Forum Replies Created
Hi Ryan,
Thanks for your reply. How do I find out who is a top performing agent and which are the 1st and 2nd best real estate businesses in the area?
I live interstate so don't have local knowledge which is why i asked for recommendations.
Regards
Cathy
Thanks Kate. I have contacted Prak and he has been very helpful.
Thanks Terry,
So if the income loss can not be offset against the capital gain and the property is sold the losses are still held in the trust? What can they be offset against?
I suppose by the last few sentences I meant that in the end will the individual beneficiaries get the benefit (by having at some stage less income to declare from the trust) of the tax deductions that the trust makes or in some cases are they just lost.
Best Wishes
CathyThanks for the advice Catalyst. The Real Estate agent said there would be no reserve he could be wrong or else maybe he will use vendor bids.
What are some of the ways you use to know the price it will sell for after a renovation?
Best Wishes
CathyThank you v8ghia. I have had a look at the tool and it should be great as a starting guide.
Thank you. I’ll have a chat to a broker.
Thank you
Taking a simplified example suppose I earn $100,000 gross and the bank charges 8% interest and will allow me to pay 30% of my income as interest. Then it should lend me up to $375,000 (30% of $100,000 = $30,000 = 8% of $375,000).
If I then add a rental property earning $200 per week and the bank will take into consideration 75% of the rent .
What will my total borrowing capacity be?(1) total income now considered $100,000 plus $7800 (75% of $200 times 52 weeks). borrowing capacity $404250 (30% of $107800= $32340= 8% of $404250)
or
(2) 75% of rent $7800- all of which can service debt of $97500 (8% of $97500 = $7800). Total borrowing capacity $375000 (from work earnings) plus $97500 (from rental income) = $472500
I realize banks take more into consideration but at the moment I’m just trying to understand the very basics.
Thanks
Cathy
Thankyou Richard
The selling agent told me to expect the valuation to come in a little low as it was a new product so I was prepared for 5% lower but the actual valuation came in at 12.5% lower.
CathyThankyou MosicLandscapes and Sandra for your advice. I’ll give the council a ring.
CathyThanks Pinkboy
In our case too they said the property they were offering us was the last available in that development.
Thanks House Call.
I have just finished reading Steve's books. All he says I agree with especially about negative gearing meaning you are certain to make a loss now for a possible gain later. I have been scouring the internet, the local papers and driving around the neighbourhood. So far nothing even comes close to passing the tests Steve sets in his 3 second solution (ch 15: 0 to 260+ Properties in 7 Years).
Cathy
Thankyou so much for all your comments. I live in Adelaide so not close enough to check out the site personally. I did not sign anything on the day. I guess I'm always hoping that the easy way will work out alright.
Cathy
