

niyiaw wrote:
Long time lurker, first time poster.I made an offer on a property and it was accepted. I was waiting for the point where the agent would ask for the 0.25% deposit but it never came. Instead the contract of sale got sent to my solicitor and we went through it all but we are still waiting for the strata inspection. We are looking at…[Read more]

possumpal wrote:
Hey mateI bought my first property a small flat for 140K just after my 20th birthday. Lived in it to get the FHOG which was 10k at the time and then rented it out. Waited two years and then bought a old weatherboard house in a good locatition for 190K. Rented it out for a year and now live in it with my gf. Re-weatherboarded…[Read more]

The Property Trader wrote:
3.  Therefore spend most of your time buying well … putting in heaps of offers … for example I looked at about 170 houses today and shortlisted it to 21 houses that i would be interested in pursuing..

Hi, can you clarify what you mean by "looked at 170 houses" means?  On the net?  What sort of area are you ta…[Read more]

Yep, can be done. First check to see what the charges are. That may not be the problem, although by the sounds of it they are not doing a good job. Have you done a strata search? The owners set the fees.  Maybe the fees are high because they just did some major works and need to build up the sinking fund. Get the right facts first before jumping…[Read more]

I think if you are time poor it can be a good investment.Researching an area can take months, and that's before you even look at a place. Buyers agents have expertise in certain areas. BUT be careful. I'd go with a small individual person rather than a big company. Also go for one with a fixed price. What's the incentive for them to get the…[Read more]

Go to this link and it tells you what the stamp duty is for different states.http://www.acgol.com/stamp_duty_calculator.shtml

Keep reading and asking questions. Only way to learn. Read heaps.It can also be helpful to go to a few seminars. Just don't get sucked in to paying thousands for courses. Some of the free ones are Ok. You don't get heaps out of them but it all adds up. I wish I knew this type of forum existed 10 years ago. 

You seem to be confusing terms. Equity is how much you have after paying the loan. Eg a house worth $350K with a $300K loan has equity of $50K. When you talk cashflow you are talking borrowing power.  Of course if your properties are CF+ the bank will lend you more than if they were CF-.

freerenterprise wrote:
As a Buyer's Agent I back myself to create a win for my client as well as myself. My clients can choose between a flat fee or paying me 20% of what I save them off verified list price. So if I can negotiate $50k discount, my client saves $40k and my fee is $10k. If I can't save my client the equivalent of my fee there is…[Read more]

Buy under market, reno and there you have it.     Equity.  Reval and buy again same, same.Not all CF+ deals are in low CG areas. You MAKE them CF+ by buying low, do a reno and THEN they attract more rent, MAKING them CF+.